CFPB Readiness Series: Procedure Drafting 101

Are you in the process of developing procedures for your organization? Are you unsure about what needs to be included in your company’s procedures? In this webinar, you’ll hear from Joseph Kirkpatrick, President of KirkpatrickPrice, as he provides an overview of the importance of establishing procedures for your organization and how to go about doing so in the most efficient way.

What are Procedures?

Often policies and procedures are mistaken as synonymous terms, but they mean different things. Where policies serve to define rules, guide employee decision making, are incorporated in the risk management process, and require enforcement, procedures are process or task instructions on how policy is followed, and they also communicate the responsibility for tasks or processes. When drafting procedures, they should include:

  • Name
  • Procedure reference
  • Records of audit, change, and review
  • Effective date
  • Approval

Having established procedures is crucial for all organizations in their attempt to meet their compliance objectives. Procedures help ensure that policies are implemented correctly and efficiently, thus assisting your organization in maintaining compliance.

What Do I Begin Drafting Procedures?

When you begin drafting your organization’s procedures, start at a high level and become more specific. For example:

  • Step 1: Define the scope of your procedure, including a start and end point
  • Step 2: Consider all possibilities and decision points
  • Step 3: Interview the responsible parties
  • Step 4: Utilize flow charts and checklists

These procedures should be written in a clear, concise format that utilizes active voice in the present tense. By organizing your procedures in a way that is easy to navigate, understand, and implement, your employees will be more likely to comply with them.

To learn more about procedure drafting, including what to do after you have drafted procedures and examples of effective procedures, download the full webinar. For more information about procedure development, contact us today.