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Managing Complex Stakeholder Networks

Join our panel of experts, including Brian McCarthy, Program Management Consultant at CDM, and John O'Neil, General Manager of Johnson County Wastewater, as they explore the intricacies of managing complex stakeholder networks. This session will cover the reasons behind stakeholder complexity, define what constitutes a stakeholder, and discuss effective strategies for engagement and collaboration. Gain valuable insights to enhance your stakeholder management skills and improve project outcomes in today's multifaceted environment.

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Managing Complex Stakeholder Networks

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  1. Managing Complex Stakeholder Networks

  2. Panelists Brian McCarthy Program Management Consultant, CDM John O’Neil General Manager, Johnson County (KS) Wastewater
  3. Outline Background – why complexity? What or who is a stakeholder? Who are the stakeholders for water infrastructure projects and programs & what are their attributes? Why is stakeholder management complex? How can we approach stakeholder management as a complex problem? What tools can help us manage the complexity? Questions and Discussion
  4. Johnson County Wastewater Operates as a department of Johnson County government under the Board of County Commissioners through the County Manager’s Office.  Operates six major treatment facilities, one lagoon facility, 30 stand alone pump stations, two combined pump and remote wet weather treatment facilities and two remote wet weather treatment facilities. Average flow treated is 63 MGD
  5. Johnson County Wastewater Number of accounts is about 133,000 constituting more than 90,000 properties Area served is 158 square miles Almost 2,200 miles of service line including 60 miles of pressure main Workforce of 218 FTE’s Operating budget of $35,400,000 (2010) Capital revenue budget of $37,800,000 (2010)
  6. Metropolitan District of Hartford, CT Sewer population of 300,000 1,200 miles pipe 4 treatment plants $19 million capital budget (2010) Municipal corporation providing water and sewer service to greater Hartford , 8 member towns Governed by a 29-member board (appointed) Water 2 reservoirs 100,000 water customers 1,600 miles of water main $69 million capital budget (2010)
  7. Clean Water Project $2 billion+, 15-year program to address Combined sewer overflows Sanitary sewer overflows Biological nutrient removal Projects include Sewer separation Sewer rehabilitation & lining Storage tunnels & consolidation conduits Treatment plant capacity increases, process improvements
  8. Stakeholder Apparently contradictory meanings / history Neutral third party holding the wager Someone with an economic interest Usage grew in the 80’s & 90’s, particularly in discussions of corporate governance
  9. Stakeholder Person or organization (e.g. customer, sponsor, performing organization, or the public) that is actively involved in the project or whose interests may be positively or negatively affected by execution or completion of the project. A stakeholder may also exert influence over the project and its deliverables. Project Management Institute, PMBOK Guide
  10. Stakeholder Management Identifies how the program will affect stakeholders and then develops a communication strategy to engage the affected stakeholders, manage their expectations, and manage acceptance of the objectives of the program. Project Management Institute, Standard for Program Management
  11. Who Are the Stakeholders? Other county departments: Human Resources Budget Office Office of Financial Management Environmental City planning director Chamber of Commerce Developer School District State Restaurant Association Consulting engineer to developers (2) Residential customer City wastewater manager City engineer Apartment association manager Water utility elected official Home Builders Association Board of County Commissioners Chairman Regional Association of Realtors Institute of Real Estate Management Homes Associations
  12. Stakeholder Dynamics Interests are divergent Support and ability to impact vary Their level of interest or the effects on them can vary over time Dynamics and relationships exist outside of your program
  13. Challenges Avoiding damaging conflict Expansion of JCW service area. Maintaining Effective & Efficient Communication Keeping up with changes in relationships
  14. So . . . Is this just complicated or is it complex? Complicated – a system of connected, diverse, interdependent parts that are not adaptive Complex adaptive system – a collection of adaptive, diverse, connected entities with interdependent actions. Scott Page – Understanding Complexity
  15. A system can be considered complex if its agents are: Diverse Connected Interdependent Adaptive
  16. Landscapes as a metaphor for complex systems - Simple – Mt. Fuji
  17. Landscapes as a metaphor for complex systems - Rugged – The Rockies
  18. Landscapes as a metaphor for complex systems - Rugged landscapes become dancing landscapes when interdependence and adaptation are added Complex systems are dancing landscapes Let’s explore how we can use this metaphor, and some additional insights from complexity theory, to better understand and manage stakeholder relationships
  19. Network ModelsHierarchical Org Chart
  20. Network ModelsHub-Spoke
  21. NetworkModelsFree-form map
  22. Network Components Nodes – represent actors or agents in a network Edges – represent the relationships or connections between the agents Each of these have characteristics or properties that we can describe and use to further analyze the network
  23. Social Network Analysis Formal representation of the patterns of interpersonal relationships: sociograms Can be mapped with nodes as actors and edges as exchanges Mathematical analysis developed and applied Long history in social sciences New application in engineering and construction Explore connections between network stability, project success and stakeholder familiarity (Chinowsky, et al)
  24. Social Network Analysis Model the diversity of the network using the properties of the nodes Shape, color, text, photos, size, etc. to represent: Power, impact, influence, location, organization, ability to adapt, communication style, etc. Model the characteristics of the connections and interdependencies of the nodes using the properties of the edges Length, color, arrows, width, style, etc to represent: Physical distance, communication flow, frequency of communication, strength of relationship, etc.
  25. Social Network Analysis
  26. Social Network Analysis Engineering Regulatory Agency
  27. Social Network Analysis Powerful insights See same stakeholders in different contexts Project phase Specific Issues Changes over time Do we need to change the connections? Do we need more or less diversity in the network?
  28. Value of Modeling Stakeholders as a Complex System We learn a lot just by building the model Interventions: “Taming a lion” vs. “Poking a tiger with a stick” Models of complex systems may not be able to predict specific outcomes, because we can’t predict the adaptations that will occur Can help us focus energy and resources to make and keep network robust Map to other tools, e.g. WBS, schedule
  29. Discussion What are some of the challenges to acceptance of a complex systems model for stakeholder management? How do we avoid being perceived as crossing the line into stakeholder manipulation? Other questions
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