Management policy is essential for guiding companies towards effective and smooth management. It establishes the principles and practices that determine interactions between employees, operational processes and organisational objectives. A well defined management policy clarifies roles and responsibilities, aligns individuals’ effort with company goals and promotes a collaborative work environment. It also contributes to informed decision-making, conflict solving and continuous performance improvement. A solid management policy is therefore fundamental in ensuring the cohesion, effectiveness and long term success of a company.
How do you introduce a successful management policy in a company? Read on to find out.
Introduction to Management Policy
Management policy is made up of the rules, practices and regulations established within an organisation, in order to guide managers on a daily basis, especially by defining ways of working, leadership styles and expectations of employees. In addition to the rules that define it, management policy reflects the company culture. It is essential in influencing productivity, motivation and team performance. Choosing appropriate management policy is therefore crucial to the direction and success of the organisation.
Main objectives
Management policy aims to:
- Ensure that managers are aligned with the vision and company objectives
- Encourage effective management practices to maximise team performance and company results
- Create a stimulating working environment where employees feel valued and motivated
- Promote values and behaviour which supports company culture
- Establish clear and effective methods of communication between different levels of the hierarchy and employees
- Promote a workplace where innovation is encouraged and where companies rapidly adapt to change
- Encourage employee training and professional development to maintain and improve skills
- Put in place mechanisms to solve conflict in the most effective and constructive way
- Ensure that management practices comply with applicable laws and ethical standards
Developing an Effective Management Policy
Developing a management policy involves creating clear guidelines that align management decisions with the company’s objectives. This also means promoting a motivating work environment and encouraging innovation and flexibility.
Involving and training managers
Involving managers in a company’s management policy is highly important, as it ensures effective implementation of guidelines. Managers are the link between employees and company directors. They are in the best position to understand the dynamics on the ground and to adapt the company’s policies to day-to-day realities. By having them involved, communication is smoother, increasing team motivation and enabling the company to adapt better to change. By involving them in the development of the company’s management policy, their expertise is valued, which contributes to a positive corporate culture, employee satisfaction and the achievement of strategic objectives.
Using adapted tools
To successfully carry out tasks, managers rely on a variety of tools and recognised methods. The SMART method allows you to define specific, measurable, ambitious, realistic and time-sensitive objectives. Maslow’s Pyramid prioritises employee needs, whilst the 5, 10, 15 and 30 method improves task planning. The Eisenhower matrix prioritises tasks according to how urgent and important they are, while the SWOT analysis examines its weaknesses, opportunities and threats. The stakeholder map assesses team engagement, the dashboard tracks performance and the engagement barometer measures employee engagement. The DISC model and OKR method refine communication and objectives, while the company’s vision and active listening ensure a shared direction and effective communication. When used appropriately, these tools help the manager accomplish their daily tasks.
Advantages of a Well-Defined Management Policy
A well defined management policy enhances the operational efficiency of employees, leading to an increase in revenue for the company.
Improvement of overall performance
Improving a company’s performance cannot happen without implementing a well defined management policy. By ensuring consistent management and motivating employees, it creates a productive work environment. This policy optimises internal processes, aligning individual and collective efforts with the company’s strategic objectives. Consequently, the organisation benefits from a better overall performance, fostering growth and competitiveness on the market. In short, a well defined and implemented management policy is key in achieving operational effectiveness and long term success of the company.
Strengthening company culture
Defining management policy allows managers to reinforce the company’s culture and values with employees on a daily basis. To do this, internal close and transparent communication is crucial. Formal and informal meetings, individual one-to-ones, weekly catch ups, training sessions and company events are all ways to instill the company culture within teams. From the start of an employee’s onboarding, the manager must take the time to explain the company’s core values and principles. In addition, managers are responsible for laying down strategic guidelines and preparing their employees for any transformation or change projects.