Policy, Legal, Legislation & Compliance Risks that are caused by the absence of policies

Policies are the basis of any strong and well-implemented system, and the selection of policies may affect the organization in so many ways. This paper discusses a study that was applied to a startup company, which showed that some important policies weren’t applied and weren’t documented in the first place. On the other hand, the organization was applying a recruitment policy, which is the policy of employing talent over experience. Hiring experienced employees that lack talent and creativity will result in not getting the desired business value, because of the absence of innovative outcomes, low productivity level and development. While hiring new talented employees would help in evolving the company and increasing its profits; that’s why the results show a constant improvement of the company. However, the lack of other important policies formed some huge risks to the company. First, the usage of out-of-date devices where the company uses devices that cannot be maintained by the manufacturer anymore. This risk can be considered as a high risk, especially to organizations with businesses that depend on technologies. Second, the customized platform risk. This risk occurs when a customer asks for a customized platform, but the company develop a platform that does not satisfy the customer’s requirements; this will lead to losing the customer’s money, time, and trust towards the company. As a result, the absence of policies or the wrong implementation may cause risks and huge undesired losses to organizations.