Business policy in healthcare management.pptx

It describes the business policies needs and importance and principles of policy making

1. Presentation by R. Deepika MHA 2 nd  year BUSINESS POLICIES NEEDS & IMPORTANCE PRINCIPLES OF POLICY MAKING

2.                                 POLICY

3.                    BUSINESS POLICIES Business policy basically deals with decisions regarding the future of an ongoing enterprise. Such policy decisions are taken at the top level after carefully evaluating the organizational strengths and weaknesses in terms of product price, quality, leadership position, resources etc., in relation to its environment.  Business policy implies the choice of purposes, the shaping of organizational identity and character, the continuous definition of what is to be achieved and the deployment of resources for achieving corporate goals.

4.          FEATURES OF BUSINESS POLICY An effective business policy must have following features- Specific-  Policy should be specific/definite. If it is uncertain, then the implementation will become difficult. Clear-  Policy must be unambiguous. It should avoid use of jargons and connotations. There should be no misunderstandings in following the policy. Reliable/Uniform-  Policy must be uniform enough so that it can be efficiently followed by the subordinates. Appropriate-  Policy should be appropriate to the present organizational goal. Simple-  A policy should be simple and easily understood by all in the organization. Inclusive/Comprehensive-  In order to have a wide scope, a policy must be comprehensive. Flexible-  Policy should be flexible in operation/application. This does not imply that a policy should be altered always, but it should be wide in scope so as to ensure that the line managers use them in repetitive/routine scenarios. Stable-  Policy should be stable else it will lead to indecisiveness and uncertainty in minds of those who look into it for guidance.

5.    CLASSIFICATION OF BUSINESS POLICIES

6.                     NEEDS OF POLICY

7.       IMPORTANCE OF BUSINESS POLICY A. From the view point of course itself:  It “integrates knowledge and experience” gained in various functional areas of management.   It deals with “the constraints and complexities of the real life business”.  It makes the study and practice of management more meaningful and guides how to make policy/ decision. B. For the understanding of Business Environment   This helps in understanding of how policies are formulated and the complexities of the environment that the senior management faces in the policy formulation.  By gaining an understanding of the business environment, managers become more receptive to the ideas and suggestions of the senior management. Such an attitude makes the policy implementation simpler.  

8. C. For understanding the organization:  It provides a basic frame work for understanding strategic decision making while a person is at the middle level of the management.  An understanding of organization in terms of business policy may lead to an improvement in job performance.  D. For personal Development:   It is beneficial for an executive to understand the impact of policy shifts on the status of one’s department.  It provides powerful insights in dealing with policy-making at the macro level as well as at an individual level through self-analysis. Purpose of Business policy   To understand the complex inter-linkages operating within an organization through the use of systems approach to decision making and relating them to changes taking place in the external environment.

9.  PRINCIPLES OF POLICY MAKING

10.                         REFERENCE