Stakeholder Mapping

Question 1

Name some extrernal stakeholders

Answer 1

Customers
Suppliers
Banks
Local community
Government
Pressure groups

Question 2

Name some internal stakeholders

Answer 2

Shareholders
Employees
Managers
Trade unions

Question 3

What does stakeholder mapping do for managers

Answer 3

Helps them know how each stakeholder will feel, react or be affected by the decision being made

Question 4

What is the first method of managing relationships with stakeholders

Answer 4

• negotiation and compromise
• regular communication with stakeholder groups
• managers can take stakeholder groups opinions into account when making decisions
• business can achieve its goals whilst having support/ understanding of stakeholder groups

Question 5

What is the second method

Answer 5

• sequential attention: stakeholders have their needs met one at a time (like a Que system)

• some stakeholders may have conflicting requests e.g. shareholders may want greater dividends & employees want greater pay
• negotiating pay Rise of 4% to be discussed again in 4yrs

Question 6

What is the third method

Answer 6

• side payments: trying to secure stakeholder support by offering some less in return
- e.g. bringing tech and customers and T.U want greater pay (cos they need to adjust) so business offer side pay e.g. training/ extra qualification = appease employees

Question 7

What is the 4th and final approach to managing relationship with stakeholders

Answer 7

• exercise of power

- managers forcing their decision through no matter what stakeholders think = business needs to get where it’s going

Question 8

Three factors that managers can use to manage relationships with stakeholder

Answer 8

• corporate objective
• Stakeholder maps
• ethics