Introduction
Effective stakeholder management is crucial for organisations to achieve their goals and
maintain a positive reputation. Stakeholders, including employees, customers,
suppliers, communities, and government, have varying needs, expectations, and levels
of influence that must be understood and addressed. This assignment examines the
importance of stakeholder management in the context of two case studies: Lonmin
Platinum Mining Company and The Beans Company. Through stakeholder
identification, analysis, and application of the Systems Theory, this assignment
highlights the significance of fostering positive relationships with stakeholders to ensure
long-term success.
1.1 Factors to understand stakeholders
Identify stakeholder groups
Recognise the diverse array of groups with a vested interest in the organisation’s
operations, including employees, customers, suppliers, and communities. This involves
mapping the complex web of stakeholders to understand their unique needs and
expectations.
, Analyse stakeholder interests
Delve into the needs, expectations, and concerns of each stakeholder group to
determine how the organisation can create value for them. This entails conducting
thorough stakeholder analyses to identify areas of alignment and potential conflict.
Assess stakeholder influence
Evaluate the level of influence each stakeholder group has on the organisation’s
operations and reputation to determine the appropriate level of engagement. This
involves assessing the power dynamics at play and developing targeted strategies to
engage with each stakeholder group.
1.2 Reputation of Lonmin Platinum Mining Company
Based on the case study, the reputation of the Lonmin Platinum Mining Company is
tarnished. The company’s handling of the strike and the subsequent massacre of 34
miners led to widespread criticism and condemnation. The company’s prioritisation of
profits over workers’ welfare and safety has damaged its reputation and eroded trust
among stakeholders.
Effective stakeholder management is crucial for organisations to achieve their goals and
maintain a positive reputation. Stakeholders, including employees, customers,
suppliers, communities, and government, have varying needs, expectations, and levels
of influence that must be understood and addressed. This assignment examines the
importance of stakeholder management in the context of two case studies: Lonmin
Platinum Mining Company and The Beans Company. Through stakeholder
identification, analysis, and application of the Systems Theory, this assignment
highlights the significance of fostering positive relationships with stakeholders to ensure
long-term success.
1.1 Factors to understand stakeholders
Identify stakeholder groups
Recognise the diverse array of groups with a vested interest in the organisation’s
operations, including employees, customers, suppliers, and communities. This involves
mapping the complex web of stakeholders to understand their unique needs and
expectations.
, Analyse stakeholder interests
Delve into the needs, expectations, and concerns of each stakeholder group to
determine how the organisation can create value for them. This entails conducting
thorough stakeholder analyses to identify areas of alignment and potential conflict.
Assess stakeholder influence
Evaluate the level of influence each stakeholder group has on the organisation’s
operations and reputation to determine the appropriate level of engagement. This
involves assessing the power dynamics at play and developing targeted strategies to
engage with each stakeholder group.
1.2 Reputation of Lonmin Platinum Mining Company
Based on the case study, the reputation of the Lonmin Platinum Mining Company is
tarnished. The company’s handling of the strike and the subsequent massacre of 34
miners led to widespread criticism and condemnation. The company’s prioritisation of
profits over workers’ welfare and safety has damaged its reputation and eroded trust
among stakeholders.
