CHAPTER Types of rules 4 A critical prerequisite for writing quality rule statements is a clear understanding of what type of rule you are dealing with on each occasion. This is somewhat complicated by the fact that the environment in which an organization operates consists of a number of facets that can each contribute to the rules governing that organization. These facets include 1. the physical world in which the organization operates; 2. the legislative and regulatory environment in which the organization operates, either as a. an enforcer of that legislation or regulations (e.g., a government body requiring those with whom it deals to comply with such legislation or regulations), or b. an organization governed by that legislation or regulations (e.g., a bank required to obtain parti- cular identification from new customers, or supply a regulatory body with certain information); 3. the concepts that the organization creates (or inherits from science, the industry within which it operates, or the relevant regulatory bodies) to describe aspects of its operations;