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Managing Stakeholders: From The
Disengaged To The Difficult
Agile Practitioners Association of Nigeria
Mahmoud Ghoz
Agenda
• Define stakeholders
• Determine stakeholders
• Stakeholder management
• How to deal with different stakeholder
What do we mean by stakeholders?
Who are the stakeholder in any project?
Stakeholders
Source: https://www.unitedutilities.com/
Methods to identify the Stakeholder
• Project/Product Charter
• Contract Documents if any
• Brainstorming Sessions
• Focus Groups
• Individual interviews
• Direct Observation
Are the stakeholders equally important?
What should we do then?
Why do you need to classify them?
How can we classify them?
Stakeholders classification
The Salience Model
What do Salience mean?
What is Salience model?
Salience model classify stakeholder into three category:
• Power: The authority and influence on the outcomes.
What is Salience model?
Salience model classify stakeholder into three category:
• Legitimacy: Their involvement is appropriate (morally, legally etc.).
What is Salience model?
Salience model classify stakeholder into three category:
• Urgency: Calls for immediate attention or pressing need.
Latent Stakeholders
• Those who possess only one of the 3 attributes - Power, Legitimacy, and
Urgency.
• Latent stakeholders are Dormant, Discretionary, Demanding.
Dormant Stakeholders
• Are the stakeholders who only possess power but have no legitimacy or
urgency.
• They do not require active engagement but need to be considered.
Discretionary Stakeholders
• Are the stakeholders who legitimate but have no power and their interests are
not urgent.
• They do not require much attention.
Demanding Stakeholders
• Are the stakeholders who have urgent demands, but no power or legitimacy.
• They create “noise” and can be irritants, but are not dangerous
Expectant Stakeholders
• Those who possess any 2 of the 3 attributes - Power, Legitimacy, and Urgency.
• They require active stakeholder engagement.
• Expectant stakeholders can also be of 3 types - Dominant, Dependent,
Dangerous
Dominant Stakeholders
• Are the stakeholders who possess both power and legitimacy, but not urgency.
• They have legitimate stakes and the power to act on those stakes.
Dependent Stakeholders
• Are the stakeholders who lack power but have urgent and legitimate.
• They can form an allay with other groups of stakeholders and achieve power.
Dangerous Stakeholders
• Are the stakeholders who possess power and urgency but do not possess the
legitimacy to their claims.
• They form a threat
Definitive Stakeholders
• Are the stakeholders who possess power and legitimacy and have an urgent need.
• They demand the utmost attention and need to be attended to in a timely
manner.
The Salience Model
Power-Interest Matrix
High power, high interest
• We called them Players
• These are your most important stakeholders
• You should keep them happy with your progress.
• You must collaborate and keep them fully engaged.
High power, low interest
• They are influencer
• They can offer great insights and ideas for the project
• You should work to keep these people satisfied.
• You could turn them off if you over-communicate with them.
Low power, high interest
• They are Context-setters
• They are heads of departments, for example
• They can have a lot of influence over the project
• You want to keep them regularly informed without involving
them into the details
Low power, low interest
• They are the crowd
• They require some ongoing communication but don’t overdo it.
Power-Interest Matrix
Influence and Interest stakeholder matrix
What if we add the attitude dimension?
Stakeholder Analysis – An Added Dimension
Stakeholder Analysis – An Added Dimension
• Trip Wire: Insignificant Passive Blocker Low Power, Low Interest, Negative Attitude
• Acquaintance: Insignificant Passive Backer, Low Power, Low Interest, Positive Attitude
Stakeholder Analysis – An Added Dimension
• Irritant: Insignificant Active Blocker, Low Power, High Interest, Negative Attitude
• Friend: Insignificant Active Backer, Low Power, High Interest, Positive Attitude
Stakeholder Analysis – An Added Dimension
• Time Bomb: Influential Passive Blocker, High Power, Low Interest, Negative Attitude
• Sleeping Giant: Influential Passive Backer, High Power, Low Interest, Positive Attitude
Stakeholder Analysis – An Added Dimension
• Saboteur/Terrorist: Influential Active Blocker, High Power, High Interest, Negative Attitude
• Savior: Influential Active Backer, High Power, High Interest, Positive Attitude
Stakeholder Analysis – An Added Dimension
• How to deal with a saboteur, timebomb and Irritants
• Focus on purpose: Vision, strategy and the stakeholder's goals
• Focus on process: Tactics and tools
• Focus on people: Create relationships and earn their trust
Stakeholder attitude and knowledge map
Stakeholder attitude and knowledge map
• Quadrant 1: Stakeholders who are
aware of your project and support
it.
• These are your “champion”
stakeholders.
• They generally don’t require much
attention but should not be taken
for granted.
Stakeholder attitude and knowledge map
• Quadrant 2: Stakeholders who are
aware of the project but are
opposed to it.
• These stakeholders may never be
supportive.
• Contingency measures may be
needed to manage the risks these
negative stakeholders may pose.
Stakeholder attitude and knowledge map
• Quadrant 3: Stakeholders who
oppose your project even though
they are largely ignorant of what it
entails.
• These stakeholders should be a key
focus because their attitude can
often be changed with the relevant
information.
Stakeholder attitude and knowledge map
• Quadrant 4: Stakeholders who
support your project but are largely
ignorant of what it entails.
• These stakeholders need to be
nurtured so they are not lost.
Stakeholder attitude and knowledge map
Stakeholders generally fall under 5 levels of support:
• Unaware: They are unaware of the project and its potential
impacts on them.
• Resistant: They are aware of the project but are opposed to it.
• Neutral: They are neither for nor against the project.
• Supportive: They are in favor of the project and want it to
succeed.
• Leading: They are actively engaged in ensuring the project’s
success.
Stakeholder attitude and knowledge map
What if we add the power and interest?
Power-Interest Matrix
Stakeholder attitude and knowledge map
The four dimension
How to deal with different stakeholder
• Do the right classification
• Make Agreements
• Break the Cycles of Mistrust
• Change Your Way of Being
Make Agreements
• Public and Visible
• Collaborative
• Short
• Updated Frequently
• Confront broken agreement
Break the Cycles of Mistrust
Change Your Way of being
Change Your Way of being
Once you treat them as human
• You can listen to them
• You can determine their motivation
• You will not take it personally
• You will keep it cool and be nice
• You can easily be on their side
• You can reach the root cause of the problem and solve it.
Bonus Slides
National Culture and management
Dimensions of national culture
• Developed by Dutch social psychologist Geert Hofstede
• It describes the effects of a society's culture on the values of its members, and how
these values relate to behavior.
• It ultimately provides evidence of the extent to which regular citizens, or those
working under another, will follow the whims of an authoritative figure.
Six different dimensions to every culture
• Power distance
• Individualism vs. Collectivism
• Masculinity vs. femininity
• Uncertainty avoidance
• Short term vs. long term
• Self-restraint vs indulgence
Power distance
• This dimension deals with the fact that all individuals in societies are not equal
• It expresses the attitude of the culture towards these inequalities amongst us.
• Power Distance is defined as the extent to which the less powerful members of
institutions and organizations within a country expect and accept that power is
distributed unequally.
Power distance
Individualism vs. Collectivism
• The fundamental issue addressed by this dimension is the degree of
interdependence a society maintains among its members.
• It has to do with whether people's self-image is defined in terms of “I” or “We”.
• In Individualist societies people are supposed to look after themselves and their
direct family only.
• In Collectivist societies people belong to ‘in groups’ that take care of them in
exchange for loyalty.
Individualism vs. Collectivism
Masculinity vs. femininity
• A high score (Masculine) on this dimension indicates that the society will be driven
by competition, achievement and success
• With the success being defined by the winner / best in field – a value system that
starts in school and continues throughout organizational life.
• A low score (Feminine) on the dimension means that the dominant values in society
are caring for others and quality of life.
• A Feminine society is one where quality of life is the sign of success and standing out
from the crowd is not admirable.
• The fundamental issue here is what motivates people, wanting to be the best
(Masculine) or liking what you do (Feminine).
Uncertainty avoidance
• This has to do with the way that a society deals with the fact that the future can
never be known.
• Should we try to control the future or just let it happen?
• This ambiguity brings with its anxiety and different cultures have learnt to deal with
this anxiety in different ways.
• The extent to which the members of a culture feel threatened by ambiguous or
unknown situations and have created beliefs and institutions that try to avoid these
is reflected in the score on Uncertainty Avoidance.
Short term vs. long term
• This dimension describes how every society must maintain some links with its own
past while dealing with the challenges of the present and future
• Societies prioritize these two existential goals differently.
• Normative societies, which score low on this dimension, for example, prefer to
maintain time-honored traditions and norms while viewing societal change with
suspicion.
• Those with a culture which scores high take a more pragmatic approach: they
encourage thrift and efforts in modern education to prepare for the future.
Short term vs. long term
Self-restraint vs indulgence
• One challenge that confronts humanity, now and in the past, is the degree to which
small children are socialized.
• Without socialization we do not become “human”.
• This dimension is defined as the extent to which people try to control their desires
and impulses, based on the way they were raised.
• Relatively weak control is called “Indulgence” and relatively strong control is called
“Restraint”.
Thank you
Mahmoud Ghoz
Q&A
Mahmoud Ghoz

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Managing stakeholders from the disengaged to the difficult

  • 1. Managing Stakeholders: From The Disengaged To The Difficult Agile Practitioners Association of Nigeria Mahmoud Ghoz
  • 2.
  • 3.
  • 4. Agenda • Define stakeholders • Determine stakeholders • Stakeholder management • How to deal with different stakeholder
  • 5. What do we mean by stakeholders?
  • 6. Who are the stakeholder in any project?
  • 8. Methods to identify the Stakeholder • Project/Product Charter • Contract Documents if any • Brainstorming Sessions • Focus Groups • Individual interviews • Direct Observation
  • 9. Are the stakeholders equally important?
  • 10. What should we do then?
  • 11. Why do you need to classify them?
  • 12. How can we classify them?
  • 16. What is Salience model? Salience model classify stakeholder into three category: • Power: The authority and influence on the outcomes.
  • 17. What is Salience model? Salience model classify stakeholder into three category: • Legitimacy: Their involvement is appropriate (morally, legally etc.).
  • 18. What is Salience model? Salience model classify stakeholder into three category: • Urgency: Calls for immediate attention or pressing need.
  • 19. Latent Stakeholders • Those who possess only one of the 3 attributes - Power, Legitimacy, and Urgency. • Latent stakeholders are Dormant, Discretionary, Demanding.
  • 20. Dormant Stakeholders • Are the stakeholders who only possess power but have no legitimacy or urgency. • They do not require active engagement but need to be considered.
  • 21. Discretionary Stakeholders • Are the stakeholders who legitimate but have no power and their interests are not urgent. • They do not require much attention.
  • 22. Demanding Stakeholders • Are the stakeholders who have urgent demands, but no power or legitimacy. • They create “noise” and can be irritants, but are not dangerous
  • 23. Expectant Stakeholders • Those who possess any 2 of the 3 attributes - Power, Legitimacy, and Urgency. • They require active stakeholder engagement. • Expectant stakeholders can also be of 3 types - Dominant, Dependent, Dangerous
  • 24. Dominant Stakeholders • Are the stakeholders who possess both power and legitimacy, but not urgency. • They have legitimate stakes and the power to act on those stakes.
  • 25. Dependent Stakeholders • Are the stakeholders who lack power but have urgent and legitimate. • They can form an allay with other groups of stakeholders and achieve power.
  • 26. Dangerous Stakeholders • Are the stakeholders who possess power and urgency but do not possess the legitimacy to their claims. • They form a threat
  • 27. Definitive Stakeholders • Are the stakeholders who possess power and legitimacy and have an urgent need. • They demand the utmost attention and need to be attended to in a timely manner.
  • 30. High power, high interest • We called them Players • These are your most important stakeholders • You should keep them happy with your progress. • You must collaborate and keep them fully engaged.
  • 31. High power, low interest • They are influencer • They can offer great insights and ideas for the project • You should work to keep these people satisfied. • You could turn them off if you over-communicate with them.
  • 32. Low power, high interest • They are Context-setters • They are heads of departments, for example • They can have a lot of influence over the project • You want to keep them regularly informed without involving them into the details
  • 33. Low power, low interest • They are the crowd • They require some ongoing communication but don’t overdo it.
  • 35. Influence and Interest stakeholder matrix
  • 36. What if we add the attitude dimension?
  • 37. Stakeholder Analysis – An Added Dimension
  • 38. Stakeholder Analysis – An Added Dimension • Trip Wire: Insignificant Passive Blocker Low Power, Low Interest, Negative Attitude • Acquaintance: Insignificant Passive Backer, Low Power, Low Interest, Positive Attitude
  • 39. Stakeholder Analysis – An Added Dimension • Irritant: Insignificant Active Blocker, Low Power, High Interest, Negative Attitude • Friend: Insignificant Active Backer, Low Power, High Interest, Positive Attitude
  • 40. Stakeholder Analysis – An Added Dimension • Time Bomb: Influential Passive Blocker, High Power, Low Interest, Negative Attitude • Sleeping Giant: Influential Passive Backer, High Power, Low Interest, Positive Attitude
  • 41. Stakeholder Analysis – An Added Dimension • Saboteur/Terrorist: Influential Active Blocker, High Power, High Interest, Negative Attitude • Savior: Influential Active Backer, High Power, High Interest, Positive Attitude
  • 42. Stakeholder Analysis – An Added Dimension • How to deal with a saboteur, timebomb and Irritants • Focus on purpose: Vision, strategy and the stakeholder's goals • Focus on process: Tactics and tools • Focus on people: Create relationships and earn their trust
  • 43. Stakeholder attitude and knowledge map
  • 44. Stakeholder attitude and knowledge map • Quadrant 1: Stakeholders who are aware of your project and support it. • These are your “champion” stakeholders. • They generally don’t require much attention but should not be taken for granted.
  • 45. Stakeholder attitude and knowledge map • Quadrant 2: Stakeholders who are aware of the project but are opposed to it. • These stakeholders may never be supportive. • Contingency measures may be needed to manage the risks these negative stakeholders may pose.
  • 46. Stakeholder attitude and knowledge map • Quadrant 3: Stakeholders who oppose your project even though they are largely ignorant of what it entails. • These stakeholders should be a key focus because their attitude can often be changed with the relevant information.
  • 47. Stakeholder attitude and knowledge map • Quadrant 4: Stakeholders who support your project but are largely ignorant of what it entails. • These stakeholders need to be nurtured so they are not lost.
  • 48. Stakeholder attitude and knowledge map Stakeholders generally fall under 5 levels of support: • Unaware: They are unaware of the project and its potential impacts on them. • Resistant: They are aware of the project but are opposed to it. • Neutral: They are neither for nor against the project. • Supportive: They are in favor of the project and want it to succeed. • Leading: They are actively engaged in ensuring the project’s success.
  • 49. Stakeholder attitude and knowledge map
  • 50. What if we add the power and interest?
  • 52. Stakeholder attitude and knowledge map
  • 54. How to deal with different stakeholder • Do the right classification • Make Agreements • Break the Cycles of Mistrust • Change Your Way of Being
  • 55. Make Agreements • Public and Visible • Collaborative • Short • Updated Frequently • Confront broken agreement
  • 56. Break the Cycles of Mistrust
  • 57. Change Your Way of being
  • 58. Change Your Way of being Once you treat them as human • You can listen to them • You can determine their motivation • You will not take it personally • You will keep it cool and be nice • You can easily be on their side • You can reach the root cause of the problem and solve it.
  • 60. Dimensions of national culture • Developed by Dutch social psychologist Geert Hofstede • It describes the effects of a society's culture on the values of its members, and how these values relate to behavior. • It ultimately provides evidence of the extent to which regular citizens, or those working under another, will follow the whims of an authoritative figure.
  • 61. Six different dimensions to every culture • Power distance • Individualism vs. Collectivism • Masculinity vs. femininity • Uncertainty avoidance • Short term vs. long term • Self-restraint vs indulgence
  • 62. Power distance • This dimension deals with the fact that all individuals in societies are not equal • It expresses the attitude of the culture towards these inequalities amongst us. • Power Distance is defined as the extent to which the less powerful members of institutions and organizations within a country expect and accept that power is distributed unequally.
  • 64. Individualism vs. Collectivism • The fundamental issue addressed by this dimension is the degree of interdependence a society maintains among its members. • It has to do with whether people's self-image is defined in terms of “I” or “We”. • In Individualist societies people are supposed to look after themselves and their direct family only. • In Collectivist societies people belong to ‘in groups’ that take care of them in exchange for loyalty.
  • 66. Masculinity vs. femininity • A high score (Masculine) on this dimension indicates that the society will be driven by competition, achievement and success • With the success being defined by the winner / best in field – a value system that starts in school and continues throughout organizational life. • A low score (Feminine) on the dimension means that the dominant values in society are caring for others and quality of life. • A Feminine society is one where quality of life is the sign of success and standing out from the crowd is not admirable. • The fundamental issue here is what motivates people, wanting to be the best (Masculine) or liking what you do (Feminine).
  • 67. Uncertainty avoidance • This has to do with the way that a society deals with the fact that the future can never be known. • Should we try to control the future or just let it happen? • This ambiguity brings with its anxiety and different cultures have learnt to deal with this anxiety in different ways. • The extent to which the members of a culture feel threatened by ambiguous or unknown situations and have created beliefs and institutions that try to avoid these is reflected in the score on Uncertainty Avoidance.
  • 68. Short term vs. long term • This dimension describes how every society must maintain some links with its own past while dealing with the challenges of the present and future • Societies prioritize these two existential goals differently. • Normative societies, which score low on this dimension, for example, prefer to maintain time-honored traditions and norms while viewing societal change with suspicion. • Those with a culture which scores high take a more pragmatic approach: they encourage thrift and efforts in modern education to prepare for the future.
  • 69. Short term vs. long term
  • 70. Self-restraint vs indulgence • One challenge that confronts humanity, now and in the past, is the degree to which small children are socialized. • Without socialization we do not become “human”. • This dimension is defined as the extent to which people try to control their desires and impulses, based on the way they were raised. • Relatively weak control is called “Indulgence” and relatively strong control is called “Restraint”.

Editor's Notes

  1. A stakeholder is either an individual, group or organization who is impacted by the outcome of a project or product. Stakeholders can affect or be affected by the organization's actions, objectives and policies.
  2. To balance their needs To gain early alignment among all stakeholders on goals and plans To help address conflicts or issues early on
  3. Classify means to sort into groups by how they are alike and different (Characteristics)
  4. Power-Interest Matrix Salience
  5. Urgency is based on 2 attributes Time-sensitivity: When stakeholder’s need is time-sensitive in nature. Criticality: When the need is important or critical to the stakeholder.
  6. Ex: Employees who were laid off from the job could be a dormant stakeholders. They may file a lawsuit against the company.
  7. When you claim a prize from the shopping mall. You have no power or urgency for the mall to redeem your claims.
  8. An employee asking for frequent raises outside of organization’s established policies is an example of a demanding stakeholder.
  9. Power + Legitimacy = Authority For example, in case of our large manufacturing plant setup, the local government is a dominant stakeholder in the project. They have the power and legitimacy, but no urgency as such.
  10. For example, if the manufacturing plant is causing displacement of the local farmers in the area, then those farmers are “dependent” stakeholders. They rely on other “powerful” stakeholders which is the authority to uphold their interests.
  11. Black hat hackers
  12. The investors in a funding round
  13. Remember anyone can move from one category to another over time.
  14. Source: http://e6s-methods.com/e6s-methods-podcast/2014/5/17/e6s-024-stakeholder-management-part-1
  15. Trip Wire: Supporting function that refuses the company transformation Acquaintance: Supporting function that endorses the company transformation
  16. Irritant: The development team who refused to be Agile transformed Friend: The development team who want to be Agile transformed
  17. Time bomb: One of the executive that don’t like the transformation Sleeping Giant: The Executives that endorse the transformation
  18. Saboteur: The department head who rejects the agile transformation Savior: The department head who endorses the executive decision in the transformation
  19. Source: https://zavanak.com/engaging-the-stakeholders/
  20. Public and Visible – preferably written in a large font and posted in a prominent space Collaborative – created by all, not imposed from above, use decider protocol Shorter – fewer agreements that are lived up to trump a long list that gets forgotten Updated Frequently – Taiichi Ohno once said: "If things do not change for one month you are salary thieves." Confront broken agreement – when the agreements are violated, team members call out the violation
  21. Public and Visible – preferably written in a large font and posted in a prominent space Collaborative – created by all, not imposed from above Shorter – fewer agreements that are lived up to trump a long list that gets forgotten Updated Frequently – Taiichi Ohno once said: "If the Kanban do not change for one month you are salary thieves." Confront broken agreement – when the agreements are violated, team members call out the violation
  22. Once you treat them as human You can listen to them You can determine their motivation You will not take it personally You will keep it cool and be nice You can easily be on their side You can reach the root cause of the problem and solve it.
  23. Sources: http://www.investopedia.com/terms/p/power-distance-index-pdi.asp#ixzz3srYD0H9b https://en.wikipedia.org/wiki/Hofstede%27s_cultural_dimensions_theory https://www.hofstede-insights.com/country-comparison/egypt/ https://www.hofstede-insights.com/models/national-culture/ http://www.clearlycultural.com/geert-hofstede-cultural-dimensions/power-distance-index/ https://d1x0mwiac2rqwt.cloudfront.net/d20ea4811c166618087a4fee1d36be99/as/How_does_empowerment_work_in_high_and_low_power-distance_cultures.pdf