Other related sections of the PMKI:
The Stakeholder Circle® has been designed to focus management attention on the stakeholders that are important at this point in time, to the success of the business activity, or project, they are managing. It incorporates a proven methodology supported by a robust, easy to use tool that guides you through five easy steps to:
The Stakeholder Work Sheet (SWS) is a sophisticated Excel spreadsheet built to implement the Stakeholder Circle® methodology - see more on the SWS.
The second stage is the prioritization of the business
unit's, or project’s, stakeholders. This requires
assessing the stakeholders power, proximity and urgency to
calculate a prioritized index for each stakeholder.
See more on prioritizing stakeholders using the Stakeholder Circle SWS spreadsheet.
The assessment of each stakeholder’s importance to the project is based on ratings from the identification team members of each stakeholder’s perceived power, proximity and urgency.
Power: Some stakeholders (either alone or operating as a group) can terminate, or fundamentally change the activity using their own power, other stakeholders have the power to change or damage the activity but cannot on their own cause it to be cancelled or fail, other have little ability to cause change – this is the power axis in the stakeholder circle.
Proximity: This aspect considers how closely a stakeholder is associated with the day-to-day work of the activity. The center of the diagram represents the work, centered around the manager. The space between the inner and outer circle represents the sphere of influence of the activity on its whole stakeholder community. The proximity of a stakeholder to the project is represented by how close their segment is to the center.
Urgency / Importance: Considers what lengths the stakeholder is prepared to go to, to achieve their objectives. Some people have very little interest in protecting their stake, or influencing the project, others will go to almost any lengths to achieve an outcome.
These assessments are combined within the tool to produces an ‘index’ for each stakeholder. The weighting applied to each of these factors can be adjusted to fine tune the calculations. The stakeholders are then ranked based on their ‘index’ (the higher the index value, the higher the priority) to produce a prioritized list of stakeholders.
Blg: Key Stakeholders. Key Stakeholders are defined as a subset of Stakeholders who, if their support were to be withdrawn, would cause the project to fail.
Art: Key Stakeholders. Defining the difference between a key stakeholder and an important stakeholder.
Blg: Value is in the eye of the stakeholder.The link between stakeholders and the perception of value.