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ASSIGNMENT PROFESSIONAL & SOCIAL ETHICS __________________________________________________________________________________________________

Any person or organization, who can be positively or negatively impacted by, or cause an impact on the actions of a company, government, or organization.

Stakeholder Analysis
What is it? A technique you can use to identify and assess the importance of key people, groups of people, or institutions that may significantly influence the success of your activity or project or Organization Who uses it? Members of your quality improvement team. Why use it? Use a stakeholder analysis to: identify people, groups, and institutions that will influence your initiative (either positively or negatively) anticipate the kind of influence, positive or negative, these groups will have on your initiative identify local institutions and processes upon which to build and develop strategies to get the most effective support possible for your initiative and reduce any obstacles to successful implementation of your task. When to use it? Stakeholder analysis can be undertaken throughout all stages of the project cycle, but it definitely should be undertaken at the outset of a project/task ____________________________________________________________________

Case: CADBURY is one of the most famous company in the world, it is producing many products
like Dairy Milk (Bubbly Milk Chocolate, Golden Biscuit Crunch, Chocos, Caramel, Whole Nut, Crunchie & Fruit and Nut), Chrispello Vanilla Velvet, Wispa Gold, Twirl, Boost, Star Bar, Flake, Timeout, Picnic, Snack Wafer, Curly Wurly, Bournville Cocoa, Drinking Chocolate, Hot Chocolate Instant, Hazel Nut etc. Here we analyze how Cadbury engage, manage and map its stakeholders.


ASSIGNMENT PROFESSIONAL & SOCIAL ETHICS __________________________________________________________________________________________________

1) Stakeholder Identification & relationships


Cadbury gives its core aim as "working together to create brands people love". It knows that it works with people and groups and has to try to keep them all pleased. There are many kinds of stakeholders but most important are:

a) Primary or direct
Shareowners: Cadbury has over 60,000 registered shareowners. These include private individuals as well as large institutional investors, such as pension funds and banks. All shareowners are also entitled to attend the Annual General Meeting, at which they have the opportunity to ask questions, discuss the company's performance and vote on certain issues. Customers: The Company has ongoing discussions with its customers. Wholesalers and retailers provide the vital link to consumers and it is they who make Cadbury Schweppes' brands widely available. The company works in partnership with customers to meet their need for attractive, high-quality products and business success. 2 USAMA SHABBIR ELECTRONIC ENGINEERING

ASSIGNMENT PROFESSIONAL & SOCIAL ETHICS __________________________________________________________________________________________________

Suppliers (and business partners): Cadbury Schweppes has 40,000 suppliers around the world and its Ethical Sourcing Standards set out how to work with them. The company is in regular dialogue with its suppliers and responds to their suggestions. For example, if a supplier had views on ways of improving quality or efficiency then Cadbury Schweppes would listen and possibly act on ideas if they made good business sense. Working in partnership with suppliers makes it possible to find out their needs and also to ensure they satisfy Cadbury Schweppes' requirements for quality materials while operating in a socially responsible way. Cadbury Schweppes evaluates potential suppliers against a set of standards such as environmental protection and ethical labour practices prior to doing business with them and encourages their principles and standards to be upheld during the relationship. Employees: Cadbury Schweppes has a tradition of encouraging direct, two-way involvement and communication with employees. Managers hold regular individual and team meetings to inform colleagues about the business and hear their views. The company also conducts surveys to check how its employees feel about working at Cadbury Schweppes. Internal newsletters, a group website and many local websites help employees keep up to date with what is going on.

b) Secondary or indirect
Society: The Company regards itself as a citizen in the countries in which it operates and enters into regular dialogue with organisations such as national governments and international bodies. For example, the World Health Organisation (WHO) to discuss issues that affect the company. These issues can be anything from agricultural policy to education and skills. Government: Taxation, legislation, employment, truthful reporting, diversity, legalities, externalities. All businesses are affected by laws and legislation, and therefore governmental decisions impact on business functions. The government has an interest in businesses doing well as this helps to keep employment high and contributes to the Gross National Product (GNP). Media: Commercial appearance of the Cadburys new versions. Local Communities: All businesses must appreciate the role of the local community as a stakeholder. In order to operate effectively and be well accepted in the area, the organisation should be valued by the local community and help local people to understand why the company is beneficial to them. Finance Companies: Businesses need to maintain a good relationship with finance companies in case they need to borrow money. Finance companies need businesses like Cadbury to do well so that they can be sure that any money that they lend them will be paid back. Policy makers: These people or groups often have no official power they may be advisers to those with real power but their opinions and ideas are often followed closely. If theyre on your side, thats a big plus


ASSIGNMENT PROFESSIONAL & SOCIAL ETHICS __________________________________________________________________________________________________

Consumers: Consumers can contact the company by various means and Cadbury deals with consumer enquiries on a daily basis. It performs market research to track changing consumer trends. Many parts of the business also use surveys and market research panels to find out what consumers think of products.

2) Mapping Stakeholder Coalitions:

Coalitions btween the supporter groups/companies to: deliver superior shareowner performance profitably and significantly increase global confectionery share profitably secure and grow regionally ensure our capabilities are best in class Reinforce reputation with employees and society

3) Assessing the nature of each stakeholders interest:

Active: Supporters, Employees, Insurance Companies, Investors, Suppliers Media (Broadcast media, print media, display media), Customers Non-Active: Government, Opposition which includes other chocolate manufacturers and chocolate brands like: Mars, Kit Kat, Bounty, Snickers, Candy land, Milky Way, Tracker, Twix, Barlovento, Black River, Chocolate & Love(award winning luxury chocolate brand), Nestle, Ferrero Rocher, Galaxy, M&Ms, Sunspire, Dove, Hersheys Milk chocolate, Carnation, Dallars, etc

4) Assessing the nature of each stakeholders power:

Economic Power: Investors can with drawn the investment he/she invests in the company Political Power: Government can take action against the product if it was harmful to public Voting Power: Owners and Shareholders can vote their choice that affects the firms decision.

5) Constructing a matrix of stakeholder moral responsibilities:

Nature of Personal Responsibilities






Customers 4



ASSIGNMENT PROFESSIONAL & SOCIAL ETHICS __________________________________________________________________________________________________

Employee Government Public

6) Developing specific strategies and tatics

Stake holder potential to thread to organization

Potential for Cooperative with Company

High Type 4: Mixed blessings Government, Media, Local Community Type 3: Non supportive Competitors ,Pressure groups, Oppositions

Low Type 1: Supportive Employees, Investors, Insurance Companies, Suppliers Type 2: Marginal General Public, Customers, NGOS

This analysis can be used by Cadburys Management as a planning method to anticipate actions and reactions to events and outcomes. By the use of this analysis, Cadbury can create a Win-Win situation. After this analysis, Cadbury can engage its Stakeholders more effectively. Engaging is about providing open access and Cadbury has always taken its responsibility seriously. It knows that listening to and engaging with stakeholders is essential to its success and has benefits for stakeholders. Engaging with stakeholders does more than sustain their goodwill and co-operation: it enables the company to remain competitive and successful, to keep in touch with wider social expectations, as well as making sure that the values and business principles of the company are upheld.