10.1 Identify Stakeholders

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10.1 Identify Stakeholders
• The process of identifying all people and organisations
involved in or impacted by the project
• Stakeholder information is gathered including their
interests, involvement and potential impact on project
success
• Includes diverse groups such as customers, sponsors,
impacted management, impacted staff, external
organisations and sometimes even the public or press
• Stakeholders can positively or negatively impact the
project
• Occurs during Planning
Monitor
Initiation
Planning Execution
Close
Control
Adapted from PMBOK 4th Edition
BSBPMG507A Apply Communication Management Techniques
Definition of Project Stakeholders
• Stakeholders are persons or organisations who are
actively involved in the project or whose interests may be
positively or negatively affected by the performance or
completion of the project.
• Stakeholders may also exert influence over the project,
its deliverables and the project team members.
• The project management team must identify both
internal and external stakeholders in order to determine
the project requirements and expectations of all parties
involved.
• The Project Manager must manage the influence and
expectations of the various stakeholders to ensure a
successful project outcome.
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Stakeholders and the Project
Other
Stakeholders
Project Stakeholders
Portfolio
Manager
Functional
Managers
Project
Sponsor
Project Team
Program
Manager
Project
Management
Office
Project
Management
Team
Project
Manager
Operations
Manager
Project
Team
Business
Partners
Customers
The Project
PMBoK Guide – Fourth Edition, figure 2.6
BSBPMG507A Apply Communication Management Techniques
Stakeholder Identification
• Identifying stakeholders and understanding their relative
influence on a project is critical.
• It can be difficult
• Stakeholders can change over time and new ones can
be identified during the project
• Stakeholder expectations and power can also change
during the project
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Internal and External Stakeholders
Suppliers
Business
Partners
Other
Stakeholders
Customers
Sub
Contractors
Government
Public
Competitors
External Stakeholders
The Project
Internal Stakeholders
Functional
Managers
Project
Management
Office
Program
Manager
Other
Stakeholders
Portfolio
Manager
BSBPMG507A Apply Communication Management Techniques
Operations
Manager
10.1 Identify Stakeholders
• Inputs to Identify Stakeholders  Project Charter
 Procurement Documents and Contracts
 Enterprise Environmental Factors
– Organisation culture and structure
– Government regulations and
– Industry standards
 Organisational Process Assets
– Stakeholder register templates
– Lesson learned from previous projects
– Stakeholder Registers from previous projects
• Tools and techniques to Identify Stakeholders –
Stakeholder
Analysis
Expert
Judgement
Adapted from PMBOK 4th Edition
BSBPMG507A Apply Communication Management Techniques
10.1 Identify Stakeholders
Stakeholder Analysis
• The process of systematically gathering and analysing information to
determine whose interests should be taken into account throughout
the project
• It identifies the interests, expectations and influence of the
stakeholders
• Looks at stakeholders with positive and negative feelings towards
the project
Step 1 - Identify all potential project stakeholders
Step 2 – Identify Power and Impact of each stakeholder
Step 3 – Assess likely stakeholder reactions and plan to get support
Adapted from PMBOK 4th Edition
BSBPMG507A Apply Communication Management Techniques
Steps in Stakeholder Analysis
1.
Identify all potential stakeholders and information
about them

Understand their role and authority levels

Identify their interest and expectations

Key stakeholders are easily identified as they appear in the
project governance and structure chart

Key stakeholders include anyone in a decision-making or
management role that will be impacted by the project

Interview key stakeholders to identify more stakeholders

Positive stakeholders can be leveraged to enhance project
success

Negative stakeholders need to be encouraged to support the
project, or at least be neutral
BSBPMG507A Apply Communication Management Techniques
Steps in Stakeholder Analysis
2.
Identify Stakeholder Power and Interest

Classify stakeholders

Plan approach to stakeholder management depending on
their power and interest

Identify stakeholder communication requirements

Complete the Stakeholder Power & Interest Grid

It is critical to understand their roles or positions, interests,
expertise, expectations and levels of influence
BSBPMG507A Apply Communication Management Techniques
Steps in Stakeholder Analysis
3.
Assess likely stakeholder reactions

Identify stakeholder related risks

Monitor and control stakeholder related risks

Develop risk management plans and mitigation strategies
to reduce negative impacts

Complete the Stakeholder Register and determine
management strategy

Positive stakeholders can be leveraged to enhance project
success

Negative stakeholders need to be encouraged to support
the project, or at least be neutral
BSBPMG507A Apply Communication Management Techniques
High
Stakeholder Power & Interest Grid
Manage
Closely
Power
Keep
Satisfied
Keep
Informed
Low
Monitor
(minimum effort)
Low
Interest
High
PMBoK Guide – Fourth Edition
BSBPMG507A Apply Communication Management Techniques
Expert Judgement
• Stakeholders are normally uncovered through
discussions with the key stakeholders and the list should
be expanded until all potential stakeholders are identified
– e.g staff or customers impacted by the project, third
party suppliers, finance and legal departments
• It can be difficult to identify all the stakeholders
• Different experts who should be consulted include Senior
Management
Key
Stakeholders
Industry
Groups
Other
Project
Managers
Consultants
BSBPMG507A Apply Communication Management Techniques
Subject
Matter
Experts
Professional
Associations
PMO
10.1 Identify Stakeholders
• Outputs of this process include –
 Stakeholder Register
– Identification information
– Assessment information
– Stakeholder Classification
 Stakeholder Management Strategy
– Defined approaches to increase support or decrease negative impacts
 Stakeholder Analysis Matrix
– Takes the results of the above and the Power and Interest assessment
– Summarises and organises into a register or table
– Includes potential strategies to gain support or reduce negative impacts
Adapted from PMBOK 4th Edition
BSBPMG507A Apply Communication Management Techniques
Stakeholder Register or
Stakeholder Analysis Matrix
• First step in communication planning
• Includes expectations (interests) and management
approach (strategies)
• Content can be very sensitive
• Discretion is required regarding access to the document
and distribution lists
Stakeholder
Stakeholder name and
position title
Stakeholder Interests
in the Project
Areas of interest –
functional,
operational, specific
project outcome or
key knowledge area
Assessment of Impact
and Authority
Using the Power and
Interest Grid to determine
level of authority and also
level and type of impact
(positive or negative)
Potential strategies for gaining
support and reducing objections
Specific actions planned to
gain support and reduce
objections, leverage supporters
and neutralise detractors
Adapted from PMBOK 4th Edition
BSBPMG507A Apply Communication Management Techniques
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