Great post, Jane; on so many levels! I too find that organizations have a difficult time finding that happy medium between super lax and policy overkill. I also find that both types use super definitive words to describe how they want / don't want the environment to be / be perceived- "fun", "policy", "red tape", which, in my opinion, is precisely why they get stuck being either one or the other. I love to throw out the word "flexible", which seems to resonate on both ends of the spectrum. Also, I love your 4 points, especially number one. It's amazing how much mutually setting and agreeing upon performance requirements, from the start, takes care of / eliminates so much of the muck along the way. If you've ever read any of my posts you already know what a proponent I am of clear, transparent goal setting in the work place. Thanks  for sharing your thoughts with us; definite, definite key take away points!