What is the difference between

stakeholder management and SOM?

stakeholder management and strategic environmental management?

What is the difference between

Many organisations use the terms stakeholder management and environmental management interchangeably. Yet there is an important difference between the two concepts. Whilst stakeholder management focuses primarily on understanding and managing relationships with stakeholders, Strategic Environmental Management (SEM) goes a step further. It focuses on understanding interests and creating solutions that add value for all parties involved.

It is precisely in complex challenges – such as area developments, energy transitions, infrastructure projects and social issues – that this difference marks the distinction between organising support and actually achieving consensus.

Stakeholder management: gaining an understanding of stakeholders

Stakeholder management is the process of identifying, analysing and engaging stakeholders in a project, initiative or organisation.

A stakeholder is any person, organisation or group that influences an initiative or is influenced by it. Examples include residents, business owners, public authorities, interest groups, social organisations and internal project teams.

The aim of stakeholder management is to gain an understanding of:

who the stakeholders are;
what their interests are;
how much influence they can exert;
what expectations, concerns or opportunities they identify.

Systematically gathering this information provides a clear overview. This enables organisations to communicate more effectively, identify risks at an earlier stage and maintain relationships. Stakeholder management thus forms an important foundation for successful environmental management.

The limitations of traditional stakeholder management

Although stakeholder management offers a great deal of insight, it often focuses primarily on the stakeholders themselves.

Organisations and project teams carry out stakeholder analyses, draw up stakeholder matrices and develop communication plans.

They know who is important and who requires attention. Yet in practice, this does not always prove sufficient.

Why? Because people do not act based on their position, but on their interests.

For example, two residents might express the same wish: less traffic on their street. One resident is concerned about road safety for their children. The other resident is affected by noise pollution and a reduced quality of life.

The position appears to be the same. The interest behind it is different.

When only positions are considered, this often leads to debate. When interests are made visible, there is scope for solutions.

That is where Strategic Environmental Management begins.

Strategic Environment Management: from stakeholders to interests

Strategic Environment Management, developed by WesselinkVanZijst, is based on the principles of Mutual Gains.

In SOM, the focus is not on the stakeholder, but on the interest behind the stakeholder.

As a result, the key question shifts from:

“Who do we need to manage?”

to:

“What interests are at play and how can we align them?”

SOM focuses on creating shared value. Not by negotiating away interests, but by first fully understanding them.

This gives rise to a fundamentally different approach to collaboration.

The Mutual Gains principle

Mutual Gains is an internationally recognised method for negotiation and collaboration in complex situations.

The method is based on four key principles:

1. Separate people from the problem

Conflicts often arise because people and interests are confused with one another. By focusing on interests, there is more scope for cooperation.

2. Focus on interests, not positions

A position tells you what someone wants. An interest tells you why someone wants that. It is precisely that ‘why’ that offers opportunities for creative solutions.

3. Create options for mutual benefit

Instead of seeking compromises, the aim is to find solutions that serve multiple interests simultaneously.

4. Work on the basis of objective criteria

Decisions are based on facts, research, legislation and shared principles rather than on power or emotion. These principles form the foundation of Strategic Environmental Management.

The difference in practice

Suppose a local authority wishes to develop a new neighbourhood.

From a stakeholder management perspective, the following are considered:

which stakeholders are involved;
what influence they have;
what communication is required;
what risks are present.

From a Strategic Environmental Management perspective, the following are also considered:

what interests underlie the various positions;
where interests intersect;
what joint opportunities exist;
which solutions can serve multiple interests simultaneously.

Whereas stakeholder management primarily provides insight, Strategic Environmental Management focuses on aligning interests and building consensus.

From support to consensus

A frequently cited objective in projects is to build support. But support often simply means that people are prepared to accept a decision. Consensus goes a step further.

Consensus means that the parties involved understand why choices have been made and that their interests have been given serious consideration in the final solution. That does not mean that everyone gets their way. It does, however, mean that people feel involved in the process and understand why certain choices have been made. It is precisely this that builds trust.

Stakeholder Management and Strategic Environmental Management

The difference between stakeholder management and Strategic Environmental Management is not that one is better than the other. In fact, effective stakeholder management is a prerequisite for successful Strategic Environmental Management.

Stakeholder management helps organisations understand who is involved. Strategic Environmental Management helps organisations understand why they are involved.

Whilst stakeholder management provides insight, Strategic Environmental Management helps to align interests, build trust and arrive at sustainable solutions. It is precisely this combination that makes organisations more successful in tackling complex societal challenges.

Why is SOM becoming increasingly important?

Societal challenges are becoming ever more complex.

There are more stakeholders involved, interests are more often at odds, and societal expectations are rising. Furthermore, the Environment Act requires early and effective public participation and transparent decision-making.

In this context, it is no longer sufficient simply to identify stakeholders.

Organisations need to understand:

what interests are at stake;
which relationships influence one another;
where potential conflicts arise;
where joint opportunities lie.
Strategic Environmental Management offers a proven methodology for this.

Want to know more?

Schedule a 20 minute call with Rutger

Wondering how a stakeholder engagement can enhance your project? Schedule an informal chat and demo with Rutger den Hartog, managing partner of Dialog and expert in strategic stakeholder engagement. He will be happy to think along with you about a smart approach that works in your practice.