Stakeholder Analysis A Brief Introduction NRM class Dec

Stakeholder Analysis: A Brief Introduction NRM class Dec. 16, 2006

SA used in term papers • Community participation in the whole process as a stakeholder. (water policy) • effective conflict resolution calls for a consensual, multi stakeholder effort from the grassroots upwards. (water conflicts) • important for various stakeholders along with the local community and the corporate sector to come together for an effective management plan. (wetland) • Involving stakeholders in the design of the arrangement (private participation)

Subgroups Questions to answer Consumers Middle class Poor, connected Poor, unconnected Women Where do they live? What service do they get now? What service do they want? How much are they willing to pay? What monetary and non-monetary barriers stop them connections? What are the views on types of the arrangement that may be suitable? NGOs and communitybased organizations Those represent consumers Those represent broader interests To what extent do they represent? Which consumers they represent? About which issue they concerned? What information do they offer? Workers Managers Permanent workers Contractors Unions What ideas do they have for improving operations? What are biggest fears about reforms? What hopes they have? Private firms and financiers International water operative companies Local water operators and potential operators Financiers Local contractors What contribution can they make? What ideas to they have to improve situation? What are the risks involved? What are likely deal makers? Media Journalists writing foreign audience Journalists writing for national audience On what sources of information do they rely? Who is their main audience? Alternative providers Water vendors Standpipe operators What services are they providing? How might private participation threaten them? Stakeholder Identification in Private Participation Stakeholders

Other references to SA • Parties other than SSCP having their direct stake in the proposed project are -- Gulf of Mannar & local marine biodiversity, Fisher folk families, Sri Lanka, Tamilnadu, MOEF, Vessel operators • Capacity building for primary and secondary stakeholders - WOTR’s belief community is the major stakeholder in a development programme. and natural resource management in an integrated manner is possible only when all the possible people living in the eco-system come together.

What is Stakeholder Analysis? An approach for understanding a system by identifying the key actors or stakeholders in the system, and assessing their respective interests in that system and to develop strategies to get most effective support for the project and reduce any obstacles to successful implementation.

Who is a Stakeholder? Stakeholders include all those who affect, and/or are affected by, the policies, decisions, and actions of the system; They can be individuals, communities, social groups or institutions of any size, aggregation or level in society. They thus includes policy-makers, planners and administrators in government and other organizations, as well as commercial and substance user groups. Stakeholder can be categorized as primary and secondary stakeholder

Key Objectives of SA • Failure of many projects: Realisation in 1990 s that many NRM projects have not met stated objectives because of noncooperation from stakeholders, or achieved at expense of certain stakeholders – local resource poor people. • To improve the effectiveness of policies and projects • To better address the distributional, social and political impacts of policies and projects

Why is SA needed in NRM? • Cross cutting systems and stakeholder interest. Bounded by natural/physical systems, such as watersheds, and these cut across social, economic and political units. large number of different stakeholders. • Multiple uses and users (competing interests): logging companies for commercial timber or mining, local people NTFP, ecologists for integral forests, pastoralists for agriculture • Multiple objectives – crucial difference between economic, social and environmental concerns. Wider society and local people. • Unclear property rights: Many natural resources are not owned or managed privately but are rather common or public resources. Methods of control and management, and ease of access to the resource, vary enormously between locations where there are multiple users. • Negative externalities: costs to future generations and downstream, unintended – waterlogging, salinisation, rehabilitation etc.

Steps of Stakeholder Analysis Identify main purpose of the analysis (what, who, how) Develop an understanding of the system and decisionmakers in the system Identify principal stakeholders Investigate stakeholders interests, characteristics and circumstances Identify patterns and contexts of interaction between stakeholders Define options for management

Identifying Stakeholders To Find out: ü Who are the owners and/or dependants on the resources? ü Who are the potential beneficiaries? ü Which organisations are active in the area? ü Who might be affected, positively or negatively, by the project interventions? ü Who are the potential intervention's supporters and/or opponents? ü Should women be considered as a separate category? ü Are there other vulnerable groups? Have they been identified? ü What are the relationships among the stakeholders?

Categories of Stakeholders Primary stakeholders – directly dependent on natural resources – Resource owners and/or users – Traditional natural resources management institutions Secondary stakeholders – not directly dependent on natural resources but have a major interest in the way resources are managed. Those with more responsibility or interest in the potential project or natural resource management and use. – CBOs, NGOs, government departments, the private sector, religious institutions etc.

Assess Stakeholder Influence and Importance üPower and status (political, social and economic) üDegree of organization üControl of strategic resources üInformal influence üPower relations with other stakeholders Importance refers to: üThe extend to which the success of a project depends üThe degree to which a stakeholder’s interest coincide with project interest üStakeholders, whose needs are addressed by the project

Stakeholder Influence & Importance Determining influence and importance of stakeholders should be: üA participatory process üInformed by information gathered in step one above. Categorize stakeholders by ranking and mapping the two variables (influence and importance) against each other along a simple scale

Importance & Influence Matrix Level of Importanc e High importance Low influence High importance High influence Low importance Low influence Low importance High influence Level of Influence

Identify patterns and contexts of interaction between stakeholders Conflict Co-operation Dependency With corresponding opportunities for resolution, analysis of trade-offs and synergies

Stakeholders Participation Different forms of participation: § § Partner Consultation Inform Control Different roles of stakeholders on: § Stage of the project § Their category Plan stakeholder involvement according to: § Interests, importance and influence of stakeholder group § Particular efforts needed to involve important stakeholders who lack influence § Appropriate forms of participation throughout project cycle.

Categories of Participation Level of Importanc e High importance Low influence – partners to control High importance High influence – control to partners Low importance Low influence – inform to consult Low importance High influence – consult to inform Level of Influence

Where Applicable? SA is useful at: • National Level Analysis – policy or legislation • Regional or Local Planning – management of policy options • Project Analysis • SA is used for different purposes: ex ante appraisal of policies and projects ex post evaluation of policies and projects General research on NRM and change Providing analytical support to an on-going process

Stakeholder Conflict matrix Govt. Depts NGOs Wood industry Ex situ land owners Local people

Case Study: Conflicts and Trade-off in Park Management: Phu Wiang Watershed, North East Thailand Government department NGOs Wood-based industry Non-resident Land owners Local people Government department NGOs Wood-based industry Non-resident Land owners Conflicts of interest are represented by complementarities by and co-operative action by Source: CHAN, Man-Kwuan (1995) Tree Resources in Northern Thailand: Local Stakeholders and Natural Policy. Chatham, UK, Natural Resources Institute. Local people

Tools for SA

How to Conduct SA • Organise group brainstorming • Review list and identify specific interest with regard to the project • How important stakeholder interest to success of project • How do you use the information – judgement based on understanding and project objectives