5.3 Stakeholder Management
Key Takeaways
- Stakeholders are individuals, groups, or organizations that may affect, be affected by, or perceive themselves to be affected by the project
- Stakeholder identification should start as early as possible — ideally during initiating — and continue throughout the project
- The Power/Interest Grid categorizes stakeholders into four quadrants to determine engagement strategies
- Stakeholder engagement levels range from Unaware to Resistant, Neutral, Supportive, and Leading
- The stakeholder engagement assessment matrix compares current engagement levels against desired engagement levels
Stakeholder Management
Stakeholder management involves identifying stakeholders, analyzing their expectations and impact, and developing strategies to effectively engage them throughout the project.
Stakeholder Management Processes
| Process | Process Group | Purpose |
|---|---|---|
| Identify Stakeholders | Initiating | Identify all people and organizations affected by the project |
| Plan Stakeholder Engagement | Planning | Develop approaches to engage stakeholders |
| Manage Stakeholder Engagement | Executing | Communicate and work with stakeholders to meet their needs |
| Monitor Stakeholder Engagement | Monitoring & Controlling | Monitor stakeholder relationships and adjust strategies |
Who Are Stakeholders?
Stakeholders include anyone who may affect, be affected by, or perceive themselves to be affected by the project:
| Internal Stakeholders | External Stakeholders |
|---|---|
| Project sponsor | Customers/end users |
| Project manager | Government regulators |
| Project team members | Suppliers/vendors |
| Functional managers | Competitors |
| Senior management | Community members |
| PMO | Media |
Stakeholder Analysis Tools
Power/Interest Grid (Mendelow's Matrix)
This classifies stakeholders based on their power (authority to influence) and interest (concern about project outcomes):
| Low Interest | High Interest | |
|---|---|---|
| High Power | Keep Satisfied — Address their needs without overwhelming with details | Manage Closely — Engage fully and actively manage the relationship |
| Low Power | Monitor — Watch for changes in power or interest | Keep Informed — Provide regular updates and communication |
Salience Model
Classifies stakeholders based on three attributes:
- Power: Ability to impose their will
- Legitimacy: Involvement is appropriate
- Urgency: Need for immediate attention
Stakeholders with all three attributes are definitive stakeholders and require the highest priority.
Stakeholder Engagement Levels
| Level | Description | Behavior |
|---|---|---|
| Unaware | Does not know about the project | No engagement |
| Resistant | Aware but opposed to the project | Actively works against the project |
| Neutral | Aware but neither supportive nor resistant | Indifferent, will not help or hinder |
| Supportive | Aware and supportive of the project | Willing to help when asked |
| Leading | Aware and actively supporting project success | Champions the project, advocates for it |
Stakeholder Engagement Assessment Matrix
The assessment matrix compares the current engagement level (C) with the desired engagement level (D) for each stakeholder:
| Stakeholder | Unaware | Resistant | Neutral | Supportive | Leading |
|---|---|---|---|---|---|
| Sponsor | C, D | ||||
| IT Director | C | D | |||
| End Users | C | D | |||
| Vendor | C | D |
The gap between C and D represents the change needed in engagement strategy. Larger gaps require more effort to achieve the desired engagement level.
The Stakeholder Register
The stakeholder register documents all identified stakeholders and includes:
- Identification information (name, role, organization)
- Assessment information (power, interest, expectations, potential influence)
- Stakeholder classification (internal/external, supporter/opponent)
Exam Tip: The stakeholder register is one of the first documents created (during Initiating) and is continuously updated throughout the project as new stakeholders are identified and engagement strategies evolve.
According to the Power/Interest Grid, how should you manage a stakeholder with HIGH power and LOW interest?
Which stakeholder engagement level describes someone who actively works against the project?
When should stakeholder identification begin?