Elements of Guidance include Business Policies and Business Rules. They indicate how the Courses of Action should, or should not, be carried out. In other words, they guide Courses of Action. According to the Business Rules Group, an Element of Guidance is a statement (or set of statements) that defines, constrains, or liberates some aspect of an enterprise. It asserts business structure or controls or influences the behavior of the business.
Theory provided in picture above was developed by The Business Rules Group (www.BusinessRulesGroup.org).
Business policies
A Business Policy is a statement (or set of statements) whose purpose is to guide the enterprise. Business Policies provide the basis for Business Rules. Compared to a Business Rule, a Business Policy is less structured and is more general. It is not focused on a single aspect of guidance. A Business Policy is formulated by a person or group in the organization that is authorized to manage, control, or regulate the enterprise.
Example policies
•Always attempt to satisfy a customer.
•Rewards program must be attractive to customers.
Business Policy Guides Strategies
A Business Policy guides formulation of a Strategy. You can specify what Business Policies guide which Strategies through the Business Policy Vs Strategy matrix, located within the Enterprise Direction Matrices tab of the Matrix browser (select View, Matrix Browser to open). (Note: this tab displays as ED if the browser is made narrow.)
Business Policy Supports the Achievement of Goals
A Business Policy supports the achievement of Business Goals. You can specify which Business Policies support the achievement of which Business Goals through the Business Policy Vs Business Goals matrix, in the Enterprise Direction Matrices tab of the Matrix browser (select View > Matrix Browser to open). (This tab displays as ED if the browser is made narrow.)
A Business Rule guides formulation of a Tactic. You can specify which Business Rules guide which Tactics through the Business Rules Vs Tactic matrix, located within the Enterprise Direction Matrices (or ED) tab of the Matrix browser (select View, Matrix Browser to open).
Business Rules Support the Achievement of Business Objectives
A Business Rule supports the achievement of a Business Objective. You can specify which Business Rules support the achievement of which Business Objectives through the Business Rule Vs Business Objective matrix, located in the Enterprise Direction Matrices (or ED) tab of the Matrix browser (select View > Matrix Browser to open).
