Importance Of Stakeholder Engagement

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Section A:
With regard to the characteristics of a “perfect” company, stakeholder engagement and governance structures would need the following information and components to ensure that the company is sustainable and efficient in the previously mentioned aspects.
Stakeholder engagement; in modern times, the term “stakeholder engagement” has a far wider scope and longer life span than in the past. With emphasis in the modern day being placed on; transparent reporting, good corporate social responsibility and the use of good communication techniques. Stakeholders, are no longer simply those who own portions or shares of the company. In modern times, a stakeholder is any party that can influence the actions or be influenced by the actions of …show more content…

The following five step process is an effective strategy; 1) Engagement Strategy: look at prior company engagement methods, determining realistic goals and objectives of the planned engagement, determining the company specific reasons as to why the engagement is important (finding motivation) and determining the tactics that will be used to achieve those goals. 2) Stakeholder Mapping: determining exactly which stakeholders must be engaged and who they are, considering each stakeholders particular needs and relevance, connecting goals/objectives to each stakeholder and how this relationship can be achieved and finally listing stakeholders in order of importance. 3) Preparation: consider the use of many different tactics, determine exactly how the company will; engage, communicate and inform stakeholders in order to achieve the set goals/objectives. 4) Engagement: it is important to consider the following aspects during the engagement; stakeholder expectations, possible tension, management of any cultural diversity and make sure that all engagement and discussion is focused with regards to the achievement of set goals/objectives. 5) Document Engagement: this must be done to review the achievement of goals/objectives, measure success and for the use of possible future improvements. This method is however, not the only method for successful engagement as simply engaging with stakeholders in day to day business may be enough to keep particular stakeholders

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