A framework for stakeholder management and corporate culture

Abstract

Purpose -This paper aims to investigate the link between two knowledge areas that have not been previously linked conceptually: stakeholder management and corporate culture. Focussing on the UK construction industry, the research study demonstrates mutual dependency of each of these areas on the other and establishes a theoretical framework with real potential to impact positively upon industry. Design/methodology/approach -The study utilises both qualitative and quantitative data collection and then analysis to produce results contributing to the final framework. Semi-structured interviews were used and analysed through a cognitive mapping procedure. The result of this stage, set in the context of previous research, facilitated a questionnaire to be developed which helped gather quantitative values from a larger sample to enhance the final framework. Findings -The data suggests that stakeholder management and corporate culture are key areas of an organisation's success, and that this importance will only grow in future. A clearly identifiable relationship was established between the two theoretical areas and a framework developed and quantified. Originality/value -It is evident that change is needed within the UK construction industry. Companies must employ ethical and social stakeholder management and manage their corporate culture like any other aspect of their business. Successfully doing this will lead to more successful projects, better reputation and survival. The findings of this project begin to show how change may occur and how companies might intentionally deploy advantageous configurations of corporate culture and stakeholder management.

Organizational culture and stakeholder success criteria in construction projects

“…Likewise, many scholars have mentioned the CSFs of stakeholder management within construction projects. Some have identified the CSFs constructs [19,37], while others have identified the CSFs indicators [3,18,22]. Yang et al [22] investigated CSFs from both sides and ranked them from the most influential to the least.…”

“…and go on to define stakeholder theory as 'a theory of organizational management and ethics' [15]. In addition, Meding et al [3] have mentioned the importance of fully embracing stakeholder theories in construction projects due to the increase of stakeholders' diversity, power, and influence. However, Smyth [16], as cited by Meding et al [3], discussed the utilitarian approach, which bases the value of a firm in terms of profit and growth.…”

“…In addition, Meding et al [3] have mentioned the importance of fully embracing stakeholder theories in construction projects due to the increase of stakeholders' diversity, power, and influence. However, Smyth [16], as cited by Meding et al [3], discussed the utilitarian approach, which bases the value of a firm in terms of profit and growth. He suggested the need for ethics and relationship management principles to bridge the conceptual gap in this theory to help manage stakeholders in practice.…”

“…Aaltonen et al [2] sharpen the focus of Walker's viewpoint by explaining that the management of stakeholders' needs and requirements is an essential consideration for teams managing complex, global projects. More specifically from the perspective of the construction industry, several studies have pronounced that stakeholder involvement is an essential organizational component when realizing successful project outcomes (see example [1][2][3]). Recognition that stakeholder management is a fundamental aspect with regard to construction project success has understandably grown in recent years [4].…”

Implementing asset management inside infrastructure agencies

“…This indicates that management should map potential conflicts (Tam and Tong, 2011) and address the corporate cultures (e.g. Meding et al, 2013) in the job occupations affected. For example, in planning more freedom/control for the contractors, the program team is implementing a long term procurement strategy with new contract formats that establish greater freedom for contractors.…”