In this short 2:47 minute video, you will learn why Stakeholder Analysis is important, how to conduct a stakeholder analysis, and develop an effective communication plan that you can use in your lean or six sigma initiatives.
Let’s begin with defining what a “Stakeholder” is.
A stakeholder can be defined as:
Any individual, group, or institution who has a vested interest in the natural resources of the
project area and/or who potentially will be affected by project activities and have something
to gain or lose if conditions change or stay the same.
Stakeholders are all those who need to be considered in achieving project goals and whose participation and support are crucial to its success. Stakeholder analysis identifies all primary and secondary stakeholders who have a vested interest in the issues with which the project or policy is concerned. The goal of stakeholder analysis is to develop a strategic view of the human and institutional landscape, and the relationships between the different stakeholders and the issues they care about most.
Below, are the steps to use for a proper stakeholder analysis. Watch the video also – it’ll show you the steps to help you get on your way much quicker.
Why Stakeholder Analysis is Important
Ultimately, all projects depend on selecting stakeholders with whom they can jointly work towards goals that will help you meet your aim. A stakeholder analysis can help you:
- The interests of all stakeholders who may affect or be affected by the project;
- Potential conflicts or risks that could jeopardize the initiative;
- Opportunities and relationships that can be built on during implementation;
- Groups that should be encouraged to participate in different stages of the project;
- Appropriate strategies and approaches for stakeholder engagement; and
- Ways to reduce project risks.
How To Conduct a Stakeholder Analysis
- Draw a box divided into four equal quadrants. Make sure you create this box large enough to fit in the various stakeholders when it is the appropriate time.
- Divide each quadrant into fourths again. You should now have sixteen quadrants.
- Label down the left side starting at the top with Significant Importance, Some Importance, Little Importance, No Importance.
- Label across the top starting at the left with Significant influence, Some influence, little influence, No influence.
- Begin to organize your stakeholders according to importance and influence.
- When you are done, your matrix will be a graphic display of who holds the most importance and influence (the group in the upper left-hand corner) and who holds the least amount of influence and importance (the group in the lower right-hand corner). Those in the high importance/influence category will be the first ones to consult since they carry a heavy weight in the direction of the project.
Here’s an example: