Identifying Stakeholders

Let’s Talk About the Second Initiation Phase Process known as “Identify Stakeholders”.

In the last edition, we looking deeper into the first process in the Initial Phase Process Groups.

During the project initiation phase, identifying stakeholders involves recognizing individuals or groups who can influence or be affected by the project, and understanding their interests, needs, and expectations.

Who is a Stakeholder?

A stakeholder is anyone who has an interest in the outcome of a project. This includes, but is not limited to, the project sponsor, the project team, customers, and other people affected by the project.

Stakeholders are involved in a project in different ways. They may be directly involved, such as being a project team member. Or they may be indirectly involved, such as being affected by the project but not having a direct role.

The involvement of stakeholders can vary from project to project. Some projects may only have a few stakeholders, while others may have many.

In an organisational project, there are multiple interested stakeholders, and keeping track of their needs and expectations can take time and effort.

Identifying the key stakeholders at the initiation phase of the project will help us as a project team to determine who needs to sign off on your project charter or business case. This includes key stakeholders who have a say in the outcome of your project—for example, executive leaders, project sponsors, or cross-functional teams that you’re requesting budget or resources from. If you’re not sure who your key stakeholders are, ask yourself the following questions:

Who needs to approve my project?
Who will provide resources for my project?
Who can influence my project?

While identifying stakeholders, in the initiation stage of a project, a project charter generally consists of key stakeholders whose power or interest levels are at a high level. Key stakeholders can make or break the success of a project. Even if all the deliverables are met and the objectives are satisfied, if your key stakeholders aren’t happy, nobody’s happy. This is why all the key stakeholders must be identified before proceeding with the preparation of the project management plan.

However, identifying the stakeholders doesn’t finish in the initiation stage, but is an ongoing process through which project managers should review and analyze their interests, involvement, interdependencies, influences, and potential impact on project success regularly during the project life cycle.

Data representation techniques such as stakeholder power/interest grid/matrix help a lot to review where stakeholders are positioned based on the criteria used and be prepared and implement strategies to manage stakeholders

Why Identify Stakeholders in the Initiation Phase?

Foundation for Success:

Identifying stakeholders early sets the stage for effective project management and stakeholder engagement throughout the project lifecycle.

Understanding Project Impact:

It helps understand the broader impact of the project and ensures that the project aligns with the needs and expectations of all relevant parties.

Gathering Input and Support:

Identifying stakeholders allows you to solicit input, address concerns, and gain support from those who will be affected by the project.

Mitigating Risks:

Early identification helps identify potential risks and develop strategies for managing stakeholder engagement and conflict.

What are the two types of project stakeholders?

Project stakeholders can be broadly categorized into two ways:

Key Stakeholder Groups:

Project Sponsor: The individual or group who provides funding and support for the project.
Project Team: The individuals directly involved in carrying out the project work.
Customers/Users: Those who will ultimately benefit from the project’s deliverables.
External Stakeholders: Individuals or groups outside the organization who have an interest in the project.
Regulatory Bodies: Government agencies or organizations that may have oversight or influence over the project.

https://kissflow.com/project/project-stakeholder-management/