University of Sydney · FACULTY OF PROJECT MANAGEMENT

PMGT5820 Chap.3 Stakeholders, Communication and Conflict

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Chapter 3 of 9 · PMGT5820

Stakeholders, Communication and Conflict

Stakeholder management during execution links influence, impact, information need and project decisions. This chapter uses power-interest mapping as a starting hypothesis, then corrects it for legitimacy, urgency and harm. It compares sponsor, team, client, supplier and community communication needs and shows how negotiation and conflict resolution protect both learning and stable commitment.

A stakeholder label is not yet an engagement strategy. The manager needs to know which decision is approaching, what evidence the person holds, how the project affects them and what authority or exposure shapes their response. Low formal power does not mean low importance when a group bears safety, access or operational consequences.

Communication must therefore be designed around purpose, channel, timing, ownership and feedback rather than a generic promise to keep everyone informed. Conflict is treated as information about incompatible interests, evidence or authority. The goal is not constant agreement, but a fair route to challenge before commitment and a stable record after the authorised decision.

In this chapter

What this chapter covers

  • 01

    Primary and secondary stakeholders during execution

  • 02

    Power, interest, impact, legitimacy and urgency

  • 03

    Communication designed around decisions and feedback

  • 04

    Sponsor dashboards versus team and client information

  • 05

    Task, relationship and status conflict

  • 06

    Negotiation, dispute handling, escalation and decision logs

Worked example · free

Build a controlled cutover decision

Q [5 marks]. A sponsor wants speed, users fear disruption, a vendor wants one approval route and support staff lack training. Design the engagement and conflict process for a cutover decision. This is original AskSia practice. The marks shown here are not a University assessment scheme.
The grid compares power and interest to set an initial engagement intensity, which must then be corrected for impact, legitimacy and urgency.The grid compares power and interest to set an initial engagement intensity, which must then be corrected for impact, legitimacy and urgency.Keep satisfiedManage closelyMonitorKeep informedInterestPower
The grid compares power and interest to set an initial engagement intensity, which must then be corrected for impact, legitimacy and urgency.
  • +1Map each stakeholder to the decision, impact, influence and information need.
  • +1Give the sponsor a go or no-go recommendation with options and risk exposure.
  • +1Use affected users to test critical workflows and acceptance scenarios.
  • +1Confirm vendor defect ownership and support readiness before commitment.
  • +1Record the decision, material objections, actions and review triggers.
The communication plan should be built around stakeholder decisions and evidence, not one broadcast. Negotiation reframes the timing dispute around service risk, recovery and authority, then records the resulting conditions and owners.
Sia tip — For every communication, name the recipient's next decision and the feedback signal that proves the message was understood.
Glossary

Key terms

Stakeholder impact
The positive or negative consequence a project creates for a person or group.
Engagement strategy
The planned involvement, channel, timing, ownership and feedback for a stakeholder relationship.
Task conflict
Disagreement about the work, evidence or decision that can improve analysis when controlled.
Escalation route
The authorised path for unresolved issues or decisions beyond current authority.
FAQ

Stakeholders, Communication and Conflict FAQ

Why is a power-interest grid not enough?

The grid can hide people with low formal power but high exposure to harm. Add impact, legitimacy and urgency, then ask which decision needs their evidence. Stakeholder position also changes as incidents, approvals and operational effects emerge.

What should a sponsor status message contain?

Use the authorised reference, current variance, trend, cause, forecast, options, recommendation and explicit decision request. Keep detailed operational evidence available behind the summary. A long activity list can be accurate while still failing to support sponsor action.

How should conflict be resolved during execution?

Identify the object of disagreement, the parties' interests, the blocked decision, the evidence and the authority boundary. Choose collaboration, compromise, accommodation, avoidance, direction or escalation deliberately, then document the agreement and linked project updates.

Study strategy

Assessment move

Practise converting a generic stakeholder label into a decision-specific communication design. Compare a sponsor, client, supplier and low-power affected group using the same scenario. For conflict, separate positions from interests and write the evidence that could change each side. Finish by naming what enters the decision log, risk register or change process.

Start with one live project decision, such as approving a revised installation sequence. Create a stakeholder map, then test every placement against impact, legitimacy, urgency and potential harm. Write a separate information need for each actor instead of repeating a standard status report.

The sponsor may need variance, options and a decision request; the delivery team may need dependencies and owners; an affected operational group may need timing, disruption and a route to raise constraints. Specify sender, channel, cadence, feedback route and record. Then introduce a disagreement. Record each party's stated position, underlying interest, evidence and authority boundary.

Generate at least two options and compare effects on scope, schedule, cost, risk, acceptance and relationship. Decide whether collaboration, compromise, accommodation, temporary avoidance, direction or escalation fits the consequence and available time. After selecting a route, draft the short message that records the decision, rationale, conditions and next action without turning disagreement into personal blame.

Review the design when stakeholder influence or exposure changes. This exercise is especially useful for dashboard and presentation work because it forces every communication element to serve a real decision rather than simply display activity. Test the message with a reader who lacks project context and revise any term that conceals the requested action or its consequence.

Working through Stakeholders, Communication and Conflict in PMGT5820? Sia is AskSia’s AI Project Management tutor — ask any PMGT5820 Stakeholders, Communication and Conflict question and get a clear, step-by-step explanation grounded in how PMGT5820 is taught and assessed. Read this chapter free, then take your hardest questions to Sia.

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