ISYS90050 · It Project and Change Management
Stakeholder Management & the Project Charter
Week 3 covers the PMI definition of a stakeholder and the three-step identify-assess-engage analysis, mapped on the power-interest grid, plus the project charter — the short mandate that brings everyone onto the same page and sets the first scope baseline. Placing stakeholders on the grid with the right engagement strategy, and listing what a charter contains, are staple short-answer items; the charter is also produced in the group planning report.
What this chapter covers
- 01Stakeholder (PMI, 2013): anyone who may affect, be affected by, or perceive itself affected by a project
- 02Stakeholder analysis in three steps: identify (interests, +ve/-ve), assess (power, importance, impact), engage (match role and communication method)
- 03Power-interest grid: manage closely / keep satisfied / keep informed / monitor (minimum effort)
- 04Stakeholder movement between grid cells across project phases
- 05Project charter (a.k.a. project brief/mandate): purpose, why it matters, who writes it
- 06Charter contents: purpose, background, governance, objectives/benefits, scope (in/out), dependencies, milestones, resources, initial risk, assumptions/constraints
- 07Charter vs plan; primary vs secondary objectives; Measurable Organisational Value (MOV)
- 08Charter roles: project owner, sponsor (funds it), project manager, stakeholder leads
Place stakeholders on the power-interest grid and set engagement
- +1Chief Medical Officer — high power, high interest -> Manage Closely (the key player). As sponsor with authority and strong interest, engage fully: involve in decisions and keep continuously informed.
- +1Chief Operating Officer — high power, low interest -> Keep Satisfied (meet their needs). Enough authority to help or block, but limited day-to-day interest: give concise, well-timed updates without overloading them.
- +1Ward clerks — low power, high interest -> Keep Informed (show consideration). Little formal power but the daily users most affected: keep them informed, involve them in testing and gather feedback to build ownership.
- +1External auditor — low power, low interest -> Monitor (minimum effort). Watch for any change in their interest (e.g. a compliance milestone) that would move them into a more active cell.
Key terms
- Stakeholder
- An individual, group or organisation who may affect, be affected by, or perceive itself to be affected by a decision, activity or outcome of a project (PMI, 2013).
- Power-interest grid
- A 2x2 map of stakeholders by power (y) and interest (x): high/high = manage closely, high/low = keep satisfied, low/high = keep informed, low/low = monitor with minimum effort.
- Project charter
- A short tactical document (a.k.a. project brief or mandate) that authorises the project, brings stakeholders onto the same page, and sets the first scope baseline. Written and agreed before the detailed plan.
- Measurable Organisational Value (MOV)
- The agreed measure of the value a project delivers to the organisation — the clear objective a charter must pin down so success can be judged.
- Primary vs secondary objectives
- Primary objectives = the big-picture outcome for the organisation; secondary objectives = what this specific project does to achieve the primary objective.
- Project sponsor
- The stakeholder who provides the money and authority to back the project; distinct from the project owner (who has the initiative) and the project manager (who represents the delivery team).
Stakeholder Management & the Project Charter FAQ
What goes in a project charter?
A charter typically captures the document's purpose, background, project governance, objectives and benefits (including the MOV), scope with what is in and out, dependent projects, key milestones and resources, an initial risk analysis, and assumptions and constraints. It is agreed first, before the detailed plan, and sets the first scope baseline.
What is the difference between the charter and the project plan?
The charter is a short mandate agreed up front to authorise the project and align stakeholders; the plan is the detailed how-and-when built afterwards. The charter is often duplicated inside the plan, and PRINCE2 combines them — but the sequence is charter first, agreed, then plan.
How do I use the power-interest grid in an exam answer?
Place each stakeholder by power (y) and interest (x), name the cell, and give the matching strategy — manage closely, keep satisfied, keep informed or monitor. For full marks, note that stakeholders move between cells across phases (a daily user's interest rises near rollout), so engagement is continuous.
Can AI help me with stakeholder management in ISYS90050?
Yes, as a study aid. Sia can quiz you on the grid, walk through building a stakeholder-analysis table, and check a charter's sections against the standard template. Use it to rehearse the method; it does not do your graded assignment, and University of Melbourne academic-integrity rules apply — confirm details on Canvas.
Exam move
Drill the power-interest grid until placing a stakeholder and naming the strategy is instant, and always add a sentence on how a stakeholder migrates cells across phases — that nuance separates a full-mark answer. Memorise the charter's sections as a checklist because a short-answer question may ask you to list them, and because you build a real charter in the group planning report. Keep the three roles straight (owner has the idea, sponsor funds it, manager runs it) and be able to state the MOV for a scenario. Rehearse the three analysis steps — identify, assess, engage — as a repeatable frame for any case.
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