If you can't describe what you are doing as a process, you don't know what you're doing.W. Edwards Deming
Each organisation will have a different process through which they conduct a review, and analysis of the various policies and procedures. Some organisations will align the review of policies and procedures with their quality processes and continuous improvement process, whilst other organisations will review them when there are changes to legislation or when the policy or procedure is due for a review. This chapter will identify various policies and procedures that are related to human resources and functions. You will explore the strengths and weaknesses of the various organisation’s policies and procedures and identify sustainability issues that relate to human resource functions.
By the end of this chapter, you will understand:
- How to identify policies and procedures
- How to review policies and procedures
- How to identify sustainability issues
What are policies and procedures?
Policies are guidelines that set the tone and values of an organisation. They help guide decision-making and give structure to everyday tasks. On the other hand, procedures are more detailed instructions that outline the specific steps employees should follow to adhere to the policies or complete a task. They break down the actions needed to ensure policy compliance and smooth workflow.
HR policies act as a foundation for HR professionals to manage the workforce effectively, ensure legal compliance, promote a positive work environment, and support fair and consistent practices within the organisation.
There are various human resources policies and procedures that are designed to reflect and support the organisation's business strategy, objectives and requirements. Below is a list of common human resources policies and procedures used in organisations.
| Organisational Policies and Procedures | HR Policies and Procedures |
|---|---|
| Privacy policy | Recruitment, selection policy |
| Use of the internet and email policy | Anti-discrimination |
| Using social media | Diversity |
| Work health and safety | Grievance handling |
| Non-smoking policy | Misconduct including theft and fraud |
| Complaints | Bullying and harassment policy, including sexual harassment |
| Gifts and inducements or conflicts of interest | Termination policy and procedures |
| Code of conduct | Training and development policy |
| Drug and alcohol policy | Performance management policy |
ACTIVITY: Review the following policies:
- Recruitment, Selection and Appointment Policy
- Termination and Separation Policy
- Learning and Development Policy
Download and complete the Policy Information Table.
The process that may be used in preparation of the identification and review of policies is outlined in the diagram below:
Check your understanding of the content so far!
A process of reviewing the policies and procedures is usually factored in as part of the organisation’s business strategy review process. The various evaluation and reviews may include review plans, details of intended review cycles, types of reviews and evaluations to be undertaken. They may outline processes on how to review policies when legislative changes occur, how the review will ensure compliance and assist with implementation of future employee relations and industrial policies and strategies.
There are key provisions of legal and compliance requirements that apply to the organisation and to human resources functions. These are legal and compliance requirements, including:
- Anti-discrimination legislation
- Fair Work legislation
- Local, State and Territory Work Health and Safety (WHS) legislation
- Organisational and industry codes of conduct
- Privacy Act 1988
- Codes of practice are referenced in Acts and Regulations. They may include:
- general statements of principle and practice advice for how a business or industry should operate
- Detailed business practices where businesses must comply with specific standards.
A review can highlight any improvements or actions that need to be undertaken to improve the implementation process of the policies, procedures and strategies along with improvements to the human resources policies and procedures and making sure that they are up to date.
One way to review the policies and procedures is to analyse the strengths and weaknesses of the several policies and procedures, which can be achieved by using an audit review checklist. An example of a checklist is outlined below.
| Policy or procedure name | Review date | Checklist review question | Answer "Yes" or "No" comments |
|---|---|---|---|
| Recruitment, selection and onboarding policy | 10 Nov 2020 | Is this policy up-to-date? | No |
| Has the policy been reviewed? | No | ||
| Is the policy consistent with the core values and principles, mission and strategic plan of the organisation? | Yes | ||
| Does the policy comply with the current legislation? | Yes | ||
| Does the policy comply with enterprise agreements? | Yes | ||
| Does the policy contradict other policies? If so, which ones? | No | ||
| Recruitment, selection and onboarding procedures | 10 Nov 2020 | Is this procedure up-to-date? | No |
| Has the procedure been reviewed? | No | ||
| Is the procedure consistent with the core values and principles, mission and strategic plan of the organisation? | Yes | ||
| Does the procedure comply with the current legislation? | Yes | ||
| Does the procedure comply with enterprise agreements? | No | ||
| Does the procedure contradict other policies? If so, which ones? | No |
Other questions that could be included in the review are:
- What are the key risks to the organisation if the policy is out of date?
- Does the policy have clear language that is easily understood?
- What are the weaknesses of the policy and procedures?
- Is the policy applied consistently across the whole organisation?
- What are the strengths of the policy and procedure?
- Has the policy and related procedures been mapped against legislative changes?
- Is the policy consistent with current technology and trends in HR?
- Are the related procedures relevant and up-to-date?
All policies and procedures must be reviewed and kept up-to-date. Outdated policies put the organisation at risk and may prove to be non-compliant with new laws and regulations. Regular review keeps your organisation up-to-date with regulations, technology, and industry best practices. Reviews ensure that the policies and procedures are consistent, effective and in line with the business strategy.
Once the review has been undertaken and the required changes to the policy and procedures have been identified, a process of agreeing to the changes should be followed or developed. This can include involving any of the original internal stakeholders that assisted with the development of the employee and industrial relations strategies, policies, procedures and plans.
In the real world
Completed Business Solutions Australia (CBSA) is a consulting company that assists small to medium-sized businesses to succeed in all aspects of their business. CBSA began operations in 1998 and have over 25 staff with a large office based in New South Wales.
Mission: To help businesses help themselves.
Vision: To become Australia’s largest business advocate and consulting support company for small to medium sized businesses.
CBSA has numerous policies that have been developed to be in line with both its mission and vision statement. If the company were to expand or change its focus and services or change its business strategy and objectives, it would need to review its policies to ensure that they align with the new strategies.
Important Readings
Read the following article on reviewing policies and procedures titled “Why It Is Important to Review Policies and Procedures” by Anni Pyhäjoki.
Read the following article reviewing OHS policies and procedures titled “Step-by-Step: How to implement effective policies and procedures” by Joanna Weekes.”
Check your understanding of the content so far!
Further Resources
For further reading on reviewing policies and procedures, access the following article titled “Importance of Updating and reviewing your company policies and procedures” by Paulette of Freshhrinsights.com.
There are numerous issues currently facing organisations across the world including more rigorous compliance requirements, high customer expectations and sustainability. Currently, sustainability is a worldwide movement as many consumers and clients invest in companies that value the social, economic and environmental impact.
Organisational sustainability is the ability of the organisation to sustain its operations under changing markets also, its success over time and how it can maintain this. The concept examines the various ways the organisation may be able to operate and aims to provide a productive, harmonious, stable and resilient organisation that supports the present and future generations.
Sustainable development is the concept of development and economic growth that meets the needs of the future. It is achieved without compromising the ability of future generations to meet their own needs.
Sustainability issues may relate to:
- Financial sustainability
- Workforce sustainability such as retention of staff, workforce planning, competencies of staff to be able to undertake the required tasks now and in the future, sustainable leadership, disruptive human resources practices, sustaining employee motivation, sustainable career management, sustainable environment, employee relations, employee engagement, sustainable employee performance, and sustainable employability.
- Social sustainability (for example, Corporate Social Responsibility)
In an article by the University of Colorado, they reported some of the biggest sustainability challenges in business (University of Colorado 2015). These are listed below:
-
Making the Business Case
Sustainability can be difficult to value from a monetary stand-point,making it challenging for Chief Financial Officer’s and other executives to understand the importance of environmental stewardship. Datadriven metrics can help make this process smoother.
-
Developing Metrics to Assess Initiatives
For example, if targeting energy efficiency, monitor monthly costs for a notable change. If you aim to reduce solid waste generation, gather insights into your current levels, and then compare it to post-initiative data.
-
Engaging Management and Colleagues
Encouraging employee buy-in can be incredibly difficult, but it can be addressed through unilateral communication across the company or even incentives to those that participate in new programs.
The human resources department must be able to identify any support that may be provided to assist with identifying sustainability issues in the organisation and strategies to overcome the issues. Various ways to provide support could include the provision of staff training and development, and presenting ideas and ways to incorporate sustainability into various human resource functions such as recruitment and onboarding processes for new employees.
In the real world
Important Readings
Read the following article from Deloitte ‘Insights on advancing the human element of sustainability’ to learn more about how organisations are addressing human sustainability issues.
Read this article by Deloitte Consulting titled 'Planning ahead for HR sustainability' to further understand how organisations can sustain their operations under changing markets.
Watch the following video that provides organisational examples of sustainability uploaded by Recycle Coach titled “Examples of Company Sustainability.”
Read about the Toyota Tsusho Group in this article titled“Key Sustainability Issues (Materiality)” and find out how the organisation is committed to resolving various social issues.
Prior to moving on to the next topic, have a conversation with someone that is not in Human Resources or studying this qualification and in your own words:
- Describe various policy and procedures evaluation and reviews that can be undertaken.
- Describe what a review of policies and procedures can assist with.
- Describe why it is important to undertake a review of human resource policies, procedures and functions.
- Describe what is meant by the term organisational sustainability
- Explain what is meant by the term workforce sustainability.
