Stakeholder Analysis and Stakeholder Management

What is a Stakeholder?

Try "define: Stakeholder" in Google and you'll be surprised by the huge differences in the way this simple word is defined. Perhaps proves - in a sense - just like people get confused on stakeholder management and how consistent the different approaches to it can be!

My simple definition is "any person affected by a decision and interested in its outcome." This may include individuals or groups, both inside and outside the organization.

Stakeholder Analysis

The first step in stakeholder analysis is to evaluate the influence and importance (two different things!) For each of the parties concerned individual or group of stakeholders.

Influenza is defined as the extent to which an actor is able to act on project management and influencing project outcomes. Influenza is a measure of the power of stakeholders. Factors that may lead to greater influence include the extension of control over the funding of the project and the extent to which the stakeholder informs decision-making about investments in technology and business change.

Importance is defined as the extent to which the problems of an interested party, the needs and interests are affected by project operations or desired results. If 'important' stakeholders are not assisted effectively then the project can not be considered a 'success'.

Which stakeholders are important and influential, then they are primary stakeholders and must be fully engaged in the governance and control of the project, if you want to succeed. Which stakeholders are important or influential, then they are subject secondary and must be actively managed during the project.

The second step in Stakeholder Analysis is to understand the current position of each stakeholder with respect to project objectives and expected results. For this purpose, a series of stakeholder interviews and surveys should be undertaken to understand the degree of commitment and degree of commitment.

Engagement is a measure of how well the Stakeholder understands the challenges that the project seeks to address, and strategic plans and results. A low score indicates a lack of understanding commitment.

Commitment is a measure of how the support of interested parties. A low score signals hostility, whilst a high score indicates strong support.

The ideal, of course, any project wants engaged, informed stakeholders who actively support the project objectives and results. An ill-informed supporter can be just as dangerous as a well-informed objector!

Stakeholder Management

There are many different approaches to the management suugested Stakeholders. In the chapter on http://www.viney.com/DFV/intranet_portal_guide/before/influencing.html "> influence (stakeholders) in my (free access) Intranet Portal Guide, I offer a simple, tried and tested, four-way approach :

1) Partner

Primary stakeholders (with high influence and importance to the success of the project) are likely to provide 'coalition of support' in the project planning and implementation. As such, they should be partners increase their engagement and commitment (revising and adapting the project strategy, objectives and results, if necessary, to win their support).

2) Consult

Secondary stakeholders with higher influence but lower importance need to be 'taken on board'. You should consult with them to actively seek their opinions and input for major decisions (and not just those that directly affect them). It 's unlikely that you can modify your strategy as a result of this consultation, but you could also change your tactics (for example, when or where the project plans) to maintain high levels of commitment.

3) Inform

Secondary stakeholders with lower influence but higher importance need to be kept informed of decisions that affect them directly. It 's unlikely that he would play an active role in making those decisions. However, if you were to highlight a particular issue with a decision, it is likely serious consideration would be given to refining the decision.

4) Control

The control is appropriate when an actor is not important or influential, and they need help only to respect all decisions taken. Objections to the issues raised or risk not being taken seriously (as otherwise divert valuable management attention and resources).

Conclusions

Stakeholders are key to successful project delivery in the modern organization. Both the stakeholder analysis and stakeholder management tools are vital and must be used iteratively throughout a project to keep everyone on the same page. Be aware that different approaches are appropriate for different types of stakeholders. You can not keep everyone happy all the time. Check my guide for more hints, tips and tools .......