Information is one of the vital elements of influencing skills. My BIG SPECS is a simple mnemonic that can be used to recall and remember the information of different types of stakeholders in business.
In simple terms, a stakeholder can be defined as anybody who gets affected directly or indirectly by a business organization’s decision or action.
My BIG SPECS mnemonic summarizes the list of both external and internal stakeholders of a company. It stands for:-
1. Manager (Internal)
2. Banks (external)
3. Investors (external)
4. Government (external)
5. Suppliers (external)
6. Pressure groups (external)
7. Employees (internal)
8. Customers (external)
9. Shareholders (external)
Difference Between Internal and External Stakeholder
Everyone who are directly involved with an organization are internal stakeholders, while people or other organizations who are indirectly involved and get affected by the company’s actions and decisions are external stakeholders.Managers and Other Similar External Stakeholders
In fact, the entire management can be classified under this category. Some of the examples of this type of stakeholders include supervisors, team leaders, group managers, department heads, and section headsBanks get Affected as They Function as External Stakeholders
Business establishments borrow loans from banks. When the company profits it can settle the bank loans; however, when the company runs under loss, it faces difficulties to pay the loans. Other examples under this category include financial institutions and profitable organizations that support the company financially.Investors Cross their Fingers as Stakeholders
Many investors track the companies’ growth or fall by tracking its business status on a frequent basis as it their money that is traded. Every time when a company earns a revenue or suffers a loss hits the investors too.Government Includes Public Sector Stakeholders Too
Many big MNCs (Multinational Companies) have profitable tie-ups with the government signing expensive contracts and agreements. So, any decisions made by the company can affect the government significantly.Though Suppliers are External Stakeholders the Impact is High
Sometimes suppliers are the backbone of many businesses. In many instances, suppliers get directly affected every time a business gets profits or incur losses.Pressure Groups are not Only Communities but Organizations Too
One of the best examples of pressure groups is Green Peace organization. These groups ensure that the society and people are not affected by the organizations’ activities and tasks. The pressure groups also include religious communities, animal welfare groups, activitists, and non-profit local social welfare organizations.Talk about Internal Stakeholders? Employees Come First
Almost no company can exist without their employees. Even small actions and decisions might greatly affect the employees, and they are one of the key internal stakeholder of every business organization.Talk about External Stakeholders? Customers Come First
Whether there is a price increase of a product or a new product launch, customers are the first external stakeholders who get affected by a company’s growth and fall.As Stakeholders, Sometimes Shareholders are Safe
Being an external stakeholder, a shareholder can safely depart from the company when a company experiences falling trend in the market; however, shareholders too get influenced by any company’s action.My BIG SPECS is a simple easy-to-recall mnemonic to remember different types of external and internal stakeholders list in a jiffy.
