Toni McKee, director of stakeholder engagement at Black Sun Global, explores how to meaningfully connect with stakeholders.

“Stakeholder. Can’t stand that word.” That’s Alastair Campbell in a recent episode of 'The Rest is Politics' podcast. I must admit, I agree with him. It’s not a nice-sounding word. I place it firmly (but lovingly) in my personal collection of pet-peeve words, right alongside ‘luggage’ and ‘moist’. 

At least most people can agree on what a stakeholder is. Investopedia defines a stakeholder as a person or group with an interest in an enterprise. But how does one truly engage stakeholders? And what does engagement really mean? To me, these are million-dollar questions. 

In the UK, companies are required to disclose who their stakeholders are and why they are important to the company. They also need to report how the company builds an understanding of stakeholder interests, needs and concerns, and, ultimately, how they engage with stakeholders – everything from employee surveys and supplier initiatives to community programs and investor meetings. 

But from a broader communications perspective, engagement means so much more. As a lifer in the agency world, I think of engagement as proof your communications have done their job. They’ve created awareness, changed behaviour or sold products – the old-school ways of measuring success.

Google and Adobe have given us the analytical tools to track digital communications. Conversion rates, page views and dwell time are perfectly good ways to measure engagement. Add to that social media listening and media monitoring, and you can create a fairly well-rounded picture of how much time people spend with your content and generally what they think of it. 

But is that enough?

To back up a bit, what is the purpose of engagement? Why is it required for companies to report on how they engage with stakeholders? I suppose it’s a means of ensuring companies are not making decisions that adversely affect the people and lives they touch. 

Historically, companies had only one stakeholder group: investors. But as the world began to change, environmental and social issues began to surface, and regulators started holding companies accountable, it became necessary for companies to acknowledge the impacts of their business on the environment, their employees and the communities where they operate. 

And, as regulations continue to tighten and companies transform themselves, not only to comply but to compete in entirely new market landscapes, they know they can’t get there by ignoring their stakeholders. Regulation won’t allow it. But neither will society at large. 

So, what’s your definition of stakeholder engagement? 

Mine is two-fold. I see engagement as both an extension and a rejection of traditional communications.

Engagement ensures your content lands with the right audience and makes the desired impression. But, where communication seeks to convince stakeholders on the merits of decisions already made, engagement offers stakeholders a chance to influence those decisions in advance – ensuring healthier, happier relationships.

The magic happens when you combine the two. When you use compelling, targeted communications as a method for sparking meaningful two-way dialogue and nurturing relationships over time – that, I believe, is true stakeholder engagement. And the key to achieving positive change.