{"id":1684,"date":"2019-10-11T22:06:21","date_gmt":"2019-10-11T22:06:21","guid":{"rendered":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/?post_type=chapter&#038;p=1684"},"modified":"2024-04-25T01:51:58","modified_gmt":"2024-04-25T01:51:58","slug":"policies-and-procedures","status":"publish","type":"chapter","link":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/chapter\/policies-and-procedures\/","title":{"raw":"Policies and Procedures","rendered":"Policies and Procedures"},"content":{"raw":"<div class=\"textbox learning-objectives\">\r\n<h3>Learning Outcomes<\/h3>\r\n<ul>\r\n \t<li>Discuss the importance of employee policies and procedures<\/li>\r\n<\/ul>\r\n<\/div>\r\n<img class=\"alignright wp-image-2513\" src=\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/4056\/2019\/10\/15193645\/book-4541987_1920-300x259.jpg\" alt=\"Decorative image.\" width=\"350\" height=\"302\" \/>The employee handbook. It can be an employee\u2019s best friend: telling them how to dress, when they can take a break, or how many hours of paid time off they earn each month. The handbook contains all the policies and procedures an employee should be aware of in order to be successful in the workplace.\r\n<h2>Why Create Formal Policies and Procedures<\/h2>\r\nWhen a business owner is first starting out, they may not think about employee policies and procedures, and decisions are made about things like inappropriate behavior and long lunches on a case-by-case basis, as needed. But as a business grows, it becomes important that employee policies and procedures are documented. Yes, it takes time and resources, but these are good investments for a business that wants to run efficiently and profitably.\r\n\r\nLet\u2019s take a look at some of the benefits to having clearly documented employee policies and procedures:\r\n<ul>\r\n \t<li><strong>Employees are clear on behavioral and productivity expectations.\u00a0<\/strong>Documented policies and procedures help an employee understand how they are to interact with colleagues, customers and other stakeholders. It provides guidance when they face unusual circumstances. It also reduces the confusion around repercussions for not making choices that meet expectations, which allows HR to handle issues efficiently.<\/li>\r\n \t<li><strong>They provide consistent direction, so that all employees approach a task similarly.<\/strong>\u00a0Likeable Media\u2019s Director of Talent and Culture, Brian Murray, spoke about the need for consistency. \u201cWhen four managers are hiring in different ways, you need a single approach,\" Murray said. \"Standardization improves efficiency in a lot of areas, such as hiring and benefits administration.\"[footnote]Feffer, Mark. \u201c<a href=\"https:\/\/www.shrm.org\/resourcesandtools\/hr-topics\/employee-relations\/pages\/how-small-business-owners-successfully-delegate-hr-.aspx\" target=\"_blank\" rel=\"noopener\">How Small Business Owners Successfully Delegate HR<\/a>\u201d Society for Human Resources Management. April 26, 2018. Accessed OCtboer 30, 2019.[\/footnote]<\/li>\r\n \t<li><strong>They can protect the business\u2019 brand.<\/strong> Businesses are now developing sections in their handbooks that address items such as social media, and outline for employees the ramifications of making brand-damaging statements and exhibiting behaviors that reflect poorly on the business\u2019 brand. Businesses can\u2019t necessarily dictate what their employees do outside of work, but they can dictate specifics about how their brand should be mentioned online.<\/li>\r\n \t<li><strong>They allow for faster training and higher productivity.<\/strong> When an employee is brought onboard, presenting him with a handbook that outlines policies and procedures can lessen confusion and allow for faster training. By outlining basic procedures and expectations as a reference, training can be built around those established guidelines<\/li>\r\n \t<li><strong>They protect a business legally.<\/strong> Providing an employee with your small business\u2019 policies and procedures helps that employee understand what\u2019s expected of them, but it can also protect the business legally. In an interview with Genesis HR Solutions, Numana Medical Founder and CEO Airto Zamarano stated, \u201cI\u2019ve seen employee handbooks settle disputes with the Unemployment Department, and I\u2019ve also had adjudicators ask, \u2018Does it specifically say in your handbook that employees are not allowed to do that?\u2019 Rules generally come about because of something that went wrong at some point, and employee handbooks allow employers to document all possibilities on an ongoing basis.\u201d[footnote]Higler, Patti. \u201c<a href=\"https:\/\/genesishrsolutions.com\/peo-blog\/importance-of-employee-handbook\/\" target=\"_blank\" rel=\"noopener\">What\u2019s the importance of an employee handbook? 13 experts weigh in.<\/a>\u201d GenesisHR Solutions Blog.\u00a0June 8, 2018. Accessed October 29, 2019.[\/footnote]<\/li>\r\n \t<li><strong>They insure all employees are treated equitably.<\/strong> If one employee is treated differently than another, there\u2019s bound to be some grumbling among the staff. An outline of policies and procedures allows the small business owner to provide the same benefits\u2014and the same corrective action\u2014to every employee.<\/li>\r\n<\/ul>\r\n<div class=\"textbox tryit\">\r\n<h3>PRactice Question<\/h3>\r\nhttps:\/\/assess.lumenlearning.com\/practice\/2198451b-7ada-43ba-8f5c-b897309026dd\r\n\r\n<\/div>\r\n<h2>Policies\u00a0and Procedures to Include<\/h2>\r\n<img class=\"alignright wp-image-2515\" src=\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/4056\/2019\/10\/15194232\/analyzing-people-3441040_1920-300x200.jpg\" alt=\"Decorative image.\" width=\"350\" height=\"233\" \/>\r\n\r\nReally, the reasons a small business needs to have documented policies and procedures are the same reason any business needs them. But Score, a volunteer organization that has provided business advice to entrepreneurs for 55 years, recommends that a small business cover at least these five essential items in their documented policies and procedures:[footnote]\u201c<a href=\"https:\/\/www.score.org\/resource\/no-handbook-no-problem-5-%E2%80%9Cmust-have%E2%80%9D-employee-policies-any-small-business\" target=\"_blank\" rel=\"noopener\">No Handbook? No Problem! 5 Must-Have Employee Policies for Any Small Business<\/a>\u201d Score.org. April 19, 2019 Accessed October 30, 2019.[\/footnote]\r\n<ul>\r\n \t<li><strong>At-will employment.<\/strong> A small business owner should ensure non-contract employees understand that employment can be terminated at any time by the employer or employee<\/li>\r\n \t<li><strong>Payroll.<\/strong> A good payroll policy will protect the small business owner from legal issues, as litigation regarding incorrect pay is on the rise. The policy should include definitions of exempt vs non-exempt, payroll period, overtime pay, and more.<\/li>\r\n \t<li><strong>Paid time off.<\/strong> Small business owners who outline the procedures and policies around vacation and sick time, how it\u2019s accrued, and so on, will prevent issues down the line.<\/li>\r\n \t<li><strong>Code of conduct.<\/strong> A small business owner will want his or her employees to represent the business\u2019 brand, as well as act kindly toward one another, and of course, be productive. Policies outlining these expectations are a good idea.<\/li>\r\n \t<li><strong>EEO\/Harassment.<\/strong> A small business owner with one employee is subject to Equal Employment Opportunity and harassment laws, so spelling out expectations to employees on this front is imperative.<\/li>\r\n<\/ul>\r\nFinally, it\u2019s a good idea to have each employee acknowledge, in writing, that they have received a copy of the employee handbook (or a document of the business\u2019 policies and procedures). A signed copy of that acknowledgement should be kept on file for reference.","rendered":"<div class=\"textbox learning-objectives\">\n<h3>Learning Outcomes<\/h3>\n<ul>\n<li>Discuss the importance of employee policies and procedures<\/li>\n<\/ul>\n<\/div>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-2513\" src=\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/4056\/2019\/10\/15193645\/book-4541987_1920-300x259.jpg\" alt=\"Decorative image.\" width=\"350\" height=\"302\" \/>The employee handbook. It can be an employee\u2019s best friend: telling them how to dress, when they can take a break, or how many hours of paid time off they earn each month. The handbook contains all the policies and procedures an employee should be aware of in order to be successful in the workplace.<\/p>\n<h2>Why Create Formal Policies and Procedures<\/h2>\n<p>When a business owner is first starting out, they may not think about employee policies and procedures, and decisions are made about things like inappropriate behavior and long lunches on a case-by-case basis, as needed. But as a business grows, it becomes important that employee policies and procedures are documented. Yes, it takes time and resources, but these are good investments for a business that wants to run efficiently and profitably.<\/p>\n<p>Let\u2019s take a look at some of the benefits to having clearly documented employee policies and procedures:<\/p>\n<ul>\n<li><strong>Employees are clear on behavioral and productivity expectations.\u00a0<\/strong>Documented policies and procedures help an employee understand how they are to interact with colleagues, customers and other stakeholders. It provides guidance when they face unusual circumstances. It also reduces the confusion around repercussions for not making choices that meet expectations, which allows HR to handle issues efficiently.<\/li>\n<li><strong>They provide consistent direction, so that all employees approach a task similarly.<\/strong>\u00a0Likeable Media\u2019s Director of Talent and Culture, Brian Murray, spoke about the need for consistency. \u201cWhen four managers are hiring in different ways, you need a single approach,&#8221; Murray said. &#8220;Standardization improves efficiency in a lot of areas, such as hiring and benefits administration.&#8221;<a class=\"footnote\" title=\"Feffer, Mark. \u201cHow Small Business Owners Successfully Delegate HR\u201d Society for Human Resources Management. April 26, 2018. Accessed OCtboer 30, 2019.\" id=\"return-footnote-1684-1\" href=\"#footnote-1684-1\" aria-label=\"Footnote 1\"><sup class=\"footnote\">[1]<\/sup><\/a><\/li>\n<li><strong>They can protect the business\u2019 brand.<\/strong> Businesses are now developing sections in their handbooks that address items such as social media, and outline for employees the ramifications of making brand-damaging statements and exhibiting behaviors that reflect poorly on the business\u2019 brand. Businesses can\u2019t necessarily dictate what their employees do outside of work, but they can dictate specifics about how their brand should be mentioned online.<\/li>\n<li><strong>They allow for faster training and higher productivity.<\/strong> When an employee is brought onboard, presenting him with a handbook that outlines policies and procedures can lessen confusion and allow for faster training. By outlining basic procedures and expectations as a reference, training can be built around those established guidelines<\/li>\n<li><strong>They protect a business legally.<\/strong> Providing an employee with your small business\u2019 policies and procedures helps that employee understand what\u2019s expected of them, but it can also protect the business legally. In an interview with Genesis HR Solutions, Numana Medical Founder and CEO Airto Zamarano stated, \u201cI\u2019ve seen employee handbooks settle disputes with the Unemployment Department, and I\u2019ve also had adjudicators ask, \u2018Does it specifically say in your handbook that employees are not allowed to do that?\u2019 Rules generally come about because of something that went wrong at some point, and employee handbooks allow employers to document all possibilities on an ongoing basis.\u201d<a class=\"footnote\" title=\"Higler, Patti. \u201cWhat\u2019s the importance of an employee handbook? 13 experts weigh in.\u201d GenesisHR Solutions Blog.\u00a0June 8, 2018. Accessed October 29, 2019.\" id=\"return-footnote-1684-2\" href=\"#footnote-1684-2\" aria-label=\"Footnote 2\"><sup class=\"footnote\">[2]<\/sup><\/a><\/li>\n<li><strong>They insure all employees are treated equitably.<\/strong> If one employee is treated differently than another, there\u2019s bound to be some grumbling among the staff. An outline of policies and procedures allows the small business owner to provide the same benefits\u2014and the same corrective action\u2014to every employee.<\/li>\n<\/ul>\n<div class=\"textbox tryit\">\n<h3>PRactice Question<\/h3>\n<p>\t<iframe id=\"assessment_practice_2198451b-7ada-43ba-8f5c-b897309026dd\" class=\"resizable\" src=\"https:\/\/assess.lumenlearning.com\/practice\/2198451b-7ada-43ba-8f5c-b897309026dd?iframe_resize_id=assessment_practice_id_2198451b-7ada-43ba-8f5c-b897309026dd\" frameborder=\"0\" style=\"border:none;width:100%;height:100%;min-height:300px;\"><br \/>\n\t<\/iframe><\/p>\n<\/div>\n<h2>Policies\u00a0and Procedures to Include<\/h2>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-2515\" src=\"https:\/\/s3-us-west-2.amazonaws.com\/courses-images\/wp-content\/uploads\/sites\/4056\/2019\/10\/15194232\/analyzing-people-3441040_1920-300x200.jpg\" alt=\"Decorative image.\" width=\"350\" height=\"233\" \/><\/p>\n<p>Really, the reasons a small business needs to have documented policies and procedures are the same reason any business needs them. But Score, a volunteer organization that has provided business advice to entrepreneurs for 55 years, recommends that a small business cover at least these five essential items in their documented policies and procedures:<a class=\"footnote\" title=\"\u201cNo Handbook? No Problem! 5 Must-Have Employee Policies for Any Small Business\u201d Score.org. April 19, 2019 Accessed October 30, 2019.\" id=\"return-footnote-1684-3\" href=\"#footnote-1684-3\" aria-label=\"Footnote 3\"><sup class=\"footnote\">[3]<\/sup><\/a><\/p>\n<ul>\n<li><strong>At-will employment.<\/strong> A small business owner should ensure non-contract employees understand that employment can be terminated at any time by the employer or employee<\/li>\n<li><strong>Payroll.<\/strong> A good payroll policy will protect the small business owner from legal issues, as litigation regarding incorrect pay is on the rise. The policy should include definitions of exempt vs non-exempt, payroll period, overtime pay, and more.<\/li>\n<li><strong>Paid time off.<\/strong> Small business owners who outline the procedures and policies around vacation and sick time, how it\u2019s accrued, and so on, will prevent issues down the line.<\/li>\n<li><strong>Code of conduct.<\/strong> A small business owner will want his or her employees to represent the business\u2019 brand, as well as act kindly toward one another, and of course, be productive. Policies outlining these expectations are a good idea.<\/li>\n<li><strong>EEO\/Harassment.<\/strong> A small business owner with one employee is subject to Equal Employment Opportunity and harassment laws, so spelling out expectations to employees on this front is imperative.<\/li>\n<\/ul>\n<p>Finally, it\u2019s a good idea to have each employee acknowledge, in writing, that they have received a copy of the employee handbook (or a document of the business\u2019 policies and procedures). A signed copy of that acknowledgement should be kept on file for reference.<\/p>\n\n\t\t\t <section class=\"citations-section\" role=\"contentinfo\">\n\t\t\t <h3>Candela Citations<\/h3>\n\t\t\t\t\t <div>\n\t\t\t\t\t\t <div id=\"citation-list-1684\">\n\t\t\t\t\t\t\t <div class=\"licensing\"><div class=\"license-attribution-dropdown-subheading\">CC licensed content, Original<\/div><ul class=\"citation-list\"><li>Policies and Procedures. <strong>Authored by<\/strong>: Freedom Learning Group. <strong>Provided by<\/strong>: Lumen Learning. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/licenses\/by\/4.0\/\">CC BY: Attribution<\/a><\/em><\/li><\/ul><div class=\"license-attribution-dropdown-subheading\">CC licensed content, Shared previously<\/div><ul class=\"citation-list\"><li><strong>Authored by<\/strong>: mohamed_hassan. <strong>Provided by<\/strong>: Pixabay. <strong>Located at<\/strong>: <a target=\"_blank\" href=\"https:\/\/pixabay.com\/illustrations\/book-hand-education-learn-handbook-4541987\/\">https:\/\/pixabay.com\/illustrations\/book-hand-education-learn-handbook-4541987\/<\/a>. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/about\/cc0\">CC0: No Rights Reserved<\/a><\/em>. <strong>License Terms<\/strong>: Pixabay License<\/li><li><strong>Authored by<\/strong>: rawpixel. <strong>Provided by<\/strong>: Pixabay. <strong>Located at<\/strong>: <a target=\"_blank\" href=\"https:\/\/pixabay.com\/photos\/analyzing-people-brainstorming-3441040\/\">https:\/\/pixabay.com\/photos\/analyzing-people-brainstorming-3441040\/<\/a>. <strong>License<\/strong>: <em><a target=\"_blank\" rel=\"license\" href=\"https:\/\/creativecommons.org\/about\/cc0\">CC0: No Rights Reserved<\/a><\/em>. <strong>License Terms<\/strong>: Pixabay License<\/li><\/ul><\/div>\n\t\t\t\t\t\t <\/div>\n\t\t\t\t\t <\/div>\n\t\t\t <\/section><hr class=\"before-footnotes clear\" \/><div class=\"footnotes\"><ol><li id=\"footnote-1684-1\">Feffer, Mark. \u201c<a href=\"https:\/\/www.shrm.org\/resourcesandtools\/hr-topics\/employee-relations\/pages\/how-small-business-owners-successfully-delegate-hr-.aspx\" target=\"_blank\" rel=\"noopener\">How Small Business Owners Successfully Delegate HR<\/a>\u201d Society for Human Resources Management. April 26, 2018. Accessed OCtboer 30, 2019. <a href=\"#return-footnote-1684-1\" class=\"return-footnote\" aria-label=\"Return to footnote 1\">&crarr;<\/a><\/li><li id=\"footnote-1684-2\">Higler, Patti. \u201c<a href=\"https:\/\/genesishrsolutions.com\/peo-blog\/importance-of-employee-handbook\/\" target=\"_blank\" rel=\"noopener\">What\u2019s the importance of an employee handbook? 13 experts weigh in.<\/a>\u201d GenesisHR Solutions Blog.\u00a0June 8, 2018. Accessed October 29, 2019. <a href=\"#return-footnote-1684-2\" class=\"return-footnote\" aria-label=\"Return to footnote 2\">&crarr;<\/a><\/li><li id=\"footnote-1684-3\">\u201c<a href=\"https:\/\/www.score.org\/resource\/no-handbook-no-problem-5-%E2%80%9Cmust-have%E2%80%9D-employee-policies-any-small-business\" target=\"_blank\" rel=\"noopener\">No Handbook? No Problem! 5 Must-Have Employee Policies for Any Small Business<\/a>\u201d Score.org. April 19, 2019 Accessed October 30, 2019. <a href=\"#return-footnote-1684-3\" class=\"return-footnote\" aria-label=\"Return to footnote 3\">&crarr;<\/a><\/li><\/ol><\/div>","protected":false},"author":17,"menu_order":11,"template":"","meta":{"_candela_citation":"[{\"type\":\"original\",\"description\":\"Policies and Procedures\",\"author\":\"Freedom Learning Group\",\"organization\":\"Lumen Learning\",\"url\":\"\",\"project\":\"\",\"license\":\"cc-by\",\"license_terms\":\"\"},{\"type\":\"cc\",\"description\":\"\",\"author\":\"mohamed_hassan\",\"organization\":\"Pixabay\",\"url\":\"https:\/\/pixabay.com\/illustrations\/book-hand-education-learn-handbook-4541987\/\",\"project\":\"\",\"license\":\"cc0\",\"license_terms\":\"Pixabay License\"},{\"type\":\"cc\",\"description\":\"\",\"author\":\"rawpixel\",\"organization\":\"Pixabay\",\"url\":\"https:\/\/pixabay.com\/photos\/analyzing-people-brainstorming-3441040\/\",\"project\":\"\",\"license\":\"cc0\",\"license_terms\":\"Pixabay License\"}]","CANDELA_OUTCOMES_GUID":"5ce41c60-3cc5-40bd-999b-5ea58d6836da, 28e9a830-7c0e-4c63-9c07-c21a7cb45c21","pb_show_title":"on","pb_short_title":"","pb_subtitle":"","pb_authors":[],"pb_section_license":""},"chapter-type":[],"contributor":[],"license":[],"class_list":["post-1684","chapter","type-chapter","status-publish","hentry"],"part":1642,"_links":{"self":[{"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/pressbooks\/v2\/chapters\/1684","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/pressbooks\/v2\/chapters"}],"about":[{"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/wp\/v2\/types\/chapter"}],"author":[{"embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/wp\/v2\/users\/17"}],"version-history":[{"count":8,"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/pressbooks\/v2\/chapters\/1684\/revisions"}],"predecessor-version":[{"id":3436,"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/pressbooks\/v2\/chapters\/1684\/revisions\/3436"}],"part":[{"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/pressbooks\/v2\/parts\/1642"}],"metadata":[{"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/pressbooks\/v2\/chapters\/1684\/metadata\/"}],"wp:attachment":[{"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/wp\/v2\/media?parent=1684"}],"wp:term":[{"taxonomy":"chapter-type","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/pressbooks\/v2\/chapter-type?post=1684"},{"taxonomy":"contributor","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/wp\/v2\/contributor?post=1684"},{"taxonomy":"license","embeddable":true,"href":"https:\/\/courses.lumenlearning.com\/wm-humanresourcesmgmt\/wp-json\/wp\/v2\/license?post=1684"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}