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Stakeholder Management

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Introduction:

When working on a project, there are many people or organizations that are dependent on and/or are affected by the final product or output. These people are the stakeholders of a project.

Stakeholder management involves taking into consideration the different interests and values stakeholders have and addressing them during the duration of the project to ensure that all stakeholders are happy at the end.

This branch of management is important because it helps an organization to achieve its strategic objectives by involving both the external and internal environments and by creating a positive relationship with stakeholders through good management of their expectations.

Stakeholder management is also important because it helps identify positive existing relationships with stakeholders. These relationships can be converted to coalitions and partnerships which go on to build trust and encourage collaboration among the stakeholders.

How Does Stakeholder Management Work?

Stakeholder management, in a business project sense, works through a strategy. This strategy is created using information gathered through the following processes:

In today's modern management project practice, managers and stakeholders favor an honest and transparent stakeholder relationship.

Failures in Stakeholder Management:

Some organizations still endure poor stakeholder management practices and this arises because of:

Whatever way stakeholder management is approached, it should be done attentively so as to achieve the best results.

Achieving Good Stakeholder Management:

Insufficient involvement and ineffective communication with stakeholders can lead to project failure. The following are a few ideas that can be used to achieve good stakeholder management practices:

Conclusion:

In conclusion, in order to achieve a outcome from the projects, good stakeholder management practices are required. Stakeholder management is the effective management of all participants in a project, be it external or internal contributors.

Arguably the most important element in stakeholder management is communication where a manager has to spend his 99% time in doing meetings, checking and replying emails and updating and distributing reports etc.

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