Stakeholder

Engagement
PHRCM-5
(AHAD NAZIR)
STAKEHOLDERS –
PRINCIPLE,
DOMAIN &
MODELS OF
PROJECT
MANAGEMENT
STAKEHOLDER
S PRINCIPLE &
PERFORMANC
E DOMAIN
PROJECT
STAKEHOLDER
S
Terminology
Stakeholder

• An individual, group, or organization that may affect, be affected by, or perceive itself to be affected by a decision, activity, or
outcome of a project, program, or portfolio
• Stakeholders also directly or indirectly influence a project, its performance, or outcome in either a positive or negative way
• A project can have a few to millions of stakeholders

Stakeholder Analysis

• A method of systematically gathering and analyzing quantitative and qualitative information to determine whose interests
should be taken into account throughout the project.

Stakeholder Engagement

• Entails working collaboratively with stakeholders to introduce the project, elicit their requirements, manage expectations,
resolve issues, negotiate, prioritize, problem solve, and make decisions
• Engaging stakeholders requires the application of soft skills, such as active listening, interpersonal skills, and conflict
management, as well as leadership skills such as establishing the vision and critical thinking.
Project Areas Affected/Influenced by
Stakeholders
Revealing the need to add, adjust, or remove elements of the scope and/or project
Scope/Requirements requirements

Offering ideas to accelerate delivery or by slowing down or stop delivery of key

Schedule project activities

Helping to reduce or eliminate planned expenditures or by adding steps,

Cost requirements, or restrictions that increase cost or require additional resources

Restricting or enabling access to people with the skills, knowledge, and experience
Project Team needed to deliver the intended outcomes, and promote a learning culture

Providing information for plans or by advocating for changes to agreed activities

Plans and work

Outcomes Enabling or blocking work required for the desired outcomes

 Establishing or influencing—or even defining—the level and character
Culture of engagement of the project team and broader organization

Generating and identifying long-term goals so that the project delivers

Benefits Realization the intended identified value

Defining the risk thresholds of the project, as well as participating in

Risk subsequent risk management activities

/
Quality Identifying and requiring quality requirements

Success Defining success factors and participating in the evaluation of success

Project Areas Affected/Influenced by

Stakeholders
Stakeholders, and degree of their Interest, Influence, or Impact,
may change during project life cycle

Important
Stakeholders are identified, analysed and proactively engaged Aspects of
throughout the project life cycle.
Stakeholder
Management
Stakeholders, especially those with a high degree of influence
and who have an unfavorable or neutral view about a project,
need to be effectively engaged so that their interests, concerns,
and rights are understood, and addressed
Important Aspects of Stakeholder
Management
Effective Stakeholder Engagement contributes to Project Success.

Project teams are a group of stakeholders

This group of stakeholders engages other stakeholders to understand, consider, communicate,

and respond to their interests, needs, and opinions

Effective and efficient engagement and communication include determining how, when, how
often, and under what circumstances stakeholders want to be—and should be—engaged.
Important Aspects of Stakeholder
Management

Communication is key to effective Stakeholder Engagement which includes building and

maintaining solid relationships, and collaboration, through frequent, two-way communication,
interactive meetings, face-to-face meetings, informal dialogue, and knowledge-sharing activities

However, Engagement delves deeper than communication, and includes awareness of the ideas
of others, assimilation of other perspectives, and collective shaping of a shared solution.
Important Aspects of Stakeholder
Management
Stakeholder Engagement relies heavily
These skills and attitudes can help
on interpersonal skills, including taking
everyone adapt to the work and to
initiative, integrity, honesty,
each other, increasing the likelihood of
collaboration, respect, empathy, and
success
Confidence

This creates shared understanding and

alignment, which enables project
Engagement helps project teams
outcomes. Additionally, these activities
detect, collect, and evaluate
help the project team to tailor the
information, data, and opinions
project to identify, adjust, and respond
to changing circumstances
Important Aspects of Stakeholder
Management

PROJECT TEAMS ACTIVELY ENGAGE OTHER STAKEHOLDER ENGAGEMENTS ALSO ENABLE ENGAGING OTHER STAKEHOLDERS HELPS THE
STAKEHOLDERS THROUGHOUT THE PROJECT TO OPPORTUNITIES FOR STRONGER PROJECT PROJECT TEAM TO FIND SOLUTIONS THAT MAY
MINIMIZE POTENTIAL NEGATIVE IMPACTS AND PERFORMANCE AND OUTCOMES IN ADDITION BE MORE ACCEPTABLE TO A BROADER RANGE
MAXIMIZE POSITIVE IMPACTS TO INCREASING STAKEHOLDER SATISFACTION OF STAKEHOLDERS
STAKEHOLDER
ENGAGEMENT
Includes implementing strategies and actions to promote
productive involvement of stakeholders

Stakeholder engagement activities start before or when the

project starts and continue throughout the project
/

Defining and sharing a clear Vision at the start of the project can
enable good relationships and alignment throughout the project

Stakeholder engagement
Agreeing to a clear vision may prove challenging,
especially with stakeholders who are not in favor
of the project or its intended outcomes
Stakeholder
engagement
Effective Stakeholder Engagement involves
several steps as depicted
Stakeholder Engagement-identify

High-level stakeholder identification done prior to forming the project

team; detailed stakeholder identification progressively elaborates the
initial work and done throughout the project

Some stakeholders are easy to identify, such as the customer, sponsor,

project team, end users, and so forth, but others can be difficult to
identify when they are not directly connected to the project (Hidden
Stakeholders).
Stakeholder engagement-Understand &
Analyze
Understanding and analyzing stakeholders can help ascertain
additional Threats or Opportunities for the project Outcomes

The stakeholder attributes needing understanding and analysis are:

• Personal Attributes: Feelings, emotions, beliefs, and values

• Positional/Perspective Attributes: Power, Impact, Attitude, Beliefs, Expectations,
• Degree of influence, Proximity to the project, Interest in the project, and other
aspects surrounding stakeholder interaction with the project
Stakeholder engagement-Understand &
Analyze

Collective analyses of stakeholders as to how they interact with each other also helps
as they often form alliances that help or hinder the project’s objectives

Analysis work held and documented in-confidence since the information could be
misinterpreted or misused outside the context for the analysis, to the detriment of the
project
Stakeholder
engagement-Pri
oritize/Classify
Usually done in terms of Stakeholders’
Positional/Perspective attributes,
particularly Power and Interest
Stakeholder engagement-engage
Here engagement is in terms of working collaboratively with stakeholders to
introduce the project, elicit their requirements, manage expectations, resolve
issues, negotiate, prioritize, problem solve, and make decisions

Engaging stakeholders requires the application of soft skills, such as active

listening, interpersonal skills, and conflict management, as well as leadership skills
such as establishing the vision and critical thinking

Communication key to effective engagement

 Engagement Strategies regularly
Stakeholders, their attributes regularly
monitored for their amount and
monitored for any changes
effectiveness

Stakeholder satisfaction with the

/ deliverables and overall project
Negative variances in Engagement management regularly monitored,
controlled through revised strategies through conversations, Project and
Iteration Reviews, Product Reviews,
Stage Gates, Surveys, KPIs, etc.

Stakeholder engagement-Monitor &

Control
Controlling stakeholder engagement
tools and techniques-data analysis

Alternatives Analysis Root Cause Analysis Stakeholder Analysis

To evaluate options to respond to To determine the basic To determine the position &
Variances in the desired results of underlying reason that SHE is not stakes of Stakeholder groups and
SHE having the Planned Effect individuals at any particular time
in the project
Controlling stakeholder engagement tools
and techniques-data Representation

Stakeholder Engagement Assessment Matrix monitors stakeholder

engagement through tracking changes in Level of Engagement for each
stakeholder

Power-Influence, Power-Interest & Influence-Impact grids

Stakeholder Classification Models Stakeholder Cube
Include Salience Model
Controlling stakeholder engagement tools
and techniques-communication skills

Feedback Presentations
Ensure that the information to stakeholders is Provide clear information to Stakeholders
received and understood
Controlling stakeholder engagement tools
and techniques-interpersonal & team skills
Active Listening Reduce misunderstandings & miscommunication

Project Manager plan communications based on the cultural differences and

Cultural Awareness & Cultural Sensitivity requirements of stakeholders and team members

Successful SHE requires strong leadership skills to communicate the vision and
Leadership inspire stakeholders to support the work and outcomes of the project

Networking Ensures access to information about Levels of SHE

Understand the strategies of the organization, understand who wields power

Political Awareness and influence in this arena, and to develop an ability to communicate with these
Stakeholders
Controlling stakeholder engagement
tools and techniques-meetings

Include Status Meetings, Standup Meetings, Retrospectives, etc.,

as agreed upon in the SHE plan to monitor and assess SHE levels

Face-to-face ideal, but expensive; Teleconferencing and Video

conferencing suitable alternatives
STAKEHOLDER
CLASSIFICATION
MODELS
POWER &
INTEREST GRID
Stakeholder Cube
A refinement of the 2-D grid models: Power-Interest,
Power-Influence, Impact Influence; or 3-D Salience model

Combines 3 grid Elements – Power, Interest & Attitude – into

nodes of a cube, depicting level of element (min to max, -ve to +ve)

Helps in identifying and engaging stakeholders, and devising their

engagement strategy
STAKEHOLDER
CUBE
SALIENC
E MODEL
SALIENC
E MODEL
Some Stakeholder Engagement
Strategies
Depending on the
nature/status of the Good Sharing Project
Project Visits
SHs, and the given communication Status Reports
situation

Responding to their
Inviting them to Giving importance
Meetings Queries, promptly
Milestone Parties to their Advice
& correctly

Addressing their Inviting them to Presenting Project

Resolving Conflicts
Concerns Review Meetings Accounts
Reviewing Strategy Some
Stakeholder
Staying Engaged; never burning bridges; Engagement
remaining mentally ready to face -ve comments
or difficult situations*; and devising suitable Strategies
response
Some Stakeholder Engagement
Strategies
”This isn't what we wanted!”

“Where did you learn your Project Management from?”

"No, you have to do it this way.“

"When this project fails, don't say I didn’t warn you.”

Supports comparison between the Current Engagement Levels of Stakeholders and the Desired Engagement Levels, for
successful project delivery

Unaware Unaware of the Project and potential Impacts

Aware of the Project and potential Impacts but resistant to any Changes that may
Resistant occur as a result of the work or outcomes of the project
Will be unsupportive of the work or outcomes of the Project

Neutral Aware of the Project, but neither supportive nor unsupportive

/
Aware of the project and potential Impacts and supportive of the work and its
Supportive outcomes

Aware of the Project and potential Impacts and actively engaged in ensuring that
Leading the Project is a success

Stakeholder Engagement Assessment

Matrix
Stakeholder Engagement Assessment
Matrix
Current & Desired Engagement Levels indicated by
‘C’ and ‘D’ respectively

Gap between ‘C’ & ‘D’ directs the Level of

Communications necessary to effectively engage
the Stakeholder
Closing of Gap between ‘C’ & ‘D’ an essential
element of Monitoring Stakeholder Engagement
Manifestations of Poor Stakeholder
Engagement
Variances

Change Requests

Swelling Issue Log

Stakeholder incommunicado or indifferent

Stakeholder not providing required information, leading to delays

 Thank you

10/13/2023 PROJECT HR AND COMMUNICATION MANAGEMENT 39