Stakeholder management in construction projects in the Western Cape, South Africa

Abstract

There are many different stakeholders in the Western Cape construction industry. The identification and management of these project stakeholders, who constitute a significant source of unpredictability in construction projects, is one of the key issues that is emerging in the management of construction projects. Only when the capable managers take into account the possible influence of the project's stakeholders can successful construction project management be achieved. The aim of this study was to improve stakeholders' position in construction projects in the Western Cape. In order to achieve this aim, the following three objectives were established: to identify the diverse stakeholders and their interests in construction projects; to rank stakeholders according to their impact on construction projects; and to identify the most important factors in the construction project affecting the stakeholder management process. Stakeholder management was the subject of the literature review. Interviews were conducted with construction industry professionals and a questionnaire survey was distributed amongst them. A project management organization in the construction sector received 100 questionnaires. 86 questionnaires were acknowledged with an 86% response rate. The primary factors affecting the stakeholder management process include: choosing a project manager with extensive experience; openly evaluating alternative solutions; ensuring effective stakeholder communication; establishing a shared goal and objective for the project; and assessing stakeholder needs and expectations. The client, end user, subcontractors, community, and regulators are the primary key stakeholders in the Western Cape construction project. A management structure has been created to direct stakeholder participation in construction projects. This study's key recommendation is that the project management should make use of the stakeholder management processes and approaches when dealing with stakeholders. In order to choose the right stakeholders for the right level of engagement and lower the likelihood of mistakes that can result in improper management of construction stakeholders, a project manager should modify the stakeholder assessment approach used in this study for the identification, categorization, and ranking of stakeholders.