Corporate Communication “stakeholder Analysis” Oleh ; Juwono Tri Atmodjo

Corporate communication is a management function that offers a framework for the effective coordination of all internal and external communication with the overall purpose of establishing and maintaining favourable reputations with stakeholder groups upon which the organization is dependent. Corporate communications Winner (1993) is the strategic management process by which an organisation communicates with its various audiences to the mutual benefits of both and to its improved competitive advantage.

A stakeholder refers to persons or groups that affect, or are affected by, an organization’s decisions, policies, and operations A Stakeholder is any individual, group or institution who is affected by a project in a positive or negative way; or Any individual, group or institution that has an interest (or stake) in the project

Internal stakeholders Employees Directors Shareholders Trade Unions Managers Owners Employee associations

External stakeholders Suppliers Competitors Government Associations Customers Banks Financiers Society

Satisfied stakeholders tend to demonstrate loyalty and remain with the organisation Disappointed stakeholdersoften relinquish their stake in the organisation sometimes stakeholders remain with the organisation and attempt to use their sources of power to persuade the organisation to change Identify key stakeholders Be aware of stakeholder power and interest Plan to meet stakeholder needs and expectations

Why Analyse Stakeholders? Understand your clients/beneficiary interests, needs and capabilities Clarify all groups that might have an interest in a project or project concept Identify potential opportunities and threats to project implementation Determine the extent to which certain groups should participate in project planning, implementation and evaluation

Steps in Analysing Stakeholders 1. Identify important stakeholders and their interests 2. Assess the power and influence of stakeholders in relation to the project 3. Determine appropriate project response to each stakeholder/group 4. Plan which stakeholders will participate in the project cycle, when and how 5. Start to identify risks from stakeholders 6. Develop strategy for building participation and stakeholder commitment.

Figure 11.3 Power and interest matrix Source: Johnson, G and Scholes, K (1999) Exploring Corporate Strategy, 5th edition, Prentice Hall Europe. Reprinted with permission. Usaha Minimal Dipuaskan Pemain kunci /pengambil keputusan Memperhatikan/mengawasi

Category D Category D players (key players) are often involved in managing the organisation Needs of key players should be given high consideration as they have power to veto plans Category C Institutional shareholders often fall into Category C and must be kept satisfied Category C stakeholders are generally passive - difficulties arise if their level of interest is underrated

Category A Category A stakeholders have low power and interest, and the organisation need only invest minimal effort Category B stakeholders: - have low power individually - have their needs addressed via information

stakeholder expectations Shareholders and pension funds want big profits Employees want more pay Local governments want people employed Production managers want investment in new technology National Government wants tax Pressure groups want ‘green’ improvements