Introduction “Stakeholder management is critical to the success of every project in every organization I have ever worked with. By engaging the right people in the right way in your project, you can make a big difference to its success... and to your career. "-Rachel Thompson A stakeholder can be a person or a group, or an organization that may be affected, or have any kind interest in the project or in project’s outcome either directly or indirectly. Stakeholder management helps in differentiating the project with the others, it ensure that your project is successful and progressive throughout. In stakeholder management the opinion of the most powerful stakeholder is vital for taking any decision.
Question 1 (10 points) Stakeholder management is one important aspect of project management, especially in large projects where multiple stakeholders with different power, influence and interests are present. Identify two different stakeholder models used in academic literature and compare their underlying assumptions and relevance. In the article Project Management Models as Value Creators, Eskerod and Riis used a project management model. It shows and specifies the management breakdown structure, the management processes, and the roles in project management. Five companies were selected for the study.
Stakeholder Management is a critical control that fruitful individuals use to win support from others. It helps them guarantee that their projects succeed where others fizzle. Stakeholder Analysis is the procedure used to distinguish the key individuals who must be won over. We then utilize Stakeholder Planning to assemble the backing that helps us to succeed. The advantages of utilizing a stakeholder-based methodology are that: We can utilize the feelings of the most powerful stakeholders to shape our projects at an early stage.
Anon., n.d. The first step in the process of stakeholder engagement is to identify the key stakeholders and stakeholder groups. Stakeholder mapping is a visual instrument and process used to clarify and categorise stakeholders by depicting what groups exist, their interests and powers, their role in helping the organisation achieve its goals and objectives or the means in which they are handled. (Anon., 2017) Stakeholder mapping should be well-defined as well as its objectives. It identifies the significance of various stakeholders and is portrayed through Mendelow’s Matrix.
The aim of stakeholder management is to identify the stakeholders in a project and ensure that they are aware of the change, and the benefits of the change (Baca, 2010). He also states that stakeholders in a project include project managers, project sponsors, team members and the change control board. It is critical that the stakeholders are aware of this throughout the change process. According to Legris and Collerette (2006), the change manager should seek to build a partnership with the stakeholder and be committed to it. In the case given, stakeholder from all these departments should have come together at the beginning of the project so that the needs and expectations of the people in these departments would be identified and any conflicts arising would be resolved.
In the traditional or stable environment this strategy would have been successful but the market condition considering all the factors like economic, social, ministerial etc are under constant amendments. Because of the all the factors or uncertainties mention above, demands the organization to concentrate more on strategic driven management than traditional management. The following are some of the basic strategic driven steps in order to cope up with effective stakeholder management. Firstly, stakeholder approach should be intended to provide a single strategic framework, which would be resilient in any changes in environment shifts; this flexibility will help the project manager to regularly adopt new strategic paradigms. (Freeman and Mcvea, 2001) says that main purpose would be break the ambiguous chain of “environmental shifts- new strategic problem-development of new strategies framework-adoption of new strategic practises-new environmental shift-new
3.0 Stakeholder power Stakeholder knew as the prime source for the organization unit (Kristen, 2015). Stakeholder refers to any group or individual who can be affected or affected by the entities achievement (Mayers, 2005). In fact, Mayers divided the stakeholders into four categories; first, the business partner sector includes employees, suppliers, and distributor. Second, the external influencers are media and society. Third, the regulatory authorities involve government agencies.
The authors intend to convince the reader that stakeholder management needs to be more broadly focused on engagement in order to move projects from installation to implementation. Instead of being purely hierarchically focused project teams needs to take into account the fluid political nature of organizations, both internal and external. Projects that start with the premise that identifying a range of stakeholders and engaging with them in a consistent and organized manner will improve project success, according the propositions made in this paper. The authors state that stakeholder management processes have regularly failed to take into account the dynamic nature of the stakeholders’ commitment to a project and the relationships between different stakeholders as a project progresses. By having project teams focused not only on their own stakeholder role, but also communicating with other key stakeholders in a project and how they interact, project teams will experience more consistent success and achievement of project
Company may face tough decisions regarding the management of their stakeholders. For example, company must ask what is right for their specific situation or set of needs and how to balance competing stakeholder claims. This results in the broader question of whether stakeholder engagement is a precondition for organizational decision making. Company that provides environmental information is said to be environmentally responsible to their actions and decisions in doing their business activities. If stakeholder believes that company is responsible to the environment, the relationship between company and stakeholder is stronger.
Additionally, social media is a convenient channel for people to access. It is fast and easy to use. Moreover, using social media can save more company’s cost, comparing to other traditional methods. Social media marketing can be greatly beneficial for all types of