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Policy

An organization's formal set of guiding principles and consistent practices that direct how it behaves and makes decisions.

Key Points

  • Policies are high-level, principle-based directives that guide organizational behavior and choices.
  • They set mandatory boundaries for projects; plans and deliverables must comply.
  • Policies differ from procedures (step-by-step) and standards (specific measurable rules).
  • They are shaped by strategy, ethics, and regulations, and enforced through governance.

Example

A company has a data privacy policy requiring encryption of customer information and least-privilege access. The project manager ensures requirements, design, and testing include encryption, role-based access controls, and compliance reviews before accepting deliverables.

PMP Example Question

Which statement best describes a policy in a project environment?

  1. A high-level set of principles that prescribes required behavior for the organization.
  2. A detailed checklist that explains how to perform a specific task.
  3. A document that authorizes the project and names the project manager.
  4. A recommended practice that teams may follow at their discretion.

Correct Answer: A — A high-level set of principles that prescribes required behavior

Explanation: Policies set mandatory, organization-wide direction. Procedures describe steps, charters authorize projects, and guidelines are optional.

Project Management Bootcamp

Embark on a transformative journey with our Project Management Bootcamp at HK School of Management. Elevate from beginner to pro using the latest PMBOK and Process Groups Practice Guide. Our unique, engaging approach makes learning interactive and fun, replacing dull slides with dynamic doodles and real-life scenarios.

This hands-on program includes working on two full project plans. The first evolves as you learn, while the second culminates in a comprehensive plan, solidifying your expertise. You'll navigate real-world challenges, backed by quizzes and in-depth analysis, avoiding common pitfalls and setting you on a path to success.

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Learn from seasoned professionals and join a community of enthusiastic lifelong learners. Ready to master project management and lead with confidence? Enroll now and start your transformation!



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