ESG is an attempt to analyze the most important elements of an organization and how policies are regulated and applied. Organizations should address environmental, social and governance (ESG) practices and reporting within their framework. Originally designed to better approach the most sustainable realms of investment, ESG has evolved into a ubiquitous public discussion that greatly impacts the business ecosystem.
Third-party relations have become a critical aspect of any business operation as the list of tools and skills required to conduct business has become quite lengthy. Organizations now rely on a network of third parties that can be outsourced. While outsourcing specific tasks can save time and be more financially feasible, it does come with its own set of risks. Outsourcing various operations leave the organization vulnerable to risks without any oversight and an effective policy management framework in place with clearly defined procedures.
Is your organization’s policy management framework optimized for hybrid operations? In response to the needs and requirements of employees in the wake of the COVID-19 pandemic, many organizations are offering their employees a hybrid working option or simply working completely remotely from home. In other words, many workers are going into the workplace part time and many others never even leave their homes. These offerings are done in the hopes that business will carry on as usual.
Is your organization’s policy management framework integrated with the business? What does a modern organization that places emphasis on policy adherence resemble? How can an organization integrate policy management within the context of the organization? It is important to design a policy in the most effective manner possible. Policies should be designed to benefit all employees. There are many ways to make policies accessible for all workers but communicating the processes clearly cannot be overstated. If the workers do not understand the policies or if the policies have not been delivered to them in an accessible way, then there will be a gap between the goals of the organization and the mindset of the workers. These principles are essential and cannot be overstated.
Effective policies are an essential aspect of any organization as they dictate day-to-day processes whether that be legal and regulatory or internal processes determining success. The necessity for effective policies has only increased as the business world becomes more dynamic and complex. Organizations must ensure that their policy management is robust and dynamic to meet the needs of modern-day business.
Company policies, though variegated in content, work towards protecting and improving an organization on a handful of essential fronts. Experience indicates they are business-critical and legal lawsuits show they are unavoidable. However, as a course or principle of action, a policy isn’t to be reduced to a tool intended to placate strict regulatory bodies and maintain an untarnished public image. As much as it guides decision-making, a policy shapes the future and carries the power to effect change. Therefore, growing organizations do well to invest in better mechanisms for drafting, implementing, and updating policies.
Policies and procedures are the underpinning elements by which an organization establishes its rules of conduct. Both serve to drive compliance, but do so through starkly different methods. One puts to paper the guidelines and rules that every organization expects its employees, and every other person connected to the company, to follow. The other, procedure, presents a step-by-step process for any company specific tasks and activities, thus establishing standards.
It is said that change is the only constant, and in the context of an organization, a crucial catalyst of change is policy. Company policies promote and sustain change, ensuring that new standards and ways of working trickle down to every level of the organization. Moving from policy to practice, however, demands strategic communication. You not only need to reach out to the right persons at the right time but want to get all aboard and rowing in synchrony.
A holistic GRC management is incomplete without policy management. In an ideal world, policies guide an organization to follow the rules and regulations, prepare for internal and external audits, and finally keep the organizations away from risks. However, the reality seems to be different. Many of the organizations seem to have only very basic policy management system in place. It can cause severe consequences as it leaves you at the risk for financial losses, security breaches, and overlook the improvement initiatives.
Proper policies are integral to the good governance of any organization. Clear and actionable policies, for instance, a cybersecurity policy or an employee safety policy define the boundaries of employee conduct and set the stage for a compliant workplace.