Stakeholder analysis for small-scale water resource project in Thailand
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Stakeholder analysis for small-scale water resource project in Thailand
- 1. STAKEHOLDER ANALYSIS OF WATER RESOURCES PROJECTS IN THAILAND Piriya URAIWONG Tsunemi WATANABE Kochi University of Technology, JAPAN IESL-SSMS Joint International Symposium Social Management Systems 2011 14th – 16th September, 2011 in Colombo, Sri Lanka
- 2. Outline Introduction to stakeholder management Thai small-scale water resources project stakeholder analysis and management Ashio copper mine, Japan: Ethical issues of stakeholder management Co-creators approach 2
- 3. Stakeholder “Any group or individual who is affected by or can affect the achievement of an organization's objectives.” (Freeman, 1984) 3
- 4. Stakeholder Theories Descriptive : “what happens” Instrumental : “what happen if” Normative : “what should happen” Normative Instrumental Descriptive Source: Donaldson and Preston, 1995 4
- 5. Stakeholder Analysis Aim: Identify the stakeholders and assess how they are likely to be impacted by the project. Goal: develop cooperation between the stakeholder and, ultimately, assuring successful outcomes for the project. 5
- 7. Stakeholder Identification Need to know… Who involves Who benefit Who has impact Who has rights and responsibilities Who makes decisions 7
- 8. Department of Water Resources Regional Office Provincial Administrative Organization Cabinet Department of Water Resources National Water Resources Committee River Basin Committee Bureau of Budget Tambon Administrative Organization Central Government Regional Government Water Resources Institutions Local University Local Government Government Local NGOs Education/ Research Institutions Local Politicians Thai National Mekong Committee Politicians National Politicians Water resources project NGO De-concentrate Government Service International Development Partners Ministry of Health Ministry of Education Businesses Supplier Traditional Authority Locals Ministry of Natural Resources and Environment Contractor Medias Water Users Local newspaper Ministry of Agriculture and Cooperatives Land Owners Local Philosopher Local radio station Village Chief Newspaper TV Spiritual Leader Stakeholder Map Thai Water Resources Project 8
- 9. Politician River Basin Committee Central Government Regional Government 4 National 1 1 National Water Resources Committee Education institution Cabinet Local Department of water Resources Regional Office 1 Provincial Administrative Organization University Bureau of Budget 1 Water Resources Institutions School Department of Water Resources 3, 4 Local Administration 3, 4 Community 7 Water users 4, 8 3, 4 2 Traditional authority Water resources project Medias 6 6 Land owners 8 5 3 Business 4 4 Supplier Health Environment Contractor Agriculture Education 1 = Permission or Approval 2 = Environment 3 = Finance 4 = Technical 5 = Land 6 = Acknowledgement and Publicity 7 = Political Opportunity 8 = Negotiation and Donation International Development Partners TNMC De-concentrate Government Service Local NGO Stakeholder Relation Map NGOs Formal Relationship Informal Relationship 9
- 10. 10 Stakeholder Assessment (Savage, et.al., 1991)
- 12. Implementation Strategy Involve the supportive stakeholder Monitor the marginal stakeholder Defend against the non-supportive stakeholder Collaborate with mixed-blessing stakeholder 12
- 13. AshioCopper Mine, Japan 13 Source: http://www.csr-asia.com ~ 1886 : Tokugawa Shokunate 1877: Ichibei Furukawa
- 14. 14 Source: http://www.flickr.com/photos/saksak/2971727582/sizes/z/in/photostream/ AshioCopper Mine, Japan 1884: the highest copper production in Japan 1885: pollution was recognized
- 15. 15 Source: http://nikko-spot.com/blog/cat31/ 1890: Flood contained poison from Ashio mine : Residents and farmers protest against Ashio mine AshioCopper Mine, Japan
- 16. Furukawa’s Stakeholder Strategy Strong relationship with politicians and academic institutions Adversary change public attitude Minimal monetary reparations 16
- 17. Ethical Issue and Stakeholder Management Maximize the Furukawa benefit Neglect moral ethical standards “cooperate with others, leave each other free, and deal fairly with others” 17
- 18. Co-Creators Approach Establish common ground and action Being close to each other Learning to appreciate each other viewpoints 18 (Watanabe, 2009)
- 19. End of Presentation THANK YOU. 19
Notes de l'éditeur
- Good afternoon, my name is PiriyaUraiwong. I am a graduate student from Kochi University of Technology, Japan. It’s my honor to be here and talk about “stakeholder analysis for water resources project in Thailand”.
- In this presentation. First, I am going to talk about stakeholder management and the application of stakeholder analysis for small-scale water resources project in Thailand. Then, I will talk about ethical issue on stakeholder management related to the example from the Ashio copper mine in Japan. And Co-creators approach will be discussed at the end of this presentation.
- Recently, there has been increased use of stakeholder analysis for the project management. This increasing usage suggests that project stakeholder management has become one of the major concerns in environmental resources management.Let me start with the definition of stakeholder. Probably one of the classic definitions was defined by Freeman. He defined the stakeholder as “any group or individual who is affected by or can affect the achievement of an organization’s objective”.Definition of stakeholder is varied in different discipline. Stakeholder can be of any form, size and capacity.
- stakeholder management theory was simply categorized into descriptive, instrumental, and normative approach.Descriptive approach is to understand the relationship between organization and its stakeholder.Normative approach considers that organization should take all stakeholder into consideration as a moral responsibility.And instrumental approach concerns on organization should take key stakeholders into consideration as this leads to organization success.For a small-scale water resources project implemented by the department of water resources to stakeholder theory, it is possible that a normative and an instrumental approach can be taken.
- Stakeholder analysis is a methodology for the identification stakeholders so as to facilitate project management and to assure successful outcome for the project.
- Stakeholder analysis in this paper can be carried out into three stages: (1) stakeholder identification (2) stakeholder analysis and (3) stakeholder implementation strategy development
- The first stage is to identify a project stakeholder. In this study, stakeholders were initially identified from the small-scale water resources project work breakdown structure and discussion with key persons, who were involved, influenced and were affected by implementation of a small-scale water resources project.The following questions were discussed- Who involves - Who benefit - Who has impact - Who has rights and responsibilities- Who makes decisionsBy the end of exercise, stakeholders map can be developed
- As a result of stakeholder identification, a stakeholder map is presented here.Stakeholders werecatagorized into 11 groups including government organizations at national and regional levels, international partners, politician, locals, traditional authority, de-concentrate government service, non-government organizations (NGOs), academic and research institutions, businesses and individuals who have interest in the water sector and media.
- Stakeholder relationship diagram is also to illustrate the relationship between stakeholders looking at functions, forms, impacts and significant of relationships.This result could be used to guide the design and implementation of communication activities in support of a water resources project management
- According to Savage,stakeholders can be classified along two dimensions- the potential to affect a project and the potential for collaboration with the project. Based on this assessment, four categories of stakeholders can be classified- supportive, marginal, non-supportive, and mixed blessing.
- Based on the stakeholder assessment mentioned on previous slide, stakeholders in small scale water resource project were classified into four categories as detailed here.Stakeholder strategic plan can be developed based on four types of stakeholder.
- Supportive stakeholders can be encouraged by involving them in relevant issues.Marginal stakeholders are generally not concerned about most issues. However, the monitoring effort should be paid to certain issues.Non-supportive stakeholder is high on potential threat but low on potential cooperation. A defense strategy means to reduce the dependence that forms the stakeholder’s interest in a project.And for mixed-blessing stakeholder, collaboration with this stakeholder group may be the best approach.Up to this point, I have presented advantage of stakeholder management. Next I am going to give an example on negative usage of stakeholder management.The case is Ashio copper mine in Japan.
- the Ashio copper mines is a site of major pollution in the Meiji era (1868-1912).This mine was the property of the Tokugawa shokunate and became privately own by Ichibei Furukawa in 1877.
- The Furukawa mines produces 26 percent of Japan's copper production in that time.In August 1885, it was recognized that pollution from the mine had become widespread when massive fishes in the Watarase River were killed because of polluted water.
- In August 1890, agricultural system and villages in Tochigi and Gunma prefecture were heavily damaged from flood, which contained poison from the Ashio mineThis event provoked a response from the residents and farmers to stop mining operation.However, the Furukawa, owner of the Ashio mine, manipulated their power to create strategy based on stakeholder management against the protesters.
- These are Furukawa’s strategy to manage stakeholders.First, the Furukawa could identify stakeholder power and needs. Furukawa had strong relationship with politicians, the government and academic institutions. This relationship helped Furukawa to get what they wanted. In addition, the company offered the new pollution control equipment to protect the agricultural environment. These response from the government and the offer from the Ashio mine were used as a way to change the victims’ attitude from “one of outright opposition to mining operations to one of accepting monetary reparations”Second, image of the farmers who protested against the copper mine was changed into protest to earn more money after the farmers agreed to get compensation for damaged. As a result, the Japanese government and publics had negative attitude toward farmers’ movement against the mine operation.Andthe Furukawa agreed to pay the farmers monetary reparations with minimum amount for the damages and for remaining silence until the effectiveness of the new pollution control equipment had been evaluated.As a result of these, the entirely areas around the Ashio mine had been biologically destroyed by the close of 1884
- The Furukawa implemented a perspective of instrumental approach to leads to success and competitive. The Furukawa implemented their strategy by monetary compensation to persuade farmers cooperating with the mine. However, the ultimate principle behind this stakeholder management implementation was based on maximize the organization benefit with neglecting moral standards.The negative usage of stakeholder management can be avoided by thinking carefully about how to cooperate with other, leave each other free, and deal fairly with each other.
- In order to establish common ground between stakeholders, it is important for stakeholders to stay close and learn to appreciate each other viewpoints. This stakeholder relationship is considered as co-creators. By being close to each other and taking interest and concerns into account, it may be possible to inform project design with a variety ideas and perspectives. This approach may enhance the sense of ownership over the process and outcome rather than conventional stakeholder management approach.
- So that’s all of my presentation. Thank you for your attention.Questions and comments are more than welcome.