When you create a new preservation policy you define the default rule to be used for the items for the output files. See Creating a New Preservation Policy
You can then:
Set up one or more preservation rules within the preservation policy for specific item types that override the default rule. See Adding, Editing, or Deleting Preservation Rules.
Associate this preservation policy with one or more stages for one or more projects. See Adding or Deleting Project Stages
Related Topics
Creating a New Preservation Policy
Editing, Copying, or Deleting Preservation Policies