(MGT501)Internal and External Stakeholder Analysis

Executive Summary
This report is a stakeholder analysis for Telstra Corporation Limited. Throughout the report the
author will be describing business structure, analyse the macroenvironment impact on the company.
This will include an intensive stakeholder analysis along with mapping & matrix. From the report it
will be provided how important stakeholders are for a company, how their influence and interest
affect the business and how Telstra is doing as an organization.
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Contents
Introduction...........................................................................................................................................4
Aim........................................................................................................................................................4
Functional Areas of The Business..........................................................................................................4
Strategy.............................................................................................................................................5
Marketing..........................................................................................................................................5
Financial.............................................................................................................................................5
Human Resource, Technology and Operation...................................................................................6
Macroeconimic Environment and Impacts............................................................................................6
Internal & External Stakeholders...........................................................................................................7
Major Stakeholders & Their Role...........................................................................................................9
Stakeholder Interest, Impact & Conflict Level.......................................................................................9
Compare Industry with Peer Review...................................................................................................10
Conclusion...........................................................................................................................................11
Reference............................................................................................................................................11
Appendices..........................................................................................................................................13
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Introduction
With a market share of 48 percent, Telstra is Australia's largest telecommunications company
. It was founded in 1975. As part of a government programme, it has begun
its journey to become the largest company. Later in 1997, the Australian market was opened to
other competitors. Telstra is now working seamlessly to compete with all the other companies vying
for market share in international-local calls and communication, as well as data services.
A quick idea about how Telstra is doing a business can be identified through a SWOT analysis.
Figure 1: SWOT Analysis
Aim
The purpose of this report is to analyse the research the fundamentals of contemporary business
practises. Create and defend a professional value proposition as a business practitioner.
Functional Areas of The Business
Functional areas of a business define how a business will conduct their day-to-day service; it is the
way a business will have their plan ready to achieve their goals. Strategy, marketing, finance, human
resources, technology and equipment, and operations are the six functional areas of business
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management. Within larger organizations it is easier to find these functional areas as people work in
various departments. Each department is responsible for the tasks that pertain to its specific area
.
Strategy
Any company that wants to compete in the market needs a clear and precise strategy or sets of
strategies. To stand out in the market Telstra has adopted the sustainability strategy. The Telstra
Sustainability Team, which was formed in 2011, is responsible for championing and embedding
sustainability principles across Telstra, managing the risks and opportunities associated with current
and emerging sustainability issues, and collaborating with the business to deliver social and
environmental programmes and outcomes for our customers and communities. The team also
oversees the Responsible Business Strategy's implementation, collaborating closely with the
business to ensure key targets and performance indicators are met.
Marketing
Telstra use MMM (Marketing Mix Modelling) to get better value from their customers. This is an
age-old modelling mix. MMM employs advanced econometrics and marketing science to rationally
assess the relative effectiveness of a comprehensive set of marketing and advertising investments,
competitive steal, or initiatives designed to generate sales and growth in the short and long term
.
Tesltra along with Accenture developed a customized modelling to their marketing sector. Telstra's
marketing team can use MMM to plan, track, and optimise marketing investments based on data. It
allows for rapid responses to changes in customer needs, market conditions, and/or competitor
behaviour. MMM assists the Telstra team in understanding the impact of marketing factors as well
as factors unrelated to marketing activity in driving revenue. Furthermore, MMM delivers campaign-
level, multichannel results, and insights faster than ever before.
Financial
An organization's financial strategy is primarily concerned with the acquisition and utilisation of
funds. The primary goal is to ensure an adequate and consistent supply of funds to meet the
business's current and future needs. Financial strategy addresses issues such as financial resources,
cost structure analysis, profit potential estimation, accounting functions, and so on .
Telstra follows a competitive strategy to keep its cost at minimum and provide the service at best
value. Every financial year Telstra publishes a report to inform its shareholders and stakeholders
how the company is doing financially and describe their goals for next year.
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Human Resource, Technology and Operation
Tesltra has a functioning human resource team working seamlessly to provide gender discrimination
free environment. Uses the best of its technology and day-to-day operations are done by a
competent team of individuals.
Macroeconimic Environment and Impacts
Macroeconomics is an integral part of business environment. It consists of four factors
.
1. Inflation
2. Economic Growth Rate
3. Price Level
4. Gross Domestic Product (GDP)
Telstra needed to make some changes to its business goals and vision in order to be
sustainable during covid 19. Telstra's dividend price was expected to fall at the start of the
pandemic. According to USB analysts, the company will be forced to reduce dividend
payments. Swiss Investment Bank stated that the company will reduce its dividend price from
16 cents to 14 cents in order to meet the FY21 target . Telstra paid
dividends of 8 cents per share that year. Because mobile communication has revolutionised
our business and personal lives, the telecommunications sector has had a significant impact
on our economic growth. The increased use of mobile devices and data connections has
increased Telstra's demand during the pandemic, resulting in an increase in GDP
. This pandemic has taught us that working or studying from home
necessitates a strong network connection, resulting in increased use of mobile data and nbn
connections. Telstra is determined to capitalise on it. Their total income is expected to fall by
11.6 percent by 2020 . Telstra is offering to extend their leadership in
providing 5G networks to customers in FY22, as well as work on the NBN headwind.
One strategical way to identify how macroenvironment is impacting Telstra can be identified
by PESTEL analysis. It gives a broader idea of how macro situation of a company
.
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