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4 Effective Stakeholder Management Strategies Business Analysts Must Know 

Have you had the ‘pleasure’ of dealing with difficult stakeholders? If not, you will soon. Let’s start by mentioning some stakeholder red flags that signify they may be challenging to deal with. These include poor communication, sharing only critical remarks, delayed feedback, and premature pulling of resources from the project. 

Studies have found that stakeholder management is the most important factor determining project success. Unless your business can foster deep and meaningful bonds with stakeholders, there is little scope for business success or expansion. 

Just remember that stakeholders also want the project to succeed. However, the way they express their desires may change over time.

In this article, we will discuss four critical management strategies to deal with even the most difficult stakeholders. 

Identify Key Stakeholders and Map the Relationships

A business stakeholder is anybody who is affected by your work, has decision-making authority, and is interested in project success. The first step is to identify the key stakeholders and map your relationships with each. 

Let’s look at a few examples of stakeholders, be it individuals or groups –

InvestorsSuppliersStakeholders
Future RecruitsC-level ExecutivesGovernment 
Key Contributors Advisors Trade Associations 

We understand that it can be difficult and confusing to recognize key stakeholders for a particular project. This is where you can leverage the power of relationship mapping software. It will assist you in identifying key stakeholders along with their level of influence within the organization. 

According to Prolifiq, you can target your relationship efforts within the CRM, including Salesforce and Quip. This way, it becomes possible to track stakeholder engagement, report the number of supporters for a typical deal, and share the inputs with the internal team. 

For instance – segregate the stakeholders into categories like keep satisfied, manage closely, keep informed, and monitor using minimal effort. This matrix will help you understand a project’s champions and detractors. 

Closely monitoring their emails and comments will give you an idea of when the tide is turning. In a nutshell, you will have a clear roadmap to keep every stakeholder happy and in the loop. 

Keep the Communication Channels Open 

There will often be times when you dislike hearing what your stakeholder has to say. Even so, this is no reason to shut off all channels of communication with them. A better route is to walk in your difficult stakeholders’ shoes and understand their goals and concerns. 

If you find their perspective frustrating and tedious, ask yourself some important questions. These may include, “Does their viewpoint align with the project’s objectives?” or “Do they simply want things to be done a different way?” Try to find common ground with them. 

The main point is that everybody wants to feel heard and have their opinions valued. Listed below are some effective ways to show stakeholders that they matter –

  • Look for people and projects that are best suited to their talents and interests. 
  • Offer praise, especially to reinforce positive behaviors. 
  • Even in the heat of the moment, choose the high road of respect.  
  • Grant them the opportunity to share their knowledge and insights with the group. 

Schedule One-on-One Meetings 

If the stakeholder is a bit tricky to deal with, it’s time to offer them more time, preferably one-on-one. It could be possible that they feel the pressure lifted when other stakeholders are not around. Personal meetings are great occasions to have focused and calm conversations. 

First things first – avoid blatantly questioning them as to why they disagree with the established plan. Instead, be patient and explore their viewpoint as well as relevant solutions. You can start by asking their opinion on the project’s progress. 

Similarly, build the conversation around open-ended questions that can make both parties feel understood. One-on-one meetings with difficult stakeholders are a must as they can prevent one negative opinion from influencing the others. Schedule such meetups when the feedback has crossed the threshold of constructive and entered into negative territory. 

Determine Their Motivations 

If a stakeholder’s resistance is unforeseen and vehement, it’s time to determine their motivations. It may be possible that they’re worried about going overboard with the budget. Perhaps the project is not moving in the direction they had envisioned or they’re answerable to a board of directors that has its own concerns. 

Once you identify and address the stakeholder’s motivation, it’s easier to break their resistance, spot compromises, and complete the project on time. The following questions will help you reach the root of their motivations –

  • What are their most pressing pain points?
  • What is the best way to communicate with them?
  • What details or information are they after?
  • Who may be influencing their motivations?
  • Who are they answerable to?

We are not asking you to become a detective and simply ponder over these questions. Step forward and ask them directly to the concerned stakeholder. 

Effective stakeholder management will not only fast-track projects but also make them more agile. It has been found that agile projects are 28% more likely to be successful than their non-agile counterparts. So, what are you waiting for? Get everyone on the same page and guide project management efforts toward success! 

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