The Stakeholder Communication Matrix
The projects exist within a “corporate” environment and are pushed forward by all those executives that have a particular stake or interest in the outcome of the project.
Stakeholder management is the process of maintaining good relationships with the people who have the most impact on your work.
Pressure from stakeholders generates change and change increases the complexity of the management task, jeopardizing cost and program certainty. However if the views of project stakeholders are not addressed and if stakeholders are not involved in the development of the project, then the project is unlikely to deliver optimum value for all involved.
Product managers must first accurately identify who their stakeholders are to cultivate and nurture strong stakeholder relationships successfully. They also need to fully understand the unique points of view and needs of their stakeholders. Like any solid relationship, it requires ongoing strategic engagement and effort.
The way that you manage your stakeholders depends on:
The size and complexity of your project.
The amount of help you need to achieve the results you want.
The time you have available to communicate.
Stakeholder Communications
You can start to devise a plan for communicating with your stakeholders once you’ve mapped them on a Stakeholder Matrix.
You can use a Stakeholder Communication Matrix-like this one:
Alternatively, you can also use matrixes like the one shown in this article:
The Stakeholder Impact Analysis Matrix
Use the following steps to fill your matrix:
Step 1: Identify your stakeholders
Fill the Stakeholder Name column using the names of the key stakeholders that you have previously identified.
Remember, the goal of your communication with stakeholders is to win and maintain their support for your project.
Step 2: Prioritize and summarize each stakeholder’s status
Assess stakeholder interest, influence, and level of participation in the project. A helpful way to visualize this is to create a Power Interest Grid. People in your grid’s High Power/High-Interest quadrant are your key stakeholders and should receive full engagement throughout the process.
In the Current Status column (if your matrix doesn’t have this column add it), add your assessment of where they stand with respect to it: “Advocate,” “Supporter,” “Neutral,” “Critic,” or “Blocker.”
In the Key Interests and Issues column or in the Impact and Influence columns, add each stakeholder’s level of influence and area of interest in your task or project.
Step 3: Understand Your Stakeholders
Look at your list of stakeholders and think about the level of support that you want from each one: is it High, Medium, or Low? Enter this value in the appropriate column on your worksheet.
And, what role would you like each one to play in your project (if any)? Will you need full-time technical support, for instance, or just “ad hoc” advice? Note this down in the Desired Project Roles column.
Next, think about what you need to say to persuade your stakeholders to support you and engage with your project.
What’s in it for them? Highlight the benefits that your project will bring to the organization or the individuals concerned, and focus on key performance drivers, such as increasing profitability or delivering real improvements.
Write down your key messages in the Messages Needed column or the Strategy for engaging column of your worksheet.
Step 4. Identify Your Stakeholder Communication Approach
How will you manage the communication to, and the input from, your stakeholders?
In the column, Communications Approach (if your matrix doesn’t have one add it), and write down the strategy that is best suited to each stakeholder. The options are “Manage closely,” “Keep satisfied,” “Keep informed,” or “Monitor.”
Focus on the most important stakeholders first, and the less crucial ones later (refer back to your Power/Interest Grid, if you need to). Devise a plan that communicates with them as simply and efficiently as possible, with just the right amount of appropriate information.
Write down your plans in the Action and Communication column of your worksheet.
Step 5. Implement Your Stakeholder Communication/Management Plan
Aim to make Stakeholder Management an integral part of your project, rather than treating it as a side task. As with all plans, it will be easier to implement if you break it down into a series of small, achievable steps which you action one by one.
And remember, projects are often subject to change as they go along. This means that your stakeholders’ needs may change, too. So, review your plan regularly to make sure that you continue to communicate with the most influential stakeholders, in the most effective way, for the duration of your project.
When executed effectively, stakeholder management keeps all stakeholders on the same page and helps manage expectations, easing minds and reducing the urge to micromanage. It builds trust, strengthens relationships between individuals and teams, and aligns a product idea with strategic objectives. Effective management can also improve collaboration and expertise sharing, as well as critical information sharing across teams.