STAKEHOLDERS can make or break the implementation of your strategy. It’s therefore imperative in strategy formulation that, at the outset, you perform a stakeholder analysis to identify the key influencers, supporters or blockers of your strategy.
Stakeholder analysis and management are crucial if an organisation is to succeed.
You need to engage the right people in the right way.
Engaging the right stakeholders can make a difference to your strategy.
A “stakeholder” is anyone who has an interest in the value that the organisation creates.
In a commercial setup this could be shareholders, customers, suppliers, employees, government and its agencies and the community or society at large.
The actions that the organisation take and the strategic decisions that it makes will invariably affect a lot of people, albeit in different ways and varying degrees depending on their level of interest in the institution.
The organisation’s actions and decisions will likely impact people who have power and influence over its strategy. These people can act as positive levers to the implementation of the strategy or can block it if it will affect them negatively.
As a leader in your organisation you need to know who exactly your stakeholders are and what power they have and how much interest they have in the organisation. Can they exercise their power and under what conditions will they do so?
The process in stakeholder management starts with stakeholder analysis-which is the identification of the key stakeholders who are interested in your organisation that need to be won over.
The next step is to work out how much power and influence they wield and how much interest they have in your organisation.
Once the key stakeholders have been identified, their power, influence and interest having been assessed, you then have to work out how to build the support you need from these key stakeholders that will ensure the successful implementation of your intended strategy.
There are benefits that will accrue to the organisation by engaging its key stakeholders. Your organisation can use the opinions of the most powerful stakeholders to shape its strategy and ensure you get their support.
When you engage early with your stakeholders and communicate regularly with them they will appreciate what you are doing and how this will impact on them. They will be amenable to release resources that you need for the strategy to succeed.
Stakeholder engagement helps you anticipate their reaction to your strategy and therefore you can come up with an appropriate plan to address their concerns early before these concerns become an issue that can stall the strategy implementation.
The process of stakeholder identification requires that you think of all the people or organisations that are affected by your actions or decisions. Those who have influence or power over the organisation, or have an interest in the successful or unsuccessful implementation of its strategy should be identified. The stakeholders for each organisation vary but will likely include the following: shareholders, government, suppliers, customers, management, employees, analysts, trade unions, business associations, the public and the community. If you are dealing with organisations, as one of the stakeholders, make sure that you identify the right individuals in that organization to communicate with.
The stakeholder list that you come up with after the brainstorming will have varying levels of power, influence or interest in the organisation. Others may be interested in what you are doing, but others may not care. Some may have the power to either block or advance your strategy. You need therefore to prioritise the key stakeholders that you need to pay very close attention to. This part of the analysis can be done using a framework that will classify stakeholders by their power over your organisation and by their interest in that particular strategy.
If a stakeholder has high power and is very interested in your organisation, you need to fully engage and make the greatest efforts to satisfy such stakeholders. They can stifle implementation of your strategy. An example would be management, employees or key customers.
If on the other hand the stakeholders have high power but are less interested, then just put enough work in these stakeholders to keep them satisfied but not as much as the above stakeholders. These could be the institutional shareholders like pension funds.
The other stakeholders are those with low power but are very interested. You would need to keep these people adequately informed, and communicate to them to ensure that no major issues arise. If these stakeholders are on your side, they can assist you very well in ensuring that they speak well of the strategy. Such people or organisations could be pressure groups.
The last group is those who have low power and minimal interest in the organisation. You need to monitor these stakeholders but give minimal attention.
The first three groups of stakeholders are your key stakeholders. You need to know how they feel and will react to your strategy and how best to engage them and how best to communicate with them.
In dealing with the key stakeholders you need to know first their likely response to your strategy. Identify what really motivates them. You should establish whether they would behave differently if they have the relevant information about the strategy. You also need to know the decision makers so that you can engage them. You need to talk with the key stakeholders because this will show that you respect their opinions and by so doing you establish a good and successful relationship with them and they will obviously support your strategy if it incorporates their opinions and addresses their concerns.
Timely, frequent and informative communication involving all key stakeholders will ensure support from key stakeholders and ensure successful implementation of your strategies.
Stewart Jakarasi is a business and financial strategist and a lecturer in business strategy (ACCA P3), advanced performance management (P5) and entrepreneurship. He is the Managing Consultant of Shekina Consulting (Pty) Ltd and provides advisory and guidance on leadership, strategy and execution, corporate governance, preparation of business plans, tender documents and on how to build and sustain high-performing organisations. For assistance in implementing some of the concepts discussed in these articles please contact him on the following contacts: firstname.lastname@example.org, call on +266 58881062 or WhatsApp +266 62110062 .
World Bank pledges M2.1 billion to Lesotho
MASERU – THE World Bank has pledged US$120 million (about M2.1 billion) for new projects in Lesotho for the coming year.
This revelation was made by the Minister of Foreign Affairs Lejone Mpotjoane at a press conference in Maseru yesterday.
Mpotjoane said the World Bank will visit Lesotho in January to look into the issues of project management, public financial management, government accountability, contracts management and procurement management.
“The World Bank raised a concern that the implementation of the projects is slow and in most cases behind schedule,” Mpotjoane said.
This came after Lesotho’s delegation led by Prime Minister Sam Matekane attended the US-Africa leaders’ summit in Washington in the United States last week.
Mpotjoane said the Summit was held to discuss how heads of government, officials, business leaders, and civil society could strengthen ties between the US and
“One of the important issues discussed at the summit included good governance, democracy, human rights and rule of law,” he said.
The summit also discussed mitigating the impact of Covid-19 and future pandemics and strengthening regional and global health, promoting food security, advancing peace and security, responding to the climate crisis and amplifying diasporaties.
Mpotjoane said the United States also pledged at least US$55 billion (about M935 billion) to Africa over the next three years, spanning across a range of diverse sectors.
“The US further pledged to lend up to US$21 million (about M493 million) through the International Monetary Fund (IMF) for low and middle-income African countries,” Mpotjoane said.
He said the US Trade Representative signed a Memorandum of Understanding (MoU) with the African Continental Free Trade Area (AfCFTA) Secretariat to support institutions to accelerate sustainable economic growth across Africa.
He said Matekane also met the Chief Executive Officer of the American Peace Corps, Thomas Peng.
He said the US had suspended its Peace Corps operations in Lesotho due to the Covid-19 pandemic.
And after the meeting, the Peace Corps has undertaken to send over 50 volunteers to Lesotho.
Mpotjoane said Matekane also met the World Bank Group Vice-President, Victoral Kwakwa.
He said during the meeting, Matekane and his delegation stressed the commitment of Lesotho to work with both the World Bank and IMF institutions as key bilateral and multilateral partners to get Lesotho on a sustainable broad-based and inclusive growth path.
He said Matekane also met the Chair of the Senate Finance Committee, Senator Ron Wyden.
He said Matekane met the Chair of the Africa Sub-Committee, Senator Van Hollen, who was impressed to consider an extension of the Africa Growth Opportunity Act (AGOA) beyond 2025.
“The extension of AGOA will secure and create thousands of jobs in the manufacturing sector,” Mpotjoane said.
Matekane last Saturday tweeted that the secretary general of AFCFTA fully supports and wants to be part of developmental activity for Africa.
“Lesotho delegation led by myself met with his team and discussed assistance of AFCFTA in some of Lesotho government’s development activity,” Matekane said.
Early Christmas for MMB clients
MASERU – CHRISTMAS came early for two of Maluti Mountain Brewery (MMB)’s clients after they walked away with Nissan NP200 vehicles for promoting excellence in sales in their businesses.
The prize-giving ceremony was held in Maseru on Tuesday.
The MMB further distributed M1.5 million to its clients this year in a bid to increase its sales.
The winners of the two Nissan NP200 cars are Katleho Khuto, a tavern owner from Mohale’s Hoek, and Libe Mapane, an owner of an off-sales, who won in the gold category.
The silver category winner is ’Nokoane Rankhasa who runs an off-sales while in the bronze category the winner is Letšoala Letšoala, also running an off-sales.
Khuto said this was the first time he had participated in the competition.
He said he had been working hard to perform well in business.
“I am not only selling to clients in the tavern but I also deliver the stock to my clients,” he said.
He said this kind of business has the potential to grow.
“It just requires good capital and good customer service,” he said.
Khuto said the prize money will help him to stock his tavern.
“I have been hiring people’s cars. Therefore, this will help to minimize my costs,” he said.
The MMB Sales Manager, Pusetso Thoala, said this programme started last year.
He said due to the Covid-19 pandemic many businesses collapsed and they want to help them recover.
Thoala said due to Covid, they saw it befitting to include all kinds of businesses in this sector.
Then they decided to include taverns and shebeens in the competition since they take a bigger fraction in the industry.
Thoala said the competition seeks to motivate businesses in this sector to work hard.
He said if businesses work hard, this will increase more sales hence improving MMB operations.
“We are seeking to reach even the districts,” he said.
Last year MMB put aside M2.4 million for this competition with 800 business owners participating in the programme.
A staggering M793 000 was awarded to customers who exceeded targets.
“We are offering two cars this year,” he said.
Thoala said this year they will focus on helping a higher number of business owners with renovation projects.
Thoala said they have three categories being gold, silver and bronze where in the category of gold, they will be offering a Nissan MP200 car model.
MMB believes this will motivate business owners to increase their sales.
Thoala said this is not only benefiting MMB but also business owners due to increased profits.
A Mohale’s Hoek businessman who did not want to be mentioned said the competition was fair.
He said this kind of celebration should not only be about collecting the prizes but it should be used for networking between stakeholders as well.
He said he was expecting the business owners to be given a slot to discuss their challenges and strengths so that the sector could grow.
Sweets that clear your sore throat
ROMA – WHEN you have a sore throat, maybe due to common cold, you allow these candies to melt in your mouth.
They are not just sweet, they are also soothing.
“That’s because we’ve got measured amounts of wild mint, honey and lemon in there,” said Joalane Mohale who produces these sweets at the National University of Lesotho (NUL) Innovation Hub.
With these sweets, you clear your sore throat, fever and a cough.
The story starts in 2019 — in fact it starts earlier than that.
“That’s when my teammates and I were busy making and selling packaged teas out of various medicinal plants,” Mohale said.
Business was good.
People just loved their teas.
It is not surprising because the tea itself came in all kinds of versions.
The ingredients ranged from corn silk, to olives and mint, from Artemisia (lengana), to eucalyptus (boleikomo) and numerous other plants.
So people would come from all walks of life to tell them how the catalogue of teas they took to the markets was helping them.
One would say they assist with a headache, another would cite period pains, another would mention fever, flu, sore throats, all kinds of ailments.
It was something worth celebrating, with one exception.
These people were almost always adults.
There were simply no youths and children in the audience.
It dawned on Mohale that perhaps their products were not reaching the broader market.
What would they do?
“When we sat down and thought hard about it, we came to a conclusion that the way we delivered these soothing plants were simply not in the interest of the young.”
You hardly ever see young people sitting down and enjoying a cup of tea.
But we all know that they delight in munching sweets of all kinds.
So what if they used the same stuff they were putting in tea in the sweets?
It could be a brilliant idea.
So she started.
That was back in 2019.
The making of sweets might sound easy.
After all sweets are sweets, isn’t it?
She would soon learn what other seasoned manufacturers of anything have learned before her.
That manufacturing, no matter what it is you are manufacturing, is hard.
One experienced manufacturer likes to say “what people don’t seem to understand is that manufacturing is not so much about the product as it is about the process of making that product”.
The process, that’s the hard part.
But she tried it any way.
“I kept failing until I decided it was time to consult someone who was already in the business.”
The person consulted was ready to assist.
She opened up about what sweets really were.
She talked about different kinds of sweets and how each kind differed from another.
She told her that only certain kinds of sweets would be suitable for the kind of stuff she wanted to do.
She got back encouraged to try.
“You won’t believe it,” she said.
“Even with all that information, it would take another four months for me to be able to nail the sweets to my satisfaction.”
In the beginning, the sweets just collapsed a few days after being put together.
When she fixed that, then came another problem.
The sweets just went bad every two weeks or so.
She kept her experiments alive until she was able to solve the problems.
“One of the things I realised was the importance of accuracy,” she said.
“You have to be extremely accurate with measurements.”
You get a small thing wrong, the whole system collapses.
Among the ingredients in the sweets is a wild mint.
Basotho are known to have depended on wild mint to fight cold since time immemorial.
“Many would put it in their nostrils in times of flu or other stuff and it was celebrated for its effectiveness.”
Scientists have noted that mints can soothe upset stomach and ease colds, flu, fever, headaches, and sinus congestion.
Another candidate is honey—that magic food.
A CNN report says “researchers said honey was (found to be) more effective in relieving the symptoms of cold and flu-like illnesses than the usual commercial remedies”.
As if that was not enough already, she added lemon.
Listen to what some scientists have to say about lemon: “Lemons are rich in vitamin C and flavonoids that work together against flu and cold infections”.
Well, with the three in one, you are ready to munch your way out of most annoying flus and colds.
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