Policies are formulated in such areas which are repetitive in nature. They may cover the following areas:
(a)Organizational policies including general company policies.
(b)External policies having their impact on the organizational functioning.
(c)Internal policies of the organization which guide the internal relations among different units of the organization both vertically and horizontally.
(d)Centralized policies which guide the relations among different units of the company located in various geographical areas.
The coverage of personnel policies has been classified on the basis of functions of HRM by Michael Armstrong, which is outlined hereunder:
1.Social Responsibility :
(a)Equity-treating employees fairly and justly by adopting an even-handed approach.
(b)Consideration –considering individual circumstances when decisions affect the employee’s prospects, seniority or self respect.
(c)Quality of work life –Increase the interest in the job and organization by reducing monotony, increasing variety of responsibilities avoiding stress and strain.
(d)Working conditions – Provide healthy, safe and conducive working conditions.
Provision of equal employment opportunities-selecting the candidates based on job requirements-encourage the employees on the job and in the organization.
Promotion policies would attempt to reconcile the demands of employee for growth and organization’s demands for fresh and much more potential blood. Promotion policy should be fair, and just to all.
Policies should cover the kind of employees to be trained, time span of training programs, techniques, rewarding and awarding system, qualifications and experience of the trainer, encouraging the employees for self advancement.
These policies also cover the areas like career planning and development, performance appraisal, organizational development.
Relations policies cover the areas of human relations like: policies regarding motivation, morale, communication, leadership, styles, grievance procedure, disciplinary procedure employee counseling etc. These policies also cover the areas of industrial relations like Union recognition, union representation, collective bargaining, prevention and settlement of industrial disputes, participative management etc .Personnel policies to be effective should be written on the basis of authentic information available from different sources.