stakeholders

• Stakeholders


  People or groups of people or organizations that affect business decision making or are affected by business decision making or have interest in the operations of a particular business
• Stake


  Interest in the business, not necessarily a financial stake or shares in the company
• Internal stakeholders


  • Shareholders
  • Managers
  • Employees
  • CEO
• Shareholders


  Their main objective is maximizing shareholder value
• Managers


  Want to achieve objectives at their level in the shortest possible time with the lowest costs
• Employees


  Want good working conditions and maximum pay for minimum work
• CEO


  Wants to keep shareholders happy
• External stakeholders


  • Government
  • Media
  • Local community
  • Suppliers
• Government


  Wants stable tax revenues, compliance with law, and voters support
• Media


  Wants publicity, regardless of whether the story is positive or negative
• Local community


  Cares about employment opportunities and no harm to the environment
• Suppliers


  Want constant orders and a good relationship with the company, with a short credit period
• There is no agreement whether competitors are a stakeholder group or not
• Stakeholders can be both internal and external at the same time, e.g. employees who live near the workplace
• Minority shareholders with no decision-making power are considered external stakeholders, even though they are technically internal
• Stakeholders and shareholders are not the same thing - shareholders are a type of stakeholder, but stakeholders include other groups beyond just shareholders
• Stakeholder conflict


  A clash of interests or objectives between different stakeholder groups
• Power Interest Matrix


  • Helps prioritize stakeholder groups based on their power and interest
  • Four quadrants: low power/low interest (minimum effort), low power/high interest (keep informed), high power/low interest (keep satisfied), high power/high interest (maximum effort)
• Stakeholder Analysis


  • Visually maps out stakeholders based on their proximity and influence on decision-making, from closest/most influential to furthest/least influential