A PROJECT BY :

RISHABH DAGAR – 25
Corporate Communication RITIKA PANDEY - 26
SARTHAK NAMDEV - 27
STAKEHOLDER MANAGEMENT AND COMPETITION

UNDER GIUDANCE OF DR. UMA BHUSHAN MA'AM

INTRODUCTION

• Communicate with stakeholders to

develop and protect reputations.
• Significance of Stakeholder
Management
• Managers should think
strategically about their business
• Managers of organizations need to
listen and communicate.
STAKEHOLDER MANAGEMENT
Two models of Strategic Management:
Input Output & Stakeholder Model
• In input output model organization
is the center of the economy
• Power lies with the organization
upon which the other parties are
dependent.
• In Stakeholder Model groups hold
legitimate interest to obtain
benefits.
• Mutual dependencies between
organization and various stakeholder
groups.
NATURE OF STAKES
AND STAKEHOLDERS

• Stakeholder and Stake

• Three types of Stake : Equity, Economic &
Influencer Stakes
• Second way of viewing stakes through some
form of contract or formal agreement.
• Contractual Stakeholders and Community
Stakeholders.
 STAKEHOLDER COMMUNICATION
The stakeholder model of the organization suggests that the
various stakeholders of the organization need to be identified
and that they must be addressed according to the stake that
they hold.

1. Who are the organization’s stakeholders?

2. What are their stakes?
3. What opportunities and challenges are presented to the
organization in relation to these stakeholders?
4. What responsibilities (economic, legal, ethical and
philanthropic) does the organization have to all its
stakeholders?
5. In what way can the organization best communicate with and
respond to these stakeholders and address these stakeholder
challenges and opportunities?
 STAKEHOLDER
SAILENCE MODEL

Latent stakeholder -
▪ Dormant stakeholders
▪ Discretionary stakeholder
▪ Demanding stakeholders

Expectant stakeholders -
▪ Dominant stakeholders
▪ Dangerous stakeholders
▪ Dependent stakeholders

Definitive stakeholder
The Power–Interest matrix
The Shift from Stakeholder
Management to
Stakeholder Engagement

• Old Approach: Managing interactions

within departments, buffering claims
and interests, persuasion strategy

• New Approach: Emphasizing

stakeholder relationships across the
organization, dialogue strategy, bridging
stakeholder claims and interests
 Dominant Logics and
Stakeholder Engagement

1. Strict commercial logic:

Focus on economic considerations, limited
collaboration

2. Collaboration for competitive gain:

Value creation through stakeholder collaboration,
reputation and innovation

3. Social value creation:

Interdependence between organization and
society, bidirectional links between social and
economic value
The Benefits and Costs of
Stakeholder Engagement

- Engaging with stakeholders can lead to direct competitive gains through

information sharing, reciprocity, and advocacy.

- However, the benefits must exceed the costs, which include the time and
resources allocated to managing stakeholder relationships.

- Allocating too much time and resources to stakeholder engagement can be costly,
and managers must conceptualize a sufficiently detailed logic for engaging
stakeholders and manage those relationships appropriately.