What is stakeholder engagement?
Stakeholder engagement is the process by which an organization involves people who may be affected by the decisions it makes, or can influence the implementation of its decisions. They may support or oppose the decisions, be influential in the organization or within the community in which it operates, hold relevant official positions or be affected in the long term. Stakeholder engagement is a key part of corporate social responsibility (CSR) and achieving the triple bottom line. Companies engage their stakeholders in dialogue to find out what social and environmental issues matter most to them about their performance in order to improve decision-making and accountability. Engaging stakeholder is a requirement of the Global Reporting Initiative, a network-based organization with sustainability reporting framework that is widely used around the world. The International Organisation for Standardization (ISO) requires stakeholder engagement for all their new standards. Involving stakeholders in decision-making processes is not confined to corporate social responsibility (CSR) processes. It’s a tool used by mature private and public sector organizations, especially when they want to develop understanding and agree to solutions on complex issues or issues of concern.