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Logical Framework Approach

Annex 1: Stakeholder Analysis Process

It is important to involve as many stakeholders as possible in the analysis, including those likely to be negatively affected. It is important not to skew the analysis by only including the most visible, voluble or easiest to access. It is better to expand the selection rather than run the risk of excluding someone or some group with a key interest in the Activity.

Stakeholder analysis often distinguishes between primary and secondary stakeholders. Primary stakeholders are those directly affected (e.g. the Activity beneficiaries).

A variety of techniques can be used either individually or collectively to gather the information for the analysis, such as workshops, focus group discussions, individual interviews and various Participatory Rapid Appraisal (PRA) techniques.

Stakeholder analysis involves five main steps:

1. Identify the general development problem that needs to be solved.
2. Identify all the stakeholders who have an interest in the problem/desired outcome (both positive and negative).
3. Assess importance of each of these stakeholders to the problem and their capacities to influence it.
4. Identify possible co-operation and conflict between the different stakeholders.
5. Use an appropriate tool to analyse and represent the information.

There are a number of possible tools that can be used to represent information gathered in a stakeholder analysis. These include:

• Stakeholder Matrix
• SWOT Matrix
• Venn Diagram
• Spider diagram

Stakeholder Matrix

This is a table that can be adapted to show different characteristics of the various stakeholders. The stakeholders are listed in the first column of the table. Each subsequent column summarises their likely position in relation to particular criteria.

Diagram 4: Example of a simple Stakeholder Analysis Matrix for a maternal mortality Activity

Stakeholder	How affected by the Problem	Capacity to Address Problem	Motivation to Solve the Problem (+ or -)
Poor rural women	At risk during childbirth	Limited because of poor quality health care services	High +
Traditional birth attendants	Unable to access formal health care services but directly involved in most deliveries	Limited with existing knowledge and resources	Mixed: concerned about possible loss of status but interested in increased knowledge/resources

Diagram 4 shows just one set of criteria that could be analysed. In different circumstances other columns could be added to deal with other issues, such as the level of influence of a certain individual or group.

Stakeholder analysis seeks to identify and better understand the different viewpoints. Sometimes this may lead to a decision to not proceed or substantially modify the Activity. It is important to subdivide stakeholder groups (e.g. men and women, or older and younger community members). The NZAID Gender Policy requires all data to be gender disaggregated.

SWOT Matrix

This is used to help analyse the internal strengths and weaknesses of a development situation or an organisation.

Diagram 5: An example of a SWOT Matrix (as applied to a grassroots organisation)

Strengths	Weaknesses
Grassroots based organisation with quite broad membership Focussed on the specific concerns of a homogenous group Good gender balance Experienced in managing small scale donor funding	Limited management structure No formal legal status and documentation of policies, mission etc. Weak linkages with other organizations Internal disagreements of the best strategy for addressing…
Opportunities	Threats
Growing public support for changes to current practices New legislation being drafted on…	Strong commercial interests opposing Widespread abuse of existing laws related to…

Venn Diagram

This uses a series of circles to show the relationships between different Activity variables, such as stakeholder groups. The size of the circles represents the relative power or influence of the group and their spatial separation shows the working connections between them. Venn diagrams can be used in PRA (Participatory Rapid Appraisal) exercises to help stakeholders visualise their relationships and roles.

Spider diagram

A Spider diagram is used to provide a visual representation of the relative importance of different Activity variables.