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Internal stakeholders

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Presentation on theme: "Internal stakeholders"— Presentation transcript:

1 Internal stakeholders

2 Stakeholders Stakeholders are groups or individuals with an interest in a business. Stakeholders may affect or be affected by the decisions of an organisation. Examples of stakeholders include: Owners/shareholders Employees Customers Local community

3 Internal stakeholders
Internal stakeholders are those that can be considered to be part of an organisation. The main internal stakeholders are: Shareholders/owners Employees Managers

4 Shareholders Shareholders: own a part of a business
do not get involved in the day-to-day running of the business have a right to vote at the company’s AGM receive a share of the profits – this is called a dividend

5 Shareholder interests
Each stakeholder group will have its own expectations of the business. Shareholders are likely to have an interest in: Increased profits and hence dividends through such things as: Growth Enhanced reputation Greater efficiency

6 Employees Employees: are paid by a business to carry out given roles
are one of a company’s most important assets help a business achieve its objectives need a range of skills relevant to their job roles e.g. teamwork and problem-solving

7 Employee interests Employees are likely to expect: fair pay
decent working conditions job security And maybe: access to training for additional qualifications a say in how the business is run

8 Managers Managers: make decisions within an organisation
are found at different levels within a business from supervisors and team leaders up to senior management

9 Manager interests In addition to the usual employee interests, managers may expect to be able to make their own decisions and have the opportunity of promotion.

10 Stakeholder conflict Conflict between the needs of stakeholder groups may occur, e.g. paying workers higher wages could result in lower dividends to shareholders.


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