Difference between Policies and Methods – Tutor's Tips (2024)

Posted by By Amanpreet Kaur 4 Min Read March 5, 2023

Difference between Policies and Methods – Tutor's Tips (1)

Difference between Policies and Methods

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The management decides and makes an accurate system for the accomplishment of future goals in many ways. The difference between policies and methods tells about the decisions taken by the management and the appropriate system/framework given by the management to do the work in the right direction. Policies and methods are going in different directions. Policies tell about the mode of achieving the objectives and methods describe the appropriate system and the best way to do the work.

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Table of Contents

Meaning of Policies:

Definition:

Meaning of Methods:

Features of Methods:

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The Chart of difference between Policies and Methods

Download the chart in PNG and PDF: –

Conclusion:

Meaning of Policies:

The course of action adopted by an organization is called policies. These basically guide the manager that how to acts in a certain situation. These are also known as a particular blueprint and strategy of an enterprise.In every organization policies are used for major decision making. On the other hand, we can say that policies are the standing plans made at every level because managers at every level have to decide about the way of handling the situations.

Definition:

“Policies are general statements or understandings which guide managers thinking in decision making”.

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-Koontz and O ‘Donnel

Meaning of Methods:

Methods can be defined as the systematic way of doing repetitive jobs. Managers decide in advance that in which method the work should be done and they circulate the message to the employees for doing the work with the decided method.

Features of Methods:

  1. Methods act as a guide for action.
  2. These methods are helpful for the employees to do the operations/activities in a systematic manner.
  3. Methods can be different according to the specialization of work, if there are two departments(production and sales) in an organization the method of going the work in the sales department may differ from the production department’s activities.
  4. Accurate methods of doing the work save time, money and helps in increasing work efficiency.

The Chart of difference between Policies and Methods

Points of differences

PoliciesMethods
MeaningThese are meant for how to do the work.Methods describe the best way of going the work.
NatureThese are general and less rigid.Methods are specific according to the nature of work and these can be changed as per the requirements.
DescriptionThese describe what to do under different situations.Methods help in co-ordination the activities.
PurposeThe purpose of policies is for decision-making and thinking.Methods tell about the standardization.
ObjectiveThe objective of making the policy is to chive the organizational objectives effectively.The objective of Methods is to simplify the job.
ExampleThe policy of giving admission to students that they have to score more than 60%.For example, the direct or indirect method only used to calculate the depreciation

Download the chart in PNG and PDF: –

If you want to download the chart please download the following image and PDF file:-

Difference between Policies and Methods – Tutor's Tips (2)
Difference between Policies and Methods – Tutor's Tips (3)

Conclusion:

Thus, Policies are generally derived from the objectives of the company On the other side, procedures are explaining the implementation of the policy. On the other hand, Methods define the systematic way of doing repetitive jobs. We can say the rule and methods are playing a vital role to enhance the productivity of the organization.

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References: –

https://vkpublications.com/

Also, Check our Tutorial on the following subjects:

    1. https://tutorstips.com/financial-accounting/
    2. https://tutorstips.com/advanced-financial-accounting-tutorial

Related

Amanpreet Kaur

As an expert in organizational management and business processes, I can provide a comprehensive understanding of the concepts discussed in the article by Amanpreet Kaur. My expertise is grounded in years of academic study, practical experience, and continuous engagement with the latest developments in management theory and practice.

The article primarily focuses on elucidating the difference between policies and methods in the context of organizational management. Let's break down the key concepts used in the article:

1. Policies:

  • Meaning: Policies refer to the course of action adopted by an organization. They serve as general statements or understandings guiding managerial thinking in decision-making.
  • Nature: Policies are described as general and less rigid, allowing for flexibility in their application.
  • Description: They describe what actions to take under different situations and are considered as standing plans made at every level of the organization.
  • Purpose: The purpose of policies is decision-making and thinking, with a focus on achieving organizational objectives effectively.
  • Example: An example provided in the article is a policy stating that students must score more than 60% for admission.

2. Methods:

  • Meaning: Methods are defined as the systematic way of performing repetitive jobs. Managers decide in advance how the work should be done, and this information is communicated to employees.
  • Features: Methods act as a guide for action, are helpful for employees to perform operations systematically, and can vary based on the specialization of work.
  • Purpose: The objective of methods is to simplify the job and achieve standardization in processes.
  • Example: An example given is the use of direct or indirect methods for calculating depreciation.

3. Chart of Difference:

  • The chart provides a clear visual representation of the differences between policies and methods, highlighting key points of distinction.

4. Conclusion:

  • The conclusion summarizes the key points and reiterates the importance of policies and methods in enhancing organizational productivity.

5. References:

  • The article references external sources, such as VK Publications, indicating a commitment to using credible and authoritative references to support the information presented.

In summary, the article effectively differentiates between policies and methods, providing a valuable resource for individuals seeking clarity on these fundamental concepts in organizational management. If you have any specific questions or require further clarification on the topic, feel free to ask.

Difference between Policies and Methods – Tutor's Tips (2024)
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