Policy 101

What does the public policy cycle look like in detail?

The adjacent diagram simplifies what the policy cycle looks like, however in practice we analyse the cycle within the following defined phases and in chronological order:

Identify Issues | Policy Analysis | Policy Instruments | Consultation | Coordination | Decision | Implementation | Evaluation

CLICK HERE to download the policy cycle diagram.

The Australian political system

You can’t effectively analyse public policy without first understanding the overarching political system. The link below is a crude diagram from the Federal Parliament showing the overlap between Parliament and the Executive Government in the Australian system as established by the Constitution. CLICK to view the diagram.

If you’re feeling it, you can CLICK here to find out more detail about specific roles.

Australia has three levels of government that work together to provide us with the services we need:

  • The federal Parliament makes laws for the whole of Australia.

  • Six state and 2 territory parliaments make laws for their state or territory.

  • Over 500 local councils make local laws (by-laws) for their region or district.

How the federal and state parliaments work together is sometimes referred to as the division of powers.

Each level of government has its own responsibilities, although in some cases these responsibilities are shared.

CLICK HERE to find out more.

Why is public policy so important?

Public policy draws people, institutions, markets and governments into a familiar pattern of decision making. It’s this decision making that shapes a majority of what we do on a daily basis. For example, taxation policy determines how tax is paid and at what amount, whilst foreign policy dictates how we project ourselves and relate to the global community as a country.

The system seeks to somewhat structure the way problems and solutions are understood and presented so that decision makers can:

hear about issues | understand options | learn of informed opinion | make choices and then test their decisions.

Policy institutions

When we refer to institutions we mean bureaucratic departments or agencies. These departments are effectively the machinery of government that provide the government of the day with frank, free and fearless advice.

Departments wield significant power and have an almost identical purpose between State and Federal jurisdictions.

The complexity of the bureaucratic system makes it almost impossible to display as a diagram. We tried, and frankly couldn’t find a diagram that did it justice. That alone kinda tells you something!

Third party actors

Third party actors refer to those who understand the policy environment and choose to use this knowledge, power and their numbers for influence. Lobbyists and lobby firms who represent clients fall into this category. Peak industry groups who generally have a membership base of organisations with the same type of business and similar policy needs, are also considered a third party actor. A good example would be the Federal Chamber of Automobile Industries (FCAI) who represent the interests of global car manufacturers, as one collective group, in Australia.