Stakeholder Due Diligence Analysis

A Stakeholder Due Diligence analysis assesses attitudes toward a project or company in terms of the level of social license to operate (SLO) that external stakeholders grant to the client or its local operations. All else being equal, a higher SLO level signifies reduced socio-political risk and/or increased opportunity, reflected in a lower probability that operations will be delayed or disrupted by purposive stakeholder actions such as onsite protests and the withholding of critical resources such as labor or a higher probability that stakeholders will offer new opportunities for shared value creation. As part of the analysis, we also (1) identify the main issues of concern to different stakeholders and (2) assign stakeholders to strategically relevant categories based on their attitudes, issue positions, issue sensitivity, linkages to other stakeholders, and influence power. We use this information to design customized socio-political risk management strategies including such actions as the construction or reinforcement of specified coalitions and the development of effective “frames” for communicating with different stakeholders.

A Stakeholder Due Diligence analysis includes four parts:

>> Data Collection

>> Data Analysis

>> Report and Database

>> Workshop



For an example of such an engagement see the presentation of our work for Anglo Gold Ashanti at the 2013 Indaba Conference here or the animated powerpoint presentation here. (Note that data are anonymized to protect confidentiality.)