Engagement with Stakeholders

Question 1

What is a stake?

Answer 1

A stake is an interest or a share in an undertaking

Question 2

What is a stakeholder?

Answer 2

A stakeholder is an individual or a group with an interest that can affect, be affected by or perceive itself to be affected by a project.

Question 3

What is an internal stakeholder?

Answer 3

An internal stakeholder is a member of the project coalition (ally), a finance provider, or have a legal or contractual relationship with the project.

Question 4

What is an external stakeholder?

Answer 4

An external stakeholder is a person or group who influence or are influenced by the project but are not normally engaged in transactions or the survival of the project.

Question 5

Why can a government be counted as a stakeholder?

Answer 5

Government can be counted as stakeholders in some way, as they certainly affect organizations and groups through their fiscal and regulatory policies

Question 6

What is the difference between a primary and secondary stakeholder?

Answer 6

A primary stakeholder is one whose continued participation is needed for the corporation to survive, whereas secondary stakeholders are those who influence or are influenced by the firm but are not essential to its survival.

Question 7

What is legitimacy?

Answer 7

Legitimacy is the perceived validity of a claim to a stake.

Question 8

What is power?

Answer 8

Power is the capacity to induce, persuade or coerce the actions of others and is displayed when one part of a relationship is able to impose its will on the other part.

Question 9

What type of power is force?

Answer 9

Coercive power

Question 10

What type of power does one have with material and financial resources?

Answer 10

Utilitarian power

Question 11

What type of power does one have with symbolic resources?

Answer 11

Normative power

Question 12

What do we do with high-power and high-interest stakeholders?

Answer 12

Manage these stakeholders closely

Question 13

What do we do with high-power but low-interest stakeholders?

Answer 13

Maintain these
stakeholders in a
happy state

Question 14

What do we do with low-power and low-interest stakeholders?

Answer 14

Keep an eye on these
stakeholders and
act when prompted

Question 15

What do we do with low-power but high-interest stakeholders?

Answer 15

Keep these stakeholders
happy and informed

Question 16

What is saliency?

Answer 16

Saliency (or urgency) is the intensity of the claim, attention and priority attached to a stake.

Question 17

A dynamic matrix is essentially
not an answer to everything, rather it helps to __?

Answer 17

 Bring order to a very complex situation,
 Bring collective understanding if compiled by a group,
 Suggest up-to-date strategies for management and communication between the various groups,
 Manage resources and time and use them where most benefit will be derived.

Question 18

What are the three stakeholder management approaches?

Answer 18

Strategic approach, Multifiduciary approach, & Stakeholder synthesis approach

Question 19

What is a strategic approach?

Answer 19

This approach allots shareholders’ profit a greater priority than their interests
of other stakeholders.

Question 20

What is a multifiduciary approach?

Answer 20

This assumes a fiduciary (trustee) responsibility to stakeholders, allotting them equal stakes with shareholders.

Question 21

What is a stakeholder synthesis approach?

Answer 21

This approach assumes a moral but non-obligatory responsibility toward stakeholders. (e.g. dealing with them ethically)

Question 22

What are the organization’s key considerations in practical stakeholder management?

Answer 22

1. Who are our stakeholders?
2. What are their stakes?
3. What opportunities do they present?
4. What challenges or threats do they present?
5. What responsibilities do we have towards our stakeholders?
6. What strategies or actions should we use to engage our stakeholders?

Question 23

What is a CSR?

Answer 23

Corporate social responsibility (CSR) can be perceived as the voluntary integration of social and environmental
concerns into business operations and interactions with stakeholders.

Question 24

What are the three domains that have a bearing on stakeholder management?

Answer 24

governance
processes
outcomes

Question 25

Between the three domains, which one is influenced by an organization's stakeholder?

Answer 25

Outcomes (or achievement of outcomes)

Question 26

Which domains have a direct relationship with the way a firm engages stakeholders?

Answer 26

Governance Processes

Question 27

Which domain deals in part with how to manage the involvement of an organization with its stakeholders and balance their interests?

Answer 27

Governance (or corporate governance)

Question 28

Who constitutes one set of internal stakeholders, according to Doyle and Stern (2006)?

Answer 28

Shareholders

Question 29

What is a project manager?

Answer 29

A project manager is the key person in the project team, and his or her capability and working style largely determine the way the other consultants operate, and to a great extent determines the fate of a project.

Question 30

In the pre‐design phase, the project manager is mainly responsible for?

Answer 30

Indication of the major direction of the project and the preparation of the feasibility study while discussing the overall scheme and detailed designs with clients and different consultants.

Question 31

What does the confrontational approach mean?

Answer 31

A confrontational approach meant that not all stakeholders were being kept informed of what was planned, increasing the risk of changes (e.g. in design or construction, or even operation) at a later stage.

Question 32

What is the three systematic approach to assessing each stakeholders?

Answer 32

Initial Classification Gathering Information Further Analysis

Question 33

What are the 5 stakeholder initial classifications?

Answer 33

Position (Internal or External) Direction of Influence (Upwards, Downwards, Sidewards, Outwards) Involvement (Primary or Secondary) Affect (Direct or Indirect) Nature of Influence (Positive or Negative)

Question 34

When is the salience model better used?

Answer 34

It is better used for larger, and/or more complicated projects.

Question 35

To ensure everyone on the project team understands the basis for the development of the engagement strategies, PM's have to

Answer 35

Understand Stakeholders

Question 36

How do PMs collect data and confirm facts with stakeholders?

Answer 36

PMs conduct meetings, interviews, and focus groups with stakeholders.

Question 37

How do PMs collect data and confirm facts with larger stakeholder groups?

Answer 37

PMs conduct presentations, open houses, or brainstorming sessions, which help get data from larger groups.

Question 38

In the Saliency Model: What is under 1. Power/Urgency? 2. Power/Legitimacy? 3. Urgency/Legitimacy?

Answer 38

1. Dangerous 2. Dominant 3. Dependent

Question 39

During stakeholder analysis, what should be done: 1. at project initiation? 2. at the end of every phase? 3. whenever there is a change to stakeholder environment?

Answer 39

1. foundation analysis 2. regular updates 3. ad hoc updates

Question 40

What should the tactical stakeholder analysis include?

Answer 40

Stakeholder: - identification - classification - prioritization

Question 41

The process of stakeholder analysis comprises major steps which include?

Answer 41

- making a list of all stakeholders - determine the stakeholders' interests, importance, and influence - assess their ability to participate and find ways to involve them.