A Brief Note On The Stakeholder Management Process

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Introduction section In any project, especially construction projects, there will be numerous parties that are affected by the project and/or interested in the project. These parties must be considered by the managers of the project and are referred to as stakeholders. Projects stakeholders can be defined as individuals and organisations who are actively involved in the project, or whose interests may be affected by the execution of the project or by a successful project (A Guide to the Project Management Body of Knowledge, PMI 2000). The stakeholder management process involves evaluating the needs and expectations of stakeholders in relation to the main objectives of the project. (Stefan Olander, 2007). Project stakeholders can be broken…show more content…
In construction projects many issues come about due to inadequate engagement of stakeholders and project managers simply having objectives of stakeholder management that are too vague and unclear (Jing Yang et al, 2009). This engagement of stakeholders is even more critical in construction projects as they have the potential to delay the project which has the potential to cause companies a lot of money. This paper aims to complete a comprehensive review on just how important stakeholders are in construction projects and the possible outcomes of the project if stakeholders are not managed correctly. This literature review is structured in a way in which Literature review --- Background info section • Around 700 words Defining stakeholders There are numerous ways in which stakeholders can be defined, and it comes down a project team’s definition of stakeholder that has a large bearing on who will be identified as a stakeholder. Nutt and Beckoff (1992: 439) define stakeholders as ‘All parties who will be affected by or will affect the organization’s strategy’, while Eden and Ackermann (1998:117) define stakeholders as ‘People or small groups with the power to respond to, negotiate with, and change the strategic future of the organization’. Nutt and Beckoff’s definition is very broad while Eden and Ackermann’s definition is more specific; as to be a stakeholder the party must have the power to
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