Stakeholders are groups of people who have an interest in a business organisation. They have an interest in the business and can also influence the way business functions. There are two types of shareholders and they are internal and external stakeholders. Internal are those people who are the members of the business organisation, this means that University Hospital of Coventry and Warwickshire consists of many internal stakeholders and they are managers, owners, shareholders, employees. Some people can be both internal and external stakeholders like the staffs or shareholders because they are also local residents. University Hospital of Coventry and Warwickshire has different types of stakeholders and they are: Employees – people that work within the business. Their stake is that the company provides them with a livelihood. They seek security of employment, promotion opportunities and good rates of reward. They may also want to work for a company that they are proud of. Employees are internal to the business. These are the people who work at the hospital in the different departments. If they enjoy their work and are motivated therefore they provide a good service to their patients free of charge.
Suppliers – They want steady orders and prompt payment. They also want to feel valued by the company that they supply. Suppliers are external to the business. University Hospital of Coventry and Warwick will have lots of suppliers to provide good service to their patients. The suppliers need to be sure of the things that they are supplying to the hospital because they don’t want to go back with some properties because this would cost them money and also waste their time. Also they need to built their trust with the business so that they know when to pay them and not to be late on the payment Pressure groups/unions – These represent the interests of groups of employees. They seek to secure higher wages and better working conditions for their members. These are external to the business.
Government – They are the stakeholders who control and give funding to the hospital. They always want the business to be successful and to be able to create jobs and also pay taxes. Government is external to the business. Local community – These are the community that live around the hospital and use its healthcare services. The actions of a business can have a dramatic effect on communities. Local community is external to the business. Patients – These are the people who use the healthcare services in the hospital. They might just be there for an appointment or they might be overnight or longer, it depends on their treatment. They demand to have a good service that they are happy with so that they can influence the government to help the hospital to improve their services and facilities even more.
Owners – people that own the business. This may be a sole trader or a partnership. In a company it would be the shareholders. Owners are always considered as the most important stakeholder because they might have put a good part of their life into setting up a business. Owners are internal to the business. Tesco is a Public Limited Company therefore it is owned by several partners. Employees – people that work in Tesco in the different departments. Employees are internal to the business. Suppliers- Tesco will have lots of suppliers to provide the materials for the goods they sell. Suppliers are external to the business.
Customers – They influence the business by buying products of interest so therefore they influence Tesco’s product choice. They also want the company to produce high quality and value for money products. They are happy to se improvements that give them a better value for money e.g. sale. Customers are external to the business. Trade unions – They represent the interest of groups of employees. They seek to secure higher wages and better working conditions. Community – May often provide many of the firms the staff and customers. Sometimes they can feel aggrieved by some aspects of what firm does. The business can often supply goods and services vital to the local area.