Five Tips for Healthy Stakeholder Alignment - Especially in Times of Change

In helping clients create and activate strategy for in-market traction and growth, we help them build partnerships. Call this what you will – business development, partner engagement, et al, but at the end of the day we’re truly working to find a fit for both our client and the potential partner, so that we can find and further cultivate mutual benefits, collaboration, and ultimately align stakeholders on both sides. Stakeholders is an interesting word that has been defined and redefined as markets have shifted. At EnticEdge, we see a stakeholder as an individual who is heavily invested in a concept, idea or direction in a company. While internal teams attempt to align to meet overarching company goals, siloed work (especially in larger companies) creates competing “stakeholder” goals which is why this idea of “stakeholder alignment” becomes so integral to a company’s success and sustainability. Given our mission in the entrepreneurial marketplace is to reduce the failure rate of strong, innovative ventures and to assist entrepreneurs to gain market traction, often in partnerships with enterprise businesses, we see stakeholder alignment and misalignment play out in a gamut of industries. With this bird’s eye view, we see companies struggle to maintain a high velocity of innovation while cultivating a healthy alignment with both their internal and external stakeholders. Building this alignment is a complex task and one which often requires the perspective of an outside resource, someone who isn’t as close to the products and services, to nurture (which can take time!).

Now, let’s layer in COVID-19 and the need for even larger digital transformation globally. Suddenly, stakeholders need to pivot, be agile, work together, and think (way) outside their comfort zone to adjust to immediate new ways of doing business, from procurement to sales, to potentially changing what a technology set out to do in order to meet the changing market landscape.

With this change, we see a widening in the “willingness to” gap for some larger organizations, from a willingness to entertain new innovation, to a willingness to pivot to an adjacent market, to a willingness to turn away from fear of the unknown and embrace risk. As this gap widens, there are businesses frozen, lamenting what “was” in the business world pre-COVID-19, while other large and small companies are moving mountains at full-steam ahead to transform their organizations faster than ever before and doing so fruitfully. One of the key differentiators in what makes a company poised to embrace this changing landscape is the state of their alignment among stakeholders. Companies with a clear framework of their current value propositions for each audience, a strong understanding of their users, and a brilliant, well-integrated digital presence will have an advantage when change inevitably tackles their industry. If all team members and stakeholders are on the same page in a pre-COVID world when it comes to these key practices, chances are that they more easily adapt and develop a revised understanding of their value propositions, users, and digital footprint under new circumstances. It’s not unusual to find enterprise companies and startup teams alike whose key stakeholders are not aligned on core value propositions for their products or how that information should be presented digitally or otherwise in order to gain necessary engagement.

While it may not seem like a big deal on a daily basis, having minor differences in what stakeholders believe are the primary values of the company’s offerings makes it incredibly difficult to achieve and sustain stakeholder alignment, and to adapt when significant changes occur and transformative opportunities are possible. With this in mind, we’ve put together 5 tips for cultivating healthy stakeholder alignment (especially in times of change).

1. Get support from an experienced & neutral outsider

We get it, you worked endlessly hard on building your company from the ground up, worked even harder to perfect your solutions, products, and/or services, and you’ve reworked that org chart with collaborative input numerous times. That said, there’s a time and a place to get an outside perspective from someone who is not as close to your company and solutions as you might be and aligning or realigning stakeholders is often a good moment to do so. Thought partnership from an external source should result in a simplified approach and will remove a lot of the complexities and barriers that potentially have blocked the process in the past. 

2. Have a clear and mutual understanding of values

Having documentation that outlines your solutions’ value propositions by audience and is accessible by every stakeholder on your team means that everyone is on the same page. Not only is this great for your team alignment and business success, but it means that there’s a higher chance that you’ll all be ready to turn the page at the same time whenever that unsuspecting market shift arrives. Minor differences in opinion when it comes to your company’s core values will fester if they aren’t addressed, so make sure to take the time with your team to build a clear and mutual understanding of your company’s values internally and of your solutions’ value proposition(s) for the market -- and the correlating strategies for market traction and growth.

3. Vet your value propositions and learn from conversations with stakeholders

Simply put, vetting the value proposition for any solution is essential. Listen and learn from every conversation in the market (and internally) to consider continual improvements and iterations. Listening and learning also help clearly outline potential hurdles so you can strategize how to reduce those.

4. Lean into change and agility

It is completely inevitable that your industry and market will undergo serious change at some point. Curiosity keeps us young and taking risks and forging new business paths are not only necessary now, but a means of surviving in a notably transformative period for all industries. One key to staying afloat during unstable times is to make sure your team is aligned and ready to stay agile and lean into change--hesitating too long isn’t your friend when a serious market shift meets your company head first.

5. Consider building a Personal Board of Directors (PBOD)

If you don’t have one already, create a PBOD, a personal board of directors. This nugget of advice from my years at Kellogg School of Management has served me well. The PBOD should consist of professionals (often outside of where you work) whom you trust but who will challenge your thinking and provide insights, potentially from a new industry perspective or an international market lens you hadn’t thought to consider. When faced with challenging times, it’s important to hear from others and gain additional courage to embrace change. It becomes a mutually-beneficial personal board and if you really want to step it up, create a more formalized, pre-set meeting time each quarter.

Yes, we might be biased, but we really think that every company could use a Cornerpiece™ and some independent advising services. Stakeholder alignment is no easy feat and often comes with unexpected challenges and discoveries, especially during times of change. With that said, once you’ve successfully invested the time into meaningful conversations with your internal and external stakeholders, the benefits will include a solid foundation not only for growth but for keeping your company inventive and agile during turbulent times.

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