Easy to Maintain Stake Holders and Products

Stakeholders? You're probably aware of what this term means in business, and if you're not - no they're not the people who hold the steaks at the company barbecue.

What are they?

The correct definition is "an individual or organisation who has an active interest in your project/business and who is affected by or could affect its outcome. So ultimately, they're all important, just at varying levels. Which I'll go onto explain shortly.

Business, as we all should know, is all about taking calculated risks and keeping your customers happy (which, though most of you starting out in business might say it's to produce profits - if you don't keep your customers happy...good luck). For those who are starting out in business, you've probably never come across the term "Stakeholder". But are familiar with one of such entities...your customers. But your customer is only a particular coefficient on a larger equation for success.

Okay, so I haven't run a business as a CEO, I've only a dream of starting my own fine jewellery company and have the passion to a top-notch Project Manager, but I do have a very mature head on my shoulders and I take note to improve my understanding on what matters. I've seen how existing businesses are managed and learnt lessons from the interviews of top leaders in the world of business of today; the most important thing they each promote is to have a positive and supportive team around you. Now when people like Steve Jobs and Mark Zuckerberg are saying this, you take note. Who are they talking about, shouldn't be much of a surprise, they are referring to the men and women who are beside them, building their business brand. Essentially though the key lesson to take from their words is that in business you have to ensure that those who you interact with in business are supportive and engaged in your project/business in a positive manner if it can be helped.

Now, one could argue that from this, they are by extension also talking about their stakeholders.

Who Are they?

The first step is to identify your stakeholders, in doing so you'll know not just who they are but at what level they interact (if at all) with your business/project.

The best thing to create whilst you're considering this is to do what they call in Project Management a 'Stakeholder Register'. It's a useful table for business managers also to keep maintained (as it will change and need updating as your business and project grows). The register acts as a reminder to ensure you are doing your best to keep happy all those individuals and organisations who could potentially spell disaster or success in your business.

When completing the table, ask yourself the following questions:

   Who is affected by or could be affected by my business/project?

   Who could help its success? And...

   Who could hinder its success, including actively?

Be sure not to miss any, even those who may not know about your business/project yet but who could become aware of it later are always best prepared for earlier on. Remember success for the future is always about planning now.

The typical Stakeholder Engagement Register looks like this:

Key Terms:

Name: Depending on how you're completing this table, It doesn't just have to be Joe Bloggs, New Venture Specialist, SomeCompany Ltd. For those of you who may wish to use this template for starting your business, you could put "Customers" and expand on it in the future. If your business involves making use of something that a particular social organisation might have an interest in - if they became aware of you, say RSPCB or Environment Agency, for example; find out a point of contact at these places to whom you would interact.

Current Engagement: How is this person/group currently engaged with you? Think broadly and take account of where you stand currently with them. Use standard headings, recommended ones are:

Unaware

Unaware stakeholders lack the capacity to become engaged because they haven't been informed about you. You'll have to consider these stakeholders carefully, unaware stakeholders may become resistant if they're misinformed about you by someone else, or if they're informed too late to make a significant contribution. You'll need to decide whether to engage unaware stakeholders and if so when the best time is to solicit their support.

Resistant

They are 'aware' of you, your purpose and your goals. However, they feel negative about its potential impact. They often prefer the project work not be carried out at all and may take action to prevent progress. Resistant stakeholders with high power are the highest threat to success.

 Neutral

Are aware of you but may not be well informed about you. They don't disagree with what's going on but neither are they actively supportive of achieving your objectives. Some neutral stakeholders are indifferent to your objectives or outcomes when they should be leading or supportive. For others, the neutral state is appropriate.

Supportive

Are well informed about the project and see value in what's being done. Although often no formal commitment has been made, they understand their expected contribution to achieving objectives and are willing to provide it. Supportive is a good level for most stakeholders.

Leader

Are 'champions' of your success, whether inside your business/project or within your customer's. They are highly aware and informed about the project, have a high level of influence in your success and are very involved in seeing the project meet its objectives. An enthusiastic customer or sponsor would be an example of a leading stakeholder.

Desired Engagement: Where would you prefer their engagement be with you? Use the same list above. Where would you like/do you need their engagement to be?

Impact Assessment: Given their influence and/or power, what impact could they have positively and negatively on your success? Could they provide leads for your business? Could they completely destroy any potential roads for success? Could they provide financial assistance? Could a long-term relationship mean a mutual respect and trust and lead to cheaper resource streams?

Strategies: What methods are you going to use to engage them? Will you use regular contact via phone? Monthly updates via email? Informal/formal newsletters?

Communication Requirements: How must you communicate with this stakeholder to get the most beneficial result for your goals? Must you send monthly update reports to them? Do they expect daily contact? Do they only need to be sent reports once a quarter?

How To Keep Stakeholders Happy

This all comes down to training both your personal and professional competencies; that is your individual skill sets for managing your business and managing people. the best leaders aren't always those with all the business know-how but are those whom can relate to their staff and customers and empathise with them, gaining their support and empowering them to be successful. Put simply, how well can you think beyond the numbers and relate to others to have an amazing team around you? All the most successful business owners in the world have a great team around them and understand their stakeholders. It's important to remember here the good old sentiment used within Intellectual Property: "You can't put the toothpaste back inside the tube" Only give the relevant stakeholders the relevant information they need, nothing more, nothing less.

Engagement Gaps

These are the differences between the Current Engagement and Desired Engagement fields. To maintain happy relationships, you need to maintain your engagement with your Stakeholders. If you've identified that a highly influential stakeholder who could provide you excellent work leads in your industry is currently Unaware of you and you deem that their engagement with you should be Supportive, this depicts an 'Engagement Gap'. So how are you going to get them there? Remember you want these people for example to support you, so don't come across as begging or needy and certainly don't pester them, this will only put them off you and lead them to become resistant instinctively.

Strategies For Engaging Stakeholders

Use the following strategies to increase the engagement of respective stakeholders:

Unaware: Create awareness of your existence and your objectives. Increase their level of engagement by sharing newsletters, media releases, project updates, and other information assets. Make personal contact if needed, and communicate with them about their responsibilities and what they can do to support the project.

Resistant: Develop a degree of understanding between the two of you. Point out common ground when you communicate with them, highlighting mutual benefits. Use consultation, feedback, and friendly debate as engagement techniques. For resistant key stakeholders, find areas for compromise and concession to allay their concerns and engage them positively with project objectives. Don't dictate terms or solutions or you may alienate them.

Neutral: Gain their support. Share good news and positive results, but tailor communication to the level and style expected by the stakeholder. Don't be overly attentive or pushy, as this approach could stimulate resistance.

 Supportive: The goal here is to get a commitment. Make sure to involve these stakeholders, and make sure they're aware of what their contribution and commitment to the project should be. Give them feedback on performance, share confidences, and ask their opinions. Make sure to show your appreciation for these stakeholders' opinions and contribution to achieving your objectives.

 Leader: Further develop and maintain these alliances. Make sure to use early involvement to get and keep them engaged. Meet or make contact with them on a regular basis. Foster collaborative partnerships, use collective problem-solving and make public acknowledgements of their successes.

What Is A Successful Engagement?

Any area of business, stakeholder engagement aside, this same principle applies:

"A successful engagement is one that helps the other person recognise and support their own improved situation due to helping/supporting you."

Remember this: as is in Sales, the goal should never be to waste your time on 'hit and miss' tactics trying to 'sell' something to someone, rather ensure that what you have/offer improves their life/world enough first to make them want to 'buy' from you.

Overview

So now hopefully you understand how important identifying your stakeholders are and how maintaining a healthy relationship with your stakeholders (or a healthy yet positive distance) is important. Remember, for your business/project to be successful, you must engage with people, your relationships over time will change and so much of your strategies for engaging with them. Keep this in mind and it will stand you will show others that you are a great people person who understands the needs of your customers, your staff and your industry.

- Philip Gilson, ACP CAPM PRINCE2

nashtheine.blogspot.com

Source: https://www.linkedin.com/pulse/how-maintain-happy-stakeholders-philip-gilson-prince2-mcps

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