Introduction to Stakeholder Management

A stakeholder is any individual, group, or organization that can affect, be affected by, or perceive itself to be affected by a project decision, activity, or outcome (PMBOK 7th Edition). Stakeholder management is the systematic identification, analysis, engagement, and monitoring of these people throughout the project lifecycle. Under PMBOK 7, it sits within the “Stakeholders” performance domain and is guided by the principle of engaging stakeholders proactively, to the degree needed, to contribute to project success.

In digital transformation and ERP program (e.g., Dynamics 365 BC/CE/F&O), stakeholders span business sponsors, end-users, IT, finance, vendors, regulators, and change champions making structured stakeholder management essential, not optional.

2. Importance of Stakeholders to Project Success

•         Stakeholder opposition is a leading cause of project failure more than technical issues.

•         Early buy-in accelerates decisions, funding approval and user adoption.

•         Engaged stakeholders surface risks early and defend the project during setbacks.

•         In ERP/tech projects, end-user resistance is the #1 cause of failed go-lives.

Key takeaway: People, not just plans, determine whether a project succeeds.

3. Stakeholder Identification

➢ Brainstorming

Use structured sessions (SWOT, org charts, process maps, RACI) with the project team to list all parties who touch or are touched by the project. In ERP projects: Finance, HR, IT, Procurement, Internal Audit, Regulators (CBN/NDIC for banks), vendors, and the Change Board.

➢ Stakeholder Register

A living document capturing each stakeholder's identification, assessment, and classification data. Minimum fields: Name/Role Interest Power Strategy

4. Stakeholder Analysis

Stakeholder Salience Model: Classifies stakeholders by Power, Legitimacy, and Urgency. Stakeholders holding all three (“definitive”) demand the highest priority e.g., a Central Bank regulator in a bank's D365 rollout.

Attitude Mapping: Plots current disposition (Champion, Supporter, Neutral, Critic, Blocker) to tailor messaging and identify who can influence others.