Why Knowing Your Stakeholders Defines Project Success
In project management, there’s a truth that never fades: no project succeeds in isolation. Behind every deliverable, timeline, or milestone is a network of people whose needs, expectations, and influence shape the outcome. These individuals or groups are known as stakeholders.
I’m Steven Sondang, a Seasoned Digital Marketer and Business Strategy Specialist with 15+ years of experience managing digital transformations, campaigns, and cross-functional initiatives. I’ve learned that the earlier you identify and engage stakeholders, the smoother your project journey will be.
In this guide, we’ll explore how to identify the people who matter most in your project and manage their expectations to keep your strategy on track.
What Is a Stakeholder?
A stakeholder is anyone who can impact or is impacted by your project. This includes people who fund the project, approve decisions, complete work, or are affected by its outcome.
Stakeholders may include:
- Project sponsors
- Customers or end users
- Project managers
- Team members
- Department heads (functional managers)
- External vendors
- Regulatory bodies or legal teams
Understanding stakeholder influence and interest helps you prioritise where to focus communication, decision-making power, and risk management.
Step 1: Define Your Project’s Core Purpose
Goal: Before identifying stakeholders, clarify what your project is trying to achieve.
Example: Let’s say your company is implementing a new CRM system to improve sales conversion and client retention.
Tip: Write your goal in one clear sentence. This helps you frame stakeholder identification around who will care most about the impact of this goal.
Step 2: Identify All Potential Stakeholders
Goal: List every person, team, or department that touches the project in any way.
Stakeholder Categories:
- Primary Stakeholders: Directly affected by the project (e.g., customers, project sponsors, core team)
- Secondary Stakeholders: Indirectly affected (e.g., HR, finance, legal)
- Key Influencers: Individuals whose input or endorsement affects decisions (e.g., department heads, executives)
- Support Functions: IT, facilities, procurement—groups that may not drive but enable your success
Real-Life Example: In a hospital scheduling system project:
- Customer: The COO who funds the initiative and defines outcomes
- Sponsor: A senior executive who champions the project
- Team Members: Engineers, designers, admin staff implementing new workflows
- Departments: Facilities impacted by layout changes; IT supporting the software
Step 3: Analyse Their Interests and Influence
Goal: Understand what each stakeholder cares about—and how much power they hold.
Use a Stakeholder Matrix:
Map each stakeholder by:
- Level of Interest: How invested they are in the outcome
- Level of Influence: How much decision-making power they hold
Categories:
- High Interest / High Influence: Manage closely (e.g., project sponsor)
- High Influence / Low Interest: Keep satisfied (e.g., CFO who signs off budget)
- High Interest / Low Influence: Keep informed (e.g., daily users of the system)
- Low Interest / Low Influence: Monitor (e.g., distant departments)
Tip: Don’t underestimate low-influence stakeholders who may become blockers later. Early conversations build trust.
Step 4: Understand Their Needs and Expectations
Goal: Get clarity on what stakeholders expect—and what they fear.
How to Uncover This:
- 1-on-1 interviews
- Kickoff surveys
- Past project feedback
Example Questions:
- What does success look like for you?
- What’s your biggest concern about this project?
- How often would you like updates?
Real-Life Example: During a digital marketing platform rollout, product managers wanted speed, while legal required extended review windows. Balancing both helped avoid future conflicts.
Tip: Document expectations and get sign-off where appropriate.
Step 5: Define Engagement Strategy for Each Stakeholder
Goal: Create a customised approach for keeping stakeholders involved and satisfied.
Build an Engagement Plan:
For each stakeholder or group, define:
- Communication channel (e.g., email, Slack, meetings)
- Frequency (e.g., weekly check-ins, monthly reports)
- Level of detail (e.g., dashboards for execs, detailed status reports for team leads)
Example:
- COO (Sponsor): Monthly impact summary + critical risks
- Dev team: Daily Slack check-ins + sprint reviews
- Facilities team: As-needed updates tied to system setup
Tip: Consistency builds trust. Don’t let high-influence stakeholders go dark for too long.
Step 6: Monitor, Reassess, and Adapt
Goal: Stakeholder needs evolve. Keep your strategy flexible.
Track:
- Changes in stakeholder roles or influence
- New stakeholders joining mid-project
- Shifts in attitude or resistance
Tip: Conduct a stakeholder review at key milestones to reassess alignment and engagement.
Real-World Business Case
Project: Launching a new patient intake system at a healthcare provider
Key Stakeholders Identified:
- COO (customer)
- IT Director (technical delivery)
- Nurses (end users)
- Legal (compliance)
- Front desk staff (daily workflow)
Engagement Strategy:
- Bi-weekly steering meetings with COO
- Pilot testing with front desk team
- Regular walkthroughs with compliance for regulatory assurance
Outcome: The team pre-empted resistance by involving end users early, aligning tech rollout with regulatory timelines, and getting high-level buy-in that unblocked budget hurdles. The result: a smooth go-live and higher adoption.
Summary
Stakeholder management isn’t just about avoiding conflict—it’s about creating champions.
- Define your project purpose clearly
- Identify every person who touches or is touched by the work
- Understand their goals, fears, and expectations
- Prioritise based on influence and interest
- Craft communication that makes them feel heard and empowered
Because when your stakeholders win, your project wins.
And if you’re building your next roadmap, stakeholder strategy, or digital execution plan, I’m ready to help bring structure, clarity, and impact to the journey.
About The Author
