Financial Management

What do you understand by the phrase “stakeholder analysis”? Attempt a stakeholder analysis of an organisation that you are closely associated with.

Introduction

Stakeholder analysis is important for successful implementation of projects and/or strategic activities within any organisation. It is used to analyse the stakeholders in order to understand them and classify them according to their power, influence and interest. Stakeholders are people who have an interest in a commercial entity including those within the organisation and outside. These include the boss, senior executives, customers, suppliers, government, your co-workers, the team and others. All these people are important in the implementation and success of strategy.

The tool stakeholder analysis is used to: -

• Identify people or groups and institutions that will influence your initiative

• Anticipate the kind of influence, positive or negative, these groups will have on your initiative

• Develop strategies to get the most effective support possible for your initiative and reduce any obstacles to successful implementation of your program.

The following are steps that may be followed in using stakeholder analysis:

INDENTFY THE STAKEHOLDERS

There is need to think of all people who are to be affected by the project or strategy, those who have influence or power over it or have an interest in its successful or unsuccessful conclusion. Stake holders for Delta corporation include:-

 Government departments( Zimra, RBZ, Min of industry trade and commerce, ministry of sports and culture)

 Municipal authorities

 Standards association

 Customers

 Employees

 Management

 Trade union

 National employment council

 Directors and shareholders

 Suppliers

 The community and the public

 My family and extended family

 Lenders and interest groups among others.

The process of analysing stakeholders requires that you will need

to