Impact of Stakeholders on Business Success

This report investigates the impact of stakeholders on the performance of the company during COVID-19, focusing on TATA. It includes a literature review, research methodology, data analysis, and conclusion with recommendations.

IMPACT OF
STAKEHOLDER ON THE
SUCCESS OF THE
BUSINESS
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ABSTRACT
Current report has made different efforts to achieve the Aim of the study i.e. To investigate the
impact of stakeholders over the performance of the company during COVID- 19. A study on
TATA. In the Introduction section this report has highlighted Aims and objective of the
dissertation and reason behind selecting the same topic. After that in literature review section,
point of view of different author has been explained in regard to topic of the study. In research
methodology section of the research different methodology and approach which has been used
by the scholar has been explained and justification behind using the same has been also
explained. After that in Data analysis section of the research different data which has been
collected with the help of primary data has been presented with the help of different graphs and
themes. In the end in Conclusion and recommendation section of dissertation meaning full
conclusion in regard to outcome of the project has been mention. On the basis of conclusion
derived different recommendation are also presented in the same section.
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Table of Contents
INTRODUCTION...........................................................................................................................4
LITERATURE REVIEW................................................................................................................5
Understanding about concept of stakeholders and their importance within business............5
Range of theories and models in context of shareholder analysis or evaluation during
pandemic.................................................................................................................................6
Impact of stakeholders on performance of company in current pandemic............................7
RESEARCH METHODOLOGY.....................................................................................................9
DATA ANALYSIS........................................................................................................................12
CONCLUSION..............................................................................................................................20
RECOMMENDATION.................................................................................................................22
REFERENCES..............................................................................................................................24
APPENDIX....................................................................................................................................25
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INTRODUCTION
A stakeholder is a party or person who is interested or concern in something, especially a
business organization and profitable project, they can stake and claim in business. Hence,
shareholder usually concentrates on performance of venture and assures that it remains at an
acceptable degree. They do not have any specific role in administration of firm, but they do
affect organizational management during pandemic (Coibion, Gorodnichenko and Weber,
2020). For example, Consumers due to COVID 19, take major precautions. In recent time buyers
all over the world are purchasing food items and other products from those supermarkets or
stores who are taking appropriate precautions regard COVID-19 like sanitizing floor and shelf’s.
This kind of attitude influences current management activities and performance of companies
like TATA. It can change the way workers do their job and serve their target market at daily
basis. It can be said that during pandemic situation stakeholders such as consumers, suppliers and
other influenced decision making procedure, they assure that firm work environment remains
safe, dynamic, and healthy and there are good performing situations accessible in business so
that companies can perform well and sell products by following hygienic guidance’s.
The current dissertation will be based on TATA motors, which falls under category of
leading automobile manufacturing organizations in India. It is one of the biggest automobile
firms in the world with an extensive range of commercial, passenger and defence vehicles in
their portfolio. The scope to this study is “ To indentify influence of stakeholders on performance
of company during pandemic. It will base on specific topic with set aim and objectives, which
researcher will be achieved by using different approaches of research methodologies.
Furthermore, in this assignment investigator can use primary and secondary data collection
methods to gather relevant information about chosen subject. All the information within this
study will be divided into themes in form of literature review.
Rational-
The main reason behind conducting this investigation is to identify the impact of
stakeholders on organizational performance, especially during COVID-19. With the help of this
research, researcher can gather a lot of data about current topic which is quite beneficial for them
in term of gaining more knowledge about stakeholder attitudes. Other reason for doing
investigation in context of above topic is person interest of investigator. They want to know
which theories and models are used related to shareholder analysis.
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Limitations-
Lack of strategic management and data privacy are considered as main limitation in
regard to current study that can impact of further activities and actions can conduct or plan to get
desire outcomes by researcher.
Aim-
 Aim- “to investigate the impact of stakeholders over the performance of the company
during COVID- 19. A study on TATA.”
Objectives-
 To develop understanding about the concept of stakeholders and their significance within
business.
 To examine the various models and theories related to shareholder analysis or evaluation
during pandemic.
 To critically analyse the impact of stakeholders on the organizational performance in the
context of TATA in the current pandemic.
 To recommend competent strategies to TATA that contributes in stakeholder’s
satisfaction and thereby enhancement of organizational performance.
LITERATURE REVIEW
Understanding about concept of stakeholders and their importance within business
According to Davis, (2017) each organization has its specific group of stakeholders, who
are able to take part in decision making and other activities. A stakeholder is defined as a group
or individual that has an interest in any activity or judgement of organizations. Suppliers,
consumers, workers, board of members, investors, local & regional communities and regulators
are included in list of stakeholders. All the stakeholders within any firm play vital role in term of
taking part in decision taking procedure and providing solutions. They are important for
organizations, because stakeholders give financial and practical support to ventures by investing
within current strategies, plans and projects that provide several benefits to owners in pandemic
situation in term of increasing profitability and sales rather than before.
Organizations with an engaged group of stakeholders can reap financial benefits from
these collaborations. Applicants who care about his or her work and see it as more than a specific
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job can give their best and consider as owner for businesses. Consumers who trust and faith in
firms and businesses offering can support owners with their long term ventures. They are highly
interested in those companies who are capable to provide many benefits to them in return after
key investment. Stakeholders are also interested in firms, ranging from workers to investors and
local buyers. They broaden pool of individual who care about well being and reputation of brand.
Vendors who see brand as more than just sales increasing chances can go longer with them to
make assure that firm have materials they need to make profit and generate revenue.
Jabbour and et.al., (2020) stated non-governmental companies, purchasers and business
owners are also considered as key stakeholders of a company. There shareholders are really very
important for companies as they help to comprehend internal and external market in effective
manner. For example, managers aid firms to understand current workplace environment and
workers needs while performing with companies. Manger is capable to comprehend overall work
area atmosphere in effective manner because he or she work closer with employees who are
working with organizations since for so long and perform harder to achieve business aims and
objectives. There are some external stakeholders accessible in market who can help to companies
to understand business environment in systematic manner by providing essential information
about current market trends, competitive level and changes in consumer’s lifestyles as well as
needs. Vendors are known as a key supplier who provide important info about all above things
and help to know more about target market.
They know people more about organizations and supply products accordingly which turn
into increasing sales and productivity of brands. With the support of above statement, it can be
easily understanding that stakeholders are important and beneficial for any firms. They help a lot
in many different terms to make business more successful and profitable rather than others. They
all aid to reach at global level and enhance performance of venture efficiently.
Range of theories and models in context of shareholder analysis or evaluation during pandemic
Raum, (2018) discussed that stakeholder analysis can be defined as tool that companies
can utilize to clearly determine stakeholders for a specific project or programmes, to comprehend
where stakeholder stand and create cooperation between them and project group. It can be said
that stakeholder analysis is frequently and effectively utilized during pandemic and is a great
way to assess their attitudes towards brand or changes. The whole analysis or evaluation can be
done by using different types of theories or concepts. Theory of entry and exist is one of the best
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models that can be used and applied within company, which make management able to analyse
their stakeholders and its performance. It can help to manage activities of stakeholders in
effective manner and aid to know detailed about their attitudes, preferences and likes.
Alaa and Pasławski, (2019) contradict that stakeholder matrix is one of the best and most
effective model that can be use to analyse a project shareholder to identify actions which are
important to align their aims with work or specific task. There are different kinds of stakeholder
matrix available in business world, but stakeholder analysis matrix is better than anyone because
it focuses on two different variables of interest and power, these elements are given plenty of
attention. As per this concept organization shareholder are examines based on several
components such as financial interests, religious beliefs, ethical & moral values, business
interests, environmental stewardship, demographics, communication preferences and value of
ownership. Company can have prioritized their shareholders into power & interest levels based
on these elements and their engagement tactic is effectively created from that. With the help of
this model, management can determine the most powerful stakeholders and have them obtain
desire outcomes and to shape existing plans in early phase. When company with this model gain
support from their powerful shareholders, they can win more resources in term of making project
more successful than others.
According to Liu and et.al., (2017) stakeholder analysis is really very essential for
company as it aid to identify actions and interest of a shareholder. With the help of power
interest grid firm can categorize their project stakeholders with maximizing power and high or
low interest. This model helps management to concentrate on key shareholders who can break or
make work or particular task. It is also known as power interest grid which contains four
quadrants that gives firm an indication or direction of degree of stakeholder’s management that
manager can have to employ and may also affect kind of communication style. The four different
quadrants of this model are keep satisfied, manage closely monitor and keep informed. This
model can help to understand what do people expect from specific project or contract and how
do they benefits firm and overall activities. It can also aid to know are there any issues or
conflicting interests that shareholder may have with work.
Impact of stakeholders on performance of company in current pandemic
Kujala, Lämsä and Riivari, (2017) stated that manager as main stakeholder of company,
is accountable for managing performance and productivity of organization in systematic manner.
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They assure quality work and appropriate working of business. Manager can put negative impact
on sale and overall business activities. Without analysing current market needs when they
develop strategies related to production and marketing it can harm performance of firm
negatively. Without showing interest in development and success of venture, manager cannot be
able to increase operational efficiency and focus on growth. They have the most affect, as they
make judgements about all activities of company and cater directions to make firm able to start
up and grow even better. It analyses that stakeholders can influence aim and objectives of
companies as well in negative manner when they could not create effective tactic.
Manager within small and large companies at behalf of seniors can make some
suggestions and decisions as well that influence business activities and productivity, but in
negative manner. Without taking interest in increasing sales and consumer base, manager could
not be able to work effectively as they can influence existing plans and strategies in negative
manner which is not suitable for growth of business. Each recommendation of manager should
be based on situational analysis because it directly affect employees and management
performance.
Alegre and et.al., (2018) contradict that stakeholders of each firm were determined based
on their respective vision and mission statements, including their values and how shareholder
management practices have affected on each of their social and financials performances were
also analysed. Shareholders such as workers may impact on business performance in positive
manner by performing together for achieving common aim and objective of brand like TATA
during pandemic. It can be said that when employees perform in effective manner and serve their
services by taking proper precautions during COVID they can enhance performance level of firm
successfully and allow management to gain many benefits in term of strengthening brand image
within marketplace or all over the world. Skilled and talented applicants are always ready to take
part in each activity of firm which makes them able to increase performance and revenue rather
than before. High employee engagement increase consumer’s satisfaction and achieve high
productivity as well as operational efficiency.
Simmonds and Spence, (2017) highlighted that consumers are capable and highly
powerful to increase and decrease sales. They can put negative impact on performance of brand
by changing their demands and needs as it put high pressure on management activities and
impact decision making process negatively. Buyer can buy items and services and give feedback
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to companies on how to improve them. They are also competent to influence others by
suggesting favourable products to friends and other people or by making negative comments
about same. They can pressure organization to change their pricing structure as well according to
income source and capabilities, which is not good for any company and create barrier in their
success.
RESEARCH METHODOLOGY
Research methodology refers to specific techniques or procedures that are used for
identifying selecting, processing and analysing information for the research topic. It provides
systematic design of the study for ensuring validity and reliability of the results for addressing
the aims and objectives of research.
Research Type
The research types as per the nature of research could be divided into two which are
qualitative and quantitative. Qualitative research refers to research based over concepts,
experiences and thoughts. It enables to get insights in deep for understanding the research topic.
It includes observations, open ended interviews and literature exploring theories and concepts.
Qualitative research on the other is concerned with testing and measurement using the numerical
data. Quantitative research is conducted when aims and objectives of research are confirmatory
in the nature. It is used for establishing generalizable facts for the topic. Quantitative research
method includes observations recorded in numbers, experiments and survey having closed ended
questions. Researcher has used qualitative research for analysing the impact of stakeholders on
success of business as it is theoretical and qualitative aspect that could be analysed based over
theories and concepts.
Research Approach
Research approach refers to plan and the procedures which consists of steps of the broad
assumptions to the detailed methods of the data collections, analysis and the interpretations.
Research approach is divided into inductive and deductive approach. The inductive approach is
aimed at developing new theory on the other deductive approach is focused at testing of existing
theory. Inductive method moves from the specific observations to a broader generalisations and
the deductive approach has other way around. Inductive approach contributes to emergence of
the new theories and the generalisations and deductive approach tests validity of the
assumptions. In deductive inference conclusion must be true when premises are true where in
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inductive inference premises are used for generating testable conclusions. In the research
inductive approach has been used by the scholar to assess stakeholders' impact on business
success.
Research Philosophy
Research philosophy is concerned with nature, source and the development of the
knowledge and also states about the manner in which data about research area is required to be
gathered, analysed and interpreted. Research philosophy also reflects the important assumptions
taken by the author which serves as the base for research strategy. Research philosophy mainly
consists of positivism and interpretivism philosophy. Positivist believes that the reality could be
observed as well as described from the objective viewpoint. Primary characteristic of the
positivism is to solve practical problems and to determine through the statistical about the
existence of any causal relationship. Interpretivism is the branch of epistemology and is broader
philosophical perspective (Kumar, 2019). Interpretevist believes that the social reality is
subjective as it is constructed socially. Therefore, for exploring social world and obtaining
qualitative data for analysing impact of stakeholders on success of business, researcher has used
interpretivism philosophy.
Data Collection
Data Collection refers to the process of gathering information and data from all relevant
sources for finding answers for research problems, testing hypothesis and evaluating the
outcomes (Ørngreen and Levinsen, 2017). There are two approaches of gathering information for
undertaking research. Primary approach refers to information that is collected by researcher for
the first time and secondary data refers to one which is collected by others. Researcher has used
questionnaire under primary data collection and under secondary method books, journal and
scholarly articles have been used for gathering information related to impact of stakeholder on
organisational success.
Sampling
Sampling refers to the method which allows researcher to infer the information about
population based over the results from subset of population that is based results from the subset
of population without investigating every individual. It is subdivided into two methods which are
probabilistic and non probabilistic sampling. In the probabilistic sampling, samples are collected
from all the eligible individuals and they have equal opportunity of being selected. In non
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probabilistic samples are not collected at random but based on specific factor which gives them
opportunity of being selected in the study. Researcher in the study has used random sampling
method by taking 100 stakeholders of firms to analyse the impact of stakeholders on success of
organisation.
Data Analysis
Data analysis could be described as the process which is used for evaluating information
and data collected using analytical and logical reasoning for examining the component of data
provided or collected (Mohajan, 2018). Data is gathered from different sources for conducting
the research. Researcher has used thematic data analysis method as qualitative research
approach. The variables in each theme have been explained and described based on the
observations to derive reliable conclusions over the research topic.
Reliability and Validity
Reliability refers to consistency over time, over items and over the research. Validity
refers to extent to which scores actually represents variable to which they are intended to.
Validity is based over the evidences collected. Research has used research papers having
copyrights which makes them authentic, also information has been obtained authentic articles
and published sources that provides reliable and valid results for the research conducted over
effect of stakeholders over firm's success.
Ethical Considerations
Ethical consideration means that the research has been conducted ethically without
applying any force or harm to research participants. Dignity of the stakeholders was taken care
and consent form was filled by the participants that states that they were not forced and had
participated willingly free from any pressure or force of researcher (Zangirolami-Raimundo,
Echeimberg. and Leone, 2018). The reference list has been attached in the research which
provides that information has been taken from authentic sources.
Limitations
In the research had limited time frame for completing the research due to which
qualitative research has been used however the topic of research is based over analysing impact
of stakeholders over business that is better explained under this approach. The resources were
limited due to which research has been conducted over 100 stakeholders but they were selected
at random which will provide view of whole population.
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DATA ANALYSIS
Theme 1: Familiarity with the concept of stakeholder analysis for the improvement in
performance of organization.
Particular Respondent % of Respondent
Yes 96 96
No 4 4
Total 100 100
Interpretation: After going through the data which has been collected with the help of primary
data collection method it has been understood that almost all the respondent in the research is
having understanding about the concept of stakeholder management in the organization. This is
very good sign for the company in the long run. As data collected shows that out of the pool of
100 respondent pool 94 respondent has gone with the alternative of yes in the survey. This
ultimately shows that any decision which will be taken by the organization to manage the interest
of stakeholder in the organization it will be understood by them very easily. Remaining 6
participant in the survey has only gone with the alternative of No in the survey. This outcome of
the survey is well-supported by the Literature review section of the study as well. As Author in
the study used to highlights that it is very important for the organization to give proper
understanding to the stakeholder in regard to changes which company is looking bring in the
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organization. Hence, data find out from theme 1 clearly shows that there is good understanding
in regard of stakeholder management in organization.
Theme 2: Theory of entry and exist is the major theory for analysing the impact of stakeholder
over the performance of organization.
Particular Respondent % of Respondent
Theory of entry and exit 80 80
Theory of externalities 5 5
Theory of contract cost 7 7
Theory of limited immortality 8 8
Total 100 100
Interpretation: After going through primary data collected with the help of data analysis tool it
has been understood that theory of entry and exit is one of the best theory which can be applied
in the organization to manage and analysis the performance of the stakeholder in the better way
in the organization. This statement or outcome was also supported by the author in the Literature
review section of the research. As Author used to highlight that it is very much important for all
the organization to make sure that they generally used to promote the good sort of the protocol in
the organization in regard to the way stakeholder can be incorporated in the operation of the
organization. Also different protocol related to exit strategy of stakeholder in the organization,
this will ultimately help the company in managing the interest level of different individual in
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better way. Collected data shows that from the pool of 100 participants 80 participant has gone
with the alternative of Theory of entry and exit, 5 participants have selected the alternative of
Theory of externalities, 7 has gone with the option of Theory of contract cost and remaining 8
participants has gone with the alternative of Theory of limited immortality. Hence, theory of
entry and exit is the one which is preferred by most of the participant in the study.
Theme 3: The stakeholder management is significant to be performed by company for
improving performance.
Particular Respondent % of Respondent
Yes 78 78
No 22 22
Total 100 100
Interpretation: Stakeholder management should be the most significant activity which can be
performed in regard of improving the performance of company. This statement is passed on by
the researcher by understanding the different data which has been collected with the help of
primary data collection tool in the study. As data shows that out of the total pool of 100
participants 78 participant has selected the alternative of yes in the study, at the same time only
22 participants in the research has gone with the option of No in study. Hence, it can be said that
stakeholder management or analysis should be one of the priority of the organization in long run.
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This is well-supported by the literature review section of the research as author also highlights
that stakeholder management should be one of the priority for the organization in the long run.
At the same time organization also has to consider the opinion of 22 participants as well, and
they have to make sure that they are looking at the different activity as well to improve the
performance of the business in the long run.
Theme 4: All of the above are the major significance of the of stakeholder analysis of
company and improving its performance.
Particular Respondent % of Respondent
Provide financial support 2 2
Provide Practical support 3 3
Help in understanding internal and external
market 12 12
All of Above 83 83
Total 100 100
Interpretation: After understanding the data collected with the help of the data collection tool it
has been understood that there is more than one significance which has been seen by the
organization due to stakeholder analysis in the organization. Collected data with the help of
primary data collection tool help in giving light on the same. As data collected with the help of
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data collection tool passes on the information that out of the pool of 100 participants 83 has gone
with the alternative of all the above option from the survey. It means that stakeholder helps the
company in understanding the internal as well as external market condition. Also, stakeholder
management help the company in providing practical support to the organization and also
financial support to the organization in the market. Other than that remaining participant 3, 2 and
12 in the research has selected the option of provides financial support, provide practical support,
help in understanding internal and external market. Hence, after understanding the different data
in can be easily pass on the statement that stakeholder management in the organization used to
bring more than one type of the significant for the organization in long run. Author in the
literature review section has explained the same by remarking that there is more than one type of
significance which are brought by the stakeholder analysis in the organization.
Theme 5: Yes, there are some type of negative impact over the performance of the company
because of the stakeholder.
Particular Respondent % of Respondent
Yes 88 88
No 12 12
Total 100 100
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Interpretation: with the primary study it was inferred that there is a great negative impact which
is levied over the performance of the company because of stakeholder analysis. This is agreed by
88 % of the respondent and the major reason underlying this fact is that the stakeholder are the
people who are majorly responsible for the management and the proper working of the company.
However, the stakeholder are the people who are interested in the growth and development of the
company and if they will not be satisfied then this will have a great impact over the working
capacity and performance of the company. in against of this rest of the participant assents that
there is no negative impact over the working of the company because of stakeholder analysis.
The major reason underlying this fact is that they think that the stakeholder requirement does not
have any impact over the working and operations of the business.
Theme 6: Managing the various interest of the stakeholder is the major challenge faced by
company in managing stakeholder especially at time of COVID- 19.
Particular Respondent % of Respondent
Managing different stakeholder interest 55 55
Fixing communication between stakeholder 15 15
Deciding appropriate medium to coordinate 20 20
All of above 10 10
Total 100 100
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Interpretation- with the analysis of the survey conducted it was identified that there are many
different types of challenges which affect the proper stakeholder management. This is agreed by
majority of the participant that the major challenge is the management of different interest of
stakeholder and this is agreed by 55 % of the respondent. The main reason underlying this
statement to be the major challenge is that every stakeholder is different and because of this it is
the duty of the company that they manage and take care of all the need and interest of the
stakeholders. Thus, this is the major challenge as there are many set of stakeholders within the
company and it is very essential to manage all of them which is not much possible. However,
some of the participant states that deciding appropriate medium for coordination also sometime
create challenge in managing need of the stakeholders. The major reason is that due to COVID-
19 not all the stakeholder is coming to office and it create problem in deciding for the
appropriate medium to communicate among all the stakeholders. However, some of the
participant agrees that fixing the communication among the stakeholder is the major challenge.
Moreover, rest of the participant agrees with all of the above as the major challenge in managing
stakeholder and overall performance of company.
Theme 7: Coordination issue at the time of decision making is the major negative impact that
can be faced by organization in managing stakeholders.
Particular Respondent % of Respondent
Stakeholder hesitation 15 15
Difficulty in market analysis 15 15
Coordination issue at the time of decision-
making 60 60
Others 10 10
Total 100 100
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Interpretation- from the above all discussion and the data it is evident that there are many
different types of challenges which are faced by the company in managing the stakeholder. All
these challenges create the negative impact over the performance and management of the
company. However, 60 % of the respondent states that the major negative impact of the low
stakeholder analysis is the issue of the coordination at time of decision making. The major reason
underlying this fact is that because of the harsh situation of the pandemic of COVID- 19 it s not
possible for all the stakeholder to assemble at one place. Thus, because of this there was issue in
coordinating the views of all the stakeholders at one place. Along with some of the participant
stated that the major negative impact was the issues in analyzing the market as because of the
pandemic there were many of the fluctuation in the market and its working. Hence, it was very
difficult for the internal stakeholders of company to decide for the different market strategies. On
the other side some of the respondent stated that the major negative impact was the hesitation of
the stakeholder that is they are having the fear of the pandemic situation and many of the
stakeholder are hesitating in taking the risk of going to organization.
Theme 8: All of the above is the major type of medium through which the company can
manage the need and interest of stakeholders for enhancing the performance of company.
Particular Respondent % of Respondent
Maintaining clarity amongst stakeholders 12 12
understanding stakeholder need and
requirement 18 18
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Ensuring stakeholder concern 5 5
All of above 65 65
Total 100 100
Interpretation- from the evaluation of the primary data and the other data it is evident that there is
a great need to improve and manage the stakeholder analysis. This is essential for the business to
manage all the stakeholders as this will help them in improving their performance and the
working of the company. As agreed by the majority of the participant that is 65 % all of the
above is the major way through which the company can manage the stakeholder and the overall
performance of the company. The all of the above includes the management of clarity of
stakeholders, ensuring that the concern of all stakeholder is addressed by the company and
proper understanding of the requirement and interest of stakeholder. All of these strategies will
assist TATA in managing their stakeholders as all these strategies are concerned with the
fulfilment of the need and requirement of the company. However, the remaining respondent
agrees to all these medium on the individual basis.
Theme 9: Some measures of recommendation for improvement in working performance of
company in managing stakeholder.
CONCLUSION
After going through the report there are variety of different type of the conclusion which
has been derived by the study. Starting from the first objective i.e. understanding in regard to
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stakeholder and their significance to business. Analysing and conducting research in regard to
the same has helped in understanding that there are two different type of stakeholder i.e. internal
and external stakeholder, and they used to bring variety of the different type of significance in
the performance of the business as they used to support the organization in practical and
financial aspect. Not only that they also used to help the organization in understanding internal
and external market. Hence, this three function are most important function in improving the
performance of business. It can be said that stakeholder play a crucial role in improving the
performance of business in long run.
After that it has been concluded that there is more than one theory which are there
through which stakeholder management and analysis can be improved in the best way in the
organization. As this theory generally used to help the company in managing the interest of
different stakeholder in the better and efficient way. Some theories or principle which has been
derived in the process of finding out the outcome of the study is theory of entry and exit, theory
of externalities, theories of contract cost and theory of limited immortality. This theory used to
help the organization in managing the performance of the business in the better and efficient
way.
After that report goes on to concludes the variety of the different type of the impact
which is seen by the organization due to stakeholder management in the organization. As it has
been analysed that there is different type of impact which is seen by the organization.
Stakeholder used to help the company in understanding the different impact in the better way. At
the same time, it used to help the company in managing the communication level in the
organization in better way. At the same time stakeholder analysis also used to bring the variety
of different type of negative impact as well. As it has been identified that stakeholder some time
used to create the situation in the organization where it used to get very difficult for the
organization to understand the need of all the different type of the stakeholder. Hence, it used to
create the situation where decision-making used to lack behind in long run. It was also concluded
that there are variety of the different type of challenges which is also faced by the organization in
the process of managing the stakeholder analysis in the organization. Some concluded challenges
are fixing up the communication to make sure that there is good sort of clarity in the
organization. Also, to make sure that need and expectation of all the stakeholder are considered
before making any sort of the decision in the organization in the long run. Hence, it has been
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understanding that there are many negative impact of stakeholder analysis which is also seen by
the organization.
RECOMMENDATION
From the above whole study, it is inferred that the management of the stakeholder impact
the success of the company to a great extent. This is necessary as this will assist the company in
managing the stakeholders and if they will be satisfied then this will help company in fulfilling
the need of the company. Thus, for the better management of the stakeholder some of the
recommendation to TATA are as follows-
The first and foremost strategy of recommendation for the company TATA is that they
must effectively manage the stakeholder mapping. This is majorly because of the reason that
when the stakeholder will be mapped in proper manner and in accordance with their interest and
power then they will be satisfied. If this mapping will be undertaken in proper and effective
manner, then this will assist company in managing stakeholder in proper and effective manner.
Along with proper mapping another major strategy is recommended to TATA is the
proper and clear communication. This is very essential as if the communication is not clear and
concise then this will have a great impact over the working of the company. Thus, if the
communication will not be proper then the company will not be able to understand the need and
interest of the stakeholders. Proper communication will assist the company in properly
understanding the need and requirement of the stakeholder and then try to assist the stakeholder
in managing the need.
In addition to this another major recommendation for TATA is that before taking any of
the decision it is very essential for the company to consult the stakeholder and take their views
over the working of the company. This is essential as the stakeholders are the people who are
interested in the management of the company. Thus, their views will assist the company in better
performance and management of the company.
Moreover, another major recommendation for TATA in proper and effective
management of the stakeholder within the company is that they must take the consent of all the
stakeholders. This is necessary as it is not possible that all the stakeholders agree to the same
point. Thus, it is the duty of the company and the management that they make all the stakeholder
understand the requirement and make them agree at a particular decision.
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In addition to this another major recommendation for TATA is that they must involve the
vision and mission of the company in the strategies of stakeholders. This is essential as if the
need and requirement of the stakeholder will not match the mission and vision of the company.
This is necessary as there need to be coordination between the mission and vision of the
company and the need and requirement of the stakeholders.
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REFERENCES
Books and Journals
Alaa, A.S. and Pasławski, J., 2019, May. Influence of stakeholder management and
communications management in choosing of the best product achieve quality by Analytic
Hierarchy Process method. In IOP Conference Series: Materials Science and
Engineering (Vol. 518, No. 2, p. 022068). IOP Publishing.
Alegre, I and et.al., 2018. The real mission of the mission statement: A systematic review of the
literature. Journal of Management and Organization. 24(4). pp.456-473.
Coibion, O., Gorodnichenko, Y. and Weber, M., 2020. The cost of the covid-19 crisis:
Lockdowns, macroeconomic expectations, and consumer spending (No. w27141).
National Bureau of Economic Research.
Davis, K., 2017. An empirical investigation into different stakeholder groups perception of
project success. International Journal of Project Management. 35(4). pp.604-617.
Jabbour, C.J.C and et.al., 2020. Stakeholders, innovative business models for the circular
economy and sustainable performance of firms in an emerging economy facing
institutional voids. Journal of Environmental Management. 264. p.110416.
Kujala, J., Lämsä, A.M. and Riivari, E., 2017. Company stakeholder responsibility: An empirical
investigation of top managers’ attitudinal change. Baltic Journal of Management. 12.
Kumar, R., 2019. Research methodology: A step-by-step guide for beginners. Sage Publications
Limited.
Liu, P and et.al., 2017. Energy Performance Contract models for the diffusion of green-
manufacturing technologies in China: A stakeholder analysis from SMEs’
perspective. Energy Policy. 106. pp.59-67.
Mohajan, H.K., 2018. Qualitative research methodology in social sciences and related
subjects. Journal of Economic Development, Environment and People.7(1). pp.23-48.
Ørngreen, R. and Levinsen, K., 2017. Workshops as a Research Methodology. Electronic
Journal of E-learning. 15(1). pp.70-81.
Raum, S., 2018. A framework for integrating systematic stakeholder analysis in ecosystem
services research: Stakeholder mapping for forest ecosystem services in the
UK. Ecosystem services. 29. pp.170-184.
Simmonds, G. and Spence, C., 2017. Thinking inside the box: How seeing products on, or
through, the packaging influences consumer perceptions and purchase behaviour. Food
Quality and Preference. 62. pp.340-351.
Zangirolami-Raimundo, J., Echeimberg, J.D.O. and Leone, C., 2018. Research methodology
topics: Cross-sectional studies. Journal of Human Growth and Development.28(3).
pp.356-360.
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APPENDIX
Questionnaire
Name:
Age:
Gender:
Q1. Are you familiar with the concept of stakeholder satisfaction?
 Yes
 No
Q2. In your thought which theory is best to analysis the impact of stakeholder on organization
performance?
 Theory of entry and exit
 Theory of externalities
 Theory of contract cost
 Theory of limited immortality
Q3. Is stakeholder management should be most significant activity to be performed by the
organization in regard to improving performance of company?
 Yes
 No
Q4. Out of all what is the biggest significant which is seen by organization due to stakeholder?
 Provide financial support
 Provide Practical support
 Help in understanding internal and external market
 All of Above
Q5. Is there is any sort of negative impact which is also seen on performance of organization due
to stakeholder?
 Yes
 No
Q6. Challenges faced by organization due to covid 19 in regard to stakeholder management?
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 Managing different stakeholder interest
 Fixing communication between stakeholder
 Deciding appropriate medium to coordinate
 All of above
Q7. In your thought, negative impact which is seen by organization due to stakeholder at the time
of Covid 19?
 Stakeholder hesitation
 Difficulty in market analysis
 Coordination issue at the time of decision-making
 Others
Q8. What will be the best medium through which stakeholder interest can be managed to
enhance the organizational performance?
 Maintaining clarity amongst stakeholders
 understanding stakeholder need and requirement
 Ensuring stakeholder concern
 All of above
Q9. What are some other measure with which company can improve the management of the
stakeholder analysis?
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