CSR Stakeholders (Part 1)

Question 1

Define stakeholder

Answer 1

Individual or group that has an interest in any decision or activity of an organization.

Question 2

What are non-social stakeholders?

Answer 2

Natural environment
Non-human species
Represented by special interest groups (e.g. NGOs)

Question 3

Define free market

Answer 3

Is an economic system based on supply and demand with little or no government control.

Question 4

What are the shareholder rights?

Answer 4

The right to sell stock
The right to vote in the general meeting
Right to certain info about the company
Right to sue managers for (alleged) misconduct
Some rights in the event of the company dissolving

NOTE: These rights may/may not include the right to a certain amount of profit or dividend

Question 5

What are the management duties?

Answer 5

Duty to act for the benefit of the company: Short-term financial performance & long-term survival of the company

Duty of care and skill

Duty of diligence

Question 6

What are the 4 steps of stakeholder management?

Answer 6

Identify, recognise & acknowledge stakeholder
Prioritise stakeholder: determine their influence & interest
Create communication management plan
Influencing & engaging stakeholder

Question 7

What is the stakeholder mind map? Same as 4 steps but simplified

Answer 7

Identify stakeholders
Understand needs
Analyse influence
Manage expectations
Take action
Review & repeat

Question 8

Benefits of having stakeholders

Answer 8

Challenge us
Support us
Project dialogue - joint discussions re: specific project
Strategy dialogue - discussion over long-term issues

Question 9

Disadvantages of stakeholder collaboration

Answer 9

Time consuming
Culture clash
Uncontrollable
Loss of independence
Resistance by insiders/outsiders

Question 10

What tactics for stakeholder engagement?

Answer 10

Communicate
Consult, early & often
Plan it
Relationship
Managing risk
Compromise
Take responsibility

NOTE: If this is done well - whole process will be much smoother