4.2.8 - Stakeholders

Question 1

Owners +

Answer 1

• Increased return on their investment and greater financial security
• Provide opportunities for business owners to use their leadership skills to connect with employees and develop strong interpersonal relationships
• Perceived more positively by employees if they implement change successfully

Question 2

Owners -

Answer 2

• Experience personal and financial implications
• Overwhelmed and stressed by increased workload and responsibilities associated with change
• May be resented if employee roles are made redundant or significantly changed (corporate culture)

Question 3

Managers +

Answer 3

• Opportunities to develop new skills or advance career
• Financial or non-financial rewards
• Increased authority and responsibility

Question 4

Managers -

Answer 4

• Increased workloads associated with change may lead to stress
• If change is unsuccessful a manager may lose their job and financial security

Question 5

Employees +

Answer 5

• New responsibilities and opportunities for career advancement that improve motivation and job satisfaction
• Improved job and financial security
• Financial or non-financial reward
• Additional training to provide with new skills, improving future employability

Question 6

Employees -

Answer 6

• Developing complex skills and learning difficult processes may increase stress
• Change relating to redundancy may lead to fear for their job or financial security
• May experience increased responsibility that employees are not prepared for

Question 7

Customers +

Answer 7

• Improve quality of goods and services (customer satisfaction)
• Change may allow for lower prices (customer satisfaction)
• New strategies may demonstrate corporate social responsibility

Question 8

Customers -

Answer 8

• Cheaper inputs will reduce business costs but may compromise quality (customer frustration)
• Dissatisfaction with increasing prices
• Discontinuing or changing goods or services may decrease if new product fails to meet their needs

Question 9

Suppliers +

Answer 9

• Supplier demand may increase if a business requires a greater amount of resources to meet its production needs

Question 10

Suppliers -

Answer 10

• If a business decides to switch to a different supplier or discontinue products a supplier’s sales may decrease (lowered volume orders from business)
• Business may require suppliers to involuntary adjust processes to meet new demands of the business

Question 11

General community +

Answer 11

• If a business change creates job opportunities, local employment rates will increase
• Business change involving opening or expanding to a new area can increase customer traffic and sales for surrounding business
• A business may have greater ability to contribute to local social causes
• Business change linked to reducing waste will reduce business’s environmental impact

Question 12

General community -

Answer 12

• Change involving redundancy will increase local unemployment rates and poverty levels
• If a business change involves store closure or relocation, customer traffic and sales for surrounding business may decrease
• If a business change involves switching to an overseas supplier, transporting inputs from another country can negatively impact the environment