Who are Stakeholders ?
Stakeholders are the people associated with a project or the organisation. They play a central role in project or organisation’s success.
Stakeholders are individuals, groups or organisations who have interest in project’s outcomes or organisation’s activities and are therefore directly affected by the project or the organisation.
Stakeholders include people who could influence decisions about the project or the organisation’s strategic direction.
Stakeholders are the people whose interests are critical to organisation’s success. Their direct or indirect involvement in the operations and strategic decision about the business determines the organisation’s performance.
Typically project stakeholders include;
Team members, sponsors, senior management, customers, government agencies and competitors.The interest, influence and importance of various stakeholders in a project will always vary.
What are the characteristics of Stakeholders?
Stakeholders may be classified based using the following characteristics; Interest
Position in the organisation
e. Level in the organisation.
Classification of Stakeholders in various categories helps to get a better understanding of the stakeholders in terms of how they are associated with the project.
How are Stakeholders classified based on characteristics?
Based on the characteristics of stakeholders they could be classified into five categories;
Supporters or Opponents - supporter is in favour of the project, opponent is a stakeholder with negative interest in the project or the organisation. McCue’s supporters may be Green Peace because. McCue puts sustainability as one of the core strategic aims of the business, hence most of their products are 100% recyclable. That group of stakeholders although that has not got neither direct nor indirect impact on the business can create a lot of good publicity. Their opponents could possibly be found amongst organisations that do not support use of polyurethanes in production process of components. It is critical for the further development of that organisation to try and reduce the negative impact that the opponents have on their brand and products as similarly they will be crating a lot of bad publicity for the business.
Primary or Secondary - primary stakeholders are those whose interests are critical to the success of the project and are ultimately affected by the project or organisation. Those would be McCue’s customers located world wide and end users of their products. McCue’s customers are not only the shops that they manufacture fittings for. Amongst them there are distributors, components manufacturers, fitters and a whole supply chain. Primary stakeholders may also include project sponsors, project managers, senior management and team members working for the organisation. Secondary stakeholders play an intermediary role in the organisation. Typically they are administrative staff, financial or legal consultants.
Internal or External - stakeholders are classified as internal or external depending on position in the organisation. Internal stakeholders are the stakeholders within the organisation and are directly involved in development of the organisation and in the process of formulating the strategy. Project managers and team members such as David McCue CEO, Robert Davidson International Director, Bruce Barnet CFO are the core internal stakeholders, but everybody who is employed by McCue is its internal stakeholder as well. However the power that these stakeholders have will be significantly different. It is obvious that during the strategy formulation the core managers will have to make the decisions how to grow the business, and then they will have to sell it to the employees at different levels of management at McCue. External Stakeholders are not a part of the organisation but have...