CAPM Exam & PMP Exam Study Notes:
Project Stakeholder Management
Written By: Alvin the PM | Last Updated: June 12, 2021
Topic: CAPM Exam & PMP Exam Certification Study Notes
Listed below are my CAPM Exam & PMP Exam Study Notes for Project Stakeholder Management that I’ve used to pass my own CAPM Exam, and which I also intend to use for my 2021 PMP Exam Preparation.
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Please Note: These notes are meant to be a supplementary aid, and not as your primary study material for your CAPM Exam and/or PMP Exam. This is meant to help clarify any confusing topics and explain the most challenging concepts which are difficult to understand & remember. Please reference your own Exam Prep Book or your PMBOK Guide for further detail.
I’ve listed the Knowledge Area below, with an explanation of the following:
1) Overview of each Process Group
2) Reference Section & Page in PMBOK 6th Edition
3) ITTO Summary & Analysis (Input, Tool, Technique, Output)
>> Any items marked with an * asterisk are the unique ones & critical topics to master
4) Key Concepts & Helpful Exam Prep Information
Overview of Stakeholder Management
Stakeholder Management is split up into the following four (4) Process Groups:
1) Identify Stakeholders (IN)
2) Plan Stakeholder Management (PL)
3) Manage Stakeholder Engagement (EX)
4) Monitor Stakeholder Engagement (M&C)
Purpose: This focuses on the processes for identifying who is impacted by the project and understanding their expectations
Key Concepts:
1. Stakeholders can influence the project either positively or negatively
2. When is it best to identify stakeholders? Either BEFORE or DURING the creation of the project charter. This should of course be performed throughout the project, especially at the beginnings of each Project Phase
3. What are things to consider for projects using an Agile/Adaptive approach?
>> Agile promotes aggressive transparency
>> Client, User, Developer are the key team members involved with exchanging information in a dynamic process for involving stakeholders
Process #1: Identify Stakeholders
1.1 Stakeholder Management: Identify Stakeholders (IN)
– Pg. 507, PMBOK 6th Edition
Purpose: Identify who each project stakeholder and capture their information (interests, influence, impact)
ITTO Analysis: Identify Stakeholders
1) What do You Need? (Input)
– Agreements, Project Charter, Business Documents, Project Management Plan, Project Documents, OPA/EEF
>> Business Documents: Business Case, Benefits Management Plan
>> Project Management Plan: Communications, Stakeholder Engagement Plan
>> Project Documents: Change & Issue Log; Requirements Documentation
2) What is the Result? (Output)
– *Stakeholder Register, *Change Requests; Updates to Project Documents and Project Management Plan
3) How Do You Accomplish It? (Tool/Technique)
– Expert Judgment; Data Analysis, Gathering, & Representation; Meetings
>> Data Analysis: Stakeholder Analysis; Document Analysis
>> Data Gathering: Questionnaires & Surveys; Brainstorming
>> Data Representation: Stakeholder Mapping/Representation
Key Concepts:
1. Stakeholder Analysis – What is the position of each stakeholder in the organization and their role on the project? Do they have any expectations or inclinations?
For example, if the business goal is to launch our product by the end of Q4 this year, the procurement of our Equipment to manufacture our products needs to be well received before this date.
2. Document Analysis: Review previous documentation to identify your stakeholders
3. Stakeholder Mapping (Power, Influence, Interest) – Examples of ways to “map”, categorize, and group your stakeholders are as follows:
(1) Stakeholder Grids based upon their power, interest, or influence level.
>> Power/Interest; Power/Influence; Impact/Influence
>> This is best used for small projects or low complexity projects with few relationships.
(2) Stakeholder Cube – A 3-D version of a grid
(3) Influence Direction
– Upward to senior management or project sponsor
– Downward to the team members
– Sideward to the project manager’s peers
– Outward to external stakeholders such as vendors, contractors, federal agencies
(4) Prioritization – Who are the most critical stakeholders to involve?
(5) Salience Model – Useful for large complex stakeholders/relationships, and this model describes stakeholder classes based upon their:
– Power – Ability to impose their will
– Urgency – Need for immediate attention
– Legitimacy/Level of Involvement – Is their involvement accurate?
Key Terms to Remember:
1. Stakeholder Register – This is a list of stakeholders on your project.
>> Who are the relevant and impacted stakeholders? Their requirements? Expectations? Ability to influence? How are they classified in terms of impact/influence/power/interest or other classification models?
What is included within the Stakeholder Register?
1. Information identifying your stakeholders
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2. Assessment of the Stakeholders – Requirements, Expectations, Potential to influence outcomes, and stage of having the biggest influence/impact
3. Classification/Category based upon the Stakeholder Mapping model
>> Internal/external?, Influence Direction?, Power and Influence?
Process #2: Plan Stakeholder Engagement
1.2 Stakeholder Engagement: Plan Stakeholder Engagement (PL)
– Pg. 516, PMBOK 6th Edition
Purpose: Developing your strategy for how you will engage the stakeholders during the execution of the project, based upon their Needs, Expectations, Interests, and Impact
It is in this process that you figure out how BEST to work with each stakeholder that you’ve identified in your Stakeholder Register from the previous process ‘Identify Stakeholder’
ITTO Analysis: Plan Stakeholder Engagement
1) What do You Need? (Input)
– *Project Charter, Project Management Plan, Project Documents, *Agreements, OPA/EEF
>> Project Management Plan: Resource, Communications, and Risk Management Plan
>> Project Documents: Logs (Assumptions, Change, and Issue); Project Schedule, Risk & Stakeholder Register
2) What is the Result? (Output)
– *Stakeholder Engagement Plan
3) How Do You Accomplish It? (Tool/Technique)
Expert Judgment; Decision Making; Meetings; Data Analysis, Gathering, & Representation;
>> Decision Making: Prioritization/Ranking
>> Data Analysis: Assumption & Constraint Analysis; Root Cause Analysis
>> Data Gathering: Benchmarking
>> Data Representation: *Mind Mapping; *Stakeholder Engagement Assessment Matrix
Key Concepts:
1. Mind Mapping – Visually organize the relationships between stakeholders and level in the organization
2. Benchmarking – Compare your analysis of stakeholders to other projects or other organizations for how best to engage your stakeholders
3. Prioritization – If your project consists of 50+ stakeholders across different locations, you’ll have to prioritize your efforts on developing your relationships with stakeholders which have the largest impact and interest on your project.
What is the difference between the Stakeholder Engagement Plan and Communications Management Plan?
(1) Stakeholder Engagement Plan – the WHY of communication
– Why do the team members need to receive this information? And, how will this help with leading to the project’s success and managing the entire team?
(2) Communication Management Plan – the WHAT, WHEN, and HOW of communication
– This explains the details of the technology, methods, and models of communications which will be used
Key Terms to Remember:
1. Stakeholder Engagement Assessment Matrix – Compare the different engagement levels of stakeholders and where you desire their engagement level to be
>> Engagement Levels: Unaware, Resistant, Neutral, Supportive, leading
>> C = Current; D = Desired
4. Stakeholder Engagement Plan – This plan delineates the strategy you’ll use to encourage and engage your stakeholders for making decisions and managing your project
>> How will you engage your stakeholders?
>> What are the needs of the project and how you will meet each person’s expectations?
>> This captures what are the current and desired levels of engagement you’d like to have with your stakeholders, as well as your strategy for how you’ll engage and keep them involved throughout your project
Process #3: Manage Stakeholder Engagement
1.3 Stakeholder Management: Manage Stakeholder Engagement (EX)
– Pg. 523, PMBOK 6th Edition
Purpose: In the Execution phase of your project, you’re now communicating with each of your team members and making sure their needs and issues are addressed, and obtaining any support as needed so each person has the utmost level of engagement for driving the project forward.
Alvin’s Exam Tip:
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It’s during Manage Stakeholder Engagement that you’ll be managing your Team’s expectations by communicating and negotiating with them.
Your goal is to make sure that everyone who is involved in the project understands what the goals of the project are, and how this will benefit the organization, so that the project can be led towards success.
ITTO Analysis: Manage Stakeholder Engagement
1) What do You Need? (Input)
– Project Management Plan, Project Documents, OPA/EEF
>> Project Management Plan: Communications, Risk, and Change Management Plan; Stakeholder Engagement Plan
>> Project Documents: Logs (Change and Issues); Lessons Learned & Stakeholder Register
2) What is the Result? (Output)
*Change Requests; Updates to Project Documents, Project Management Plan
3) How Do You Accomplish It? (Tool/Technique)
– *Ground Rules, Meetings; Expert Judgment; *Communication Skills; Interpersonal & Team Skills
>> Communication Skills: *Feedback
>> Interpersonal & Team Skills: *Conflict Management; Cultural & Political Awareness; Negotiation; Observation/Conversation
Key Concepts:
1. Ground Rules are found in the Team Charter, and this sets the behavior for team members
2. Feedback is an example of Communication Skills used in this process group, and include discussions/conversations with others, meetings, and surveys.
3. The key techniques used in this process group are Interpersonal and Team Skills in order to engage your stakeholders through communication, building trust, resolving issues, and motivating the entire team.
Process #4: Monitor Stakeholder Engagement
1.4 Stakeholder Management: Monitor Stakeholder Engagement (M&C)
– Pg. 530, PMBOK 6th Edition
Purpose: A Project Manager is responsible for maintaining and monitoring his/her relationships with the stakeholders. In this process, you’ll be evaluating if there are any issues with engaging your stakeholders.
ITTO Analysis: Monitor Stakeholder Engagement
1) What do You Need? (Input)
– *Work Performance Data, Project Management Plan, Project Documents, OPA/EEF
>> Project Management Plan: Resource and Communications Management Plan; Stakeholder Engagement Plan
>> Project Documents: *Project Communications; Logs (Issues, Lessons Learned; Risk & Stakeholder Register)
2) What is the Result? (Output)
*Work Performance Information; *Change Requests; Updates to Project Documents & Project Management Plan
3) How Do You Accomplish It? (Tool/Technique)
– Data Analysis & Representation; Decision Making; Communication Skills; Interpersonal & Team Skills; Meetings
>> Data Analysis: Alternatives, Root Cause, and Stakeholder Analysis
>> Decision Making: Multicriteria Decision Analysis, Voting
>> Data Representation: Stakeholder Engagement Assessment Matrix
>> Communication Skills: Feedback & Presentations
>> Interpersonal & Team Skills: Active Listening; Cultural & Political Awareness; Leadership; Networking
Key Concepts:
1. Work Performance Data – What is the current engagement level of each stakeholder, and which ones are supportive or resistance to your project?
2. Work Performance Information – What is the status of the engagement with each stakeholder? Their level of support?
3. The key techniques used in this process group are Interpersonal and Team Skills in order to engage your stakeholders through communication, building trust, resolving issues, and motivating the entire team.
Conclusion
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Cheers, Alvin