Do stakeholders matter in strategic decision making of a sports organization?

Abstract

This study aims to identify and prioritize the stakeholders involved in making decisions in a sports organization. A multiple linear regression analysis was used to assess the influence of the attributes of power, legitimacy and urgency on the salience of the various stakeholders. The results showed a convergence of external and internal decision makers' perceptions, concerning the three main stakeholder groups: top management, sponsors and member association. Pearson correlations identified four types of stakeholder: definitive, dangerous, demanding and non-stakeholders. A generalized differentiation was also found in stakeholder classification, regarding evaluation of attributes, between external and internal decision makers. In addition, the study suggests the success of organizations' management will depend on correct identification of stakeholders and consequent assessment of their relevance, in order to highlight who should get priority, and how, in strategic decision making.

The Role of Stakeholders in the Efficiency of Nonprofit Sports Clubs

“…Based on the literature, one list of stakeholders was prepared (Anagnostopoulos ; Freeman ; Miragaia et al ), and the club directors were interviewed to determine what they considered as stakeholders of this club type. The final list resulted in twenty stakeholders of nonprofit sports clubs: the board of directors, the local government, members, athletes, sponsors, the local community, coaches, families, volunteers, media, fans, competitor clubs, associations and federations, insurance companies, suppliers, staff, the central government, the tutelage ministry, banks, and police.…”

“…This management process takes place across three levels: the identification of stakeholders, the development of strategies that include their needs and interests, and, finally, the construction of mutual and ongoing relationships (Donaldson and Preston ). Therefore, the identification and hierarchical ranking of stakeholders constitute two key parts of the strategic management process of an organization because they allow the identification of the primary stakeholders who are crucial to the survival of the organization (Clarkson ; Miragaia, Ferreira, and Carreira ).…”

“…According to the literature, the board of directors (Clarkson ) has a crucial role in the club strategy and leadership (Cumberland et al ; Hoye , ; Wellens and Jegers ); consequently, in most cases the board assumes the role of moderator of the various demands from different stakeholders (Esteve et al ; Ferkins, Shilbury, and McDonald ; Miragaia et al ). Friedman, Parent, and Mason () argued that the board has a preponderant role in the resolution of any eventual problems or conflicts, which indicates a major impact in the management of confidence conveyed to other stakeholders (Hoye and Cuskelly ; Kirk and Nolan ; Schanz ).…”

“…Profit making is not the primary purpose of nonprofit sports clubs, and the profits of these clubs cannot be redistributed among its members (Hansmann ); however, this does not mean that their management cannot be directed toward obtaining a positive account balance (Ferkins et al ; Kirk and Nolan ; Robinson and Palmer ; Wicker and Breuer ). To attain such positive account balance, sports organizations of this nature need support of several internal and external stakeholders (Miragaia et al ) and, beyond the contributions of members, frequently receive two types of contributions from their external stakeholders: (1) financial assistance from government entities and other sponsors and (2) access to sports infrastructures, sports equipment, or technical support (Alison ; Esteve et al ; Misener and Doherty ; Wicker and Breuer ). One of the most difficult elements in the operation of sports clubs is the absence of their own sports facilities, for which organizations of this nature generally lack the financial capital for construction and maintenance.…”

The Strategic Involvement of Stakeholders in the Efficiency of non-profit Sport Organisations: from a Perspective of Survival to Sustainability

“…The stakeholder definition, in turn, encapsulates how an individual or a group of individuals affect or are affected by the objectives of an organisation in some way (FREEMAN, 2010). This concept underpins stakeholder theory that maintains that the final product of any organisation should respect the interests of all stakeholders and not only those of its owners and members of the board (MIRAGAIA et al, 2016;MIRAGAIA et al, 2014).…”