This document discusses the importance of psychology in stakeholder management. It identifies some key challenges project managers face in dealing with stakeholders, such as identifying powerful stakeholders early, influencing without authority, and effective negotiation. It then provides guidance on how to address these challenges, drawing from experts in psychology and negotiation. The document emphasizes understanding sources of power, using principles of persuasion to influence others, focusing on interests rather than positions in negotiation, and building relationships with stakeholders through effective communication and collaboration.

1. Psychology of Stakeholder Management
PMI – Chennai Chapter – KSS – 10 Sep 2016

2. http:/tinyurl.com/h838owf
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3. WON TOP HONORS
PMI National Conference – Sept 2014
Managing
GEN-Y Talent
Psychology
for Project
Management
Creative
Thinking
National Conference
Publication
Psychology for
strong
Business IT
alignment
Spoke at many
events

4. Why Psychology?
Conclusion
01
02
03
Challenges
Identify powerful stakeholders early
Influence without authority
Effective Negotiation
Agenda

5. Why Psychology
Human
Factors
are key
to Project
Success
Jonathan Haidt - Psychologist
Psychology can help PMs understand
the human factors, analyze their
interactions & manage them efficiently

6. How to identify powerful
stakeholders early ?
How to Influence without
authority ?
How to Negotiate effectively ?
How to avoid pitfalls in
understanding the needs of the
stakeholders ?
How do we plan to get
stakeholder buy-in?
How to create a collaborative
environment ?
How to effectively
communicate ?
How to manage
resistance ?
How to build
relationships ?
Stakeholder Management Challenges

7. How to Identify Powerful Stakeholders Early?
Understand
Sources of Power

8. Understand Sources of Power
• Legitimate
• Reward
• Coercion
Structural Basis of Power
• Expertise
• Information
• Charisma
Personal Basis of Power
• Priming
• Belief
Cognitive Basis of Power

9. How to Influence Without Authority?
Dr. Robert Cialdini
Six Principles of Persuasion

10. How to Influence Without Authority?- Reciprocity
A $0.05 flower
bring in
thousands in
revenue
People
tend to
return a
favor

11. How to Influence Without Authority?- Authority
Joshua Bell and the Subway Experiment
Need to
establish
credentials to
Influence

12. How to Influence Without Authority?- Social Proof
To influence use
the horizontal
peer power
Asch Conformity Experiment
O Power – 2:00 – 3:30

13. How Negotiate Effectively ?
Roger Fisher William Ury

14. How Negotiate Effectively ? …
Separate
people from
the problem
Focus on
Interests not
Positions
Invent the
options for
mutual gain
Insist on using
objective
criteria

15. Focus on Interests not Positions
Position –
What is Required?
Interests –
Why is it Required?

16. “Let us never negotiate out of fear
But let us never fear to negotiate “

17. Conclusion
Need for
Psychology
Sources of Power
Influence
Negotiation
Recommendations
Stakeholder
Management
Psychology

18. Further Reading

19. Thank You
Ramanand Garimella
Global Competency Head -
Program Management
g_ramanand@yahoo.com
TCS

20. References
1. https://www.infoq.com/articles/standish-chaos-2015
2. Scott DeRue, “Influencing People: Building Your Base of
Informal Power”, Coursera, Unit1
3. Emily Lawson and Colin Price, “The psychology of change
management”, McKinsey Quarterly - June 2003
4. Dr. Robert B. Cialdini, “Influence: The Psychology of
Persuasion” , Publisher - Harper Collins
5. Dariusz Dolinski et all, “Dialogue Involvement as a Social
Influence Technique”, Personality and Social Psychology
Bulletin, 2001
6. Sharon De Mascia, “Project Psychology”, Publisher –
Gower, pp 73-86
7. Principled Negotiation -
https://en.wikipedia.org/wiki/Principled_negotiation