PMI RMP – PROJECT STAKEHOLDER MANAGEMENT part 1

1. INTRODUCTION

Hi and welcome back again to the last knowledge area project Stakeholder management. So, stakeholder management includes all processes required to identify people, groups or organizations that could impact or be impacted by the project to analyze stakeholders expectations and their impact. Act from the project so people, groups or organizations that could impact or be impacted by the project. This is the exact definition of the project stakeholders. So the stakeholder management knowledge areas about identifying those stakeholders, analyzing their expectations and requirements and managing their engagement throughout the project.

Plus this area support the project teamwork to analyze stakeholders expectations, assets, the degree to which they impact or are impacted by the project and develop strategies to effectively engage stakeholders. Proper project management requires you to identify all stakeholders, analyze their power, interest and level of engagement allocate the requirements and expectations. We have four processes within the project stakeholder management first of all, identify stakeholders in the Initiating Processing group, plan stakeholder engagement in the Planning Processing group, manage stakeholder engagement during the Executing Processing Group and Monitor stakeholder engagement during the Monitoring and Controlling Process group.

So once you are done with the project charter document of your project, your first step will be identifying the project stakeholders. That we have two processes only in the Initiating Processing group develop the project charter and identify the project stakeholders. As you can see, the stakeholder management area starts with the initiating, planning, executing at the end the monitoring and controlling four processes. Each one of them falls into one process group identify stakeholders, plan stakeholder engagement, manage stakeholder engagement and monitor stakeholder engagement. Here are a few key concepts of stakeholder management every project has stakeholders who are impacted by or can impact the project in a positive or negative way.

All stakeholders should be considered either they are affecting the project in a positive or a negative way to increase the chances of project success. The process of stakeholder identification and engagement should commence as soon as possible. After the project charter has been approved, the project manager has been assigned and the team begins to form. This is which I mentioned now that the only two processes we have in the initiating process group is to create the project charter and to identify the project stakeholders. This is an indication of the importance of managing the stakeholders throughout the project.

Managing them closely, especially in the early phases of the project, will increase the chances of the project. Such, the key to effective stakeholder engagement is a focus on continuous communication with all stakeholders, including team members, to understand their needs and expectations, address their issues and manage any conflicts with the stakeholders. Stakeholder management activities of identification, privatization and engagement are iterative and should be reviewed and updated routinely. As in any phase of the project, the new stakeholders might be identified. This is all for the introduction of the stakeholder management. Thank you so much. I will see you at the next lecture.

2. TRENDS AND EMERGING PRACTICES IN STAKEHOLDER MANAGEMENT

Now, before we move forward to the first process of the stakeholder management, we need to know some trends and emerging practices. First of all, all the project stakeholders should be identified regardless of the power or interest or impact they have on the project. The first step would be to identify all the project stakeholders. Prioritization and analysis and assessment of all the stakeholder expectations would be done during the identify stakeholder process. Ensuring that all team members are involved in stakeholder engagement activities due to its importance, reviewing the stakeholder community on regular basis, consulting with stakeholders who are most affected by the work or outcomes of the project through the concept of cocreation and capturing the value of effective stakeholder engagement, both positive and negative.

This needs the project team to be aware of this value again and again, and effective stakeholder management processes will increase the chances of the project success. So what are the tailoring considerations when it comes to the project’s stakeholder management? First of all, we have the stakeholder diversity, complexity of stakeholder relationships, communication technologies used when communicating with the project stakeholders. Those are the three conservations or the major conservations you need to be aware of for the stakeholder management tailoring. Thank you so much. I will see you at the next lecture.

3. AGILE CONSIDERATIONS FOR STAKEHOLDER MANAGEMENT

Hi. Welcome back again. Now, when it comes to managing agile environments or change driven projects, what are the considerations for the stakeholder management project? Experiencing high degree of change requires active, even proactive engagement and participation with the project stakeholders and especially the key stakeholders. Regular interactions with stakeholders, community throughout the project mitigate trust, build trust and support adjustments earlier in the project cycle, thus reducing costs and increasing the likelihood of project success. In order to accelerate the sharing of information within and across the organization, agile methods support aggressive transparency, especially in the agile or changed driven environment projects. Those are the considerations for the agile environment. In the next lecture, we will start the first process identifying Stakeholders.

4. PROCESS 1: IDENTIFY STAKEHOLDERS

Hi and welcome to the first and most important process of the stakeholder management identify stakeholders. It’s part of the initiating process group. The process of identifying project stakeholders regularly and analyzing and documenting relevant information regarding their interests, involvement, interdependencies influence and potential impact on project success. This is the exact definition of what we are going to do in the identify stakeholders process. The key benefit of this process is that it enables the project team to identify the appropriate focus for engagement of each stakeholder or group of stakeholders. Identify stakeholders frequently used for the first time in a project either prior to or the same time the project charter is developed and approved.

This is all what you need to do during the initiating processing group. You need to identify the project stakeholders and develop the project chapter. This process is performed periodically throughout the project as needed as stakeholders will be identified or might be identified throughout the project lifecycle. We have seven inputs, five tools and techniques and four outputs. Let’s go through the inputs. First of all, what you are going to need to identify the project stakeholders you will need the project charter as it identifies key stakeholders less there is a part of the project charter with the key stakeholders business documents or project business documents.

We will need the business case as it identifies initial list of stakeholders affected by the project benefit management plan. It may identify the individuals and groups that will benefit from the delivery of the outcomes of the project. The project management plan with the subsidiary plan is first of all communication management plan. Communications and stakeholder engagement are strongly linked because you need to communicate with the project stakeholders frequently. You will need also the stakeholder engagement plan which identifies the management strategies and actions required to effectively engage the project stakeholders.

What are the project documents you will need first of all the issue lot as it records issues that may introduce new stakeholders to the project or change the type of participation of existing stakeholders. You will need also the change law records issues that may introduce new stakeholders to the project or change the nature of an existing stakeholders relationships to the project requirements. Documentation can provide information on potential stakeholders. The agreements will be an important input to identify the project stakeholders. All the parties, the second parties with an agreement are considered as project stakeholders.

If you are signing a contract with ABC company then the ABC company representative will be a stakeholder for the project. You will need also the enterprise environmental factors and the organizational process assets. What are the tools and techniques you will use to identify the project stakeholders? First of all the expert judgment which is judgments provided upon expertise as an application area, knowledge area or discipline as appropriate for the activity being performed and the activity being performed. Here is the stakeholder identification data gathering techniques. First of all you will need the questionnaires and surveys includes one to one reviews and focus groups sessions.

Brainstorming as used in stakeholder identification can include both brainstorming and brain writing. Brainstorming is a general data gathering and creativity technique that elicits inputs from groups while the brain writing is a refinement of the brainstorming that allows individual participants time to consider the questions individually before the group creativity session as hell. This is the difference between the brainstorming and the brainwriting. The most important technique from the data analysis techniques will be the stakeholder analysis. I will talk and I will explain this technique and detailed in the second or in the coming lecture.

Here you need to know that results in a list of stakeholders and relevant information such as their positions in the organization, roles in the project, expectations, attitudes and their interest. Stakeholders stakes include first of all the interest a person or group can be affected by a decision related to the project or its outcomes. Rights legal rights such as occupation and health and safety. Moral rights may involve concepts of protection of historical sites or environmental sustainability. Ownership A person or group has a legal title to an asset or property. Knowledge specialist knowledge or knowledge of the power structures of the organization and its politics contribution provision of funds or other resources including human resources or providing support for the project.

These are the stakeholder states which you might include document analysis, assessing the available project documentation and listen lanes from previous projects to identify the current project stakeholders. Data representation techniques include stakeholder mapping or representation. There are methods of categorizing stakeholders using various methods. Common methods used are first of all the power interest grid or the power influence grid or the impact influence grid. It can be called also the two by two grid model. These models are useful for small projects. Each of these techniques supports a grouping of stakeholders according to first of all, we have the power, it’s the level of authority.

We have the interest, which is the level of concern about the project outcomes and we have the influence, which is the ability to influence the project outcomes. Here is an example for the power interest. Great people who falls in this quadrant have high interest and low power. Here they have high interest, high power, here with low interest and low power and here with high power and low interest. This is an example for the power interest grant. We have the stakeholder cube. It’s a refinement of the grid models. This model combines the grid elements into three dimensional model that can be useful to project managers and teams in identifying and engaging their stakeholder community.

I’m going to explain the stakeholder cares in more detail in the coming lecture you have the seniors model describes classes of stakeholders based on assessment of their power, which is the level of authority urgency, which is the need for immediate action and legitimacy, which is their involvement in appropriate. This model is useful for large complex communities. Here is an example of the salience model people outside the three circles are non stakeholders. Here is the circle of the power, the legitimacy and the urgency. We have the directions of influence classified stakeholders according to their influence on the work of the project or the project team itself.

Upward, downward, outward or sidewald. These are the directions of influence can be used to analyze or represent stakeholder information the privatization necessary for projects with large numbers of stakeholders. Another tool which can be used in this process will be the meetings which is used to develop understanding of significant project stakeholders. Now what are the outputs you will have once you are done with the stakeholder identification? The first output and the primary output will be the stakeholder register. The main output of this process contains information about identified stakeholders. Such information will be identification information, assessment information and stakeholder classification.

You might find the standard form of the stakeholder register in the organizational process. Assets change Requests as stakeholder identification continues throughout the project, new stakeholders or new information about stakeholders may result in a change request to the product, project Management plan or project documents. Some of the subsidiary plans of the project management plan will be updated such as the requirements management plan as new identified stakeholders can impact how requirements are planned, tracked and reported. We have also the communications management plan which might be updated with stakeholders.

Communication requirements are recorded in the communication management plan. The risk management plan as stakeholders requirements and communications may affect the approach of managing the project risks stakeholder Engagement Plan agreed upon communication strategies are recorded in the stakeholder engagement plan. Some of the project documents which might be updated as a result of the identified stakeholders process will be the assumption log as much of the information about the relative power, interest and engagement of stakeholders is based on assumptions issue log updated with the new issues raised during this process.

At the end we have the risk register which might be updated with the new risks identified. Here is an example of the stakeholder register form with the project title, the data, the date prepared, the name of the stakeholder, the position, the contact information, the requirements, the expectation and the classification. This is the standard form you might refer to the organizational process assets of your organization in order to find the standard form of the stakeholder register. This is all for the identified stakeholders process. Thank you so much, I will see you at the next lecture.

5. HIGHLIGHT: STAKEHOLDER ANALYSIS AND MAPPING

Hi and welcome back again. In this lecture we are going to highlight the stakeholder analysis and mapping due to its importance for the exam. Actually, the stakeholder analysis is the core tool used in the identify stakeholders process as it is used to gather and assess information about stakeholders, the people or groups that can influence or are influenced by the project outcomes. Key benefit of this tool is to determine how to best engage with the project identified stakeholder. This tool is used throughout the project as stakeholders and their engagement needs change and evolve. It is used to classify stakeholders. It can be used to help fill in the stakeholder register.

Analyzing stakeholders can also help in planning stakeholder engagement for groups of stakeholders. There are many other ways to categorize stakeholders. Some common use examples includes the power, urgency and legitimacy, which is the science model and the influence impact or the power impact or the power influencer models. Now, when performing stakeholder analysis, you need to follow the following steps. This is the reason why I recorded this lecture. I want to make the stakeholder analysis tool more clear for you. What are the exact steps you need to follow in order to perform the stakeholder analysis in a proper way? First of all, you need to identify all the project stakeholders and gather information about them.

Information you can assess in a stakeholder analysis includes so what are the information I need to gather for each identify the project stakeholder? First of all, you can use the attitude will the person help or handle the work of the project? The hierarchy where is the person in the organization structure compared to the activity manager? Higher or lower? Internal or external? Colleague or competitor? The interest does the person have an active interest, passive interest or no interest on your project and its outcomes? The power was the person’s ability to cause change on the project. The proximity, the degree of involvement a stakeholder has in the project, and the urgency which calls for immediate attention or pressing need.

Those are few headlines, let’s say, which you can gather for the identified project stakeholders. For projects that have a complex and influential stakeholder community, you may want to collect all this information. For smaller projects, you can focus on the nature of each stakeholder’s influence using the direction of influence. I explained in the previous lecture the upward, downward, upward and sideword or sideways and his or her interest on the project. The second step would be the prioritization of the project stakeholders. There are various models you can use to prioritize your project stakeholders. One method is by assessing the power, proximity and urgency of each stakeholder.

What is the power? It’s the ability to change or stop the project. The proximity is the degree of involvement a stakeholder had on the project, the urgency which calls for immediate attention or pressing need. The third step will be mapping the data you just gathered. It’s a good practice to develop a graphic or table representation of the stakeholder information to help illustrate the stakeholders landscape. For projects with relatively homogeneous stakeholders, you can use the two by two grid model that only considers two variables such as the interest and influence. For larger projects, consider using the three by three stakeholder Q tail of the categories to reflect the importance of various stakeholder variables.

The most simple form you can use to map the data you gather is the tabular representation based on the power, proximity and urgency like the one shown in this table. We have four stakeholders. You can use the table to represent the power, proximity and urgency of each stakeholder two by two grid models that only considers two variables. Examples include power, interest, power, influence grid and influence impact grid. Now, the high power, high interested people on your project should be managed closely. You must fully engage these people and make the greatest efforts in order to satisfy them. High power, less interested people should be satisfied on your project.

Put enough work with these people to keep them satisfied, but not so much that they become bored with your message. The reason that they have a low interest on your project but they have a high power, the low power, highly interested people should be informed only ridiculously. Informed these people and talk to them to ensure that no major issues are arising. People in this category can often be very helpful with the detail of your project and the low power, less interested people you should monitor only. Again, monitor these people, but don’t bore them with excessive communication. Those are the four quadrants of the two by two grid models shown in this graph.

For the high power, no interest people you need to keep satisfied, for the high power, high interest, you need to manage closely. For the low power, low interest, you need to monitor only. And for the high interest, low power people, you need to keep informed. You need to memorize these four quadrants for the example, the three by three stakeholder cube to map data using three categories. This is an example of this cube categorizing the project stakeholders as per the attitude, the interest and the power. The three dimensional stakeholder cube is a more sophisticated development of the simple two by two model or chart.

The methodology supports the mapping of stakeholders through interest, power and attitude. This approach facilitates the development of eight typologies with suggestions on the optimum approach to managing each class of the stakeholder. As you are using three variables and this is a cube, then you have eight topologies or eight small cubes. Within this cube, the savings model introduces the concepts of urgency and negatives. Urgency, calls for immediate attention or pressing need power in the authority and influence, in the organization, and on the project outcomes.

While the legitimacy is their involvement is appropriate, morally, legally, legitimate stakeholders are the ones who really count on your project. The three circles represent power, legitimacy and urgency. We have eight regions, as you can see 123-4567 and the one outside, which is eight. We have eight regions marked on the diagram, each representing different types of stakeholders on the project. But the stakeholders falls in the region A are the core stakeholders. You need to consider your project, and people who fall in that region H are non stakeholders for your project. This is all what you need to know about the stakeholders. Analysis and mapping for the exam. Thanks you so much. I’ll see you at the next lecture.