Page 72 - SBL Integrated Workbook STUDENT 2018
P. 72
Chapter 7
7.2 Internal corporate governance stakeholders
A useful definition of a stakeholder, for use at this point, is 'any
person or group that can affect or be affected by the policies or
activities of an organisation'.
there are a number of internal parties involved in corporate
governance. These parties can be referred to as internal
stakeholders.
Each internal stakeholder has:
an operational role within the company
a role in the corporate governance of the company
a number of interests in the company (referred to as the stakeholder'claim').
7.3 External corporate governance stakeholders
A company has many external stakeholders involved in corporate governance.
Each stakeholder has:
a role to play in influencing the operation of the company
its own interests and claims in the company
A stakeholder claim is where a stakeholder wants something from an
organisation. These claims can be concerned with the way a
stakeholder may want to influence the activities of an organisation or by
the way they are affected by the organisation.
There are:
Direct claims – made by stakeholders directly with the organisation and are
unambiguous e.g. trade unions, they have their own voice.
Indirect claims – where the stakeholder is ‘voiceless’, e.g. an individual
customer of a large retail organisation or the environment with the inevitable
problem of interpretation.
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