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Policies, Procedures, and Starbucks

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What is a policy? What is a procedure? To many this can be a deceptively confusing topic. What is the difference between the two? Where do you draw the line? These are strangely important questions, and the answers can affect your workload in a very real way. So how do we cope? Well… we have two options:

1. Put plain and simply, the first option is to actually establish your policies and procedures. To this end remember that a policy is a very high level statement briefly stating an organization’s stance on a particular topic. Ideally, this statement should be periodically reviewed and only rarely modified or updated. For example, I will use my organization’s policy regarding coffee expenditure.

Policy: The Garland Group recognizes the plight of the local barista and as such will devote far too large a percentage of each employee’s salary to our local Starbucks.

Procedure: To accomplish this goal, management has developed the following procedures to assist in the daily function of this duty.

1. Every Monday each individual shall purchase exactly one of his/her favorite blends before 10 a.m.

2. Every Tuesday each individual shall purchase his/her favorite blend + one food item. This may be any food item so long as it is loaded enough sugar to seriously injure a domestic cat.
3. Every Wednesday each individual is allowed to make a purchase of his/her choosing so long as:

a. It is accomplished before the close of business.
b. It is not good for you.

4. Every Thursday each individual shall purchase his/her favorite blend before 10am. Additionally, you may purchaseanother beverage of your choosing in the p.m. to satisfy the addiction to caffeine that you have developed as an employee of The Garland Group.

5. Every Friday, you may fill out an expense report detailing your self-help books/medications in helping you deal with your
newfound addiction. So long as:

a. You repeat this exercise at the opening of business on Monday.
b. These expenditures do not actually cure you of your new found addiction.

2. Now remember I said there is a second option. Well, there really isn’t. I just said that to encourage you to read this far. Now that you have… you might as well read to the end.

Typically, as a best practice, all policies should be reviewed and approved at least annually by the Board of Directors or some similarly entrusted governing body. If it is a well developed policy… meaning it provides clear direction without being so specific as to require frequent modification, annual review should be more than ample. In this case, our policy should only need modification in the event that we choose to no longer recognize the plight of our local barista, or if Starbucks were to no longer do business in this area.

On the other hand, procedures need to spell out proper execution of a policy. Because procedures by their very nature are specific, they will typically require review and updates on a much more frequent basis than a policy. In this case, we may discover that it is possible to get real work done before 10am in the morning if we drink our coffee earlier on Monday. As a result, the procedure would need to be reviewed and approved much sooner than next year to reap the expected benefits. In this case, we may bring the procedures in front of a steering committee at the end of the month, or simply have a manager approve the procedure. Hopefully though, my boss doesn’t read this and accordingly adjust his expectations of my performance.

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