Chapter #3 – Know Your Key Stakeholders
& Win Their Cooperation
• It is always people who make the technology produce, which is why we call them in the project
• The 1 task of a PM is to identify its project’s stakeholders.
• A stakeholder is:
a. Anyone who contributes to the project or is impacted by its results
b. People who under the guidance of the PM, establish agreements on the goals &
constraints of the project, construct the strategies & schedules, & approve budgets.
c. People & organizations hat ultimately judge the success of the project.
• Although a project may contain numerous stakeholders, most of them fall into a predictable set
• Some people will play more than one role & some roles will be filled by more than one person.
• When searching for stakeholders, rather than asking Who is the customer? Or Who is the project
team?, we should ask Who will make a contribution? & who will be affected by this project?
• PMs must keep all the disparate groups in a project moving in “harmony”
• The PM has the primary role in any project since he identifies the stakeholders, watches for
overruns, and referees disputes.
• Question the PM should ask himself as identifying himself as a stakeholder are:
1. What is my authority?
2. To whom do I report?
3. Does this mean ill be relieved of other responsibilities?
4. What are my expectation?
• The role of a PM can be spread among multiple people with titles such as technical lead & team
• All groups & individuals who contribute time, skills, and effort to the project are considered
• In addition to the people within the company assigned to the project, they can also include
contractors, vendors, and even customers
• Determining who will be a part of the team happens at the start of the project, during definition
& planning. The steps of this process are:
1. tasks are broken down until the different skill requirements’ emerge
2. the PM & sponsor begin recruiting people &organizations w/ necessary skills
3. the PM negotiates the involvement of these new team members
4. the PM clarifies the plan & ensures that it is understood by all team members
5. team member responsibilities are documented in both the statement of work & the project
• As managers, they will need to distinguish between part-time or temporary members & core
teams, because communication strategies will be different for each.
• Management refers to functional management or line management; Ex. Department managers,
first level supervisors, or executive vice presidents; • Responsible for an organizational unit such as engineering or internal audit rather than for a
• People w/ long term control over employees & other resources in the firm
• Management support requires 3 kinds of management contribution:
1. Sponsorship: a specific executive accountable for project success
2. Resources: functional managers that assign specific people & resources to a project
3. Decision authority: managers that influence project decisions because they represent
organizational policy, processes, & assets
• Sponsor is the person with formal authority who is ultimately responsible for the projects
success. Ex. Senior executive or a junior manager
• 2 basic concepts in understanding the importance of sponsors to the project
1. sponsors are responsible for the project’s success
2. primary task is to help the project team be successful
• Best sponsors know that they are sponsoring the project manager & team which is why another
name given to the is CHAMPION
• There are many ways sponsors lend their authority to projects:
1. Support the PM by issuing a project charter- an announcement that names a new project,
the purpose of it & the PM
2. Assist in developing a responsibilities matrix- shows how different stakeholder groups
will be involved in the project
3. Review & approve the statement of work (SOW)- describes the goals, constraints, & PM
guidelines of a project
4. Review & approve the project plan- must endorse the cost-schedule-quality equilibrium
represented in the plan
5. Advise the PM & discuss the status of the project w/ this manager at regular basis
6. Monitor & maintain the priority if the project relative to other projects
7. Assist the PM in overcoming organizational obstacles
• Resource Managers: those managers who will have control over workers assigned to the project
team & who will decide when they are available.