In this paper, we investigate a policy based approach for managing socially appropriate interaction behaviours in Internet of Things (IoT) Collectives, i.e., a collection of IoT devices. In particular, we consider scenarios in an aged care home environment. We have designed a policy management framework with three different types of rules - Authorisation, Obligation and Prohibition rules for smart internet-connected devices in an aged care centre where smart robots follow consensus-seeking processes while monitoring the elderly people. We consider the management of socially appropriate interaction behaviours in IoT devices based on a policy management framework and demonstrate its applicability with the system we prototyped called KATE.