Project Stakeholder ManagementArch. Saad Al Jabri, PMP

Introduction

•Focuses on continuous communication with stakeholders in order to understand their needs and expectations, address their issues as they occur, manage conflicting interests, and foster appropriate stakeholder engagement in project decisions and activities.

•Stakeholder satisfaction should be managed as a key project objective.

Who is a stakeholder?

•Project stakeholders are individuals, groups, or organizations who may affect, be affected by, or perceive themselves to be affected by a decision, activity, or outcome of a project. They are comprised of persons and organizations such as customers, sponsors, the performing organization, and the public who are actively involved in the project, or whose interests may be positively or negatively affected by the execution or completion of the project.

Who is a stakeholder?

They may also exert influence over the project and its deliverables. Stakeholders may be at different levels within the organization and may possess different authority levels, or may be external to the performing organization for the project.

Identify stakeholders

•Allows the project manager to identify the appropriate focus for each stakeholder or group of stakeholders.

• It is critical for project success to identify the stakeholders early in the project or phase.

•The identified stakeholders need to be analyzed and classified according to their importance, expectations, level of interest, involvement, and influence.

•Enables the project manager to focus on the relationships necessary to ensure the success of the project.

Identify stakeholders – Tools & Tech.

Stakeholder Analysis is a technique of systematically gathering and analyzing quantitative and qualitative information to determine whose interests should be taken into account throughout the project.Example of classification systems that could be used to analyze stakeholders:• Power/Interest Grid: Level of authority (“power”) combined with level of

concern (“interest”);• Power/Influence Grid: Level of authority (“power”) combined with level of

involvement (“influence”);• Influence/Impact Grid: Active involvement (“influence”) combined with the

ability to effect changes to the project (“impact”);• Salience Model: Power (ability to impose will), urgency (need for immediate

attention), and legitimacy (whether involvement is appropriate) are factors used to describe classes of stakeholders.

The stakeholder analysis

Stakeholder Register

Plan Stakeholder Management

•Provides a clear, actionable plan to interact with project stakeholders to support the project’s interests.

• Identifies how the project will affect its stakeholders. •Stakeholder management plan is the main output.

Plan Stakeholder – Tools & Tech.

Analytical TechniquesThe engagement level of the stakeholders can be classified as follows:• Unaware. Unaware of project and potential impacts.• Resistant. Aware of project and potential impacts and resistant to

change.• Neutral. Aware of project yet neither supportive nor resistant.• Supportive. Aware of project and potential impacts and

supportive to change.• Leading. Aware of project and potential impacts and actively

engaged in ensuring the project is a success.

Stakeholders Engagement Assessment Matrix

Through this analytical process, gaps between the current and desired engagement levels can be identified.Actions and communications required to close these gaps can be identified by the project team using expert judgment.

Manage Stakeholder Engagement

•Benefits: • Increases the chances for project success •Helps stakeholders understand the benefits and risks

associated with the project, thus securing their involvement and support

•Minimize resistance from stakeholders •Keeps the project on track by resolving stakeholder

issues •Project Manager is responsible for stakeholder

management

CHOOSING THE STAKEHOLDER ENGAGEMENT APPROACH

The diagram illustrates the relationship between stakeholder influence/power and stakeholder engagement approaches

STAKEHOLDER ENGAGEMENT APPROACHES

Engagement approach Description

Partnership Shared accountability and responsibility. Two-way engagement joint learning,decision making and actions

Participation Part of the team, engaged in delivering tasks or with responsibility for a particular area/activity. Two-way engagement within limits of responsibility.

Consultation Involved, but not responsible and not necessarily able to influence outside of consultation boundaries. Limited two-way engagement: organization asks questions, stakeholders answer.

Push communicationOne-way engagement. Organization may broadcast information to all stakeholders or target particular stakeholder groups using various channels e.g. email, letter, webcasts, podcasts, videos, leaflets.

Pull communication One-way engagement. Information is made available stakeholder choose whether to engage with it.

Manage Stakeholder Engagement: Tools & Tech.

Interpersonal SkillsThe project manager applies interpersonal skills to manage stakeholders’ expectations. For example:•Building trust,•Resolving conflict,•Active listening, and•Overcoming resistance to change.

Manage Stakeholder Engagement: Tools & Tech.

Management SkillsThe project manager applies management skills to coordinate and harmonize the group toward accomplishing the project objectives. For example:•Facilitate consensus toward project objectives,•Influence people to support the project,•Negotiate agreements to satisfy the project needs, and•Modify organizational behavior to accept the project

outcomes.

Control Stakeholder Engagement

•Maintain or increase the efficiency and effectiveness of stakeholder engagement activities as the project evolves and its environment changes.

•Stakeholder engagement should be continuously controlled.

Control Stakeholder Engagement: Outputs

•Work Performance Information•Change Requests•Project Documents Updates•Stakeholder register•Issue log

Thank you