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Assessing Stakeholder Salience Through the View of Lean Enterprise Transformation

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© 2010 Massachusetts Institute of Technology Sisto 03.08.10

Assessing Stakeholder Salience

through the

view of

Lean Enterprise Transformation

“Second Principle of Lean Enterprise Thinking:

Identify relevant stakeholders and determine their

value propositions”

Successful Enterprises address intangible aspects

of enterprise transformation: values, knowledge,

assumptions shared by relevant stakeholders

Problem and Motivation

Research Question

Do the most salient stakeholders affect all 8

Enterprise Architecture (EA) views?

Hypothesis I: A stakeholder with high saliency will

affect all 8 EA views – either through power,

legitimacy, or urgency.

Hypothesis II: Saliency is context dependent, hence

stakeholder affect on EA views will change

correspondingly.

Gwendolyn Sisto,

S.M. Department of Aeronautics and Astronautics

Research Advisor:

Debbie Nightingale

USAW Distributors Distributor 1 Leadership Customers Industrial Engineer Colombian Business Bureau US Customs Domestic Shipper IT Contractor Competitors US manufacturing policymakers B2B customers Credit/ banking Instituti ons Sta e o de ap as o Ja ua y 0 0 Artisans Gym Affiliate

Method

Results and Analysis

View prescence

None=0 Moderate=1 Strong=2

Implications and Future Work

The most salient stakeholders are inextricably linked

to the Enterprise’s Architecture. Saliency changes

with architecture state. Stakeholder saliency is a

result of EA. Hence, a Lean Thinking Enterprise’s

stakeholders are a result of its predefined EA.

With respect to holistically understanding the

enterprise, LAI ESAT stakeholder methods produce

results in line with stakeholder theory methods such

as NSSI. Next steps are to conduct a case on an

aerospace enterprise with a slower enterprise clock

speed.

Stakeholder Strategy IT Knowledge Product Policy Process Organization Service Strategy IT Knowledge Product Policy Process Organizat Service

USAW 1 0 1 0 0 0 1 0 1 0 1 0 0 0 1 0 Low End 2 2 2 1 1 1 1 0 2 2 2 1 1 1 1 0 High end 2 2 2 1 1 2 1 0 2 2 2 1 1 2 1 2 B2B customers 2 1 1 1 0 1 1 0 2 1 2 1 0 1 1 0 Distributors 0 0 0 0 0 0 0 0 1 1 1 1 0 1 1 0 Distributor 1 0 0 0 0 0 0 0 0 2 1 1 0 1 2 2 0 IT Contractor 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Artisans 0 0 0 0 0 0 0 0 1 2 2 2 1 2 2 0 Industrial Engine 0 0 0 0 0 0 0 0 2 2 2 2 2 2 2 1 Leadership 2 2 2 2 1 2 2 0 2 2 2 2 1 2 2 2 CB Bureau 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 Gym Affiliate 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 OEM 1 2 1 1 2 1 1 1 0 0 0 0 0 0 0 0 0

Stakeholder Strategy IT Knowledge Product Policy Process Organization Service Strategy IT Knowledge Product Policy Process Organizat Service

USAW 1 0 0 1 0 0 1 0 1 0 0 1 0 0 1 0 Low End 1 2 2 1 1 1 1 0 1 2 2 1 1 1 1 0 High end 2 2 2 1 1 2 1 2 2 2 2 1 1 2 1 2 B2B customers 2 1 2 1 0 1 1 0 2 1 2 2 0 1 1 0 Distributors 1 1 1 1 0 1 1 0 1 1 1 1 0 1 1 0 Distributor 1 2 1 1 0 1 2 2 0 2 1 1 0 1 2 2 0 IT Contractor 0 2 1 0 0 1 0 0 0 2 1 0 0 1 0 0 Artisans 1 2 2 2 1 2 2 0 1 2 2 2 1 2 2 0 Industrial Engine 2 2 2 2 2 2 2 1 2 2 2 2 2 2 2 1 Leadership 2 2 2 2 1 2 2 2 2 2 2 2 1 2 2 2 CB Bureau 0 0 1 0 2 0 0 0 1 0 1 0 2 0 0 0 Gym Affiliate 0 0 0 0 0 0 0 0 0 0 0 0 1 0 1 2 OEM 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 State 3 State 4 State 1 State 2

Stakeholder Salience

0

10

20

30

40

50

60

70

80

90

100

1

2

3

4

5

Enterprise State

N

o

rm

al

iz

ed

S

takeh

o

ld

er

S

al

ien

cy

In

d

ex (

N

S

S

I)

USAW

Low End

High end

B2B customers

Distributors

Distributor 1

IT Contractor

Artisans

Industrial Engineer

Leadership

COL Business Bureau

Gym Affiliate

OEM 1

www.ristosports.com

Case Study on Risto Sports

using LAI’s EA framework.

Assess Normalized

Stakeholder Saliency and

map to EA views overtime.

The most salient Stakeholders, in fact, permeate all 8 views, and

saliency is context dependent with enterprise transformation states.

In architecting the future enterprise state, Risto will need to continue

to evaluate stakeholder performance and relevance to EA.

EVSMA 1.0 - For LAI Member Use Only © Massachusetts Institute of Technology 2005

Colombian Business

Bureau

Current to Future State Stakeholder Value Delivery

High

Low

High

C

u

rr

e

n

t P

e

rf

o

rma

n

c

e

Relative Importance to Enterprise

USAW

Distributors

Distributor 1

B2B

Industrial engineer

High End

Customer

s

Artisans

Colombian Business

Bureau

Leadership

Low End

Customers

Gym

Affiliate

Distributors

B2B

Leadership

Low End

Customers

Distributor 1

Gym

Affiliate

USAW

High End

Customers

Artisans

Key:

Present State, EA State 4

Future State, EA State 5

Current State Stakeholder Network Diagram

What makes some Enterprises more Successful

at Lean Enterprise transformations?

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