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Internal stakeholders (employees, management)
Connected stakeholders (suppliers, distributors, shareholders, customers) External stakeholders (community, government, pressure groups)
Definition
Stakeholders:
Those individuals or groups who depend on the organisation to fulfil their own goals and on whom, in turn the organisation depends. (Johnson and Scholes, 1999, p213).
The following figure illustrates an outline stakeholder map.
Customers
Banks/sources of finance Suppliers
The local community Distributors
Society at large Managers
Employees
Activity 3.3
Stakeholder map
Draw a stakeholder map for your own organisation and consider the varying needs of each group and the implications on the organisation's strategic direction.
How does your organisation manage the differing expectations of each group?
Strategic Marketing Management
Summary
This unit has shown that:
Strategic intent relates to the aspirations of an organisation and is sometimes referred to as the organisation's vision. An appropriate and well constructed vision can help guide strategy, identify and maintain core competencies and can act as a motivator for staff by providing them with a sense of purpose.
Mission statements are more concerned with providing daily guidance rather than a vision of the future. They should reflect an organisation's core competencies, relate to the critical success factors in the market and also inform employees and other stakeholders what contribution is required from them to deliver value to the customer.
Objectives are a statement of what an organisation wants to achieve and wherever possible, they should be SMART.
Stakeholders are a key consideration when developing strategic direction. Stakeholders consist of all those individuals who are influenced by the activities of an organisation and include internal stakeholders (employees and management), connected stakeholders (suppliers, distributors, shareholders and customers) and external stakeholders (community, government and pressure groups).
Strategic Marketing Management
Unit 4 Creating strategic advantage
Introduction
The focus of this unit is to look closely at how companies can differentiate themselves from their competitors by using a range of strategies.
Objectives
Upon successful completion of this unit you will:
Understand the term ‘strategic advantage'
Be able to describe, discuss and apply Porter's generic strategies
