Stakeholder Analysis: A Brief Introduction

1. Stakeholder Analysis: A Brief Introduction NRM class Dec. 16, 2006

2. SA used in term papers • Community participation in the whole process as a stakeholder. (water policy) • effective conflict resolution calls for a consensual, multi stakeholder effort from the grassroots upwards. (water conflicts) • important for various stakeholders along with the local community and the corporate sector to come together for an effective management plan. (wetland) • Involving stakeholders in the design of the arrangement (private participation)

3. Stakeholder Identification in Private Participation

4. Other references to SA • Parties other than SSCP having their direct stake in the proposed project are -- Gulf of Mannar & local marine biodiversity, Fisher folk families, Sri Lanka, Tamilnadu, MOEF, Vessel operators • Capacity building for primary and secondary stakeholders - WOTR’s belief community is the major stakeholder in a development programme. and natural resource management in an integrated manner is possible only when all the possible people living in the eco-system come together.

5. What is Stakeholder Analysis? An approach for understanding a system by identifying the key actors or stakeholders in the system, and assessing their respective interests in that system and to develop strategies to get most effective support for the project and reduce any obstacles to successful implementation.

6. Who is a Stakeholder? Stakeholders include all those who affect, and/or are affected by, the policies, decisions, and actions of the system; They can be individuals, communities, social groups or institutions of any size, aggregation or level in society. They thus includes policy-makers, planners and administrators in government and other organizations, as well as commercial and substance user groups. Stakeholder can be categorized as primary and secondary stakeholder

7. Key Objectives of SA • Failure of many projects: Realisation in 1990s that many NRM projects have not met stated objectives because of non-cooperation from stakeholders, or achieved at expense of certain stakeholders – local resource poor people. • To improve the effectiveness of policies and projects • To better address the distributional, social and political impacts of policies and projects

8. Why is SA needed in NRM? • Cross cutting systems and stakeholder interest. Bounded by natural/physical systems, such as watersheds, and these cut across social, economic and political units. large number of different stakeholders. • Multiple uses and users (competing interests): logging companies for commercial timber or mining, local people NTFP, ecologists for integral forests, pastoralists for agriculture • Multiple objectives – crucial difference between economic, social and environmental concerns. Wider society and local people. • Unclear property rights: Many natural resources are not owned or managed privately but are rather common or public resources. Methods of control and management, and ease of access to the resource, vary enormously between locations where there are multiple users. • Negative externalities: costs to future generations and downstream, unintended – waterlogging, salinisation, rehabilitation etc.

9. Steps of Stakeholder Analysis Identify main purpose of the analysis (what, who, how) Develop an understanding of the system and decision-makers in the system Identify principal stakeholders Investigate stakeholders interests, characteristics and circumstances Identify patterns and contexts of interaction between stakeholders Define options for management

10. Identifying Stakeholders To Find out: • Who are the owners and/or dependants on the resources? • Who are the potential beneficiaries? • Which organisations are active in the area? • Who might be affected, positively or negatively, by the project interventions? • Who are the potential intervention's supporters and/or opponents? • Should women be considered as a separate category? • Are there other vulnerable groups? Have they been identified? • What are the relationships among the stakeholders?

11. Categories of Stakeholders Primary stakeholders – directly dependent on natural resources • Resource owners and/or users • Traditional natural resources management institutions Secondary stakeholders – not directly dependent on natural resources but have a major interest in the way resources are managed. Those with more responsibility or interest in the potential project or natural resource management and use. • CBOs, NGOs, government departments, the private sector, religious institutions etc.

12. Assess Stakeholder Influence and Importance • Power and status (political, social and economic) • Degree of organization • Control of strategic resources • Informal influence • Power relations with other stakeholders • Importance refers to: • The extend to which the success of a project depends • The degree to which a stakeholder’s interest coincide with project interest • Stakeholders, whose needs are addressed by the project

13. Stakeholder Influence & Importance • Determining influence and importance of • stakeholders should be: • A participatory process • Informed by information gathered in step one above. • Categorize stakeholders by ranking and mapping the two variables (influence and importance) against each other along a simple scale

14. Importance & Influence Matrix Level of Importance Level of Influence

15. Identify patterns and contexts of interaction between stakeholders Conflict Co-operation Dependency With corresponding opportunities for resolution, analysis of trade-offs and synergies

16. Stakeholders Participation Different forms of participation: • Partner • Consultation • Inform • Control Different roles of stakeholders on: • Stage of the project • Their category Plan stakeholder involvement according to: • Interests, importance and influence of stakeholder group • Particular efforts needed to involve important stakeholders who lack influence • Appropriate forms of participation throughout project cycle.

17. Categories of Participation Level of Importance Level of Influence

18. Where Applicable? SA is useful at: • National Level Analysis – policy or legislation • Regional or Local Planning – management of policy options • Project Analysis • SA is used for different purposes: ex ante appraisal of policies and projects ex post evaluation of policies and projects General research on NRM and change Providing analytical support to an on-going process

19. Stakeholder Conflict matrix

20. Government department NGOs Wood-based industry Non-resident Land owners Local people Non-resident Land owners Wood-based industry Local people Government department NGOs Case Study: Conflicts and Trade-off in Park Management: Phu Wiang Watershed, North East Thailand Conflicts of interest are represented by complementarities by and co-operative action by Source: CHAN, Man-Kwuan (1995) Tree Resources in Northern Thailand: Local Stakeholders and Natural Policy. Chatham, UK, Natural Resources Institute.

21. Tools for SA

22. How to Conduct SA • Organise group brainstorming • Review list and identify specific interest with regard to the project • How important stakeholder interest to success of project • How do you use the information – judgement based on understanding and project objectives