How a stakeholder analysis

helps your organisation

a stakeholder analysis?

What is

A stakeholder analysis is one of the most important tools in stakeholder management and Strategic Environmental Management (SEM). It helps organisations gain an understanding of who is involved in a project, what their interests are, and what influence they can exert on the process or decision-making.

Whether it concerns an area development, energy transition, infrastructure project or policy issue: without a proper understanding of stakeholders, the likelihood of resistance, delays and unexpected risks increases significantly.

A stakeholder analysis therefore often forms the first step towards

successful environmental management.

A stakeholder analysis is a structured method for identifying, analysing

and prioritising stakeholders.

The aim is to gain an understanding of:

who the stakeholders are;
what interests they have;
how much influence they can exert;
how deeply they are involved;
what opportunities and risks they present;
what strategy is needed to collaborate effectively with them.

With these insights, organisations can make better choices regarding communication, participation, collaboration and decision-making.

What do you analyse during a stakeholder analysis?

A good stakeholder analysis goes beyond simply compiling a list of names.

The following aspects are usually examined:

Interests

What does the stakeholder consider important?
What opportunities does the stakeholder see?
What concerns or risks does the stakeholder perceive?

Influence

How much influence does the stakeholder have on decision-making, implementation or public opinion?
Can the stakeholder speed up or slow down processes?

Attitude

How does the stakeholder view the challenge?
Is there support, resistance or a neutral stance?

Relationships

Which stakeholders influence one another?
Are there partnerships, coalitions or conflicts?
It is precisely these interrelationships that often determine the course of a project.

The difference between a stakeholder analysis and an interest analysis

In traditional stakeholder management, the focus is often on the stakeholder themselves.

In Strategic Environmental Management, the emphasis is on the interests behind the stakeholder. That difference may seem small, but it has major consequences.

A stakeholder analysis answers the question:

“Who is involved in this task?”

An interest analysis answers the question:

“Why are they involved?”

Two stakeholders may take the same position, but have completely different interests.

By bringing these interests to light, scope is created for solutions that serve multiple interests simultaneously.

That is why, within Strategic Environmental Management (SOM), a stakeholder analysis often forms the starting point for a broader interest analysis.

Why is a stakeholder analysis important?

Many projects focus primarily on technical aspects, planning and finances. In practice, however, it is often not the technical challenges but the human and organisational factors that determine the success of a project.

A stakeholder analysis helps to:

identify resistance at an early stage;
discover opportunities for collaboration;
gain insight into interests;
manage risks;
increase support;
make better decisions;
prevent delays.

By identifying stakeholders at an early stage, organisations can act proactively rather than having to react to problems.

The stakeholder matrix

A commonly used method in stakeholder analysis is the stakeholder matrix.

This involves categorising stakeholders on the basis of:

importance;
influence.

This provides insight into which stakeholders deserve priority.

Four categories are often distinguished:

1. High importance, high influence

These stakeholders deserve close attention and active cooperation.

2. High importance, low influence

These stakeholders must be kept well informed and engaged.

3. Low importance, high influence

These stakeholders deserve strategic attention as they can influence decision-making.

4. Low importance, low influence

These stakeholders require limited attention but must still be monitored.

Although a stakeholder matrix provides a clear overview, it does not explain why stakeholders take certain positions.

This requires a further analysis of their interests.

according to Strategic Environmental Management

Stakeholder analysis

In Strategic Environmental Management analysis, the focus is not on the stakeholder themselves, but on the interrelationship between issues, interests and stakeholders.

A stakeholder has one or more interests. When these interests are affected by a project or task, issues arise. These issues form the basis for dialogue, participation, decision-making and collaboration.

Gaining insight into the relationship between stakeholders, interests and issues leads to a well-founded strategy. Based on that strategy, targeted actions can be implemented that help to reduce risks, increase support and achieve better solutions.

The SOM analysis helps organisations not only to understand who is involved, but above all why they are involved and which issues are important to them.

It is precisely this that shifts the focus from managing stakeholders to aligning interests and resolving issues.

The central question shifts from:

“Which stakeholders are important?”

to:

“Which interests and issues determine the behaviour of these stakeholders?”

This provides insight into:

potential conflicts;
shared interests;
opportunities for collaboration;
possibilities for consensus.

This approach is in line with the Mutual Gains principle, which seeks solutions that create value for multiple parties.

Who are my stakeholders?

A stakeholder is any person, organisation or group that influences a project or is influenced by it.

Examples include:

residents;
businesses;
local authorities;
counties;
water boards;
interest groups;
nature conservation organisations;
project developers;
contractors;
network operators;
internal project teams;
administrators and politicians.

Each stakeholder views the same challenge through the lens of their own interests.

That is precisely why an understanding of those interests is essential.

A number of pitfalls encountered in practice

Focusing solely on a stakeholder’s influence

Influential stakeholders often receive a great deal of attention, whilst stakeholders with little influence can sometimes have a major societal impact.

Focusing solely on a stakeholder’s influence

Influential stakeholders often receive a great deal of attention, whilst stakeholders with little influence can sometimes have a major social impact.

Carrying out a one-off analysis

Stakeholders change. Interests change. New stakeholders emerge. A stakeholder analysis must therefore be updated regularly.

Focus on positions

If one looks only at what stakeholders say, their actual interests often remain hidden.

Failing to link to strategy

A stakeholder analysis is only valuable if the findings are actually used in communication, participation and decision-making.

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.