Stakeholder Analysis

Why this session? We believe stakeholder participation is useful We hope to strengthen your skill in stakeholder participation How will we do this?  Present ideas about stakeholder participation (why?-to open our eyes…)  Conduct exercises (why?-we believe in learning by doing and learning through dialogue): Purpose of session – and content

14.30 Introduction of some ideas… and intro to exercises Health break Stakeholder analysis exercise Individual (Stakeholder Table) Group (share views); Present/discuss Preparation for Field Trip Session schedule

 What is a stakeholder?  Why stakeholder participation?  What is participation?  Why stakeholder analysis?  How to do a stakeholder analysis? Some ideas… and introduction to exercises

Stakeholders are those who have an interest in and/or affected by a particular decision, either as individuals or representatives of a group. This includes people who influence a decision, or can influence it, as well as those affected by it. Rights Stakeholders should be able to participate meaningfully in decision making Responsibilities Stakeholders should play their part in delivering sustainable development What is a stakeholder?

Those who are affected by the project…. And those we depend on for its success… User group – people who use the resources or services in an area Interest groups – people who have an interest in, or who can affect the use of a resource or service Beneficiaries of the project/service Decision-makers Those often excluded for the decision-making process Stakeholder grouping – could include…

Ex. Small scale water diversion project… Use – who uses or benefits from the use of the resources…? Economics – who may win or lose as a result…? Mandate – who makes decisions, who has rights… Proximity – who lives near the resources… Values – who may have strong beliefs about specific use…? Stakeholders – who?

Dept. of Infrastructure Irrigation user group Mining Company Ministry of health Government Local Local community Financing institution Ministry of Finance Irrigation department Water supply company NGO biodiversity Hydropower company Int. donors Can we achieve... sustainability? Economic Ecological Social Common goal - sustainability

The Dublin principle*… Water development and management should be based on a participatory approach, involving users, planners and policy-makers at all levels i.e. manage water with people – and close to people * Why stakeholder participation?

The Dublin principle… Women play a central role in the provision, management and safeguarding of water. i.e. involve women all the way Why stakeholder participation?

 Involvement of relevant stakeholders holds the promise of improving the management of water resources and reducing the potential for conflict over water issues why so…  Participatory approaches can enhance project quality, ownership and sustainability however…  Involvement of stakeholders does not mean that people will agree, but rather that they will be motivated to resolve conflicts by arguments rather than other means. Why stakeholder participation?

Benefits to planners -Good basis for accountability -More information and understanding of context Benefits to decision-makers -Informed and improved decisions -Legitimacy of governance improved Benefits to developers -Save costs as issues are identified upfront -Community relations improved -Developers’ image and reputation enhanced Benefits to civil society -Capacity building and new knowledge through participation -More sustainable development

Improved quality of decision-making (expands the knowledge base for decisions) Improved credibility and public support (helps to build broad-based consensus) Improved implementation and monitoring (supplements scarce government resources) Early warning of potential challenge (identify and address problems at an early stage) Why stakeholder participation?

Type of participation/ Stages in projects InformConsultPartnershipControl Identification/context analysis DonorWomen Local water authority Project staff Design Implementation and monitoring Reviewing Evaluation Appropriate level of participation for different stakeholders

 Participation takes place when stakeholders are part of the decision-making process  Participation requires that stakeholders at all levels of the social structure have an opportunity to participate in the decision-making process  A participatory approach is the only means for achieving long-lasting consensus and common agreement  It is about taking responsibility, engaging and informing - Global Water Partnership What is Participation?

The objectives of stakeholder analysis:  Improve the project’s understanding of the needs of those affected by a problem  Reduce, or hopefully remove, potential negative project impacts  Identify who should be encouraged to take part in the project planning and implementation  Identify and reduce risks which might involve identifying possible conflicts of interest and expectation among stakeholders so that conflict is avoided Why stakeholders analysis?

…the stakeholder analysis seeks to answer:  Who are the key stakeholders?  What are their interests and influence? Develop strategic measures…  How should we best engage with various stakeholders?  Who needs their capacity built to be able to participate meaningfully? How to do stakeholder analysis?

Anticipate the kind of interest/influence (positive or negative) the key stakeholders may have on the project. “Interest” could be described in terms of potential costs and benefits “Influence” in terms of power/control How to do stakeholder analysis? Continued…

Stakeholders Example: Rural water supply project Interest in process/ project +/- (affected) Influence on process/ Project +/- (power) How to engage? Stakeholder needs for awareness and/or capacity building Village women + Easy access to clean water + Direct user - Less social + Direct user - Little voice in community Stakeholder identification, analysis and strategic considerations

High Low Influence List of stakeholders 1.X 2.X 3.X 4.X 5.X 6.X 7.X 8.X 9.X 10.X Interest Group work – map stakeholders

High Low Influence High Interest Map stakeholders

High Low Influence High Interest Key players: Very interested in the project, and high impact on decision- making Map stakeholders

High Low Influence High Interest Key subjects: Very interested in the project, but little influence Less impact on Decision-making Map stakeholders

High Low Influence High Interest Key setters: Not so interested in the project, but has high influence. Impact on decision making Could be a risk? Map stakeholders

High Low Influence High Interest Crowd Less important Map stakeholders

Group Exercise (20 min)  Identify the five most important stakeholders in your Change Project  List their main interests and influence  Insert them in the Stakeholder Map  Present group output Exercise 1

No information -Culture of secrecy Sufficient information accessible -Open door policy -Fears -Mistrust -Understanding -Trust -Conflict-Cooperation -Joint problem solving -Better decisions TIP – Information provision to stakeholders

 Early engagement of stakeholders  Transparency and honesty  Independent facilitation  Special efforts for marginalized people  Accessibility (information, venues, comments)  Ongoing feedback and fairness TIP – Good practice of stakeholder participation

The objectives of stakeholder analysis:  Assist in assessment of how project objectives and activities relate to the different interests of various people, groups and organizations.  Give information about how different groups will be affected by (and potentially react on) the project – and thus assist in identifying critical points that might endanger the anticipated outcome.  Identify and assess the importance of key people, groups and organizations that may significantly influence (positive or negative) the success of the project.  Provide the basis for developing strategies to get the most effective support possible for the initiative and reduce any obstacles to successful implementation  Provide the basis for developing strong communications, education and outreach material, for preventing conflicts, and for developing strategic relations throughout project development and implementation. TIP – Why stakeholders analysis?

Stakeholders are not only those who shout the loudest. Those who are often excluded from the decision- making process due to age, gender or ethnicity are those who are most likely to lose out if they are not included in the project planning. We need to think about how to ensure that these stakeholders are also involved… But… very seldom… people are powerless… and they have responsibility to engage themselves TIP – Stakeholders – who…?