Lesson 4 of 16 · Level 1: Beginner
Stakeholder Management and the Communication Plan
- ⏱ 12 min read
- ❓ 4 review questions
- ✍️ Exercise with solution
In this lesson
- Identify every stakeholder, including the quiet ones who can stop a project late.
- Map stakeholders on a power/interest grid and pick a strategy for each quadrant.
- Use a RACI matrix so every deliverable has exactly one accountable person.
- Calculate how communication channels multiply as a team grows.
- Build a communication plan: who gets what information, how and how often.
A stakeholder is anyone who affects your project or is affected by it: the sponsor who pays, the team that builds, the users who'll live with the result, and the departments that can approve or block it. Stakeholder management means identifying those people early, understanding what each one cares about, and giving them the right information at the right time. The communication plan is the written version of that: a simple table that says who hears what, how and how often.
- List stakeholders
- Map power and interest
- Assign roles with RACI
- Count the channels
- Write the communication plan
Step 1: list everyone, not just the obvious people
Let's go back to Summit Ledger, the Denver software company from the initiation lesson, and its self-service help portal. The obvious stakeholders are the sponsor (VP of Customer Success) and the project team. The less obvious ones are where projects get ambushed: the IT security lead who must approve anything that touches customer logins, the CFO who watches the budget, and the support agents whose daily work will change.
To build the list, ask four questions in your kickoff meeting and in one-on-one chats:
- Who pays for this, and who approves it?
- Whose work will change when this is delivered?
- Who has to sign off, inspect or audit anything?
- Who could say no late in the project, and what would make them say it?
Step 2: map power and interest
Not every stakeholder needs the same attention. A power/interest grid places each one according to how much they can influence the project (power) and how much they care about it (interest). Here are Summit Ledger's eight key stakeholders:
- Manage closely 1, 3(1) VP of Customer Success, the sponsor. (3) IT security lead, who can block launch.
- Keep satisfied 2, 6(2) CFO, who watches the budget. (6) Head of Product, who owns the software roadmap.
- Keep informed 4, 5, 8(4) Support agents. (5) Beta customers. (8) Portal software vendor.
- Monitor 7(7) Marketing team, which will announce the portal later.
Manage closely
High power, high interest. Involve them in key decisions and talk often.
Summit Ledger: weekly 15-minute check-in with the sponsor; security lead in every design review.Keep satisfied
High power, lower interest. Short, clear updates; no surprises.
Summit Ledger: monthly one-page budget summary to the CFO.Keep informed
Lower power, high interest. Regular updates and chances to give feedback.
Summit Ledger: biweekly demo for support agents; beta newsletter for customers.Monitor
Lower power, lower interest. Light touch; watch for changes.
Summit Ledger: marketing gets the milestone calendar and a heads-up six weeks before launch.They have little formal power, but if agents don't trust the portal, they won't link to it in their replies and adoption will stall. Low power doesn't mean low impact. Involve them in writing the first articles and they'll become your best promoters.
1. The CFO can cancel the project's funding but rarely asks about it. Which strategy fits?
High power with low interest means "keep satisfied." Inviting a busy CFO to every meeting wastes their time, but ignoring them risks a nasty surprise when the budget is reviewed.
Step 3: assign roles with a RACI matrix
Confusion about who decides is one of the most common reasons work stalls. A RACI matrix lists deliverables in rows and people in columns, with one letter per cell:
- R, Responsible: does the work. There can be several.
- A, Accountable: owns the result and makes the final call. Exactly one per row.
- C, Consulted: gives input before the work is done (two-way).
- I, Informed: is told after decisions are made (one-way).
| Deliverable | Sponsor | PM | IT security | Support lead | Vendor |
|---|---|---|---|---|---|
| Portal requirements | A | R | C | C | I |
| Help articles and videos | I | A | – | R | I |
| Single sign-on integration | I | A | C | – | R |
| Security review | I | C | A, R | – | C |
| Launch go/no-go decision | A | R | C | C | I |
Read it by rows (does every deliverable have exactly one A?) and by columns (is anyone R on too much? Is someone C on everything, slowing every decision?).
2. In a RACI matrix, how many people should be Accountable for a single deliverable?
One accountable owner means one person makes the final call. With two, each assumes the other will decide, and the deliverable drifts.
Step 4: count the communication channels
Every pair of people on a project is a potential communication channel, a place where information can get lost or distorted. The number of channels grows much faster than the team:
Channels = n × (n − 1) ÷ 2
Team of 8: 8 × 7 ÷ 2 = 28 channels
Team of 12: 12 × 11 ÷ 2 = 66 channels
When Summit Ledger brought in four of the vendor's developers, the team grew from 8 to 12 people: 50% more people, but 38 more channels: the total jumped from 28 to 66, more than double. That's why bigger projects need a written communication plan and a single source of truth (one shared board or folder), not a tangle of side conversations.
3. How many communication channels exist in a project team of 10 people?
10 × 9 ÷ 2 = 45. Dividing by 2 avoids counting the same pair twice (Ana–Ben and Ben–Ana are one channel). 90 is the result if you forget to divide.
Step 5: write the communication plan
The communication plan is a table. It doesn't need to be fancy; it needs to be followed. Summit Ledger's plan:
| Audience | What they need | Channel | Frequency | Owner |
|---|---|---|---|---|
| Sponsor | Progress, risks, decisions needed | 15-min call + one-page status | Weekly | PM |
| Project team | Tasks, blockers, priorities | Stand-up on video + shared board | Daily (15 min) | PM |
| CFO | Budget vs. actual, forecast | Email summary | Monthly | PM |
| IT security | Design changes, test results | Design review meeting | At each design milestone | Tech lead |
| Support agents | What's coming, how to use it | Live demo + Slack channel | Every two weeks | Support lead |
| Beta customers | New features, how to give feedback | Email newsletter | Every two weeks during beta | Product marketing |
Here's how a typical week looks once the plan is running:
- Every day · 15 minTeam stand-upWhat I finished, what I'm doing next, what's blocking me. Problems get solved after the meeting, not during it.
- ThursdayStatus report draftedDone this week, planned next week, risks, decisions needed. One page, color-coded green, amber or red.
- Friday · 15 minSponsor check-inWalk through the status, get decisions made, agree on anything to escalate.
- Every other WednesdayDemo for support agentsShow what's new, collect feedback, recruit article writers.
If a milestone will slip, call the sponsor first, explain what happened and what you propose, then confirm in an email. Learning bad news from a status report (or worse, from someone else) destroys trust far more than the slip itself.
4. The security review will delay launch by two weeks. What's the best way to tell the sponsor?
Early, direct communication with options gives the sponsor time to decide (add resources, cut scope, move the date). Waiting or burying the news removes options and damages trust.
Common mistakes
Listing stakeholders once at kickoff and never again.
Review the grid at every milestone; people's interest and power change.
Sending the same long report to everyone.
Tailor the message: the CFO wants dollars, agents want "what changes for me."
Two "accountable" owners for the same deliverable.
One A per row, no exceptions.
Assuming silence means agreement.
Ask directly for objections before key decisions are final.
Practice exercise
An Atlanta nonprofit is planning its annual fundraising gala. The planning committee has 6 people. The board wants to add 3 volunteers to the committee.
(a) How many communication channels are there now, and how many after adding the volunteers? (b) Place these stakeholders on the power/interest grid: the board chair (approves the budget, very involved), the hotel's event manager, major donors, the city's permit office, and the volunteers who'll staff check-in.
See solution
(a) Now: 6 × 5 ÷ 2 = 15 channels. After: 9 × 8 ÷ 2 = 36 channels. The team grows by 50%, but channels grow by 21, to 2.4 times as many. Time for a shared planning board and a weekly written update.
(b) One reasonable mapping:
- Board chair: high power, high interest → manage closely.
- Major donors: high power (their gifts make or break the goal), interest grows as the date nears → keep satisfied, then manage closely near the event.
- City permit office: high power, low interest → keep satisfied (submit early, answer fast).
- Hotel event manager: moderate power, high interest → keep informed with a clear timeline of decisions.
- Check-in volunteers: low power, high interest on the night → keep informed with a short briefing and a one-page guide.
Summary
- Stakeholders are everyone who affects or is affected by the project, including people who can block it late.
- The power/interest grid gives four strategies: manage closely, keep satisfied, keep informed, monitor.
- A RACI matrix gives every deliverable exactly one accountable owner.
- Channels = n(n−1)/2: adding people multiplies coordination work.
- A communication plan says who gets what, through which channel, how often and from whom. Deliver bad news early and in person.
Next lesson: Project Scheduling and Gantt Charts. You'll turn the WBS into a dated schedule, estimate durations with three-point estimates and build a Gantt chart in Excel.
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