Stakeholder Register & Power Interest Grid - PMP Exam/PMBOK Guide Study

Summary

In this video, Phil, a project management trainer, introduces the concept of a stakeholder register and a power interest grid. He explains that understanding various stakeholders' power and interest levels is crucial for project success. The power interest grid categorizes stakeholders into four quadrants: high power-high interest (manage closely), high power-low interest (keep satisfied), low power-low interest (monitor), and high interest-low power (inform). Phil emphasizes the importance of this analytical tool for project managers to focus their efforts effectively and strategically engage with stakeholders. He also advises on the sensitivity of sharing this information and the flexibility of creating a stakeholder register tailored to specific project needs.

Takeaways

• 📋 A stakeholder register is a document used by project managers to identify and list all individuals or entities that could affect or be affected by a project.
• 🗂️ The power interest grid is a tool to categorize stakeholders based on their power and interest levels, helping to determine how to engage with them effectively.
• 🟠 Stakeholders in the 'Orange Pod' have high power and interest, requiring close management.
• 🟢 Stakeholders in the 'Green Pod' have low power and interest, suggesting they should be monitored.
• 🔴 Stakeholders in the 'Red Pod' have high interest but low power, indicating they need to be kept informed.
• 🤝 It's important to manage stakeholders strategically, especially those in the 'Orange Pod', as they can significantly impact the project.
• 🔒 The stakeholder register and power interest grid should be kept confidential to avoid potential conflicts or misunderstandings.
• 📝 The stakeholder register can include sensitive information, so it's crucial to be cautious about who has access to it.
• 🔄 Stakeholders can be categorized as neutral, resistant, or positive, and strategies should be developed to shift negative perceptions.
• 🔍 The CDC's example of a stakeholder register demonstrates flexibility in the fields included, emphasizing the importance of tailoring the register to project needs.
• 💡 The stakeholder register should be a conversation piece for the project team to discuss and contribute to the overall project strategy.

Q & A

What is a stakeholder register?

A stakeholder register is a document that identifies all the entities and individuals who could affect or be affected by a project. It includes details such as names, positions, companies, contact information, expectations, requirements, level of interest, level of power, and impact categories like neutral, resistor, and positive.

What is the purpose of a power interest grid?

The power interest grid is an analytical tool used by project managers to categorize stakeholders based on their level of power and interest in a project. It helps to determine how much attention and effort should be given to each stakeholder group to manage the project effectively.

How are stakeholders categorized in a power interest grid?

Stakeholders are categorized into four quadrants: high power and high interest (orange pod), high power and low interest (yellow pod), low power and low interest (green pod), and high interest and low power (red pod).

Why is it important to manage stakeholders with high power and high interest?

Stakeholders with high power and high interest are crucial to the project's success. They should be managed closely as they can significantly influence the project and provide substantial benefits if engaged effectively.

What strategy should be used for stakeholders with high power but low interest?

For stakeholders with high power but low interest, the strategy is to keep them satisfied. They may not be actively involved but their support can be critical, so maintaining a positive relationship is important.

How should stakeholders with low power and low interest be handled?

Stakeholders with low power and low interest should be monitored. While they may not have a significant impact on the project, it's still important to keep track of their views and concerns.

Why is it important to keep stakeholders with high interest but low power informed?

Stakeholders with high interest but low power need to be kept informed to ensure they feel involved and their concerns are addressed. This can help in turning potentially negative stakeholders into positive ones.

What are the potential risks of sharing the power interest grid with stakeholders?

Sharing the power interest grid with stakeholders can be risky as it may reveal sensitive information about how much power or interest they have been assigned. This could lead to dissatisfaction or misuse of the information.

How can a project manager use the stakeholder register to strategize?

A project manager can use the stakeholder register to strategize by understanding the expectations and requirements of each stakeholder, and then planning how to engage with them based on their power and interest levels.

What are some fields that can be included in a stakeholder register?

Fields that can be included in a stakeholder register are name, position, company, contact information, expectations, requirements, level of interest, level of power, and impact categories such as neutral, resistor, and positive.

Why is it suggested to use initials rather than full names in a stakeholder register?

Using initials instead of full names in a stakeholder register can help maintain confidentiality and protect sensitive information, especially in a document that outlines power and interest levels which could be perceived as strategic.

Outlines

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📈 Understanding Stakeholders with a Power Interest Grid

Phil, a project management trainer and coach, introduces the concept of a stakeholder register and a power interest grid. He explains that stakeholders can vary greatly in their influence and interest in a project, and it's crucial for project managers to identify and understand these individuals or entities. The power interest grid is a tool used to categorize stakeholders based on their power and interest levels. Stakeholders with high power and interest are managed closely, those with high power but low interest are kept satisfied, and those with low power and interest are monitored. Phil emphasizes the importance of this tool for strategic engagement with stakeholders and cautions about the sensitivity of sharing this information, suggesting the use of initials to protect privacy. He also touches on the components of a stakeholder register, which can include names, positions, companies, and levels of interest and power. The register helps in strategizing how to shift negative stakeholders to positive and maintain the support of those already aligned with the project's goals.

Keywords

💡Stakeholder

A stakeholder in the context of the video refers to any individual or entity that has an interest or is affected by the project's outcome. The video emphasizes the importance of identifying all stakeholders to manage their expectations and influence effectively. For instance, the script mentions various types of stakeholders, such as those who are 'money-conscious,' 'clueless,' or 'territorial,' highlighting the diversity of stakeholders and the need for project managers to understand their roles and interests.

💡Stakeholder Register

The Stakeholder Register is a document that lists all the stakeholders involved in a project, along with their details and attributes. It is a tool for project managers to keep track of who the stakeholders are, their roles, expectations, and levels of interest and power. The video script illustrates how to use this register to strategize engagement with stakeholders, ensuring that project managers can tailor their approach to each stakeholder's unique characteristics and needs.

💡Power Interest Grid

The Power Interest Grid is a strategic tool used to categorize stakeholders based on their level of power and interest in a project. The grid has four quadrants: high power, high interest (manage closely); high power, low interest (keep satisfied); low power, low interest (monitor); and high interest, low power (keep informed). The video script uses this grid to explain how project managers should allocate their time and effort, focusing more on stakeholders in the 'manage closely' quadrant.

💡Project Management

Project Management is the process of planning, executing, and closing projects. The video script is centered around the role of a project manager in handling stakeholders effectively. It provides insights into the tools and strategies that project managers can use to navigate the complexities of stakeholder engagement, which is a critical aspect of successful project management.

💡Project Outcome

The project outcome refers to the end result or the deliverables of a project. Stakeholders are identified and managed based on their potential impact on or interest in these outcomes. The video script discusses the need for project managers to understand and manage stakeholders to ensure that the project outcomes align with the expectations and interests of all involved parties.

💡Engagement

Engagement in the video script refers to the process of involving stakeholders in the project to ensure their support and cooperation. It is a strategic approach that project managers use to manage stakeholders, particularly those in the 'manage closely' category of the Power Interest Grid. Effective engagement can lead to better project outcomes by leveraging the support and resources of key stakeholders.

💡Strategic Effort

Strategic effort is the intentional and thoughtful allocation of resources and attention to achieve a specific goal. In the video, it is mentioned in the context of managing stakeholders with high power and high interest, where project managers need to spend significant time and effort to keep them engaged and aligned with the project's objectives.

💡Neutral, Resistor, and Positive

These terms categorize stakeholders based on their attitude towards the project. 'Neutral' stakeholders have no strong opinion, 'Resistors' are against the project, and 'Positive' stakeholders support the project. The video script discusses the importance of strategizing to shift resistors to a positive stance and maintaining the support of positive stakeholders, which is crucial for project success.

💡Documentation

Documentation in the context of the video refers to the creation and maintenance of records, such as the Stakeholder Register, which contain essential information about stakeholders. The video script highlights the importance of careful documentation and the sensitivity of the information it contains, advising project managers to handle such documents discreetly to avoid potential conflicts or misunderstandings.

💡Sensitivity

Sensitivity in the video script pertains to the careful handling of information, particularly in documents like the Stakeholder Register. It is crucial because the information can be used to strategize stakeholder engagement, and revealing certain details, such as a stakeholder's low level of interest or power, could lead to negative consequences. The video advises project managers to be discreet and strategic in sharing such sensitive information.

Highlights

A stakeholder register is a document that identifies all entities and individuals who could affect or be affected by a project.

A power interest grid is a tool used to categorize stakeholders based on their power and interest in a project.

Stakeholders in the 'manage close' category have high power and interest, and require close management.

Stakeholders with high power but low interest should be kept satisfied.

Low power and low interest stakeholders are monitored to ensure they remain informed.

High interest but low power stakeholders need to be kept informed about the project.

The power interest grid helps project managers focus their efforts and time effectively.

Stakeholder analysis is crucial for understanding where to allocate strategic effort.

Sensitive information in the stakeholder register should be handled with care and not shared indiscriminately.

The stakeholder register can include names, positions, companies, and contact information.

Stakeholders can be categorized as neutral, resistor, or positive based on their attitude towards the project.

Strategizing to turn negative stakeholders into positive is an important aspect of project management.

The stakeholder register is flexible and can be tailored to include only relevant fields.

The register should be a conversation piece to engage the project team in stakeholder management.

The CDC's take on the stakeholder register illustrates the flexibility in its design.

For more information on project management training, visit www.praon.com.

Transcripts

hello it's your friend Phil project

management trainer and Coach what is a

stakeholder register and a power

interest

grid as a project manager on projects

you know you've got all sorts of

stakeholders those who are money

conscious those who are clueless those

who are disgruntled and violent and

those who are very territorial those who

are happy those who are kind of in the

middle neutral and we need to understand

these stakeholders we need to identify

all the entities and all the individuals

who could affect the project those who

could be affected by the Project's

outcome so that we can calm them down

and so that we can get them to better

understand what exactly is going on on

the project now one of the ways we get a

handle on these stakeholders is by using

certain tools and documents and one of

the ones I want to point out here is

something called a power interest Grid

it's a grid and it's got four Cor

and we have those stakeholders who have

a very high level of power those that

have a very high level of interest and

those we say we should manage close

those are on the orange pod there and

those who have a high level of power but

a low level of Interest we want to keep

them satisfied and those that have a low

level of power and a low level of

Interest they're on the Green Pod there

we say we want to monitor them and those

that are on the red pod they've got a

high level of Interest we need to keep

those folks informed so you've got your

power interest grid you've got those

stakeholders that you need to keep

informed those you need to manage

clothes those you need to keep satisfied

and those you need to Monitor and that's

really what this grid is all about now

people say this is a waste of time no no

no it's not a waste of time it's an

analytical tool to help you better

understand where to focus your energies

and your time as a PM those who you need

to manage clothes hey spend lots of time

spend lots of effort spend lots of

strategic effort thinking about how to

keep those guys engaged cuz those guys

could give you a huge payoff we can take

these names and put them on a grid or we

can use their initials which is probably

safer as a PM hey you want to keep this

document as close to the vest as

possible don't show James that he has a

low level of Interest or a low level of

power he may not be very happy with you

you know

don't don't show Matt that you're

putting him on a high level of power

because he could use that against you

you know but Jokes Aside PMS need to

analyze stakeholders and then put them

into a stakeholder register and these

stakeholders could be entities they

could be people you could use actual

names you could use code you could use

initials just be careful who you share

this documentation with especially if

there is sensitive information in it now

some of the Fe SKS in this document are

the name the position the company the

contact I mean you've got a big project

with several different stakeholders from

different companies you want to keep a

handle on all these stakeholders put

their names in there their role what

exactly they're doing what the

expectations of these stakeholders are

what their requirements are their level

of Interest their level of power or

their level of impact and also not on

this slide right here we also

have a category of neutral resistor and

positive because some stakeholders are

neutral right there in the middle

they're neither here nor there about the

outcome some stakeholders want your

project to fail they are negative and we

also need to strategize how to win those

stakeholders from being negative to

being positive and those who are

positive we want them to be right there

now this is from the CDC this is their

take on the stakeholder register you can

see it has similar Fields but I'm

showing you this to illustrate how

flexible you can be when you put

together a stakeholder register it does

not have to have every single field on

this one it could have some select

Fields but as you do this for your

projects make it a conversation piece so

that your project team can talk about

these stakeholders and contribute to the

overall strategy I hope you found that

informative and helpful if you have any

questions about project management or

you would like to attend one of our

courses for the PMP or capm exam or

invite us to your site to train your

team visit www. praon

docomo for your

audience