STAKEHOLDER ENGAGEMENT: 10 KEY PRINCIPLE

1. Communicate

This is the first principle of stakeholder engagement.

Before aiming to engage and influence stakeholders, it’s crucial to seek to understand the
people you will be working with and relying on throughout the phases of the project
lifecycle. Sharing information with stakeholders is important, but it is equally important to
first gather information about your stakeholders: to understand the factors that will
influence how they receive and interpret information, and how they might respond. This
will help you identify the best ways to communicate so that intended messages will be
understood and the desired responses achieved.

Why is it important?

Ineffective or insufficient communication is at the root of project problems such as unclear

objectives, misunderstanding the brief, poorly co-ordinated teamwork and ineffective risk
management. Successful outcomes and benefits realisation relies upon good
communication, which requires a good understanding of your stakeholders, and regular
reviews of your approach to engaging with them.

2. Consult early and often

This is the second principle of stakeholder engagement.

A project, particularly in the early stages, will be unclear to its stakeholders in terms of
(for example) its purpose, scope, risks and approach. Early, then regular consultation is
needed to ensure that requirements are agreed and a delivery solution is negotiated to
the agreement of most, if not all, stakeholders. Shifting stakeholder views then need to
be managed throughout the project. This can only be achieved through consultation
throughout the project lifecycle.

Why is it important?

The success of any programme or project is largely determined by the degree to which
stakeholders’ expectations are met. Without consultation, project plans will be built on
assumption and there will be failure to deliver what is really needed. Stakeholders can
also change their mind during the project lifecycle and even forget what they initially
agreed. So therefore regular contact with most, if not all stakeholders is essential.

3. Remember, they’re only human

This is the third principle of stakeholder engagement.

Operate with an awareness of human feelings and potential personal agendas. Accept
that humans do not always behave in a rational, reasonable, consistent or predictable
way. When encountering a stakeholder who appears to be unreasonable, their behaviour
often becomes more understandable when their ‘real’ agenda is discovered; for example,
they were about to change jobs, their professional reputation or status was threatened,
or they were on bad terms with another stakeholder. Seek to understand underlying
issues and assess whether your project plan needs to flex or if there is a better way to
work together to maintain a productive relationship.

Why is it important?

Stakeholders’ behaviour, whether in support, opposition or indifference, can determine

the success or failure of a project. By understanding the root cause, you can avoid issues
escalating to conflict or roadblocks, identify ways to make it easier for a particular
stakeholder to contribute successfully to the project, or escalate the issue to gain a
resolution and progress the project.

4. Plan it!

This is the fourth principle of stakeholder engagement.

A more conscientious and measured approach to stakeholder engagement is essential

and therefore encouraged. Investment in careful planning before engaging stakeholders
can bring significant benefits.

Why is it important?

Practitioners take the trouble to plan their project activities and even plan to control the
technical and physical risks to ensure project success and delivery. However, we often
overlook the human factor and Human Factors Integration (HFI). Furthermore, when
applying stakeholder tools to manage the HFI, it is easy to fall into the trap of these
activities simply becoming "tick box" exercises. By investing time in understanding where
stakeholder power and risk resides, and planning strategies and risk mitigation, there can
be a better chance of achieving the project outcome.

5. Relationships are key

This is the fifth principle of stakeholder engagement.

Developing relationships results in increased trust. And where there is trust, people work
together more easily and effectively. Investing effort in identifying and building
stakeholder relationships can increase confidence across the project environment,
minimise uncertainty, and speed up problem solving and decision-making.
Why is it important?

Building relationships is a natural human instinct that often ‘opens doors’ or influences
outcomes that cannot always be achieved by following plans and processes alone. There
are a number of human factor and Human Factors Indicators (HFI) that reflect relationship
and trust. These ‘shoulder to shoulder’ working practices and alliances help reduce
barriers, build rapport, instil confidence and fuel progress.

"You need relationships big enough to get the job done", Steve Radcliffe "Leadership
Plain and Simple"

This is the sixth principle of stakeholder engagement.

As is often the case with projects, simple actions are not always easy to deliver. Over and
above conventional planning, using foresight to anticipate hazards, and taking simple and
timely actions with stakeholders can significantly improve project delivery. For example,
in Resilience Planning for natural disasters, risks are identified, planned for and managed
by enacting timely strategies. However, it is the unplanned events that can make things
challenging, such as stakeholder changes of mind, unforeseen changes in legislation or
environmental factors.

Why is it important?

To manage unplanned risks that may impact the project requires planning in order to
avoid potential ‘traps and snares’ and minimise effort caused by stakeholder resistance.
Such resistance and potential conflict could escalate and derail the project. Anticipating
and having strategies to manage stakeholder resistance avoids the risk of side stepping
stakeholders and alienating them if they feel their concerns are not being reviewed and
managed.

7. Just part of managing risk

This is the seventh principle of stakeholder engagement.

Stakeholders are important influential resources and as such should be treated as

potential sources of risk and opportunity within the project.

Why is it important?

The behavioural patterns of, and decisions made about stakeholders, both as individuals
and as a group, can be a risk to projects. Risk management is an important aspect of
project management. Incorporating activities such as stakeholder identification,
stakeholder prioritisation and analysis of their world-views into the risk management
process can make it easier for project managers to take more informed decisions about
how to shape and navigate an often ill-defined environment.
8. Compromise

This is the eighth principle of stakeholder engagement.

The initial step is to establish the most acceptable baseline across a set of stakeholders'
diverging expectations and priorities. Assess the relative importance of all stakeholders
to establish a weighted hierarchy against the project requirements and agreed by the
project sponsor.

Why is it important?

Stakeholders can often have different views about the same requirement of a project. You
will need to navigate expectations amongst your stakeholder community to achieve a
satisfactory solution that all parties are content to sign up to. This is a key function of
requirements capture associated with the project management role.

9. Understand what success is

This is the ninth principle of stakeholder engagement.

Project success means different things to different people and you need to establish what
your stakeholder community perceives success to be for them in the context of project
delivery. For example, an office block delivered to time and budget may not be deemed
a success if the process of delivery was fraught and the new space just reminds people
of poor relationships.

Why is it important?

Stakeholders have a variety of vested interests in the outcome of a project. These

interests determine their perspectives of success, which in turn influences how satisfied
they will be with the project outcomes. It is therefore important to distinguish stakeholders’
success criteria in order to prioritise and manage expectations. Stakeholders’
perspectives are often caused by a partial or limited view of the whole project and as a
consequence it is also important to allow stakeholders to understand the big picture and
where they fit.

10. Take responsibility

This is the tenth principle of stakeholder engagement.

Stakeholder engagement is not the job of one member of the project team. While there
needs to be a central focus, who is normally the project manager, it’s the responsibility of
everyone to understand their role in maintaining an ongoing dialogue with stakeholders,
and to understand and follow the right approach to communication and engagement.
Good project governance requires providing clarity about stakeholder engagement roles
and responsibilities and what is expected of people who are involved in the project.

Why is it important?

Stakeholder engagement requires a proactive approach to build and sustain stakeholder

relationships through the project lifecycle. Yet it is often not specifically designated and
instead left to a few members of the project team who may or may not have the time,
information or capabilities required.

Whether it is in their job description or not, it is vital for at least some members of the
project team to take on the roles and responsibilities for stakeholder engagement and
facilitation.

Reference:
https://www.apm.org.uk/resources/find-a-resource/stakeholder-engagement/

https://www.youtube.com/watch?v=h3EreST2RMU