Journal entry 1: Role – Stakeholders
Stakeholders are anyone who has a vested interest in a company. Stakeholders can be affected directly by the company’s actions. If a company wants to introduce a new policy, such as an eco-friendly policy, the effects of this policy will affect the loyalty and strength of those stakeholders. There are two different types of stakeholders, internal and external (Chia & Synnott 2012). The internal stakeholders are those within the company, such as managers and site workers, and directly affected by any changes the company makes. External stakeholders are those outside of the company such as customers and suppliers. Stakeholders are a valuable part of an organisation. They are the reason an organisation remains in business. Therefore the stakeholders should be treated respectfully. This means that research must be done to fully understand what the stakeholders want from the company. Multiple studies can be undertaken, but the most effective study is a simple survey that the stakeholders can complete (Richardson & Chapman 2011). This may be difficult for multinational companies as it is harder to communicate with stakeholders overseas, but other studies can still be affective and easy to implement. In the future more ways of communicating with stakeholders will become apparent, and we have to use this to our advantage. It will allow us to fully understand what the stakeholders want from an organisation and whether we are moving in the right or wrong direction. With the current expansion of international companies the stakeholder bandwidth is ever increasing, and companies need to be able to connect with the stakeholders.
Chia, J. & Synnott, G. (2009) an Introduction to Public Relations from Theory to Practice. South Melbourne: Oxford University Press.
Richardson, M. & Chapman, S. (2011) Key Concepts in VCE Business Management. Milton: John Wiley & Sons Australia Ltd...