Posts Tagged ‘stakeholders’

Organisational stakeholders of business need to be involved in planning strategic changes. The extent of involvement of each type of stakeholder in the planning of the change depends on a range of factors such as their influence, their importance, and the degree to which changes are going to affect them.     The extent of involvement of each type of stakeholder in the planning of the change is best explained by referring to the following graph. Figure 1 Stages of stakeholder involvement in change processes Source: Change Management Toolbook (2010)  On the basis of graph above, employees and managers as the main internal stakeholders at Company need to be involved in change planning process to the extent of ‘co-creating’. The degree of involvement of company’s main external stakeholders – customers, on the other hand has to be limited to ‘testing’, whereas the company’s suppliers and shareholders need to be involved in the planning of change to the extent of ‘selling’ Additionally, “decision – makers may commission market surveys or mandate market research institutes so as to early perceive emergent stakeholder groups and their claims” (Zimmermann, 2011, p.225) in order to reflect their viewpoints regarding the change initiatives. It is important to note that the system to involve stakeholders in the planning for change presented above is only a general framework and the extent of involvement of stakeholders may differ in each individual circumstance depending on the nature of the proposed change.   Change Management Strategy with Stakeholders Business’s change management strategy with stakeholders primarily depends on the level of power of each stakeholder category, as well as, the level of their interest on the change proposal. As a general rule, Company is suggested to deal with its stakeholders on the basis of the following figure as it has been suggested…