A stepwise approach to stakeholder management

Abstract

Corporations are embedded in networks of stakeholder relationships. These relationships can range from conflict to partnership. To operate within such a complex system of interests and influences, businesses need to carefully assess and evaluate these external forces as well as build up and foster their relationships with stakeholders. Effective stakeholder management is a critical requirement for the long-term success of any company. It provides a clear overview of societal expectations and a firm foundation for a stronger, customised and legitimate corporate social responsibility (CSR) strategy. However, managing stakeholder relationships is not an easy task and raises numerous questions. Although companies are aware of the importance of involving and managing their stakeholders, managers have a confused notion of how to actually implement the process. © 2006 Springer Berlin·Heidelberg.