Answered Essay: Why would group’s or individuals’ interest in and power to influence an organization determine whether they are key stakeholders? What other factors might be considered?

There are many factors which influence the organizational decision making and impact the policies and procedures of the business operations on routine basis. People always impact the organizational business process whether they are in group or in an individual interest seeking. Mostly if a group is productive then I think every organization should consider their influence on policy making or taking any favorable decisions to employees. This is also true in case of individual having any big reference from top management or ownership or incase a person having expert power (A specialized knowledge to a field) in a particular area of business management.

Stakeholders are every individual, group or institution which has direct or indirect benefits from organization and its business. The key stakeholders can be categorized on the basis of their influence, relevance and association with an organization. Every internal stakeholder like employees, director, and external stakeholders can be said as key stakeholders if they are contributing the basic structure of organization or contributing to the business organization’s basic production process. They will be also considered as key stakeholders if contributing to organizational value chain process.

Apart from power and interest the other factors may be considered as,

1. Individual autonomy
2. The performance level.
3. The experience with the same organization.
4. The key roles and responsibilities if handling in the organization.
5. The creativity and innovative ideas of the people working with the organization.
6. Major external influencing factors like political partner, channel members and members of the supply chain of the organization.