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Objectives and policies are two examples of standing plans.

Policies are general statements that guide an organization's thinking and decision-making.

The organization's objectives are implemented through the use of policies as action guides.

A policy provides a general response to issues that may come up in the course of trying to achieve organizational objectives.

Objectives, on the other hand, are endpoints of every activities in an organization.

Objectives can be defined as the main goals of the organization or what the organization seeks to achieve both in the short-term and in the long-term

Setting objectives is the first step in planning and it is indeed the first step in management.

What distinguishes objectives from policies?

1. Objectives are the ends towards which all activities of an organisation are directed whereas policies are guidelines for achieving the predetermined objectives of the organization.

In other words, while objectives are the main goals of an organization, policies provide the means of achieving the main goals of the organization.

As a result, the policy is the means to the end, while the objective is the end in itself.

2. While an organization may or may not develop policies, it cannot exist without objectives.

3. While policies may be created at any level of management, objectives are typically set by the top management of an organization.

4. Policies are derived from the objectives of the organization. Objectives are derived from the mission and philosophy of the business.

5. Objectives are meant to be accomplished by members of an organization whereas policies are meant to be adhered to by members of the organization.

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