P ROJECT S TAKEHOLDER

M ANAGEMENT

February 2016 Hisham Haridy, PMP, PMI-RMP

 Stakeholder Management
the processes required to identify the people, groups, or organizations that could
impact or be impacted by the project, to analyze stakeholder expectations and
their impact on the project, and to develop appropriate management strategies
for effectively engaging stakeholders in project decisions and execution

Plan Stakeholder Manage Control

Identify
Stakeholder Stakeholder
Stakeholders Management Engagement Engagement

Identify Developing Communicating Monitoring

(Early) all appropriate and working with overall project
stakeholders, management stakeholders stakeholder
determine all strategies to relationships
requirements, effectively engage
expectations, stakeholders
interests, level throughout the
of influence. project life cycle.
Stakeholder Stakeholder
Register Management Plan
PROJECT STAKEHOLDER MANAGEMENT February 2016
 Identify Stakeholders
“The process of identifying the people, groups, or organizations that could impact or be
impacted by a decision, activity, or outcome of the project; and analyzing and documenting
relevant information regarding their interests, involvement, interdependencies,
influence, and potential impact on project success.”

Tools and
Inputs Outputs
Techniques
1. Project charter 1. Stakeholder analysis 1. Stakeholder register
2. Procurement documents 2. Expert judgment
3. Enterprise environmental 3. Meetings
factors
4. Organizational process
assets

PROJECT STAKEHOLDER MANAGEMENT February 2016

 INPUTS
1. Project charter

Provides information about internal and external parties involved in and affected
by the project, such as project sponsor(s), customers, team members, groups
and departments participating in the project, and other people or organizations
affected by the project.
2. Procurement documents

If a project is the result of a procurement activity or is based on an established
contract, the parties in that contract are key project stakeholders.

Other relevant parties, such as suppliers, should also be considered as part of
the project stakeholders list.
3. Enterprise environmental factors

Organizational or company culture and structure.

Governmental or industry standards (e.g. regulations, product standards).
4. Organizational process assets

Stakeholder register templates.

Lessons learned from previous projects.

Stakeholder registers from previous projects.
PROJECT STAKEHOLDER MANAGEMENT February 2016
 TOOLS AND TECHNIQUES
1. Stakeholder analysis

Stakeholder analysis is a technique of systematically gathering and analyzing
quantitative and qualitative information to determine whose interests should
be taken into account throughout the project.

It identifies the interests, expectations, and influence of the stakeholders
and relates them to the purpose of the project.

It also helps identify stakeholder
relationships that can be leveraged to
build coalitions and potential
partnerships to enhance the project’s
chance of success.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 TOOLS AND TECHNIQUES

Stakeholder analysis generally follows the steps described below:
 Step 1: Identify all potential project stakeholders and relevant information,
such as their roles, departments, interests, knowledge levels, expectations,
and influence levels.
 Step 2: Identify the potential impact or support each stakeholder could
generate, and classify them so as to define an approach strategy.

 There are multiple classification

models available such as;
i. Power/interest grid
ii. Power/influence grid.
iii.Influence/impact grid.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 TOOLS AND TECHNIQUES

iv. Salience model; “describing

classes of stakeholders based
on their power (ability to
impose their will), urgency
(need for immediate
attention), and legitimacy
(their involvement is
appropriate)”.

 Step 3: Assess how key stakeholders are likely to react or respond in various
situations, in order to plan how to influence them to enhance their support
and mitigate potential negative impacts.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 TOOLS AND TECHNIQUES
2. Expert judgment

To ensure comprehensive identification and listing of stakeholders, judgment and
expertise should be sought from groups or individuals with specialized training or
knowledge on the subject area such as:
 Senior management,
 Other units within the organization,
 Identified key stakeholders,
 Project managers who have worked on projects in the same area (directly or
through lessons learned),
 Subject matter experts (SMEs) in business or project area,
 Industry groups and consultants,
 Professional and technical associations.

Expert judgment can be obtained through individual consultations (one-on-one
meetings, interviews, etc.) or through a panel format (focus groups, surveys
etc).
PROJECT STAKEHOLDER MANAGEMENT February 2016
 TOOLS AND TECHNIQUES
3. Meetings

Profile analysis meetings are project meetings designed to develop an
understanding of major project stakeholders, and they can be used to exchange
and analyze information about roles, interests, knowledge, and the overall
position of each stakeholder facing the project.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 OUTPUTS
1. Stakeholder register

All the information about stakeholders is compiled in the stakeholder register.

For example, the stakeholder register may contain;
 Identification information: Name, organizational position, location, role in the
project, contact information;
 Assessment information: Major requirements, main expectations, potential
influence in the project, phase in the life cycle with the most interest; and
 Stakeholder classification: Internal/external, supporter/neutral/resistor, etc.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 Plan Stakeholder Management

“The process of developing appropriate management strategies to effectively engage

stakeholders throughout the project life cycle, based on the analysis of their needs,
interests, and potential impact on project success.”

Tools and
Inputs Outputs
Techniques
1. Project management plan 1. Expert judgment 1. Stakeholder management
2. Stakeholder register 2. Meetings plan
3. Enterprise environmental 3. Analytical techniques 2. Project document updates
factors
4. Organization process assets

The key benefit of this process is that it provides a clear, actionable plan to interact with project
stakeholders to support the project’s interests.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 INPUTS
1. Project management plan

The information used for the development of the stakeholder management plan
Includes;
 Life cycle selected for the project and the processes that will be applied to each
phase;
 Description of how work will be executed to accomplish the project objectives;
 Description of how human resources requirements will be met and how roles
and responsibilities, reporting relationships, and staffing management will be
addressed and structured for the project;
 Change management plan that documents how changes will be monitored and
controlled; and
 Need and techniques for communication among stakeholders.
2. Stakeholder register

The stakeholder register provides the information needed to plan appropriate ways
to engage project stakeholders.
PROJECT STAKEHOLDER MANAGEMENT February 2016
 INPUTS
3. Enterprise environmental factors

All enterprise environmental factors are used as inputs for this process since
communication must be adapted to the project environment.
4. Organizational process assets

All organizational process assets are used as inputs for the Plan Communications
process.

Of these, lessons learned and historical information are of particular importance
because they can provide insights on both the decisions taken regarding
communications issues and the results of those decisions in previous similar
projects.

These can be used as guiding information to plan the communication activities for
the current project.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 TOOLS AND TECHNIQUES
1. Expert judgment

Based on the project objectives, the project manager should apply expert
judgment to decide upon the level of engagement required at each stage of the
project from each stakeholder.
 Senior management
 Project team members
 Other units or individuals within the organization
 Identified key stakeholders
 Project managers who have worked on projects in the same area (directly or
through lessons learned)
 Subject matter experts in business or project area
 Industry groups and consultants
 Professional and technical associations, regulatory bodies, and
nongovernmental organization (NGOs).

PROJECT STAKEHOLDER MANAGEMENT February 2016

 TOOLS AND TECHNIQUES
2. Meetings

Meetings should be held with experts and the project team to define the
required engagement levels of all stakeholders.

This information can be used to prepare the stakeholder management plan.
3. Analytical techniques

Stakeholder engagement throughout the life cycle of the project is critical to
project success.

The engagement level of the stakeholders can be classified as follows:
 Unaware: Unaware of project and potential impacts.
 Resistant: Aware of project and potential impacts and resistant to change.
 Neutral: Aware of project yet neither supportive nor resistant.
 Supportive: Aware of project and potential impacts and supportive to
change.
 Leading: Aware of project and potential impacts and actively engaged in
ensuring the project is a success.
PROJECT STAKEHOLDER MANAGEMENT February 2016
 OUTPUTS
Microsoft Office
Word 97 - 2003 Document
1. Stakeholder management plan

It is a component of the project management plan.

It identifies the management strategies required to effectively engage
stakeholders.

It can be formal or informal, highly detailed or broadly framed, based on the
needs of the project.

Project managers should be aware of the sensitive nature of the stakeholder
management plan and take appropriate precautions.

It often provides :
 Desired and current engagement levels of key stakeholders
 Scope and impact of change to stakeholders
 Identified interrelationships and potential overlap between stakeholders
 Stakeholder communication requirements for the current project phase
 Information to be distributed to stakeholders, including language, format, content, and
level of detail
 Reason for the distribution of that information and the expected impact to stakeholder
engagement
 Time frame and frequency for the distribution of required information to stakeholders
 Method for updating and refining the stakeholder management plan as the project
progresses and develops.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 OUTPUTS

2. Project document updates

Project schedule

Stakeholder register.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 Manage Stakeholder Engagement

“The process of communicating and working with stakeholders to meet their

needs/expectations, address issues as they occur, and foster appropriate stakeholder
engagement in project activities throughout the project life cycle”
Tools and
Inputs Outputs
Techniques
1. Stakeholder management 1. Communication methods 1. Issue log
plan 2. Interpersonal skills 2. Change requests
2. Communications 3. Management skills 3. Project management plan
Management plan updates
3. Change log 4. Project documents updates
4. Organizational process 5. Organizational process
assets assets Updates

The key benefit of this process is that it allows the project manager to increase support and minimize
resistance from stakeholders, significantly increasing the chances to achieve project success.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 INPUTS
1. Stakeholder management plan

It provides guidance on how the various stakeholders can be best involved in the
project.

It describes the methods and technologies used for stakeholder communication.

This plan is used to determine the level of interactions of various stakeholders
and—together with other documents—helps define a strategy for identifying and
managing stakeholders throughout the project life cycle.
2. Communication management plan

It provides guidance and information on managing stakeholder expectations.

The information used includes:
 Stakeholder communications requirements;
 Information to be communicated, including language, format, content, and level
of detail;
 Reason for distribution of information;
 Person or groups who will receive information; and
 Escalation process.
PROJECT STAKEHOLDER MANAGEMENT February 2016
 INPUTS
3. Change log

A change log is used to document changes that occur during a project.

These changes, and their impact to the project in terms of time, cost, and risk,
must be communicated to the appropriate stakeholders.
4. Organizational process assets

Organizational communication requirements.

Issue management procedures.

Change control procedures.

Historical information about previous projects.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 TOOLS AND TECHNIQUES
1. Communication methods

The methods of communication identified for each stakeholder in the
communications management plan are utilized during stakeholder management.
2. Interpersonal skills

The project manager applies appropriate interpersonal skills to manage stakeholder
expectations. For example:
 Building trust,
 Resolving conflict,
 Active listening, and
 Overcoming resistance to change.
3. Management skills

Management skills used by the project manager include but are not limited to:
 Presentation skills,
 Negotiating,
 Writing skills, and
 Public speaking.
PROJECT STAKEHOLDER MANAGEMENT February 2016
 OUTPUTS

1. Issue log

Managing stakeholder engagement may result in the development of an issue log.

This log is updated as new issues are identified and current issues are resolved.
2. Change requests

Managing stakeholder engagement may result in a change request to the product
or the project.

It may also include corrective or preventive actions to the project itself or to the
interaction with the impacted stakeholders, as appropriate.
3. Project management plan updates

The stakeholder management plan

This plan is updated when new or changed stakeholders requirements are
identified.

It is also updated as a result of addressing concerns and resolving issues.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 OUTPUTS

4. Project documents updates

The stakeholder register

 Information on stakeholders change
 New stakeholders are identified
 Registered stakeholders are no longer involved in or impacted by the project
 other updates for specific stakeholders are required.

5. Organizational process assets updates

Stakeholder notifications

Project reports

Project presentations

Project records

Feedback from stakeholders

Lessons learned documentation

PROJECT STAKEHOLDER MANAGEMENT February 2016

 Control Stakeholder Engagement

“The process of monitoring overall project stakeholder relationships and adjusting strategies
and plans for engaging stakeholders”

Tools and
Inputs Outputs
Techniques
1. Project management plan 1. Information management 1. Work performance
2. Issue log systems information
3. Work performance data 2. Expert judgment 2. Change requests
4. Project documents 3. Meetings 3. Project management plan
updates
4. Project documents updates
5. Organizational process
assets updates

The key benefit of this process is that it will maintain or increase the efficiency and effectiveness of
stakeholder engagement activities as the project evolves and its environment changes.
PROJECT STAKEHOLDER MANAGEMENT February 2016
 INPUTS

1. Project management plan

The project management plan is used to develop the stakeholder management
Plan.

The information used to Control Stakeholder Engagement includes, but is not
limited to:
 The life cycle selected for the project and the processes that will be applied to
each phase;
 How work will be executed to accomplish the project objectives;
 How human resources requirements will be met, how roles and responsibilities,
reporting relationships, and staffing management will be addressed and
structured for the project;
 A change management plan that documents how changes will be monitored and
controlled; and
 Needs and techniques for communication among stakeholders.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 INPUTS
2. Issue log

The issue log is updated as new issues are identified and current issues are
resolved.
3. Work performance data

The primary observations and measurements identified during activities being
performed to carry out the project work.

Examples of work performance data include reported percentage of work completed,
technical performance measures, start and finish dates of schedule activities, number of
change requests, number of defects, actual costs, actual durations etc.
4. Project documents

Project schedule

Stakeholder register

Issue log

Change log

Project communications.
PROJECT STAKEHOLDER MANAGEMENT February 2016
 TOOLS AND TECHNIQUES
1. Information management systems

It provides a standard tool for the project manager to capture, store, and
distribute information to stakeholders about the project cost, schedule progress,
and performance.

It allows the project manager to consolidate reports from several systems and
facilitate report distribution to the project stakeholders.

Examples; table reporting, spreadsheet analysis, and presentations.
2. Expert judgment

Reassessment of current stakeholders can be performed to ensure
comprehensive identification and listing of new stakeholders.
3. Meetings

Status review meetings are used to exchange and analyze information about
stakeholder engagement.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 OUTPUTS

1. Work performance information

The performance data collected from various controlling processes, analyzed in

context, and integrated based on relationships across areas.

Work performance information is circulated through communication processes.

Examples; deliverables, implementation status for change requests, and

forecasted estimates to complete.

2. Change requests

Recommended corrective actions include changes that bring the expected future

performance of the project in line with the project management plan.

Recommended preventive actions can reduce the probability of incurring future

negative project performance.

PROJECT STAKEHOLDER MANAGEMENT February 2016
 OUTPUTS
3. Project management plan updates

Change management plan,

Communications management plan,

Cost management plan,

Human resource management plan,

Procurement management plan,

Quality management plan,

Requirements management plan,

Risk management plan,

Schedule management plan,

Scope management plan, and

Stakeholder management plan.

4. Project documents updates

Stakeholder register

Issue log.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 OUTPUTS

5. Organizational process assets updates

Stakeholder notifications.

Project reports.

Project presentations.

Project records.

Feedback from stakeholders.

Lessons learned documentation.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 Refreshments
Q1: The key objectives of stakeholder management is:

A. Communication.

B. Satisfaction.

C. Coordination.

D. Relationships

Q2: The degree to which a particular stakeholder may be able to positively or negatively affect
a project is his or her:

A. Level of influence.

B. Level of interest.

C. Level of commitment.

D. Level of engagement .

PROJECT STAKEHOLDER MANAGEMENT February 2016

 Refreshments
Q3: All of the following are parts of the team’s stakeholder management EXCEPT:

A. Determine stakeholders’ needs.

B. Giving stakeholders extras

C. Identifying stakeholders.

D. Managing stakeholders; expectations.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 Refreshments
Q4: Stakeholders can be identified in which project management process groups?

A. Initiating, planning, executing, monitoring and controlling, and closing

B. Initiating and planning

C. Planning and monitoring and controlling

D. Monitoring and controlling and closing

PROJECT STAKEHOLDER MANAGEMENT February 2016

 Refreshments
Q5: The project manager is trying to recall a stakeholder’s preferred communication
method. Where can she find that information:

A. RACI chart.

B. Stakeholder management plan.

C. Stakeholders engagement assessment matrix.

D. Human resource management plan.

PROJECT STAKEHOLDER MANAGEMENT February 2016

 THANK YOU

PROJECT STAKEHOLDER MANAGEMENT February 2016