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Business Studies · Ch 4 — Planning

Procedure

4.7.4

Procedure

A procedure is a sequence of routine steps that tells you exactly how to carry out a specific activity. It answers the question "How should this work be done?" and lays down the precise manner of performing any task.

Procedures are always specified in a chronological order — step 1, then step 2, then step 3, and so on. For example, before production can begin, there may be a fixed procedure for requisitioning supplies from the store. That procedure would list every action a manager or worker must take, in the correct sequence, to get the materials released.

These steps are meant primarily for insiders — the people working within the organisation — to follow. They are not usually shared with outsiders. The purpose of a procedure is to enforce a policy and to help the organisation attain its pre-determined objectives.

Important

Policies and procedures are interlinked. A procedure is always carried out within a broad policy framework. The policy sets the boundary or the rule; the procedure tells you the exact steps to follow inside that boundary. …