diff --git a/components/device-mgt/org.wso2.carbon.device.mgt.core/src/main/java/org/wso2/carbon/device/mgt/core/config/DeviceManagementConfigRepository.java b/components/device-mgt/org.wso2.carbon.device.mgt.core/src/main/java/org/wso2/carbon/device/mgt/core/config/DeviceManagementConfigRepository.java
index 2867b08014..d3bfb77b9a 100644
--- a/components/device-mgt/org.wso2.carbon.device.mgt.core/src/main/java/org/wso2/carbon/device/mgt/core/config/DeviceManagementConfigRepository.java
+++ b/components/device-mgt/org.wso2.carbon.device.mgt.core/src/main/java/org/wso2/carbon/device/mgt/core/config/DeviceManagementConfigRepository.java
@@ -20,6 +20,7 @@ package org.wso2.carbon.device.mgt.core.config;
 import org.wso2.carbon.device.mgt.core.config.datasource.DataSourceConfig;
 import org.wso2.carbon.device.mgt.core.config.email.EmailConfigurations;
 import org.wso2.carbon.device.mgt.core.config.identity.IdentityConfigurations;
+import org.wso2.carbon.device.mgt.core.config.policy.PolicyConfiguration;
 
 import javax.xml.bind.annotation.XmlElement;
 import javax.xml.bind.annotation.XmlRootElement;
@@ -33,6 +34,7 @@ public class DeviceManagementConfigRepository {
 	private DataSourceConfig dataSourceConfig;
 	private EmailConfigurations emailConfigurations;
 	private IdentityConfigurations identityConfigurations;
+	private PolicyConfiguration policyConfiguration;
 
 	@XmlElement(name = "DataSourceConfiguration", required = true)
 	public DataSourceConfig getDataSourceConfig() {
@@ -60,4 +62,13 @@ public class DeviceManagementConfigRepository {
 	public void setIdentityConfigurations(IdentityConfigurations identityConfigurations) {
 		this.identityConfigurations = identityConfigurations;
 	}
+
+	@XmlElement(name = "PolicyConfiguration", required = true)
+	public PolicyConfiguration getPolicyConfiguration() {
+		return policyConfiguration;
+	}
+
+	public void setPolicyConfiguration(PolicyConfiguration policyConfiguration) {
+		this.policyConfiguration = policyConfiguration;
+	}
 }
diff --git a/components/device-mgt/org.wso2.carbon.device.mgt.core/src/main/java/org/wso2/carbon/device/mgt/core/config/policy/PolicyConfiguration.java b/components/device-mgt/org.wso2.carbon.device.mgt.core/src/main/java/org/wso2/carbon/device/mgt/core/config/policy/PolicyConfiguration.java
new file mode 100644
index 0000000000..fe38dbbd95
--- /dev/null
+++ b/components/device-mgt/org.wso2.carbon.device.mgt.core/src/main/java/org/wso2/carbon/device/mgt/core/config/policy/PolicyConfiguration.java
@@ -0,0 +1,57 @@
+/*
+ * Copyright (c) 2015, WSO2 Inc. (http://www.wso2.org) All Rights Reserved.
+ *
+ * WSO2 Inc. licenses this file to you under the Apache License,
+ * Version 2.0 (the "License"); you may not use this file except
+ * in compliance with the License.
+ * you may obtain a copy of the License at
+ *
+ *   http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing,
+ * software distributed under the License is distributed on an
+ * "AS IS" BASIS, WITHOUT WARRANTIES OR CONDITIONS OF ANY
+ * KIND, either express or implied.  See the License for the
+ * specific language governing permissions and limitations
+ * under the License.
+ */
+
+package org.wso2.carbon.device.mgt.core.config.policy;
+
+import javax.xml.bind.annotation.XmlElement;
+import javax.xml.bind.annotation.XmlRootElement;
+
+@XmlRootElement(name = "PolicyConfiguration")
+public class PolicyConfiguration {
+
+	private String monitoringClass;
+	private int maxRetries;
+	private int minRetriesToMarkUnreachable;
+
+	@XmlElement(name = "monitoringClass", required = true)
+	public String getMonitoringClass() {
+		return monitoringClass;
+	}
+
+	public void setMonitoringClass(String monitoringClass) {
+		this.monitoringClass = monitoringClass;
+	}
+
+	@XmlElement(name = "maxRetries", required = true)
+	public int getMaxRetries() {
+		return maxRetries;
+	}
+
+	public void setMaxRetries(int maxRetries) {
+		this.maxRetries = maxRetries;
+	}
+
+	@XmlElement(name = "minRetriesToMarkUnreachable", required = true)
+	public int getMinRetriesToMarkUnreachable() {
+		return minRetriesToMarkUnreachable;
+	}
+
+	public void setMinRetriesToMarkUnreachable(int minRetriesToMarkUnreachable) {
+		this.minRetriesToMarkUnreachable = minRetriesToMarkUnreachable;
+	}
+}
diff --git a/features/device-mgt/org.wso2.carbon.device.mgt.server.feature/src/main/resources/conf/cdm-config.xml b/features/device-mgt/org.wso2.carbon.device.mgt.server.feature/src/main/resources/conf/cdm-config.xml
index a6646f863a..0efa651a73 100644
--- a/features/device-mgt/org.wso2.carbon.device.mgt.server.feature/src/main/resources/conf/cdm-config.xml
+++ b/features/device-mgt/org.wso2.carbon.device.mgt.server.feature/src/main/resources/conf/cdm-config.xml
@@ -35,6 +35,11 @@
             <AdminUsername>admin</AdminUsername>
             <AdminPassword>admin</AdminPassword>
         </IdentityConfiguration>
+        <PolicyConfiguration>
+            <monitoringClass>org.wso2.carbon.policy.mgt</monitoringClass>
+            <maxRetries>5</maxRetries>
+            <minRetriesToMarkUnreachable>8</minRetriesToMarkUnreachable>
+        </PolicyConfiguration>
     </ManagementRepository>
 </DeviceMgtConfiguration>