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How stakeholders are going to affect your business

womanwithbills39166290.jpg If you own a business you know that stakeholders play a major role in how your business can operate and where the money goes.A stakeholder is a person, group, or organization that affects a businesses actions.If you're just getting into the business world and are not clear how stakeholders are going to affect your business then this article will give you a better idea of what role stakeholders will play in your business.

What is a stakeholder?
When it comes to business and finance, the assumption is always made that the objective of the business is to maximize the value of the company which in turn will maximize the wealth or money given to stakeholders in the company.Managers actually have a reasonability to create as much wealth as possible for each of their stakeholders.So you can see from this brief introduction of what a stakeholder actually is, that they will have an affect on quite possible every business decision that you make.Stakeholders have an actual claim, stake, or vested interest in the company and quite often the operation of the business.The biggest difference between shareholders and stakeholders is that stakeholders always include employees and customers.They can also include suppliers, partners, local communities, government agencies, political groups, or opinion leaders. Finding a balance between stakeholders and the business will ensure the greatest success for both parties

Finding a balance

  1. Prioritize business and stakeholders needs.In order to feel like the company is still yours without offending or losing big stakeholders that contribute money to keep your company in business you need to take a moment and prioritize business needs and stakeholders' needs.This means that you have to capture business processes and link them to projects software and capabilities.You will also need to modify your prioritization as your understanding of the application and stakeholder needs change.You also need to take into consideration the customer needs as well by involving them in the project.

  2. Center development activities around stakeholder needs.By leveraging certain developments or user center designs you can accept the fact that stakeholder needs will change over time.As you business changes so will the needs of the stakeholders and you will need to also meet their changing needs.

  3. Understanding available assets.By understanding what assets are available to the business you can also balance asset reuse with stakeholders needs.Some examples of business assets would be legacy applications, reusable components, etc.

How and what do stakeholders affect in business
The following is a brief list of some of the things that stakeholders can affect within a business:

  • When it comes to corporate mission values stakeholders will maximize the value for all stakeholders, as opposed to shareholders who only maximize the value for themselves.

  • Stakeholders also play a role in the decision making process in a business.Although since employees and customers are included in being stakeholders they too are considered when it comes to decision making.

  • When it comes to accountability it does not just come down to being accountable to themselves.Accountability lies with the customer, suppliers, government, community and employee stakeholders.

These are just a few of the ways that stakeholders are going to affect your business.Consider carefully how and what type of stakeholders you want in your business before you make any definite decisions.

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