Swanston Airlines is a large-scale organisation providing flights to all capital cities in Australia - VCE - SSCE Business Management - Question 1 - 2015 - Paper 1

The purpose of a policy is to provide a structured framework that guides the decision-making processes within an organization. It establishes expectations, responsibilities, and procedures that help to achieve consistent and effective outcomes.

Policies serve several key functions:

1. Guidance: They offer direction to employees regarding their actions in specific situations. This helps in maintaining uniformity in operations and enhancing productivity.

2. Compliance: Policies ensure that the organization adheres to legal and regulatory requirements, thereby minimizing risks and protecting the organization from potential legal issues.

3. Consistency: They promote consistent behavior and decision-making among employees, which is essential for maintaining fairness and integrity in the organization.

4. Communication: Policies communicate the values and expectations of the organization, which helps in fostering a positive organizational culture.

5. Accountability: They establish a clear understanding of roles and responsibilities, making it easier to hold individuals or teams accountable for their actions.

In summary, policies are essential for the effective management and governance of an organization.