1.1 Analyse the types of stakeholder relationships within organisations

Each task in this assessment brief has been developed to enable you to evidence achievement of the learning outcomes and assessment criteria for CMI 509: Managing Stakeholder Relationships.  Each of the assessment criteria must gain a pass outcome for you to successfully achieve the unit.

Preparation for the assessment

• Before you begin the assessment brief please read the CMI 509 unit specifications thoroughly as only the content related to the achievement of the assessment criteria will be assessed.
• Research the topics being assessed.  Suggested reading/web resources are provided on the CMI 509 unit specification. Your tutor may signpost you to relevant resources. Additionally, you may access excellent online resources at ManagementDirect https://members.md.cmi.org.uk. Please note that if you have a customised site the link will differ, please contact your Centre for clarification.  
• If you are enrolled on the Trailblazer Apprenticeship programme you are encouraged to review the Apprenticeship Standard for Operations/Departmental Manager.

Completing the assessment brief: CMI Unit 509: Managing Stakeholder Relationships.

• The assessment brief contains a series of tasks which are clearly referenced to the relevant assessment criteria and indicative content.
• Refer to the Assessment Guidance Table at the end of the assessment brief which outlines the requirements for a Pass or Refer.
• Evidence must be provided in the evidence booklet. Additional work based evidence such as plans or documentation (which has been referred to within the main text) should be included at the end of the booklet marked ‘Work Based Evidence’.  Appendices are not a requirement of this assessment brief.  If appendices are included these will not be marked or moderated by the CMI.
• Work based evidence must be accompanied by a supporting statement in the learner evidence box, to explain the link to the assessment criteria.  Work based evidence (where required by the task) must not exceed SIX (6) pages.  Files embedded in the booklet must not exceed 10MB.
• The evidence booklet must be completed in a professional manner (e.g. applying business conventions for writing formal reports) and by using Microsoft Word, Rich Text Format or another compatible software programme and not in a PDF format.
• An appropriate referencing system (such as Harvard Referencing) must be used to ensure the original source(s) of quotations or models can be verified.
• Finally, you must sign the Learner Authenticity statement (an electronic signature is accepted).

Learner support

For information regarding policies and procedures for assessment (e.g. special assessment arrangements, learner support, appeals, complaints, certification, confidentiality, plagiarism) you should contact your tutor or Centre manager and refer to the CMI Level 5 in Management and Leadership syllabus.

Good relationships, whether they are with customers, suppliers, partners or staff, are a key contributor to an organisation’s success.  Assessment brief CMI 509 has been designed to enable managers to evidence their knowledge and understanding of how to build stakeholder relationships that are long lasting and sustainable. Assessment focuses on the different types of stakeholder relationships and frameworks for managing these, in addition to the ability to assess the impact of stakeholder engagement on organisational performance.

Assessment brief CMI Unit 509 features the following assessment tasks. Further detail is provided against each assessment task within the brief.

Guideline word count

The written word, however generated and recorded, is still expected to form the majority of assessable work produced by Learners at Level 5. The amount and volume of work for this unit should be broadly comparable to a word count of 2500-3000 words within a margin of +/-10%.  The excessive use of word count is not grounds for referral, however the CMI reserve the right to return work to the Centre for editing and resubmission by the Learner. 

The following are excluded from inclusion in word count, if used and not required by the assessment brief: an introduction to a job role, organisation or department; index or contents pages; headings and sub headings; diagrams, charts and graphs; reference list or bibliography; reflective statement drawn from undertaking the assignment and how this has impacted on the learner’s work. Please see the CMI Assessment Guidance Policy for further guidance.

Understanding the role and value of different types of stakeholders is essential if the stakeholder relationship is to be managed effectively.  The word ‘stakeholder’ can infer a host of people connected to another in a business setting covering internal, external and connected relationships. There are many challenges that occur in managing the stakeholder relationship and sensitivity and understanding is required to address issues in a proactive and professional manner.

 You are required to write a report entitled ‘The complexities of stakeholder relationships’.  The report must include:  

1. An analysis of THREE (3) types of stakeholder relationships which occur within organisations (AC1.1)
2. An examination of the benefits and challenges for organisations engaging with each of the stakeholder groups identified above. (AC1.2)

The success of stakeholder relationships is optimised by effective planning.  This begins with a contractual framework for stakeholder engagement which clarifies the roles and responsibilities of different stakeholder groups  to achieve aims and objectives within set parameters.

Basing your response on Scenario A, your own experience of managing stakeholder groups or the management of stakeholder groups in an organisation you know well or have researched:

Write a report entitled ‘Preparation for stakeholder engagement and management’.

To complete the report you are required to:

1. Using examples examine TWO (2) contractual frameworks used for stakeholder engagement and management (AC2.1)

ii. Specify the process you would use to plan stakeholder engagement (AC2.2)

Managing stakeholder relationships requires planning and insight.  The approach needs to be tailored to meet the needs of the stakeholder groups.  A manager must understand their role in facilitating and leading stakeholder relationships, the use of collaborative working techniques to enable delivery through others and methods for measuring the impact of stakeholder engagement on organisational performance.

Basing your response on Scenario A, your own experience of managing stakeholder groups or on an organisation you know well or have researched:

Write an account which uses examples to propose how stakeholder relationships should be managed.

The account must:

1. Analyse the role of the manager in managing stakeholder relationships (AC3.1)
2. Evaluate the use of collaborative working techniques which can be used to manage stakeholder relationships (AC3.2)
3. Examine methods for measuring the impact of stakeholder engagement on organisational performance (AC4.1)

It can be challenging managing the expectations of different stakeholder groups. A key role of the manager is to recognise and resolve situations where conflict can arise to ensure the stakeholder relationship can be maintained.

Basing your response on Scenario B, your own experience of managing stakeholder groups or on an organisation you know well or have researched:

Write an account which discusses methods for managing conflict in stakeholder engagement (AC3.3).

About Unit 509: Managing Stakeholder Relationships

CMI 509: Managing Stakeholder Relationships focuses on the critical role of stakeholder engagement in achieving organisational success. This unit emphasises the need to identify, analyse, and manage relationships with a diverse range of stakeholders, both internal and external to the organisation. By developing strong stakeholder relationships, organisations can improve communication, foster collaboration, and align diverse interests towards shared goals.

The unit explores various approaches to stakeholder mapping and analysis, enabling managers to evaluate the influence and impact of stakeholders on business activities. It highlights the importance of tailoring engagement strategies to the specific needs and expectations of stakeholders, considering factors such as cultural differences, communication preferences, and the level of interest and power stakeholders hold.

Ethical considerations are central to managing stakeholder relationships effectively. The unit underscores the value of transparency, trust, and mutual respect in maintaining long-term relationships. It also examines potential challenges, such as conflicting stakeholder interests or communication barriers, and offers strategies for addressing these issues.

Additionally, the unit equips learners with practical skills for negotiation, conflict resolution, and collaborative problem-solving. These competencies are essential for maintaining positive stakeholder relationships and ensuring organisational objectives are met efficiently. Through this unit, managers can gain a deeper understanding of the strategic importance of stakeholder engagement and develop the ability to build sustainable, productive partnerships.

Example Answer - Unit 509

1.1 Analyse the Types of Stakeholder Relationships Within Organisations

In the context of leading a stakeholder group to review services and support provided to customers, there are various types of stakeholder relationships within the organisation. These relationships are shaped by differing roles, responsibilities, priorities, and levels of influence. Given that the group comprises a mix of internal and external stakeholders, the complexity of these relationships increases, particularly with the likelihood of necessary changes or cuts to services. Below is an analysis of the types of stakeholder relationships based on the scenario presented.

Internal Stakeholder Relationships

1. Team Leaders (Off-Site):

The team leaders, though based off-site, have a significant role in the operational implementation of any decisions made by the stakeholder group. Their relationship with other stakeholders is largely collaborative and consultative. However, the physical separation from the main operations introduces communication and coordination challenges. Ensuring their active participation and understanding of the potential changes to services and support is critical. As they manage teams that deliver customer services, their input will be valuable in assessing the practical implications of proposed changes. Their ability to effectively communicate with both their teams and the stakeholder group will be crucial for successful service delivery adjustments.

2. Finance Officer:

The finance officer’s relationship with the group is primarily advisory but crucial in managing the financial viability of any proposed changes. In the context of potential cuts or changes to services, the finance officer`s role will be to provide data, cost analysis, and budgetary constraints. This will influence decision-making and the balance between customer satisfaction and financial sustainability. The finance officer will likely work closely with senior management and the team leaders to ensure that the financial impact of any changes is fully understood. However, the finance officer may face challenges when advocating for cuts or reallocating resources that could affect the services and support available to customers.

3. Equalities Officer:

The equalities officer has a critical role in ensuring that any changes to services and support align with the principles of fairness and inclusion. Their relationship with the stakeholder group is consultative, ensuring that the views of all customer groups, especially vulnerable or underrepresented groups, are considered. The equalities officer’s role is to challenge decisions that could potentially discriminate against specific groups of customers or breach equality legislation. Their involvement will be essential in assessing how proposed changes might disproportionately affect different customer demographics, particularly in the context of service cuts.

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