KK8: Stakeholders

stakeholders

• owners (shareholders)

• employees

• managers

• customers

• suppliers

• general community

owners

• impact on owners depends on the nature of the owner and their role in running the business

• shareholders only impacted in terms of value of the dividend they recieve

• sole traders are impacted in a larger way because they are liable for all debts and rely on the business for their livelihood

effects on owners

managers

• typically responsible for achieving business objectives through the implementation of change

• also tend to be on the frontline of change and are directly and closely affected by it

effect of change on managers

employees

• typically the most impacted stakeholder group by change

• tend to get impacted in terms of workload, nature of work, and context of work

• most significant impact is redundancies

effect of change on employees

customers

a change in strategy could result in some impact on customers e.g., TQM might result in higher customer satisfaction, or the discontinuation of a product may leave some customers feeling unhappy

effect of change on customers

suppliers

can impact suppliers in terms of their profits and the nature of what they make/provide

effect of change on suppliers

general community

individuals in the general community are typically impacted by being close physical proximity to the business

effect of change on the general community