The Basic Stakeholder Analysis Technique is described in Bryson (1995: 71 -5). It is a great way to quickly assess stakeholder sentiment and can be used at the start and/or during a project or initiative. The analysis uses a simple traffic light classification to illustrate how a stakeholder feels the organization or project is doing against their expectations.
For each stakeholder prepare a separate flip chart sheet and place the stakeholder’s name at the top. Then add a narrow column on the right hand side. In the left hand side list the criteria that the stakeholder would use to judge project success or list the stakeholder’s expectations of the project..

In the narrow right hand column use Red (poor), Amber (fair) and Green (good) dots to show how well the stakeholder feels the project is doing against each criteria. The flipcharts could be replaced with or written up into a table similar to the one shown below.
Once the stakeholder expectations are recorded Bryson suggests that the group consider and document what can be done to quickly please each stakeholder and also what long term issues they may have. To do this add two columns to your table: Quick wins and Long term issues/concerns.

An example analysis

Here is an example analysis for the Sponsor of an IT implementation project.

Table version

When to use the Basic Stakeholder Analysis Technique

This analysis technique works particularly well during the project lifecycle when it can be use to quickly assess project health, for example, as part of a project review at the end of a phase or stage gateway. Indeed Bryson describes how the technique was used to bring about major change in a state department in the United States, where it was used to show participants how existing strategies ignored important stakeholders.

The Basic method vs Influence and Interest stakeholder analysis

This method can be used as your only analysis technique, but it ignores the relative power and interest of stakeholders so it could lead to inefficiencies if too much effort is expended on less influential groups. I recommend using this technique as a useful addition to the influence/power vs interest method. For example, at the end of a key project phase or on achievement of a key milestone the project team could review the sentiment of the stakeholders with high power and high interest using the basic stakeholder analysis method (high power and high interest stakeholders are Key Players who have the power to sabotage or champion a project). If any stakeholder expectations are not being met (they are rated as red) the team can move fast by identifying quick wins, and then reviewing their stakeholder engagement plan and updating it to ensure any long term concerns are considered.

Advantages and Limitations of Basic Stakeholder Analysis

Advantages

1. Simplicity and Accessibility: The Basic Stakeholder Analysis is straightforward to implement, requiring minimal training or specialized tools. This makes it accessible to a wide range of project teams, regardless of their level of experience in stakeholder management.
2. Visual Representation: Using a traffic light system (Red-Amber-Green) provides a clear, visual snapshot of stakeholder satisfaction, making it easy to identify areas requiring attention.
3. Focused Action Planning: The addition of 'Quick Wins' and 'Long-Term Issues/Concerns' columns allows for targeted action planning, ensuring both immediate and strategic responses to stakeholder needs.
4. Dynamic and Adaptable: The method is flexible, easily adaptable to different types of projects and stakeholders. It can be updated and revised throughout the project lifecycle to reflect changing circumstances or insights.
5. Enhanced Communication: By clearly articulating stakeholder expectations and current satisfaction levels, this analysis facilitates more effective communication between project teams and stakeholders.

Limitations

1. Subjectivity: The assessment of stakeholder satisfaction can be subjective, varying significantly based on who is conducting the analysis.
2. Lack of Depth: While it provides a high-level view of stakeholder satisfaction, this method may not delve deeply into the reasons behind stakeholders' sentiments.
3. Neglect of Power and Influence Dynamics: The basic model does not account for the varying levels of power and influence different stakeholders may have, which can be critical in project management.
4. Potential for Oversimplification: The traffic light system, while visually appealing, may oversimplify complex stakeholder relationships and issues.

Step-by-step guide for conducting a Basic Stakeholder Analysis

Step 1: Prepare the Analysis Table

• Objective: To create a visual framework for the analysis.
• Action: For each stakeholder, prepare a separate flip chart or table. Write the stakeholder’s name at the top. Create two main columns: on the left, list the criteria for project success or the stakeholder’s expectations; on the right, leave a narrow space for the traffic light ratings (RAG - Red, Amber, Green).

Step 2: Define Stakeholder Expectations

• Objective: To identify what each stakeholder expects from the project.
• Action: In the left column, list all the expectations or criteria that the stakeholder would use to judge the project's success. This might include specific deliverables, performance measures, or outcomes.

Step 3: Assign Traffic Light Ratings

• Objective: To assess the project’s performance from the stakeholder’s viewpoint.
• Action: In the narrow right-hand column, use Red (poor), Amber (fair), and Green (good) dots to show how well the project meets each of the listed expectations or criteria from the stakeholder’s perspective.

Step 4: Identify Quick Wins and Long-Term Issues

• Objective: To plan for immediate and strategic stakeholder satisfaction.
• Action: Add two additional columns to your table: one for 'Quick Wins' and another for 'Long-Term Issues/Concerns'. Under 'Quick Wins', list actions that can immediately address or satisfy stakeholder concerns. In the 'Long-Term Issues/Concerns' column, document more strategic or ongoing concerns that need addressing over the duration of the project.

Step 5: Analyze and Document Insights

• Objective: To understand and plan for stakeholder satisfaction.
• Action: Review the RAG ratings, quick wins, and long-term issues. Identify areas needing immediate attention and those requiring long-term strategies. Consider how to turn amber ratings into green and address any red concerns.

Step 6: Integrate into Project Planning

• Objective: To align the project plan with stakeholder expectations.
• Action: Use the insights from the analysis to update the project plan. Ensure that actions for quick wins and strategies for addressing long-term issues are integrated into the project’s timeline and resource allocation.

Step 7: Monitor and Update Analysis

• Objective: To keep the analysis relevant and dynamic.
• Action: Regularly revisit and update the stakeholder analysis, especially after significant project milestones or changes. Adjust the action plans as necessary based on updated insights.

Stakeholder Analysis Resources

Stakeholder analysis templates in Word, Visio and Excel.

Stakeholder Management ebook

Stakeholder Analysis quadrant

BPM Stakeholder Analysis

Career Stakeholder Analysis

Happy Stakeholders - Pleasure and Displeasure List

Stakeholder Analysis Questions

Stakeholder Salience

Biblography- Basic Stakeholder Analysis Technique

Bryson, J. (2004) What to do When Stakeholders Matter: Stakeholder Identification and Analysis Techniques , Public Management Review, Vol 6 Issue 1: 29 - 30.