Project Management Institute –
Baltimore Chapter
“Managing Your Stakeholders
and Their Expectations”
Mike Berendt, PMP, RMP
February 15, 2012
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Acknowledgement
Thanks to Dr. James T. Brown for his
presentation at the PMI Leadership Institute
Meeting on 22 October 2012. His treatment of the
Art of Stakeholder Management provided the
inspiration for my own analysis. Dr. Brown is the
President of SEBA Solutions, a Registered
Education Provider for PMI.
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Agenda
 What does the PMBOK say?
 How do we Manage Stakeholder
Expectations?
 Identifying Stakeholders
 Listening to Stakeholders
 Focusing on the Customer
 Dealing with Problem Stakeholders
 Cultivating the Ideal Stakeholder
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From the PMBOK
PMBOK Process 10.1 Identify Stakeholders
“The process of identifying all people or organizations
impacted by the project, and documenting relevant
information regarding their interests, involvement,
and impact on project success”
PMBOK Process 10.4 Managing Stakeholder
Expectations
“The process of communicating and working with
stakeholders to meet their needs and addressing
issues as they occur”
PMBOK, Fourth Edition, pg 243
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PMBOK Stakeholders
 Customers/Users
 Sponsor
 Portfolio Managers/Portfolio Review Board
 Program Managers
 Project Management Office
 Project Managers
 Project Team
 Functional Managers
 Operations Management
 Sellers/Business Partners
PMBOK, Fourth Edition, pgs 23-27
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Power/Interest Grid
Used to Classify and Prioritize Stakeholders
High
Keep Satisfied
Manage Closely
Monitor
(Minimum Effort)
Keep Informed
Power
Low
Interest
High
PMBOK, Fourth Edition, pg 249
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Tools and Techniques for
Managing Stakeholders
Understand Communication Methods
 Formal/informal, upward/downward, lateral
 Use appropriate method for each stakeholder
Utilize Interpersonal Skills (Appendix G)
 Build trust, active listening,
 Resolve conflict, overcome resistance to change
Employ Effective Management Skills
 Presentation Skills – oral and written
 Negotiating with and among stakeholders
Use Issue Logs to document status and
outcomes on stakeholder requests
PMBOK, Fourth Edition, pg 264
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Issue Logs
Issue (Urgency/Impact)
Responsible Party (Owner)
Due Date for Resolution
Current Status
Issue Resolution
Review the Issue Logs at each Stakeholder
meeting
PMBOK, Fourth Edition, pg 263
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Managing Stakeholder
Expectations – Other Ideas
Assess Stakeholder Power
 Identify Stakeholders
 Listen to Stakeholders
Handle the Problem Stakeholders
 Build your credibility with the collective group
 Minimize distractions to the project
Build Relationships with and between
Stakeholders
 Cultivate Ideal Stakeholders
 Build the cohesive, “Performing” Team
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Identifying Stakeholders
Follow the Money! (Sponsor)
 Who is paying or saving?
 How do they feel about cost increases on the
project?
Follow the Resources! (Functional Mgrs.)
 Who is providing people, equipment, or supplies?
External, Internal
 What are their pain points?
Follow the Deliverables (Customer/User)
 Who is the recipient of the product or services?
 Do they need it perfect, on time, or within budget?
Where is the greatest risk to the project?
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Identifying Stakeholders
Review the organizational chart
Ask your team members who they believe
carries the most weight on decisionmaking for
the project
Look for the unofficial people of influence
 Most knowledgeable members of the team
 Institutional knowledge (longest tenure)
 Hardest, most diligent workers
 Informal leaders
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Listen to Your Stakeholders
Look for their pets:
 Pet peeves
 Pet projects
 Pet people
Determine:
 Their pain points
 How their performance is evaluated
 What they need to accomplish to have their boss
give them an “attaboy” or a promotion/raise
 How do we make this project a “win” for most
of our stakeholders? (NOTE: You can’t
please all of the people all of the time!)
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Listening Tips
Listen through the noise – what is the real
issue?
Distinguish between requirements and
solutions
Quality vs. quantity
 Talking to more people doesn’t always clarify the
problem.
 Look for the right people who can articulate the
issues and understand all viewpoints
 Don’t react based on the first report – look for
hidden agendas
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Focus on the Customer
Customer Satisfaction*
“Understanding, evaluating, defining, and managing
expectations so that customer requirements are met.
This requires a combination of conformance to
requirements (verification) and fitness for use
(validation)”
 We must not only “build it right”, we must “build the
right thing”
 The longer the time frame to complete, the more
likely that the original customer need will change
PMBOK, Fourth Edition, pg 190
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Customer Knowledge –
The Key Variable
“The Customer may not always be right, but
they are always the customer! “ USPS
“I have to build this system or deliver this
service, but I only have this much money”
The Government
“We have to develop it, prototype it, and get it
ready for market by 2nd Qtr or the competition
will get there first” Industry
“I don’t know what I want but I’ll know it when I
see it!” Your Customer
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How to help your Customer
 Let them know what to expect and what is expected of
them.
 Restate what you heard him say and get the customer
to validate that is what he wants
 Always take notes and provide minutes of customer
meetings (formal or informal)
 Look for exceptions, gaps, or holes
 Achieve consensus with the customer on capability
needs and requirements
 Needs beget requirements beget solutions beget
deliverables – Requirements Traceability Matrix is KEY!
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How to help your Customer
PMBOK Process 4.5 Perform Integrated Change
Control
“The process of reviewing all change requests,
approving changes, and managing changes to the
deliverables…”
Establish a Process and Enforce it!
Eliminate Scope Creep!
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Milestone Decisions
At each milestone in a project, you have three
possible decisions that affect how you deal with the
project going forward:
 KEEP
 MODIFY
 CANCEL
Consider classifying your stakeholders in the same way
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Problem Stakeholders
 The Meddling Stakeholder
 The Overbearing Stakeholder
 The Poor Stakeholder
 The Untrustworthy Stakeholder
 The Indecisive Stakeholder
One or more of
these will
show up on
every project!
 The Unavailable Stakeholder
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Meddling Stakeholder
 Develop “Rules of Engagement” for all stakeholders and
enforce them
 Written or verbal
 Document how often and what format will be used to
communicate with stakeholders (Plan Communications,
Stakeholder Management Strategy)
 Assess the cause for the meddling
 Does he not trust the Project Manager?
 Will his experience help in any way?
 If they insist on being involved, then involve them
 Some Stakeholders are just Control Freaks – Keep them
informed and let them participate without taking over
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Meddling Stakeholder
 Develop “Rules of Engagement” for all stakeholders and
enforce them
 Written or verbal
 Document how often and what format will be used to
communicate with stakeholders (Plan Communications,
Stakeholder Management Strategy)
 Assess the cause for the meddling
 Does he not trust the Project Manager?
 Will his experience help in any way?
 If they insist on being involved, then involve them
 Some Stakeholders are just Control Freaks – Keep them
informed and let them participate without taking over
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Overbearing Stakeholder
 Because of their position of power or personality,
they can be domineering and put the program at
risk
 Make sure this stakeholder does not destroy
other project relationships or teamwork
 Seek help with this one – look for another
stakeholder of equal power to neutralize this one
 Build the team – Build a “Performing”
organization that tolerates but largely ignores the
overbearing stakeholder – Let them have their
say but do what the group decides
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Overbearing Stakeholder
 Because of their position of power or personality,
they can be domineering and put the program at
risk
 Make sure this stakeholder does not destroy
other project relationships or teamwork
 Seek help with this one – look for another
stakeholder of equal power to neutralize this one
 Build the team – Build a “Performing”
organization that tolerates but largely ignores the
overbearing stakeholder – Let them have their
say but do what the group decides
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Poor Stakeholder
 Has interests and is impacted by the project but
has no significant budget authority
 May play politics in order to gain influence
 Understand his objectives
 Do they line up or conflict with more powerful
stakeholders?
 How do we leverage opportunities with him?
 His opinions may be a predictor of future issues
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Poor Stakeholder
 Has interests and is impacted by the project but
has no significant budget authority
 May play politics in order to gain influence
 Understand his objectives
 Do they line up or conflict with more powerful
stakeholders?
 How do we leverage opportunities with him?
 His opinions may be a predictor of future issues
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Untrustworthy Stakeholder
 Plays both sides, won’t stand by his word,
refuses to document anything with a signature
 Root cause may be fear of accountability,
inexperience, or ignorance
 Team must document all important
communication
 Solid Communication Plan
 Document decisions (Minutes and Action Items)
 Keep a record of his behavior
 Take Proactive action or partner with others
 Watch what you say – It may come back to you!
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Untrustworthy Stakeholder
 Plays both sides, won’t stand by his word,
refuses to document anything with a signature
 Root cause may be fear of accountability,
inexperience, or ignorance
 Team must document all important
communication
 Solid Communication Plan
 Document decisions (Minutes and Action Items)
 Keep a record of his behavior
 Take Proactive action or partner with others
 Watch what you say – It may come back to you!
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Indecisive Stakeholder
 Can never make decisions in a timely manner;
does not remain committed to previous decisions
 Set up processes and structures that clearly
communicate when the decision is required and
the impact of delays




Milestones on Schedules
Capture lost time/money due to delayed decisions
Action Logs and suspenses
What would your boss say if he knew that your inaction
was the primary reason the project could not deliver?
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Indecisive Stakeholder
 Can never make decisions in a timely manner;
does not remain committed to previous decisions
 Set up processes and structures that clearly
communicate when the decision is required and
the impact of delays




Milestones on Schedules
Capture lost time/money due to delayed decisions
Action Logs and suspenses
What would your boss say if he knew that your inaction
was the primary reason the project could not deliver?
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Unavailable Stakeholder
 Always “too busy” to participate when their input
or approval is required
 Usually the ones that question decisions or
challenge deliverables at pivotal points because
they become involved at the last minute
 Never available to help but always available to
critique the result
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Unavailable Stakeholder
 Always “too busy” to participate when their input
or approval is required
 Usually the ones that question decisions or
challenge deliverables at pivotal points because
they become involved at the last minute
 Never available to help but always available to
critique the result
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Unavailable Stakeholder
Strategies
 Keep a detailed log of efforts made to
communicate with this stakeholder
 Get them to delegate authority to someone they
trust to represent them
 Eliminate the excuses
 Maintain scheduled meetings and timeframes that do not
conflict with other events
 Publish schedules and topics well in advance and follow
up with email and phone reminders
 Find a way to include them without their physical
presence – Telecon, video-conferences, webinars
 One-on-one contact for important decisions – visit them
personally (respect their power)
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The Ideal Stakeholder
 Shows an interest in the project
 Makes themselves available when necessary
 Assigns qualified personnel to act on their
behalf when they are away
 Are willing to be held accountable
 Reviews and signs documents in a timely
manner
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The Ideal Stakeholder (cont)
 Prioritizes their requirements
 Tells you how best to communicate with them
 Doesn’t pressure the Project Manager to
circumvent the management prcesses
 Looks for opportunities to assist the project
team
 Helps motivate key personnel by showing their
appreciation for the project work
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The Ideal Stakeholder (cont)
 Prioritizes their requirements
 Tells you how best to communicate with them
 Doesn’t pressure the Project Manager to
circumvent the management processes
 Looks for opportunities to assist the project
team
 Helps motivate key personnel by showing their
appreciation for the project work
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Closing Thoughts
May all your stakeholders be the
Ideal Stakeholder!
However, this is the exception and not the
rule, so use your Stakeholder Register and
Issue Logs to Manage all of your
Stakeholders’ expectations, meticulously
documenting their concerns and how you
addressed them. At the end of the day, we all
want to see the project completed on time, on
budget, and with the level of quality desired!
Or do we………
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Questions???
Mike Berendt, PMP, RMP
Vice President – Programs
410-908-6777
Mike.Berendt@pmibaltimore.org
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