Managing Stakeholders

Running Head: Managing Stakeholders 1
Managing Stakeholders
Name
Institutions

Managing Stakeholders 2
Introduction
In Institutions, there are different stakeholders. These stakeholders include investors,
directors, managers and subordinate staff. For an institution to run smoothly thereby must be
rules and regulations which govern the stakeholders. The rules and regulations are an example of
a business culture, and a form of ethical behavior. An institution should have proper
communication amongst all stakeholders, as well as openness, and trustworthy.
Employees are salient organisational stakeholders. Outline relevant frameworks from the
‘Managing Stakeholders’ course to explain A) why employees are salient stakeholders and
B) why an organisation should respond to employee stakeholder demands and expectations
Employees are salient stakeholders in an organization (Jaspers, 2009). Though people may think
that this is just a belief, it is true that an organization cannot operate or meet its target without the
employees. That is why it is said that employees are salient stakeholders in all organization.
Though there are other important branches in organizations, which include the managers, and the
directors, they are not as important as the employees (Haw, Hwang, & Wu, 2008). Considering a
life example whereby there is a demonstration in the Wal-Mart company, or a strike of the
employees, there will be a lot of confusion in the company since operations will have to stop
until the managers convince the employees to get back to work. Therefore, the employee sector
in an organization is the backbone of the company (Freeman, 2004). The managers may also
strike, but operations and work in an organization can resume without them. This may possibly
happen because there are employees who have self discipline, are organized and responsible, and
can operate with or without supervision. In addition, the managers’ strike does not concern the
employees or the directors’ section in anyway. This is because, they are not as important as the

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employees in the organization. Employees therefore make up an organization. They affect the
whole organization either positively or negatively (Kanji, Malek, & Tambi, 2009). Therefore,
they are the reason as to why managers bare employed. This point means that there could be no
managers or directors if there were no employees. Therefore, the employees must be respected,
and ragged highly all through, since they are the reason as to why those senior employees are
there.
Though some managers or senior staff tends to humiliate the employees, they should
know that what they know is less than what the employees know. In addition, what these
managers know is what these employees put in to practice on daily basis. The employees may
have scored poorly in their areas of expertise. However, they have their areas of perfection,
where their strength lies. Therefore, they can d something else better than the mangers. Another
example is that of an employee who worked for a company for seven years, the shoe company
relied on the worker since he was fast and effective, and therefore could make different types of
shoes within a short period of time. The worker therefore worked with ease and seemed to be
satisfied in his position. He made the company famous and everybody wanted to get a pair of
shoes from the company. The top managers did not respect his work, and therefore treated him as
any other worker (Mikalsen, & Jentoft, 2009). However, during the eighth year of job in the
show company, he got inspired by another worker’s story on how he started his own branch of
repairing the torn shows. He took wanted to have a side hustle, but could not do a competing
business. However, when he explained his thoughts to one of the directors, the director promised
to increase his wage, and reward him accordingly. The reward came as a result of little effort that
was t be applied during advertising the shoes to the public. Little did the company know that it
was giving the employee a chance to open his own industry? Te employee became a celeb and

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therefore famous. He advertised the shows and in return, he got a salary that could pay a
manager for a period of two years. That was enough for him to open his own industry. Therefore,
he was not shocked to see the managers who humiliated him coming to seek for an employment
in his company. This is a moral l lesson to the mangers who humiliate their employees. Most of
them forget that they are still employees but in a higher position, and with a better pay compared
to other stakeholders. The difference is that, they forget that the other stakeholders have a better
skill compoared o them. However, they share similar characteristics (Dia, 2012). These
characteristics include that they work under one roof, they are under same director, and can be
sacked like any other employer. Therefore, there is need for respect in all organization in as
much as the employees are concerned
Organizations need to respond to employees’ stakeholder demands and expectations. This
is because; the employees are the reason behind the daily operations of an organization. They are
described as the force in motion which makes things to happen in an organization. Employees
contain the moving ability, and the improve performance in a company (Adams, Brockington,
Dyson & Vira, 2009). They are the reason behind sticking rules and regulations on a wall. They
make sure that the organizations are worth to be called organizations. Therefore, nothing could
be better without employees in organizations. Any expectation of employee should be responded
to accordingly and ion time since any action taken by the employee as a result of failed or
delayed response affects the organization largely.
Ethical behaviour of organisational employees and managers is essential for
stakeholder management. You have been asked by the Human Resource Manager of XYZ
Corporation to assist in developing an ethical organisational culture. With reference to