1. Stakeholders and stakeholder analysis
Project Cycle Management
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A short training course in project cycle management for
subdivisions of MFAR in Sri Lanka
MFAR, ICEIDA and UNU-FTP
Icelandic International Development Agency (ICEIDA)
Iceland
United Nations University Fisheries Training Programme (UNU-FTP)
Ministry of Fisheries and Aquatic Resources (DFAR)
Sri Lanka

2. Content Definition of stakeholder and stakeholder analysis
Examples of stakeholders
How to categorize and evaluate stakeholders
Example of stakeholder analysis. A case study on post harvest losses

3. Learning objectives
After this lecture participants will be able to identify, categorize and evaluate key-, primary- and secondary stakeholders and carry out a stakeholder analysis

4. Stakeholder analysis
A stakeholder analysis is a technique to identify and assess the importance of key people, groups of people, or institutions that may significantly influence the success of an activity or project

5. What is a stakeholder?
A stakeholder is any individual, community, group, or organization with an interest in the outcome of a programme, or a project, either as a result of being affected by it positively or negatively, or by being able to influence the activity in a positive or negative way
Tools for Development / Version 15 / September 2002 pg. 2.1.

6. Organizational stakeholders? ? 
NGO´s
International Developmental Agencies
NARA ?
Here we have an example of a pool of organizational stakeholders. This is a general example.
Now, if we would for example change this illustration and put NARA instead a Organization (Click 1.)
Then we should talk about stakeholders instead of Customers (Click 2.)
We would probably take out Shareholders (Click 3.)
We would probably change Competitors into supportive NGO’s (Click 4.) or other international developmental agencies (Click 5.)
We have to analyze all possible stakeholders individually, We might have to review our previous work more that once (Click 6.)
If you do the stakeholder identification in a group, then you have a better overview
We have to do this kind of analyze individually for the subject that we are focusing on. First we do it as we have done here, identify all possible stakeholders. Later we will categorize them.
Note. In the figure . And so on ? ?
AND CONT..

7. Stakeholder analysis Identification of all stakeholders involved
stakeholders which may be affected by the problem or the project are identified
Categorization of the stakeholders
all relevant stakeholders are categorized according to criteria relevant for the specific project (active, beneficiaries, affected, supporters, opponents)
Detailed analysis of selected stakeholders
more detailed analysis of selected stakeholders (characteristics, relations, interest, power)
Now we are going to present an example of a stakeholder analysis. Here we can see the what stakeholder includes.

8. Stakeholder analysis for post harvest losses
To give you an example we are using our case study for post harvest losses in Sri Lanka.
First we identify all possible stakeholders (this is not the complete list, there migth be others or more!)

9. Categorization of stakeholders
Key stakeholder
Those who can significantly influence or are important to the success of an activity
Primary stakeholder
Those individuals and groups who are ultimately affected by an activity, either as beneficiaries (positively impacted) or those adversely impacted
Secondary stakeholder
All other individuals or institutions with a stake, interest or intermediary role in the activity
Secondly we have to group all the identified stakeholders. This type of categorization of stakeholders is probably the most common one. But depending on the project you might want to alter or add the name of the groups. But the most important thing is to categorize stakeholders into logical groups.

10. Post harvest losses
Here we can see how stakeholders were categorized into the three groups. And once again, you might want to modify this categorization.

11. This is a more detailed illustration of the previous slide
This is a more detailed illustration of the previous slide. You can see how we open up the boxes that contain Government, Community based organizations and Private service businesses. In addition, you can see how they interlink. E.g. the DFAR and the Fishermen Cooperative societies interlink because they work closely together, but do not share their interests.
Note – change in figure: Other government bodies
Fishermen cooperative societies
Private service businesses
Motor/engine services
Fuel suppliers

12. Characteristics of stakeholders
In the process of having identified stakeholders and organized them into groups, and looked into their inter-linkages we have brought together a lot of information. To be able to organize our selves and our understanding of what interests each stakeholder has, we fill in the table of Characteristics of stakeholders.
Here we look at
Basic characteristics
Interests and how the stakeholders are affected by the problem (n.b. that this is the same problem that we work with in all types of analyses)
Capacity and motivation to bring out changes (why should the stakeholder be interested on bring about changes? What can they do to about it?)
Then in the last column we look at possible actions to address stakeholder interests. There we take a look at, in a realistic way, what we as a group or what can our project do to address stakeholder interests. Here we analyze what we can do to influence stakeholders. For example, how can we explain to the stakeholdes that by changing certain procedures they can affect THE PROBLEM in a way that will benefit them. In that way we may motivate the stakeholders in the same time.

13. Importance / Influence of stakeholders
The Importance / Influence Matrix is a X,Y graph where influence is on the x-axis increases along the axis. That is the longer you go to the right the more influence stakeholders have.
The Y-axis is the importance, the higher you move up the more important is the stakeholder.

14. Importance / Influence Matrix
Shows stakeholders of high importance to the activity who can also significantly influence its success. Managers will need to develop good working relationship with these stakeholders to ensure an effective coalition of support for the activity
Shows stakeholders of high importance to the activity, but with low influence.
They require special initiatives if their interests are to be met
Shows stakeholders with high influence, who can affect outcome of the activity, but whose interest are not the target of the activity
These stakeholders may be able to block the activity and therefore constitute a killer risk
This is the same Matrix as the one we had in the last slide. The difference is that here we have divided the XY, graph into four boxes but we still have the same logic.
What is a killer risk?
B: Managers will have to devlop good working relationships...
D: who can affest the outcome.. whose interests..
Shows stakeholders who are of low priority but may need limited monitoring
They are unlikely to be the focus of the activity

15. Importance / Influence matrix
Those included in Boxes A, B and D are the main stakeholders in the activity
They can significantly influence it or are the most important stakeholders if the activities/objectives are to be met
Stakeholders in box C are low priority but may need limited monitoring
Shows stakeholders who are of low priority but may need limited monitoring
They are unlikely to be the focus of the activity

16. Influence / Importance of stakeholders Post Harvest Losses
Key Stakeholders
Fishers
Boat owners
Aquaculture producers
Government
Primary Stakeholders
Community based organizations
Fish markets - retail outlets
Fish exporters
Ice suppliers
Secondary Stakeholders
Boat/ship builders and designers
Harbor management
Private service business
Fish buyers
Here we see how the case study arranged the importance / influence Matrix for Post harvest losses.
We take the list where we already have categorized the stakeholders and put them into the matrix as we see fit.
We can also see how fishers and aquaculture producers fall into group A even though they are primary stakeholders. That is because they do not have enough influence.

17. References
Department for international development (2002). Tools for development: A handbook for those engaged in development activity. Downloaded 1st March from:
European Commission (2004). Project Cycle Management Guidelines. Downloaded 1st March from:
Management Science for Health (1998). Stakeholder Analysis. Downloaded 25th of May 2007 from:
Tools for Development / Version 15 / September 2002 pg. 2.1.