How do you define stakeholder roles in strategy implementation?

2 Define your stakeholder objectives

The next step is to define what you want to achieve with each stakeholder group and what they expect from you. A stakeholder objective matrix can help clarify the alignment or gap between your objectives and theirs, enabling you to pinpoint the potential benefits or challenges of working with each stakeholder group. For instance, customers may expect quality, value, and service, while employees may seek recognition, development, and empowerment. Managers may require direction, support, and feedback. Shareholders may anticipate profitability, growth, and transparency. Suppliers may need fairness, collaboration, and innovation. Partners may demand trust, commitment, and synergy. Regulators may look for compliance, reporting, and cooperation. Lastly, communities may look for responsibility, impact, and engagement from you.

3 Assign your stakeholder roles

The final step is to assign specific roles and responsibilities to each stakeholder group and communicate them clearly. Utilizing a RACI matrix can help define who is responsible, accountable, consulted, or informed for each task or decision related to strategy implementation. This will prevent confusion, duplication, or conflict among your stakeholders. For example, customers are responsible for providing feedback and referrals, accountable for paying for products or services, consulted for new product development or customer service improvement, and informed of the strategy and value proposition. Employees are responsible for executing the strategy and delivering the value proposition, accountable for meeting performance standards and expectations, consulted for process improvement or problem solving, and informed of the vision and goals. Managers are responsible for leading and supporting employees, managing processes and systems, accountable for achieving strategic objectives and outcomes, consulted for strategy formulation and evaluation, and informed of the strategic direction and priorities. Shareholders are responsible for investing in the organization and providing capital, accountable for voting on board decisions and strategic decisions, consulted for financial planning and reporting, and informed of financial performance and outlook. Suppliers are responsible for supplying materials, equipment, or services, accountable for meeting quality requirements as well as cost and delivery requirements, consulted for supplier development or innovation, and informed of demand and specifications. Partners are responsible for collaborating on joint projects or initiatives, accountable for sharing resources and risks, consulted for partner selection or evaluation, and informed of partner strategy expectations. Regulators are responsible for regulating activities ensuring compliance, accountable for enforcing rules and standards, consulted for regulatory changes or updates,and informed of compliance status actions. Communities are responsible for benefiting from or being affected by social environmental impact while also being accountable to hold you accountable and responsible. They should be consulted about stakeholder engagement or CSR initiatives as well as being informed of social environmental performance goals.

By defining stakeholder roles in strategy implementation it is possible to ensure that you have the support necessary from those that matter to your organization. It also allows you to align objectives with expectations as well as effectively communicate with them which will facilitate achieving strategic goals faster with better results.

4 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?