What is stakeholder analysis in project management?

Stakeholder analysis is a critical aspect of project management that involves identifying individuals, groups, or organizations that may impact or be impacted by a project. Understanding stakeholders' expectations, interests, and influence is essential for the successful execution and completion of a project. By conducting a thorough analysis, project managers can prioritize stakeholders based on their level of influence and interest, enabling more effective communication and engagement strategies.

This process allows project managers to gauge potential support or resistance from stakeholders, adjust project plans accordingly, and ensure that stakeholder needs are addressed throughout the project lifecycle. Effective stakeholder analysis also helps in risk management, as it highlights stakeholders' roles in potential project risks and opportunities, aligning their expectations with project objectives.

In contrast, determining project timelines and budgets focuses on scheduling and resource allocation and evaluating project success against industry standards measures outcomes post-completion, while managing project risks effectively relates to identifying and mitigating risks in project execution. None of these options encapsulates the comprehensive understanding and engagement of stakeholders as effectively as stakeholder analysis does.