In previous readings, we discussed the value of stakeholders

In previous readings, we discussed the value of stakeholders.  We established that stakeholders are a driving force in Non-Profit Organizations and For-Profit organizations.  We have also established that their input can affect the organizations direction and as such, it is important to identify and understand their objectives.  This is need so they can evaluate if the stakeholders influence will be embraced, marginalized, or mitigated.  Based on this information, Stakeholders are key team members that cannot be ignored, rather they must be understood.

WRITE THIS ESSAY FOR ME

Tell us about your assignment and we will find the best writer for your paper.

Get Help Now!

With understanding the stakeholder, one must determine the level of influence they can exert on an organization.  The question is:  How much influence should a stakeholder’s interest exert over a for profit organization?  One would argue that the answer is subjective and is based on if the stakeholder is moving in the same direction as the organization or not. If the stakeholder is an ardent supporter of the organization, one would believe that it’s important to have these key stakeholders with a high degree of influence as they are pertinent.  If the stakeholder is out of sync with the organization, then one would argue that the stakeholders influence should be minimize and/or marginalized.

An additional view that must be considered is differing perspectives by the stakeholders and how that effects their ability to influence an organization.  Taran, (2015) argues that conflicting views, beliefs, and concerns among the key stakeholders with a high degree of influence can create a challenging environment.  When this type of interaction occurs, the organization lead must decide if they will choose a side, mediate, or let the differing stakeholder’s fight-it-out.  The organization lead can use this as an opportunity to increase the level of influence for the stakeholder that wins or use it as an opportunity to weaken a stakeholder that has a high degree of influence.  As the organization has to determine if a stakeholder with a high degree of influence is good or bad, they also must determine on how to deal with the stakeholder.

Reference

Taran, Z., & Betts, S. (2015). CORPORATE SOCIAL RESPONSIBILITY AND CONFLICTING STAKEHOLDER INTERESTS: USING MATCHING AND ADVOCACY APPROACHES TO ALIGN INITIATIVES WITH ISSUES. Journal Of Legal, Ethical & Regulatory Issues, 18(2), 55-61.

DQ 2

For-profit companies are in the business to increase revenue by meeting the bottom line; therefore they should consider stakeholders’ interests because some of the key stakeholders have corporate stock and want to make money too.

To determine how much influence stakeholder interests exert over a non-profit company is dependent on stakeholder analysis that measures the objectives or motives of stakeholders from an organization’s vantage point. According to Lindenburg and Crosby (1981) as cited by Brugha and Varvasovszky (2000), questions are asked about the position, interest, influence, interrelations and other characteristics of stakeholders in order to gain insight (p. 239). The analysis is important because stakeholders are key individuals or groups that play an integral role in reaching organizational goals and objectives, and by working collaboratively, the objectives can be met through this partnership.

Reference

Brugha, R., &Varvasovszky, Z. (2000). Stakeholder analysis: a review. Health policy and planning, 15(3), 239-246.