Identify internal and external stakeholders US 252191

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Marketing - US 252191 Issue 3: 01-01-2020

Learner Guide

Identify internal and external stakeholders

US 252191

SAQA ID 252191: Identify internal and external stakeholders

NQF Level 4, 4 Credits

Marketing Management NQF 4: SAQA ID 67464 - Handbook

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Table of Contents PROGRAMME OVERVIEW....................................................................................................................... 3

Purpose of the programme ........................................................................................................................... 3 Programme entry level requirements ........................................................................................................... 3 Programme Outcomes ................................................................................................................................. 3 Assessment .................................................................................................................................................. 4

Learning map (delivery structure) .......................................................................................................... 5 Learner Support ........................................................................................................................................... 5

MODULE 1 IDENTIFY INTERNAL AND EXTERNAL STAKEHOLDERS ................................. 6

IDENTIFY INTERNAL AND EXTERNAL STAKEHOLDERS ............................................................................ 7 1.1 Identify the range of stakeholders for the defined business activities ........................................ 7

Marketing stakeholders ........................................................................................................................... 9 1.2 2 List all stakeholders according to identification selection .................................................... 10 1.3 Categorise stakeholders into internal and external groups ..................................................... 11 1.4 Identify the difference between internal and external stakeholders for the business activity .. 13 1.5 Clarify stakeholder requirements for the defined tasks ............................................................ 13

Class Activity 1: Identify internal and external stakeholders ................................................................ 14

MODULE 2 DESCRIBE STAKEHOLDERS' RELATIONSHIPS .................................................. 15

DESCRIBE STAKEHOLDERS' RELATIONSHIPS ........................................................................................ 16 2.1 Describe stakeholders' relationship with the organisation ...................................................... 16

2.1.1 Describe relationships within the scope of defined tasks .................................................................. 16 2.1.2 Specify the role of stakeholders in the organisation to clarify differences........................................ 18 2.1.3 Explain and describe the importance of the relationships for defined tasks ...................................... 19 2.1.4 Explain the impact stakeholders have on the organisation for delivery of defined tasks .................. 21

2.2 Describe the stakeholders' relationships to each other ............................................................ 22 2.2.1 Identify relationships that impact on each other within the scope of defined tasks .......................... 24 2.2.2 Describe the significance and implications of the inter-relationships to each party.......................... 26 2.2.3 Implement actions to improve stakeholder inter-relationships ......................................................... 27

Class Activity 2: Describe stakeholders' relationships .......................................................................... 28 Reflection ............................................................................................................................................. 29 Facilitator Observation Checklist ......................................................................................................... 29

SUMMATIVE ASSESSMENT................................................................................................................... 30 Knowledge Questions ........................................................................................................................... 30 Practical Activities ................................................................................................................................ 30 Witness Testimony ............................................................................................................................... 30 Logbook................................................................................................................................................ 30

REFERENCES AND FURTHER READING ................................................................................................ 31 Unit Standard details ..................................................................................................................... 32

252191 ....................................................................................................................................................... 32


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Programme Overview

Welcome to this learning programme.

Purpose of the programme

To provide learners with the required knowledge and skills to:


As you work your way through the learning programme you will gain competence against the following Unit Standard:

Programme Identify internal and external stakeholders

Unit Standard SAQA ID 252191: Identify internal and external stakeholders NQF Level 4, 4 Credits

This learning programme is intended for all persons who need to identify internal and external stakeholders. The person credited with this unit standard will be able to identify internal and external stakeholders and describe their relationships with the organisation while explaining the importance of their relationship to each other.

Programme entry level requirements

It is assumed that people learning towards this Unit Standard are already competent in:

Communication at NQF Level 3 or equivalent

Mathematical Literacy at NQF Level 3 or equivalent

Programme Outcomes

This learning programme is outcomes-based which means we take the responsibility of learning away from the facilitator and place it in your hands.

Learning will begin in the workshop where you will identify the skills and knowledge you require in order to meet the specific outcomes and assessment criteria contained in the unit standard.

In this learning programme, we will be covering the following learning outcomes:


Describe stakeholders' relationship with the organisation

Describe the stakeholders' relationships to each other

Module 1:

Module 2:

Identify the range of stakeholders for the defined business activities

List all stakeholders according to identification selection

Categorise stakeholders into internal and external groups

Identify the difference between internal and external stakeholders for the business activity

Clarify stakeholder requirements for the defined tasks




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During the workshop you will complete a number of class activities that will form part of your formative assessment. In this you have the opportunity to practice and explore your new skills in a safe environment. You should take the opportunity to gather as much information as you can to use during your workplace learning and self-study.

The workshop will be followed by summative assessment tasks to be completed through self-study in your workplace. In some cases you may be required to do research and complete the tasks in your own time.

Assessment

It is important to note that the onus is on you, as the learner, to prove your competence. You therefore need to plan your time and ensure that your Portfolio of Evidence is kept up to date and handed in timeously.

A Portfolio of Evidence is a collection of documents of work you have produced to prove your competence. You will compile your portfolio from activities, tools and checklists associated with the unit standard and relevant to the unit standard being assessed.

You will be given the following documents to assist you in creating a portfolio of evidence:

Learner Guide: The Learner Guide is designed to serve as a guide for the duration of your learning programme and as the main source document for transfer of learning. It contains information (knowledge and skills required) and application aids that will assist you in developing the knowledge and skills stipulated in the specific outcomes and assessment criteria. The learner guide also indicates the formative assessment class activities that you need to complete towards your Portfolio of Evidence.

Learner Workbook: The learner Workbook contains all the class activities that you will be completing to show formative learning. These will be assessed as part of your portfolio of evidence as formative assessment. You will be handing in the Learner Workbook as part of your Portfolio of Evidence.

Learner Portfolio of Evidence Guide: The Learner Portfolio of Evidence Guide provides details about the assessment, such as the assessment preparation, plan and specific summative assessment activities that you need to complete in the workplace.

Both formative and summative assessment is used as part of this outcomes-based learning programme:

Formative Assessment: In order to gain credits for this Unit Standard you will need to prove to an assessor that you are competent. The Class Activities throughout your Learner Workbook are designed not only to help you learn new skills, but also to prove that you have mastered competence. You will be required to develop a Portfolio of Evidence to hand in to an assessor so that you can be assessed against the outcomes of this Unit Standard. Where you encounter a Class Activity icon, you must complete the formative assessment activity in the Learner Workbook. Comprehensive guidelines for the development of your Portfolio of Evidence may be found in the Learner Portfolio of Evidence Guide for the particular learning programme that you are working with.

Summative Assessment: The NQF’s objective is to create independent and self-sufficient learners. This means that you will also be required to do independent research and assignments, such as Knowledge Questions,


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Practical Activity (completed in the workplace), Witness Testimony and Logbook.

The assessment process is discussed in detail in the Learner Portfolio of Evidence Guide. When you are ready, you will advise your mentor that you are ready for assessment. He or she will then sign off the required sections in the Learner Portfolio of Evidence Guide and you will be able to submit your Portfolio of Evidence for assessment. The summative assessment activities placed in the Learner Portfolio of Evidence Guide for your convenience. If any of your assessment is conducted using observation, role plays or verbal assessment, place a signed copy of the checklists, once completed by your mentor or line manager in your Learner Portfolio of Evidence Guide, as indicated.

The Training Provider will assess your portfolio. If successful, you will receive the credit value of this learning programme. The entire assessment process is explained in the Learner Portfolio of Evidence Guide and you are urged to read this guide as soon as possible as it explains the assessment process in detail and clarifies your rights and responsibilities to ensure that the assessment is fair, valid and reliable.

If you are not successful, you will receive all the guidance needed to resubmit your Portfolio of Evidence within a specific time period, as per the Training Provider requirements.

Learning map (delivery structure)

Assessment Formative Assessment 30% Summative Assessment70%

Learning

activities

for 40 hours of

notional learning

Contact Learning Theory input

Formative assessment (workbook activities):

group activities, simulations

Prescribed reading, support, coaching

Learning and application at the

workplace

Summative assessment in PoE:

knowledge questions, practical workplace

activity, Witness Testimony, logbook

12 hours 0 hour 20 hours 8 hours

Compilation of Portfolio of Evidence

Complementary workplace practices Coaching and Mentoring; Performance Management

Learner Support

Please remember that as the programme is outcomes based – this implies the following:

You are responsible for your own learning – make sure you manage your study, practical, workplace and portfolio time responsibly.

Learning activities are learner driven – make sure you use the Learner Guide, Learner Workbook and Learner Portfolio of Evidence Guide in the manner intended, and are familiar with the Portfolio requirements.

The Facilitator is there to reasonably assist you during contact, practical and workplace time of this programme – make sure that you have his/her contact details.


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Module 1 Identify internal and external stakeholders

After completing this module, the learner will be able to identify internal and external stakeholders, by successfully completing the following:

Identify the range of stakeholders for the defined business activities

List all stakeholders according to identification selection

Categorise stakeholders into internal and external groups

Identify the difference between internal and external stakeholders for the business activity

Clarify stakeholder requirements for the defined tasks


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A stakeholder is a party that has an interest in a company, and can either affect or be affected by the business. The primary stakeholders in a typical corporation are its investors, employees and customers. However, the modern theory of the idea goes beyond this original notion to include additional stakeholders such as a community, government or trade union.

Stakeholders can be internal or external. Internal stakeholders are people whose interest in a company comes through a direct relationship, such as through employment, ownership or investment. External stakeholders are those people who do not directly work with a company but are affected in some way by the actions and outcomes of said business. Suppliers, creditors and public groups are all considered external stakeholders.

1.1 Identify the range of stakeholders for the defined business activities

Business owners must be aware of the various groups that they interact with for the successful running of the business.

Businesses have different types of internal and external stakeholders, with different interests and priorities. Sometimes these interests can conflict.

A stakeholder is anyone with an interest in a business. Stakeholders are individuals, groups or organisations that are affected by the activity of the business. They include:

Entity Entity’s role in the organisation

Owners

A business may be owned by a single individual (a sole trader), partners or by a group of shareholders forming a company.

They must provide the resources that are required for the business to operate efficiently. These include the employment of workers, identifying suitable premise and procuring machinery, equipment and raw materials. They must make timely decisions to ensure that the business remains profitable. They must motivate employees to perform well.


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Customers

They are the supporters of businesses in the economy. They purchase goods and services to satisfy their needs and wants.

They assist businesses in identifying the goods and services to be produced based on their demands. They also help business to identify changing trends in the market and so prepare business operators for future demands.

Suppliers

They provide inputs to the organisation like raw material, equipment etc.

Providers of products and services used in the end product for the customer, equitable business opportunities.

Society (the Public)

Businesses must be aware of the society as a whole, how its activities affect it and not only those who are customers.

The production process may cause air pollution and discharge of harmful waste into rivers and seas. The society keeps businesses in check by making them aware of their impact on society. They write letters to the company and the media and speak on talk shows.

Employees

They are employed to carry out assigned tasks to achieve the company’s objectives.

Employees must work efficiently to accomplish tasks assigned. Accomplishing tasks may require teamwork and therefore employees must have good interpersonal skills. Employees must adhere to the rules and relations of the company.

Management

They are employed to manager departments to reach the organisational goals

Management includes the activities of setting the strategy of an organisation and coordinating the efforts of its employees or volunteers to accomplish its objectives through the application of available resources, such as financial, natural, technological, and human resources.

Consumer Councils Established to deal with specific areas of consumer issues, including products testing, information technology, trade practices, legal protection, etc. Members of the committees are professionals and stakeholders drawn from different sectors of the society to provide fair and just expertise.

Government

They are the managers of the economy within which the business operates.

Regulate business activities to protect consumers. Government agencies ensure product standards as well as that various legislations are adhered to ensure the protection of consumers’ rights.

Share holders

A shareholder is any person, company or other institution that owns at least one share of a company's stock.

Shareholders of a corporation are legally separate from the corporation itself. They are generally not liable for the debts of the corporation; and the shareholders' liability for company debts are said to be limited to the unpaid share price, unless if a shareholder has offered guarantees

Trade Unions

An organisation whose membership consists of workers and union leaders, united to protect and promote their common interests.

The principal purposes of a trade union are act in the best interest of their members negotiate or act on their behalf during labour disputes and salary negotiations


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Financial Institutions

They are the individual, bank or financial institution who provides funds to the organisation.

Businesses commonly use lenders to finance business ventures, building and asset purchases and supply purchases. Banks often provide loans for major purchases, such as a new building.

A corporate stakeholder is a person or group who can affect or be affected by the actions of a business.

Internal stakeholders are groups within a business or people who work directly within the business, such as employees, owners, and investors.

External stakeholders are entities not within a business itself but who care about or are affected by its performance (e.g., consumers, regulators, investors, suppliers).

The stakeholder concept was first used in a 1963 internal memorandum at the Stanford Research Institute. It defined stakeholders as "those groups without whose support the organisation would cease to exist. "

In the last decades of the 20th century, the word "stakeholder" has become more commonly used to refer to a person or group that has a legitimate interest in a project or entity. In discussing the decision-making process for institutions—including large business corporations, government agencies, and non-profit organisations -- the concept has been broadened to include everyone with an interest (or "stake") in what the entity does.

Marketing stakeholders

Marketing stakeholders (such as marketing executives and most product managers) are usually responsible for promoting the company’s brand, identifying new market opportunities and products that could address them, or both.

To accomplish a marketing plan, strategies and activities, several different key stakeholders give their vital contribution. Such key stakeholders can also be divided into two broad categories namely:

Internal stakeholders:

Stakeholders that are internally related with the organisation and cast a direct impact over the policies and strategies of the organisation can be categorised as internal stakeholders. Key internal stakeholders of the organisation and their roles can be listed as below:

Management of the organisation: The management of the organisation consists of the owner and shareholders of the organisation who has made investment in the organisation. These internal stakeholders of the organisation hold the power of formulating strategies and policies for effective operations of the organisation. The role of this key stakeholder is quite vital as it can change working environment of the organisation effectively (Weiss, and Molinaro, 2005).

Employees: Another important internal stakeholder in marketing plans, strategies and activities are the employees of the organisation. Employees are entities who undertake all the operations of the organisation. The effectiveness and efficiency of employees affects the proper and effective accomplishment of


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different activities undertaken by the organisation. In this aspect, for the purpose of having a successful implementation of different marketing strategies of the organisations, the proper co operation and commitment of employees is a necessary phenomenon.

External stakeholders:

External stakeholders of the organisation are the entities who are not directly related with the internal operations of the organisation but affects the business strategies and planning of an organisation. Some intensive external stakeholders of the organisations are:

Customers: Customers are the stakeholders who pay money to organisations for buying their products and availing their services. The perception, needs and requirements of customers drives the company to undertake some new marketing strategies and initiatives. As the success of any marketing campaign highly depends upon the change in the attitude of customer regarding a particular product or service of the organisation, consideration of their perspectives is highly necessary for the organisation

Government: The government of country in which the company wants to undertake their marketing campaign is also an important stakeholder of the organisation. The government acts as a regulatory body of the country which affects the policies and planning of the organisation through its different regulatory norms and policies. The organisation is required to consider different governmental rules and regulations while designing their marketing strategies.

1.2 2 List all stakeholders according to identification selection

The most important reason for identifying and understanding stakeholders is that it allows you to recruit them as part of the effort.

Regardless of the purpose of your effort, identifying stakeholders and their interests should be among the first, if not the very first, of the items on your agenda. It’s generally the fairest course you can take, and the one that is most likely to keep your effort out of trouble.

The first step is to brainstorm who your stakeholders are. As part of this, think of all the people who are affected by your work, who have influence or power over it, or have an interest in its successful or unsuccessful conclusion.

There are four categories of stakeholders, which provide a starting point for your to brainstorm all of the relevant parties involved. The four categories are: users, governance, influencers and providers. Let’s look at each of those in a bit more detail.

Users These are the people who will use the products of your project or programme. They are the beneficiaries of the outputs. For example, these could be customers or another internal department. In the case of delivering a new software package for your Sales team, the users would be the Sales team.

Governance These are people or groups of people who have an interest in how things are managed on the project or programme. For example, management boards or steering groups would fall into this category. Auditors, regulators, health and safety executives would also be categorised as governance stakeholders.


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Influencers Influencers are the people who have the ability to change the direction of your project or programme. An example would be the local newspaper in the area where your project will be building a new facility. Trade unions and lobby groups are also influencers.

Providers As you would expect, suppliers and vendors fall into this category. Providers can be wider than that, though, and include business partners, temporary contractors, catering staff, and anyone else who provides resources to the project or programme.

There are many instances where an individual or a group would fall into more than one category. Staff could be both users and influencers – especially if you were surveying them about their training needs for example, and then shaping the programme as a result of the findings.

You can also break the categories down, which is especially useful in the case of the users. You could split this into internal and external users, or Marketing and Customer Service users, or part-time or permanent users, or any combination that makes logical sense to you.

1.3 Categorise stakeholders into internal and external groups

Every organisation has its stakeholders, whether it is profit making or non-profit making entity. They are the one, who influence and can be influenced by the company’s activities. They are classified into two categories, Internal Stakeholders and External Stakeholders. As their name suggests, the former are the individuals and parties, inside the organisation while the latter represents outside parties. Business exists in a large environment and many factors affect the business directly and indirectly as well.

Due to the complexity of the business environment, it is very difficult to identify that which factor is considered as the internal or external stakeholder.

Internal Stakeholders are those parties, individual or group that participates in the management of the company. They can influence and can be influenced by the success or failure of the entity because they have vested interest in the organisation. Primary Stakeholders is the second name of the Internal stakeholders.

Internal Stakeholders are dedicated in providing services to the company. They are highly affected by the decisions, performance, profitability and other activities of the company. In the absence of internal stakeholders, the organisation will not able to survive in the long run. That is why they have a great impact on the company. Further, they are the ones who know all the secrets and internal matters of the entity. The following are the list of internal stakeholders:

Employees - Employees are the group of people who work for the company, for remuneration.

Owners - The individual or group who owns the organisation. They can be partners, shareholders etc.

Board of Directors - They are the group of individuals who governs the incorporated entity. They are elected by the members of the company at the AGM (Annual General Meeting).

Managers - The person who manages the entire department is known as Manager, e.g. Sale Manager, General Manager etc.


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Investors - The individual or group who invest their money in the organisation are investors.

External Stakeholders are those interested parties, who are not a part of the management, but they indirectly affected by the work of the company. They are the outside parties which form part of the business environment. They are also known as Secondary Stakeholders. They are the users of financial information of the company, in order to know about its performance, profitability, and liquidity.

External Stakeholders, do not participate in the day to day activities of the entity, but the actions of the company influence them. They deal with the company externally. They have no idea about the internal matters of the company. Given below is the list of external stakeholders:

Suppliers - They provide inputs to the organisation like raw material, equipment etc.

Customers - They are considered the king of business because they are the one who are going to consume the product.

Creditors - They are the individual, bank or financial institution who provides funds to the organisation.

Clients - They are the parties, to whom the company deals and provides its services.

Intermediaries - They are the marketing channels that create a link between company and customers like wholesaler, distributors, retailer etc.

Competitors - They are the rivals who compete with the organisation for resources and the market as well.

Society - A firm has its responsibility towards society as well because the enterprise uses its valuable resources.

Government - A firm is guided and controlled by government rules and regulations like it has to pay taxes and duties that are levied on the business.

The following table can be used to compare internal and external stakeholders:

Basis for comparison

Internal stakeholders External stakeholders

Meaning The individual and parties that are the part of the organisation is known as Internal Stakeholders.

The parties or groups that are not a part of the organisation, but gets affected by its activities is known as External Stakeholders.

Nature of impact

Direct Indirect

Who are they? They serve the organisation. They get influenced by the organisation's work.

Employed by the entity

Yes No

Responsibility of the company towards them

Primary Secondary

Includes Employees, Owners, Board of Directors, Managers, Investors etc.

Suppliers, Customers, Creditors, Clients, Intermediaries, Competitors, Society, Government etc.


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1.4 Identify the difference between internal and external stakeholders for the business activity

Internal stakeholders are entities within a business (e.g., employees, managers, the board of directors, investors). Employees want to earn money and stay employed. Owners are interested in maximising the profit the business makes. Investors are concerned about earning income from their investment.

External stakeholders are entities not within a business itself but who care about or are affected by its performance (e.g., consumers, regulators, investors, suppliers). The government wants the business to pay taxes, employ more people, follow laws, and truthfully report its financial conditions. Customers want the business to provide high-quality goods or services at low cost. Suppliers want the business to continue to purchase from them. Creditors want to be repaid on time and in full. The community wants the business to contribute positively to its local environment and population.

The following are the major differences between internal and external stakeholders:

The individual or group that works for the organisation and they actively participate in the management of the company are known as Internal Stakeholders. External Stakeholders, on the other hand, are the individual or group that is not employed by the organisation but they get affected by its activities.

Internal Stakeholders serves the organisation, but External Stakeholders deals with the company externally.

Internal Stakeholders are directly influenced by the company’s activities because they are the part of the organisation which is just opposite in case of External Stakeholders.

Internal Stakeholders are employed by the company but external stakeholders are not.

Internal matters of the company are known to internal stakeholders; however, external stakeholders are not known about such matters.

Internal Stakeholders are the primary stakeholders whereas External stakeholders are the secondary stakeholders.

1.5 Clarify stakeholder requirements for the defined tasks

Stakeholder needs and requirements represent the views of those at the business or enterprise operations level - that is, of users, acquirers, customers, and other stakeholders as they relate to the problem (or opportunity), as a set of requirements for a solution that can provide the services needed by the stakeholders in a defined environment. Using enterprise-level life cycle as guidance, stakeholders are led through a structured process to elicit stakeholder needs (in the form of a refined set of system-level life-cycle concepts). Stakeholder needs are transformed into a defined set of Stakeholder Requirements, which may be documented in the form of a model, a document containing textual requirement statements or both.

There are many ways to collect stakeholder needs and requirements. It is recommended that several techniques or methods be considered during elicitation activities to better accommodate the diverse set of sources, including:

Structured brainstorming workshops

Interviews and questionnaires


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Technical, operational, and/or strategy documentation review

Simulations and visualisations

Prototyping

Modelling

Feedback from verification and validation processes,

Review of the outcomes from the system analysis process (ISO/IEC 2015)

Use case diagrams

Activity diagrams

Functional flow block diagrams

Examples of classification of stakeholder requirements include: service or functional, operational, interface, environmental, human factors, logistical, maintenance, design, production, verification requirements, validation, deployment, training, certification, retirement, regulatory, environmental, reliability, availability, maintainability, design, usability, quality, safety, and security requirements. Stakeholders will also be faced with a number of constraints, including: enterprise, business, project, design, realisation, and process constraints.

Class Activity 1: Identify internal and external stakeholders

Please follow the instructions from the facilitator to complete the formative activity in your Learner Workbook


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Module 2 Describe stakeholders' relationships

After completing this module, the learner will be able to describe stakeholders' relationships, by successfully completing the following:




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Describe stakeholders' relationships

Effective management of relationships with stakeholders is crucial to resolving issues facing organisations. By using their influence, stakeholders hold the key to the environment in which your organisation operates and the subsequent financial and operating performance of the organisation. Thus the effective management of stakeholder relations is growing as a key focus of PR and organisational activity.

A stakeholder is any person, group or organisation who can place a claim on an organisation’s attention, resources or output, or is affected by that output. They have a stake in the organisation, something at risk, and therefore something to gain or lose as a result of corporate activity.

The aim of stakeholder relations management is to influence stakeholder attitudes, decisions, and actions for mutual benefit. The stakeholders need to gain from the relationship or they may not be sufficiently motivated to cooperate.

2.1 Describe stakeholders' relationship with the organisation

Existing both internally and externally, stakeholders can have competing priorities and needs. In an ideal world, organisations could ignore this clamouring for attention and go about the important business of making money – no doubt the reason for their being. No such luck. Stakeholder relationships that are unmanaged or mismanaged have many less than favourable consequences for companies. These include unnecessary expenses, and a lack of buy-in to processes and initiatives aimed at transforming the company.

2.1.1 Describe relationships within the scope of defined tasks

Primary stakeholders are those “without who’s continuing participation, the company cannot survive”. This relationship is therefore characterised by mutual interdependence. Companies should pursue relationships with other companies to obtain the benefits associated with reducing cost or increasing their revenues. By entering into relationships, organisations hope to gain stakeholder satisfaction and loyalty while stakeholders look for quality. Relationships, however, may also have some negative implications. Stakeholders may, because of their commitment and loyalty to a particular organisation, not be willing to give up the benefits associated with the relationship even if they could reduce operating costs by dealing with another organisation. (Clarkson, 1995)

There are many potential stakeholders in a business and this is because there are many people that can be impacted by how the business is operated

The first main steps in stakeholder relations management are to identify and prioritise stakeholders. You then use stakeholder planning to build the support that helps you succeed.

The benefits of using a stakeholder-based approach are:

You can use the viewpoints of the main stakeholders to help shape your projects at an early stage. Not only does this make it more likely that they will support you, their input can also improve the quality of your project.


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Gaining support from powerful stakeholders can help you to win more resources. This makes it more likely that your projects will be successful.

By communicating with stakeholders early and often, you can ensure that they know what you are doing and fully understand the benefits of your project. This means they can support you actively when necessary.

You can anticipate what people's reaction to your project may be, and build into your plan the actions that will win people's support.

How are stakeholders identified? The PMBOK(R) Guide recommends a three-step process:

Step 1: Identify all potential stakeholders and relevant information

Step 2: Identify the potential impact or support each stakeholder.

Step 3: Assess how the stakeholders are likely to react or respond in various situations to help plan influencing them to enhance support or mitigate negative impacts. Sound like risk management? It’s a lot like risk management. In fact, it's fundamental to risk management. Why? Leave out a stakeholder or the way they'd react to a project situation, and you leave out an identified risk. You cannot respond to a risk for which you've not identified!

The following text comes from the The Handbook of Program Management, by James T. Brown:

Follow the money! Whoever is paying is definitely a stakeholder. Also, if the program produces savings or additional costs for an organisation then the organisation is also a stakeholder.

Follow the resources. Every entity that provides resources, whether internal or external, labour or facilities, and equipment, is a stakeholder. Line managers and functional managers providing resources are stakeholders.

Follow the deliverables. Whoever is the recipient of the product or service the program is providing is a stakeholder.

Follow the signatures. The individual who signs off on completion of the final product or service (or phases thereof) is a stakeholder. Note: This may or may not be the recipient referred to in the previous bullet. Often there may be more recipients than signatories.

Examine other programs' stakeholder lists. Include active programs and completed projects.

Review the organisational chart to assess which parts of the organisation may be stakeholders.

Ask team members, customers, and any other confirmed stakeholder to help you identify additional stakeholders.

Look for the "Unofficial People of Influence." These may be people who are trusted by high-level leaders or who wield a lot of power through influence and not position.


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2.1.2 Specify the role of stakeholders in the organisation to clarify differences

Stakeholders play a very important role in terms of relationships with the organisation. The effectiveness of the relationships depends on three key functions namely:

accountability,

fairness, and

transparency.

Stakeholders must ensure that a business is held accountable for the full impact of their actions which they have in the setting they operate in. The stakeholders in the community around chemical plants, for example, must ensure that the business does not impose a ‘cost’ on them by polluting. If not, the relationship between the organisation and the community as a stakeholder will be negative.

Fairness requires that the stakeholders ensure that the business treats all those it interacts with ‘fairly’, this is a broader concept than legality and implies a moral element to their dealings. Stakeholders need, for example, to convince the business/company of the need to pay its suppliers and creditors as quickly as is feasible rather than on the last day that is legally possible.

The latter criteria, transparency, reflects a need for stakeholders, such as the government, to ensure that businesses honestly portray their financial position rather than using accounting to simply portray the ‘best picture’ that is possible whilst staying within governing rules. This might have avoided the worst of the credit crisis from occurring by alerting the broader community to the mounting financial problems with banks.

A first step for any marketer is to create a generic stakeholder map. This map will include all the stakeholders for his or her organisation with the organisation at the centre as can be seen by the image below.

Once this stage is of stakeholder mapping is done, the marketer should have a better understanding of who the stakeholders are for the organisation. This in itself can highlight the impact of certain stakeholders on the organisation that could have been overlooked in the past.

All of these stakeholders can then be placed into one of three broad categories:

Internal Stakeholders are usually members of the organisation. The following is some examples of who these stakeholders might be:


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Directors

Managers

Employees

Connected Stakeholders, also called primary stakeholders, are those that have an economic or contractual relationship with the organisation. Have a look at some the examples below:

Company shareholders

Customers

Distributors

External or Secondary Stakeholders are those who are not directly connected to the organisation. These stakeholders will have an interest in the organisations activities or they might be impacted by the organisations activities in some way. Key examples:

Governments

Interest and pressure groups

Media and news organisations

Local Communities

It has to be said at this stage that grouping stakeholders in categories is useful but it would be a mistake to think of each stakeholder as an entirely separate entity or group. There are most often overlapping with the categories, e.g. The organisations customers are also part of the wider community and they might also be shareholders or even employees.

The important point to take away from this theory is that any organisation affects the environment that it operates in and at the same time is also affected by the environment.

Once you have identified all of the organisation’s stakeholders you will want to establish the level of power and interest they have in and on the organisation.

2.1.3 Explain and describe the importance of the relationships for defined tasks

Ongoing stakeholders are vital to any company no matter what the type of business is. However, since many projects and programs are relatively short-term in nature, it is all too easy to move on and forget some of the company’s most important stakeholders when an issue is resolved. It is easy to forget, or at least to put on the backburner, consideration of those stakeholders. Yet some of those stakeholders will continue to be important to the company.

The importance of stakeholder relationships has and continues to play a vital role within the corporate arena. An organisation’s reputation is derived from how stakeholders perceive the organisation, its communication and behaviour within the marketplace. Stakeholders are the people behind an organisation’s reputation and the representatives of the image of the organisation.

Therefore, the reputation of a company is vitally important for as number of reasons; not least because employees of all levels are ambassadors of the organisation. Employees can influence the reputation of the company by communicating positive or


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negative messages to other people, both inside and outside the organisation. As a result, it is crucial to ensure that the reputation of the company is nurtured at all times.

The dynamics of stakeholder relationships should never be undermined. Building collaborative stakeholder relationships should be embedded within all communication strategies. This will enable fostering of stakeholder relationships, building and leveraging of long-term investment relationships, which in turn may pave growth opportunities for an organisation within the marketplace.

As a company’s reputation takes years and dedication to build, strong relations with stakeholders need to be fostered and maintained to avoid the devastating results of reputational damage which, once lost, can take from nine months to five years to rebuild.

It is important for organisations to know who the organisations influences and impacts on. Establishment and differentiation of stakeholders and key stakeholders enables adequate preparation for any issues within the organisation.

Not all stakeholders have the same influence or impact on the organisation. Some have exceptional power and value within the marketplace and others don’t. Identifying your key stakeholders will enable ease in tailoring messages accordingly and in aligning the goals of the stakeholders with the objectives of the company. Superior stakeholder satisfaction is therefore critical for successful organisations, especially in such an aggressively competitive market.

Here are eight steps to build effective stakeholder relationships:

1. Develop a stakeholder strategy on communication

2. Determine a process for execution of strategies

3. Consistently involve, engage and feedback

4. Understand each stakeholder, the role they play, know the communication tools at hand and identify messages to be filtered through to the various mediums.

5. Media Train key spokespeople on dealing with sensitive issues and neuro-linguistic programming (NLP)

6. Manage specific stakeholders’ expectations and issues - customers, investors, suppliers, employees, the media, activists and governments.

7. Explore ways to enhance relationships with various stakeholders.

8. Measure, assess and evaluate stakeholder relationship influence- implement improvement.

Frequent and consistent engagement with stakeholders is essential to managing the reputation of an organisation. Engagement enables communication on various issues within an organisation. It also encourages all influential parties to come together to discuss possible approaches to overcoming conflicting agendas and promotes a consistent, open and balanced dialogue.

There are specific times in the development of any business when good stakeholder relationships become even more critical in determining the reputation of an organisation. To minimise damage to an organisation’s reputation, especially in crisis communication or change management instances, communication with all stakeholders becomes even more vital. In order to be effective, communication needs to be proactive, open two-way and, most importantly, credible to show that you are on top of your game. Communication will be defective only if stakeholders perceive it to have integrity and integrity is the cornerstone of a good reputation.


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The process of stakeholder relationship-building should be an ongoing one, to be seen as an opportunity for management to recognise that the relationship between individuals and the organisations is sacrosanct and powerful.

As your ally, stakeholders are an organisation’s best word-of-mouth marketing. As an enemy, they can destroy you and your brand. For brand purposes of growth and brand prosperity, it is always important to effectively manage the relationship and interface between an organisation and its stakeholders.

2.1.4 Explain the impact stakeholders have on the organisation for delivery of defined tasks

Stakeholders can have a direct impact on the success or failure of your project. At the beginning of a project you should assess who the important stakeholders are. It is impossible to please everyone all the time, so you must assess who will have the most impact on your campaign. You may need to consider ranking stakeholders by their importance or influence on the success of a project.

Let’s suppose, then, that you’ve identified all the stakeholders, and that you understand each of their concerns. Now what? They all have to understand what you want to do, you have to respond to their concerns in some way – at least by acknowledging them, whether you can satisfy them or not – and you have to find a way to move forward with as much support from stakeholders as you can muster.

Stakeholder analysis (stakeholder mapping) is a way of determining who among stakeholders can have the most positive or negative influence on an effort, who is likely to be most affected by the effort, and how you should work with stakeholders with different levels of interest and influence.

Most methods of stakeholder analysis or mapping divide stakeholders into one of four groups, each occupying one space in a four-space grid:

Broadly speaking, stakeholders can be organised into four groups:

High Influence, High Interest - Some stakeholders might have a lot of influence over the project, and also be very interested in the project. It is vital to understand the viewpoints of such stakeholders–specifically what potential objections they might raise. Spend most time on these stakeholders.


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Low Influence, High Interest - Other stakeholders might have a lot of interest, but little real influence. Such stakeholders (if they are in favour of your project) can be valuable sources of information: they can get you access to documents relevant to your project, fill you in on the institutional history of past efforts in your project domain, and help you identify what the organisational challenges to the project will be. These are good stakeholders to meet with first, since each interaction is relatively low-risk.

High Influence, Low Interest - Stakeholders with high power, but low interest need to be broadly satisfied. They won’t pay attention to the fine print of your project, since they perceive the project as not affecting them. However, they have influence on whether the project will be a success: for example, they may have a vote during the approval process of a project. The goal of your interactions with this type of stakeholder should be to give them enough information about the project that they will not create obstacles for your project.

Low Influence, Low Interest - You should spend less time with stakeholders who have little influence and little interest in the project. They aren’t interested in what you are doing, and are not in a position to help you do it.

Stakeholders can have a direct impact on the success or failure of your project. At the beginning of a project you should assess who the important stakeholders are. It is impossible to please everyone all the time, so you must assess who will have the most impact on your campaign. You may need to consider ranking stakeholders by their importance or influence on the success of a project

2.2 Describe the stakeholders' relationships to each other

All the different marketing stakeholders in a business have a relationship with each other. There are 4 types of relationships.

Co-operative Relationship

A co-operative relationship means that the parties in business have the same objective so they work together and help each other to achieve their goals.

This produces better results than if they worked against each other or alone.

Describe a co-operative relationship between an Employee and an Employer:

If a business is going through a bad time, Employers and Employees could work together to save the business as it benefits both the Employer and the Employees.

The employees agree to take a temporary pay cut in exchange for shares in the business. The employer will give the employees shares, the employees will take a temporary pay cut. The business survives. This happened with Aer Lingus.


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Describe a co-operative relationship between two producers in the same line of business:

In the 90’s Ford and Mazda had a co-operative relationship. They formed a strategic alliance to develop a new car. The Ford fiesta / Mazda 121 was formed. They shared the costs of developing the car, and because they shared ideas they came up with the best possible car.

Competitive Relationship

A competitive relationship means that one stakeholder/party in business wants to be more successful than another. Only one of them can win and so they become rivals.

Describe a competitive relationship between two employees:

Two employees may compete within a business for a promotion. Each will try to work harder and impress the boss to get the promotion.

Describe a competitive relationship between an employee and an employer.

Employees and employers can compete. Employees want a secure job, whereas the employer may want to make redundancies (sack people) to save money. E.g. ESB announced that they wanted to close 3 plants. The employee’s union said they would not let this happen. They both fought for what they wanted.

Describe a competitive relationship between two producers/business’ in the same line of business:

Ryanair and Aer Lingus are always competing to win over customers. When one announces a cheap fare, the other one brings out a cheaper fare again.

Also, when one releases an advertising campaign, the other one brings out a new advertising campaign showing that it is better, cheaper etc. This is called comparative advertising.

Dependent Relationship

A dependent relationship means that the stakeholders/parties in business need each other to be successful. They cannot achieve their goals on their own and rely on the other party to provide them with what they need so they can be a success.

Describe a dependent relationship between a Consumer and Producer.

Consumers need producers to make the products they want, e.g. material, booze etc. Producers depend on consumers to buy the products so that they can make a profit.

Describe a dependent relationship between an Investor and an Entrepreneur.

An Entrepreneur who has an idea depends on an Investor to fund their business idea. The investor depends on Entrepreneurs to come up with new good ideas to make money.

Dynamic Relationship

This means that the relationship between the stakeholders is constantly changing. It is sometimes competitive and it is sometimes co-operative.


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E.g. Pepsi and Coke have a strong competitive relationship with each other, Somebody offered to sell Pepsi cokes secret ingredient. Pepsi immediately notified coke of this. This is an example of a Dynamic relationship.

2.2.1 Identify relationships that impact on each other within the scope of defined tasks

All stakeholder relationships have some impact on organisations. These impacts can be positive or negative. Different stakeholders can have either a direct or indirect impact on one another. The following table will provide some examples:

Stakeholder Impact of positive relationship Impact of negative relationship

Employees Satisfied, productive staff Demotivated, unproductive staff; strikes and protest action

Suppliers Sufficient high-quality stock at good prices

Low stock levels; late delivery; poor quality products; high costs

Government Support from government Legal problems; losing government contracts

Community Support, sales Poor sales; move to competitors; protest action

Media Positive media reports; available to help with media coverage in times of crisis; good advertising rates

Negative reports; high advertising rates; public media campaign against organisation

Relationship between trade unions and other stakeholders

South Africa's trade union movement, the largest and most disciplined on the continent, has played an influential role in determining labour market and industrial relations policies in the country.

Its role in dismantling apartheid legislation and practices in the workplace remain one of its major achievements. During the apartheid era it succeeded in making employers appreciate the benefits of negotiating with employees through their representative unions. The fruits of these negotiations included agreements on union recognition, wages, conditions of service, workplace restructuring and retrenchments.

Strong unions, stable workplace

The strength of the trade unions lies in the fact that its campaigns are issue-focused and therefore appeal directly to its target members. The shop steward structures on the factory floor serve two major purposes: they ensure that workers’ interests are articulated, and that agreements with employers are implemented.

The factory floor structures also ensure that discipline and unity of purpose is maintained among the workforce. This benefits employers, as they interact with their employees through structures that enjoy legitimacy among the workers, thereby ensuring a relatively stable industrial environment.

Employers and trade unions have, over the years, cultivated a co-operative working relationship that has created a less strained working environment. Among the gains the unions have registered over the years is the concession by employers that unilateral decision-making is undemocratic.


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Relationship between the media/press and the community or general public

It's the job of the media to show the true picture of what is going on in the world, for example informing or warning the community of health risks because a local municipality is not doing its job properly. The newspaper article following is a good example.

Pollution at EL beach reaches record highs! -

Jan Hennop -

Faecal coliform pollution levels reached records highs at a popular East London

beach this week, putting the health of bathers and beachgoers at serious risk,

writes Andrew Stone.

For the second week running, Nahoon Beach has recorded a faecal coliform level

high enough to potentially put water users health at risk.

Results from samples taken at Nahoon on Wednesday showed the beach to have

a count of 7000 cfu/100ml, the highest level yet recorded by the Dispatch at the

popular beach.

Dispatch reporter Taralyn Bro, who took the samples on Wednesday morning,

said she witnessed a group of school children splashing about in the water, not

knowing it was contaminated. “There were also a number of surfers out in the

water,” she said.

One beach goer said Buffalo City Municipality should test the water at the various

beaches more often during the December holidays. “We have no idea what we’re

swimming in,” she said.

BCM programme manager for amenities, Keshav Panday, agreed and said the

municipality would look into testing on a more regular basis.

“We’ll definitely look at conducting the tests more often during December with

the increase in the number of people using our beaches,” he said.

According to the World Health Organisation targeted studies have shown shown

a number of adverse health outcomes (including gastrointestinal and respiratory

infections) to be associated with faecally polluted recreational water.

The cause of Wednesday’s high pollution levels could be a result of a sewage

overflow further up the Nahoon River.

A Torquay Road resident, who asked not to be named, said raw sewage had been

flowing out of a manhole last Monday, Tuesday and Wednesday.

When the Dispatch visited the site, the remnants of toilet paper and condoms

could be seen lying in the grass next to the road, while a thick grey sludge coated

the concrete culvert.

“The sewage was flowing down the road and into the storm water drains which

then run into the river,” said the man.

Levels have since dropped substantially and the beach this weekend was once

again safe for swimmers.

SOURCE: Dispatch Online


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2.2.2 Describe the significance and implications of the inter-relationships to each party

Inter-relationships can be defined as the stakeholder relationship with each other.

Three types of inter-relationships are:

External-external – these relationships exist between stakeholders who are outside of the organisation, for example, government and society, the media and suppliers.

Internal-internal relationships – these exist between stakeholders within the organisation, for example, managers, employees and supervisors

Internal-external relationships – these exists between the organisation and outside groups, for example, employees, suppliers, the community and the media.

So how do these relationships work in an organisation?

External-external relationships – for example, the government must engage with the community to find out what their needs are, the suppliers must get positive press coverage from the media, and suppliers must not damage the environment

Internal-internal relationships – for example, managers and employees must communicate often and clearly. Board members must have good relationships with managers to make sure that the company goals are pursued.

Internal-external relationships – for example, managers must ensure that the activities of the organisation are approved by the government. Unions must make sure that the employees are satisfied with their working conditions.

Stakeholder engagement provides opportunities to further align business practices with societal needs and expectations, helping to drive long-term sustainability and shareholder value.

Stakeholder engagement is intended to help the practitioners fully realise the benefits of stakeholder participation in their organisation, to compete in an increasingly complex and ever-changing business environment, while at the same time bringing about systemic change towards sustainable development.

Certain stakeholders may be important to the company because of their potential cooperation or threat:

They are influential business or community leaders

They work in the news media or have influential media contacts

They have control over assets, e.g. blocks of shares, or organisations

They have the capability to form coalitions

They have relative market power, e.g. customers

They have political power

They have regulatory power

They influence their members

They supply vital products or services


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Effective communication is therefore of utmost importance. Companies should review the list and try to form them into groupings, which makes it easier to communicate with them.

The company could even categorise them into their likely type of response over time:

Supportive

Non-supportive

Mixed

Marginal

SCENARIO

A Swiss project that was not as lucky with its public was the establishment of a

mobile telephone network.

At that time there was a lot of press publicity about so-called Electro-Smog and

the effects of living near an antenna. Today over 90% of the general population

have mobile phones but the acceptance of the need for antennae is not as

widespread.

One unhappy stakeholder was a resident in a housing block, where an antenna

was mounted on the roof.

Radio engineers will tell you that the place with the least radiation is immediately

under the antenna. If this were not so, then much more powerful transmissions

would be needed for the same coverage.

The resident complained through the media that she could not sleep and had

headaches since the antenna was constructed.

The project manager sent a team to investigate and found that the antenna was

not switched on.

2.2.3 Implement actions to improve stakeholder inter-relationships

There are two main ways in which an organisation can improve its stakeholder relationships

Firstly, it is important to manage the stakeholder relationship in a pro-active and ongoing basis. Use focus groups, send newsletters, hold stakeholder forums, send e-mail, implement customer complaint lines, do market research and hold regular meetings with suppliers and government

Secondly, the organisation must manage its stakeholder relationships in a much more direct and urgent way in the case of a crisis. Examples include:

Issue a press release

Hold a press conference to answer questions from the press and the public

Call a staff meeting

Negotiate new contracts with suppliers

Become part of a government task team


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There are also ways to preserve a current and productive working relationship with key stakeholders:

Add a ‘stewardship’ step to the company’s communication framework. Stewardship is about a continuous relationship maintained and strengthened over a period longer than a project, program or year. It is often about a relationship that continues until a definite decision brings it to an end.

When the company prepares its annual communication plan, review all the key individuals and groups of stakeholders who you believe are likely to remain important to the company over the longer term regardless of their relevance in the forthcoming year.

The following is an example of actions that was implemented to improve improve stakeholder inter-relationships

SCENARIO:

Project activity that causes disruption is more likely to be accepted if those

affected are aware of how the project is being managed.

The Swiss Federal Railway has an ongoing program of installing sound protection

walls alongside railway tracks. Because the builders need free room to move and

use cranes mounted on railway wagons, this work is done at night.

Not only does the work make a lot of noise, but very bright lights have to be used

and both are disrupting to local residents.

Instead of waiting for complaints, the work is explained in coloured leaflets, as

well as how it will be done and when.

These leaflets are circulated to every household alongside the track and they

include a contact person, so that members of the public (who can become

stakeholders for example because of the lost sleep) can communicate with the

project manager.

Class Activity 2: Describe stakeholders' relationships

Please follow the instructions from the facilitator to complete the formative activity in your Learner Workbook


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Reflection

Individually, complete the formative activity in your Learner Workbook

Facilitator Observation Checklist

The facilitator will provide you with feedback about your participation during the class activities in your Learner Workbook


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Summative Assessment

You are required to complete a number of summative assessment activities in your Learner Portfolio of Evidence Guide. The Learner Portfolio of Evidence Guide will guide you as to what you are required to do:

Complete all the required administration documents and submit all the required documentation, such as a certified copy of your ID, a copy of your CV and relevant certificates of achievement:

Learner personal information form

Pre-assessment preparation sheet

Assessment plan document

Declaration of authenticity form

Appeals procedure declaration form

Place your complete Learner Workbook (with the completed Class Activities) in the specified place in the Learner Portfolio of Evidence Guide.

Complete the summative assessment activities in your workplace:

Knowledge Questions

Individually, complete this summative activity in your Learner Portfolio of Evidence Guide

Practical Activities


Witness Testimony


Logbook


Once you have completed all the summative activities in your Learner Portfolio of Evidence Guide, complete the Assessment Activities Checklist to ensure that you have submitted all the required evidence for your portfolio, before submitting your portfolio for assessment.

References

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References and Further Reading

Blythe, J 2001. Essentials of Marketing. Harlow: Pearson Education.

Clarkson, M.B.E., 1995, A stakeholder framework for analysing and evaluating corporate social performance, Academy of Management Review, 20:65-91

Nickels, WG & Wood, MB. 1997. Marketing: Relationships, Quality, And Value. New York: Worth Publishers.

Perreault, W.D. (Jr.) and McCarthy, E.J. Basic Marketing, USA: Irwin/McGraw-Hill Companies, Inc.

Pretorius, L.A. 1998 Basic Marketing, Parow: South Africa

Pride, W.M., Hughes, R.J., and Kapoor, J.R. 1999, Business, USA: Houghton Mifflin Company

Strydom, JW. Cant, M &Jooste, CJ.2000.Marketing Management. Kenwyn: Juta & Co, Ltd.

http://www.articlesbase.com/business-articles/the-role-of-stakeholders-777669.html


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Unit Standard details

252191

SOUTH AFRICAN QUALIFICATIONS AUTHORITY REGISTERED UNIT STANDARD:


SAQA US ID

UNIT STANDARD TITLE

252191 Identify internal and external stakeholders

ORIGINATOR

SGB Marketing

PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY

-

FIELD SUBFIELD

Field 03 - Business, Commerce and Management Studies

Marketing

ABET BAND

UNIT STANDARD TYPE

PRE-2009 NQF LEVEL

NQF LEVEL CREDITS

Undefined Regular Level 4 NQF Level 04 4

REGISTRATION STATUS REGISTRATION START DATE

REGISTRATION END DATE

SAQA DECISION NUMBER

Reregistered 2015-07-01 2018-06-30 SAQA 10105/14

LAST DATE FOR ENROLMENT

LAST DATE FOR ACHIEVEMENT

2019-06-30 2022-06-30

This unit standard replaces:

US ID Unit Standard Title Pre-2009 NQF Level

NQF Level

Credits Replacement Status

10023 Identify internal and external stakeholders

Level 4 NQF Level 04

4 Complete

PURPOSE OF THE UNIT STANDARD

The person credited with this unit standard will be able to identify internal and external stakeholders and describe their relationships with the organisation while explaining the importance of their relationship to each other. The qualifying learner is capable of:

Identifying internal and external stakeholders. Describing stakeholders relationship with the organisation. Describing the stakeholders relationship to each other.

LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING

Learners accessing this unit standard will have demonstrated competence in: Communication at NQF Level 3 or equivalent. Mathematical Literacy at NQF Level 3 or equivalent.


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UNIT STANDARD RANGE

Stakeholders will include customers, suppliers, the public, employees, management, consumer councils, local government, shareholders, trade unions and financial institutions.

Marketing including all forms of marketing communications direct marketing and relationship marketing, sponsorship, event marketing, sales promotions, public relations and alternative strategies.

Media will include all electronic, print, outdoor, digital media, e-media and direct media.

Specific Outcomes and Assessment Criteria:

SPECIFIC OUTCOME 1

Identify internal and external stakeholders.

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

The range of stakeholders is identified for the defined business activities.


All stakeholders are listed according to identification selection.


Stakeholders are categorised into internal and external groups.


The difference between internal and external stakeholders are identified for the business activity.


Stakeholder requirements are clarified for the defined tasks.

SPECIFIC OUTCOME 2

Describe stakeholders' relationship with the organisation.

ASSESSMENT CRITERIA


Relationships are described within the scope of defined tasks.


The role of stakeholders in the organisation are specified to clarify differences.


The importance of the relationships is explained and described for defined tasks.


The impact stakeholders have on the organisation is explained for delivery of defined tasks.

SPECIFIC OUTCOME 3

Describe the stakeholders' relationships to each other.

ASSESSMENT CRITERIA


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Relationships are identified between relevant stakeholders.


Relationships that impact on each other are identified within the scope of defined tasks.


The significance and implications of the inter-relationships are described to each party.


Actions to improve stakeholder inter-relationships are implemented according to existing organisational procedures.

UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS

An individual wishing to be assessed (including through RPL) against this unit standard may apply to an assessment agency, assessor or provider institution accredited by the relevant ETQA.

Anyone assessing a learner against this unit standard must be registered as an assessor with the relevant ETQA.

Any institution offering learning that will enable achievement of this unit standard or assessing this unit standard must be accredited as a provider with the relevant ETQA.

Moderation of assessment will be conducted by the relevant ETQA at its discretion.

UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE

A broad understanding of marketing stakeholders and their roles and relationships.

UNIT STANDARD DEVELOPMENTAL OUTCOME

N/A

UNIT STANDARD LINKAGES

N/A

Critical Cross-field Outcomes (CCFO):

UNIT STANDARD CCFO ORGANISING

Organise oneself and one's activities so that all aspects of roles and relationships are identified and explained.

UNIT STANDARD CCFO COLLECTING

Collect, evaluate, organise and critically evaluate information to the identification of stakeholders and their roles and relationships.

UNIT STANDARD CCFO COMMUNICATING

Communicate effectively when describing stakeholders and their relationships.

UNIT STANDARD CCFO DEMONSTRATING

Understand the world as a set of related systems where the roles and relationships of stakeholders in a marketing environment impact on its overall success.

UNIT STANDARD ASSESSOR CRITERIA

N/A

REREGISTRATION HISTORY

As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015.


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UNIT STANDARD NOTES

This unit standard replaces unit standard 10023, "Identify internal and external stakeholders", Level 4, 4 credits.

QUALIFICATIONS UTILISING THIS UNIT STANDARD:

ID QUALIFICATION TITLE

PRE-2009 NQF LEVEL

NQF LEVEL

STATUS END DATE

PRIMARY OR DELEGATED QA FUNCTIONARY

Core 67464 Further Education and Training Certificate: Marketing

Level 4 NQF Level 04

Reregistered 2018-06-30

As per Learning Programmes recorded against this Qual

http://allqs.saqa.org.za/showQualification.php?id=67464

Documents

Identify internal and external stakeholders US 252191