Stakeholder Relationship Governance
Roles of stakeholders
Every organisation has stakeholders. Examples of stakeholder groups (beyond stockholders) are employees, suppliers, customers, creditors, competitors, governments, and communities. They often affect the corporation, law and markets but actually it consists of senior management, managers and employees. In this assignment, we will discuss role of stakeholders in terms of identification of learning and development within organisation, what is the nature and application of the practice of learning and development in context of relevant theories and models. Before describing anything, we need to understand the actual meaning of ‘stakeholders’ term. The term "stakeholder" appears to have been invented in the early '60s as a deliberate play on the word "stockholder" to signify that there are other parties having a "stake" in the decision-making of the modern, publicly-held corporation in addition to those holding equity positions. Professor R. Edward Freeman, in his book Strategic Management: A Stakeholder Approach (Pitman, 1984), defines the term as follows:
“A stakeholder in an organization is (by definition) any group or individual who can affect or is affected by the achievement of the organization 's objectives” (cited in Freeman, 2010).
The classic definition of a stakeholder is ‘any group or individual who can affect or is affected by the achievement of the organisation’s objectives’. At its broadest and most ambitious, the stakeholder concept represents a redefinition of all organisations: how they should be conceptualised and what they should be (Friedman and Miles, 2006, pp. 1–2). Yamak and Süer (2005, p. 111) state that CSR has emerged as a major topic following recent corporate scandals, which may also be interpreted as the demise of shareholder theory (a manager’s duty is to maximise shareholders’ returns) and the rise of stakeholder theory. The shareholder theory and the stakeholder theory are two patterns that stand out as
Every organisation has stakeholders. Examples of stakeholder groups (beyond stockholders) are employees, suppliers, customers, creditors, competitors, governments, and communities. They often affect the corporation, law and markets but actually it consists of senior management, managers and employees. In this assignment, we will discuss role of stakeholders in terms of identification of learning and development within organisation, what is the nature and application of the practice of learning and development in context of relevant theories and models. Before describing anything, we need to understand the actual meaning of ‘stakeholders’ term. The term "stakeholder" appears to have been invented in the early '60s as a deliberate play on the word "stockholder" to signify that there are other parties having a "stake" in the decision-making of the modern, publicly-held corporation in addition to those holding equity positions. Professor R. Edward Freeman, in his book Strategic Management: A Stakeholder Approach (Pitman, 1984), defines the term as follows:
“A stakeholder in an organization is (by definition) any group or individual who can affect or is affected by the achievement of the organization 's objectives” (cited in Freeman, 2010).
The classic definition of a stakeholder is ‘any group or individual who can affect or is affected by the achievement of the organisation’s objectives’. At its broadest and most ambitious, the stakeholder concept represents a redefinition of all organisations: how they should be conceptualised and what they should be (Friedman and Miles, 2006, pp. 1–2). Yamak and Süer (2005, p. 111) state that CSR has emerged as a major topic following recent corporate scandals, which may also be interpreted as the demise of shareholder theory (a manager’s duty is to maximise shareholders’ returns) and the rise of stakeholder theory. The shareholder theory and the stakeholder theory are two patterns that stand out as
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