1.4 Stakeholder

  • What is a stakeholder

Are people or groups that have a interest in a company or business and keep up with their trends

Know that share holder own a small part of the business don’t mix it up

So you can say shareholders are stakeholder but stakeholder are not shareholder

  • Types of stakeholder

  • owner-I

  • Shareholder -I

  • Managers-I

  • Staff and employees -I

  • Customers -E

  • Suppliers-E

  • Community-E

  • Government -E

  • Rivals-E

  • Local and national government-E

  • Special interest groups-E

  • Bank creditors pressure groups-E

    E= external and I=internal

Some groups can be external and internal like staff or shareholders who are local residents

  • Pressure group: any group of individuals who work together to exert an influence upon the decision-making of a company to achieve some specific outcome.

Or until the objective is completed

  • Characteristics of internal stakeholder

  • senior manger: focus on the strategic objectives for their area

  • Middle manager: focus on tactical objectives

  • Employees and their union: focus on protecting their right and working conditions

  • stake holder analysis

Large business that have complicated stakeholders interest often perform a stakeholder analysis

  • stake holder mapping

  • A model/tool that assesses the relative interest of stakeholders and their relative power or influence. Whilst it difficult to please all stakeholders all the time, this model/tool helps manages prioritize their actions.

    model

C and D are the one should want to keep and make sure they are satisfied

A and B are the ones that put less effort and are more likely to get fired

  • Arbitration- both side agree to an independent parties decision

    decision is binding

    neither stakeholder will likely receive what they want