Policies, processes and procedures are terms that are sometimes used interchangeably, but they can serve different purposes within an organisation. Understanding those differences can help organisations structure their documentation clearly and make it easier for people to understand the requirements, activities and instructions relevant to their work.
There is no single prescribed hierarchy or terminology for policies, processes and procedures, and organisations may structure their documentation differently. What matters is that the purpose of each document is clear, responsibilities are understood and related documents work together without creating unnecessary duplication, gaps or conflicting requirements.
Through my work at Corporate Assist, I have seen how unclear or inconsistent documentation can make it harder for people to understand what is required and how activities should be carried out. Corporate Assist provides practical support with developing and reviewing policies, processes and procedures, including bringing together existing information, coordinating contributions and identifying gaps or inconsistencies for organisations to consider.
Let’s look at the different purposes policies, processes and procedures can serve, how they relate to one another and why clear, connected documentation can support more consistent working practices.
Policies – Setting principles and expectations
Policies set out an organisation’s principles, expectations or requirements for a particular area or activity. They provide a decision-making framework and can set the standards people within the organisation are expected to follow.
Policies should reflect the organisation’s objectives, obligations and governance arrangements. Responsibility for developing and approving them will vary by subject matter and the organisation’s structure. As a simple way to distinguish the 3Ps, a policy can often be thought of as establishing the ‘why’ and overarching expectations, although its precise purpose will depend on the organisation.
Policies can support consistent decision-making by providing a framework within which people are expected to operate. Where relevant, they can also reflect legal, regulatory or other requirements and set out the organisation’s expectations for meeting them.
Policies can also communicate organisational expectations relating to conduct, behaviours and ethical standards. In this way, relevant policies can help translate an organisation’s values and governance expectations into a clearer framework for day-to-day activity.
Policies, processes and procedures can be maintained as separate documents or, where appropriate, brought together within a wider document or framework. The most suitable approach will depend on the organisation, the subject matter and the needs of the people using them.
What matters is that the different purposes remain clear. Policy requirements should be distinguishable from the processes used to put them into practice and the detailed procedures people follow when carrying out particular tasks. Clear relationships between the documents can also make them easier to review and update when requirements or working practices change.
Processes – Mapping activities and responsibilities
Processes describe how activities connect to achieve a particular outcome. They can show the sequence of activities, key stages, responsibilities and interactions involved in moving from a starting point to the intended result. As a simple way of distinguishing the 3Ps, processes can often be thought of as describing the ‘what’ that needs to happen and in what sequence.
A well-defined process maps the flow of activities needed to achieve an intended outcome. It can provide a higher-level view of the workflow, showing key stages, responsibilities, hand-offs and dependencies. Unlike a detailed procedure, a process generally focuses on how activities fit together rather than providing step-by-step instructions for completing individual tasks.
Processes can connect policies with the procedures used to carry out particular activities. For example, an employee onboarding process might operate within relevant HR policies and incorporate several procedures or detailed instructions. The process could map the overall journey from offer acceptance through the different stages of onboarding, while the associated procedures explain how particular tasks within that process should be completed.
Clear relationships between the different documents can help each element serve its intended purpose while remaining connected to the wider framework.
Procedures – Explaining how tasks are carried out
Procedures provide detailed instructions for carrying out particular activities or tasks. They typically operate at a more detailed level than processes and can set out the sequence of steps, responsibilities, required records and relevant checks or approvals. As a simple way of distinguishing the 3Ps, procedures can often be thought of as explaining ‘how’ a particular task should be carried out.
Unlike processes, which generally provide a broader view of how activities fit together, procedures focus on the detail needed to carry out particular tasks. Clear procedures can support greater consistency by giving people a common reference point for how an activity should be performed.
A procedure should be clear enough for its intended users to understand what they need to do, while reflecting any relevant requirements for knowledge, competence, authority or approval. The appropriate level of detail will depend on the task, the people using the procedure and the risks involved.
Procedures may be maintained as separate documents or incorporated within broader process documentation, depending on the organisation’s needs and documentation framework. What matters is that the instructions are clear, appropriately controlled and kept aligned with the relevant policies, processes and working practices.
Connecting policies, processes and procedures
Policies, processes and procedures are most useful when the relationship between them is clear. A policy may establish principles or requirements, a process may show how related activities fit together, and a procedure may explain how a particular task should be carried out. Not every organisation will need all three layers of documentation for every activity.
Problems can arise where documentation overlaps unnecessarily, contains conflicting requirements or is updated without considering related documents. This can make it harder for people to identify what is expected of them, which information is current and how different requirements or instructions fit together.
For example, an organisation might have a credit control policy setting out its expectations for payment terms and the management of overdue debt. A related accounts receivable process could show the activities from issuing an invoice through to receiving payment or escalating an overdue account. Supporting procedures could then provide detailed instructions for particular tasks, such as raising an invoice, recording a payment or following up overdue debt.
This approach makes the relationship between the different types of documentation clear without requiring every level of detail to be contained in a single document.
Practical support with policies, processes and procedures
Corporate Assist provides practical support with the development and review of policies, processes and procedures, helping organisations bring structure and consistency to their documentation and supporting the connection between documented requirements and working practices.
I work alongside your internal teams and specialist advisers, with the scope of my involvement agreed at the outset. This can include bringing together existing information, coordinating contributions, identifying gaps or inconsistencies and preparing documentation for review and approval.
If your organisation needs additional capacity to develop or review policies, processes or procedures, find out more about our Compliance & Risk Support or get in touch to discuss how Corporate Assist could support you.
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