Analysis of Stakeholder Engagement in Debenhams and WH Smith

This report provides a comprehensive analysis of stakeholder engagement strategies employed by two prominent UK-based retailers, Debenhams and WH Smith. The report examines the key stakeholders, including customers, suppliers, employees, shareholders, and the community, and details how each company engages with these groups. For Debenhams, the report highlights the importance of customer feedback, supplier relationships, employee training, shareholder meetings, and community support through charitable initiatives. Similarly, the analysis of WH Smith showcases its focus on customer satisfaction through store management, supplier collaboration, employee empowerment, shareholder value creation, and community involvement via charitable trusts. The report concludes with an executive summary, emphasizing the critical role of stakeholder engagement in achieving business success and sustainability, recommending that companies prioritize stakeholder satisfaction through improved policies and procedures. The report utilizes various sources including annual reports, press releases, and academic journals to support its findings.

LIANA DAVIELA POP
DESCRIPTION OF DEBENHAMS PLC STAKEHOLDER ENGAGEMENT
DESCRIPTION OF WH SMITH PLC STAKEHOLDER ENGAGEMENT
Contents

Debenhams plc is a leading international retailer headquartered in London, founded in 1778 and
even though it has 241 stores across 22 countries, 80% of its revenue comes from UK only. The
Company deals in selling a range of household items, furniture and clothing throughout the
globe. It is a well-known brand and its success relies over the contribution of its stakeholders as
Debenhams is engaging stakeholders in several managerial operation in order to improve its
performance. Following points describe the key stakeholders and their engagement.
 Customers: - It refers to an individual or group of persons that purchase goods that are
produced by a company. Debenhams considers the need and preference of its
customers while making decision related to their local stores, adding new products line,
making the shopping easier by improving the channel etc. Customers engagement also
provides a crucial role in the growth of the company and the feedback provided by them
is vital. Debenhams claims that 20% of their customers are in the age group 45-54.
Corporate responsibility is about being consistent with ethical principles and conduct
such as honesty, integrity, ascertaining perspectives etc. Consideration of the views and
choices of customer help to discharge their responsibility towards customers by fulfilling
their demands.
 Suppliers: - These are the individuals which supplies product or other material that are
required by a company to perform their operations. Debenhams consider their suppliers
as a pillar of success, because of them the company will be able to provide its
customers unique, exclusive and differential range of product. The company offers them
various benefits that may be monetary or non-monetary. In their annual report and
Associated documents Debenhams Plc reports that UK exiting EU will lead to sales
being lower and shortfall on popular merchandise. One of the responsibility associated
with the organization is about creation of same amount of value for their suppliers too. In
this regard, monetary and non monetary benefits plays a huge role in creation of wealth.
 Employees: - This refers to a person who contributes towards the success of the
company by performing the necessary work. Debenhams’ employee’s engagement is
very vital as they provide quality services that support towards the growth of the
company. Debenhams employed a large number of employees around 30,000 by 2018
and 27,000 by 2016 that work in their head office, logistics and distribution centers. The
Company always keeps its Employees engaged with organizational goals and objectives
that supports in achieving higher success. Debenhams Plc are also offering training
opportunity and give employees the courage to push boundaries so from day one the
career will be in their hands. Responsibility towards employee is fulfilled with the help of
application of two different approaches about equality and training programs. As this will
help to groom their personality and career along with the creation of positive motivational
environment through bringing equality in working environment.
 Shareholders: - These are the people who invest their money in the Company and are
interested in financial affairs of the Company or Organization. Shareholders play a
critical role within the business activities of Debenhams by providing the capital required
to perform operations effectively. Commitment to product or services excellence, robust
control environment, longevity and strength of Company’s strategy are factors that
attract investors. Shareholders are holding AGMs frequently as well as annual General
Meeting where they declare final dividends percentage, re-election of Directors, they
authorize the audit Committee to approach policies etc. The aspects which help in

fulfillment of their corporate responsibility is about excellent services, robust control and
strength in company's strategies. This will aid in creation of trust and loyalty with their
shareholders as in future they are able to get the sufficient amount of return.
 Community: - It refers to a location or society in which the Company operates its
business. Support of community is very essential for Debenhams in order to achieve
market sustainability. The Companies always strive to be an active and responsible
member within a society in which operates by supporting national and local charities
through fundraising and volunteering. Debenhams Plc has Beauty Community Club
where Community can discover chat and share with fellow beauty lovers.
Debenhams also support charities such as Children in need, Breast cancer, Help for
Heroes etc. Consideration of such important aspects which are directly relatable to the
development of society and community help to attain their support in return.
WH Smith plc’s Stakeholders Engagement
WH Smith plc is a British retailer which is headquartered in Swindon, UK and operates
a chain of high street, airport. Railway station, hospital and service station shops for
selling newspapers, magazines, stationary, entertainment products and many more.
The reason behind this growth and success is the contribution and engagement of
Company’s stakeholders.
 Customers: - These are the most essential stakeholder for WH Smith as customers are
the main sources of revenue for the Company.
WH Smith engage its customers with business by continuously managing space in store
to reflect the features of each location. This continually arrangement and renovation in
store helps in attracting customers toward the store and influencing them to keep
engaging with the store. These strategies rations further support in achieving market
recognition. One of the responsibility that is have by an organization towards their
consumers is about fulfillment of their demands and providence of quality product and
services. To manage space and continuous renovation help in enhancement of physical
features of store which persuade the behavior of customers about quality and image.
 Suppliers: - WH Smith always try to maintain its stock as per the requirement of the
customer by keeping its suppliers engage various material activities. The Company
always concerns with its suppliers while moving to new location, this is helping the WH
Smith plc to maintain network in supporting them to provide material whenever they
require. Apart from this the Company is using product assortment method in order to
determine technology or innovation to bring in business. The responsibility of an
organization towards supplier is about to be connected with them in each and every
aspect and simultaneously works for their creation of wealth also. Consideration and
fulfillment of the requirement of the suppliers along with the change in their location help
to create inseparable bond.
 Employees: - These are considered an asset of WH Smits because they are the key
persons who perform their operations to achieve the organizational objective. The
Company employed 14000 employees throughout the world who work toward towards
attracting and serving the customer to achieve the targets of the company. WH Smith
always focuses on improvising their policies, practices and procedures to provide a
healthy working environment to their employees. Corporate responsibilities always

create an obligation upon an organization to be fair and equal with their employees.
Also, applying equal standards and policies which help in sustainable growth of all the
employees over the period of time.
 Shareholders: - They also play an essential role in the growth of the Company by
providing Capital for operating its business effectively and for expansion purpose as
well. WH Smith is making acquisition with various other organizations for increasing the
value of the business and providing dividends to its shareholders for keeping them
engage within the Company. For instance, WH Smith signs a partnership agreement
with Mark & Spencer to deliver joint FOOD to GO offering. This provide both the firm to
combine their resources for leading their business in achieving success at marketplace.
One of the aim behind long term engagement of shareholders with an organization is
about getting more amount of returns. Consideration of their requirements and
continuous effort towards value creation like partnership agreement with M&S help to
persuade their thinking and to be stick with an organization for longer period of time.
 Community: - WH Smits is engaging in various activities that promotes welfare and
betterment of society. As company had committed to contribute within society to bring
positive impact. It decided to invest in local community and charity projects. The
Company also maintain a charitable trust that is supporting employees who are engaged
in performing charitable activities in community. One of the aspect that should be helpful
in fulfillment of responsibility of an organization towards community is about
consideration of efforts for their continuous development. The steps which are taken by
WH Smits in that direction includes investment in charity programs and development of
their own trust which also supports their employee’s to be more engaged in social
development activities.
Executive summary
This report is about the importance of stakeholders within an organization and role played by
them. Stakeholders are considered the most essential factor that must be consider by company
while taking any action or formulating plans, as they could influence the functionality of a
company. This report describes stakeholder theories which state that a company must add
value to its key persons. In addition to this, it defines the identification of stakeholders and their
engagement in business. Further it talks about the corporate responsibility that a company must
fulfill in order to keep their stakeholders satisfy and influence them to engage in business
practices. From this report it, has been found that stakeholders play a crucial role towards the
success and growth of an organization. Therefore, a company must consult with its
stakeholders before taking any action. An organization must always try to improve its policies
and procedures to keep their stakeholders satisfied. This helps in achieving success and
sustainability in the market place.

introduction

Stakeholder theory

Stakeholder identification and engagement

Description of X plc stakeholder engagement description of Y plc engagement

Evaluation of the two company’s stakeholder company’s stakeholder engagement

Conclusion
From the above report it has been concluded that stakeholders play an essential role in the
growth and success of companies. As they influence and get influenced by the action that
companies take. It’s very essential for an organization to keep their stakeholders engaged and
satisfied by fulfilling their corporate responsibilities. This further support company to get support
from all stakeholders which help the Company in achieving sustainability at marketplace.

References
 Group revenue at Debenhams worldwide from financial year 2010 to 2017(in million
GBP) 2017. Accessed 1 November 2018
Available at: https://www.statista.com/statistics/466001/debehams-revenus-worldwide
 Wikipedia.2018. Debenhams. ONLINE. Available at:
https://en.wikipedia.org/wiki/Debenhams. Accessed 1 November 2018

 Read Survey.2018. Debenhams Customer Satisfaction Survey. ONILNE.
Available at: https://www.readsurvey.com/www-travelmoney-debenhamsfeedback-com-
debenhams-customerfeedback-survey.html. Accessed 2 November 2018
 Freeman, R, 2014.StakeholderTheory. Oxford university press
 Debenhams plc: Annual Report and Associated Documents
Available at: https:/ir.debenhams.com/static-files/0fd324ce-5cb4-4a35-8429-
11ac949bf908
Accessed 7 November 2018
 What do we offer/Debenhams Careers? Accessed 7 November 2018
Available at: Debenhams-careers.com/what we offer
 Debenhams RNS Release, RESULTS OF AGM
Available at:
https://www.proactiveinvestors.co.uk/LON:DEB/Debenhams-/rns/LSE201801111623
0_13493725 Last accessed 7 November 2018
 WH Smith, 2018
Available at: www.whsmithplc.co.uk Last accessed 7 November 2018
 LS Purnell, RE Freeman- Journal of Business Ethics, 2012
Last accessed 7 November 2018
 Corporate responsibility 2018
http://journals.sagepub.com/doi/abs/10.1177/0149206315569311
Last accessed 7 November 2018