Examples Of Stakeholder Management

Different scholars have been exploring stakeholder management and have provided various definitions Gray (1989) explained stakeholder as anyone who can participate in the processes of any business or who is affected by the actions of others. Fewings (2005) was of the view that often stakeholders have been differentiated in two categories i.e. internal and external stakeholders depending upon certain criteria’s. Eberstadt (1977) studied that in the middle ages God was thought to be a stakeholder whose profits could be distributed in the poor every year end. Smith (1937) studied that when external interests are recognized stakeholders of the firm can be early recognized. Barnard (1938) in his study explored that employees are considerable feature

(2003). Examining the conflicts and association among stakeholders is a significant step for stakeholder management, Freeman (1984). Types of conflict comprise of “substantive conflict and emotional conflict”, Schermerhorn et al. (2003). Project managers ought to know the probable conflicts that may arise from differing interests, Frooman (1999). Project managers must also look for possible union among stakeholders. This idea comes from Freeman’s strategy model, Freeman (1984). He is of the view that the groups, who have common objectives, stakeholders and interests related to the project, are expected to form coalitions compromising these conflicts and it becomes important for project managers have decisions, Freeman (1984). Leung et al. (2005) confirms a positive relationship among conflict resolution and satisfaction of stakeholders. Bana e Costa et al. (2001) argue that looking for ways to make a multi win concession solution is a trouble faced by project

Internal managers can often hold strong beliefs about stakeholders which conflict with generalize understanding of the environment, Crosby (1992). Stakeholder concerns can be quite complicated. Therefore stakes have to be observed constantly and actions should be taken as rapidly as possible. Stakeholder management is discussed in detail by, Chinyio and Olomolaiye (2010). Schermerhorn et al. (1997) also illustrate disagreements between trade unions and management, between government bodies and organizations who have to meet the terms of legislation between organizations in the supply value chain.

Conflict is unavoidable as each stakeholder has their own history, character, gender, culture, values, beliefs, and behaviors which affect the project, Randeree and Faramawy (2011). Lee and Chan (2008) state that if the stakeholders fail to reach an agreement during the involvement process in the early stage of a project, it may not be advisable to continue as this could enhance the chance of failure or even lead to conflict between decision makers and local