Ideal company - stakeholders section

An ideal company has highly efficient stakeholders’ relationships management (SRM) system. So efficient, in fact, that it can be rightfully called a shareholders focused organization.

To maximize its performance and financial value, an ideal company needs to satisfy the aggregate needs – financial, functional and emotional – of its stakeholders. To the fullest possible extent – or at least better than any of its competitors.

In other words, to create the maximum amount of aggregate value - financial, functional and emotional – for its stakeholders. Which means that it can be rightfully called an aggregate value focused organization.

However, this aggregate value thing goes both ways. Because you would want all of your stakeholders to create the maximum amount of aggregate value for your company as well. This is called the external corporate harmony principle.

Therefore, an ideal company must (a) assemble the optimal portfolio of corporate stakeholders; (b) get to know needs and desires of these stakeholders; (c) satisfy the aggregate needs of your stakeholders to the highest possible extent – and definitely better than your competition and (d) make sure that your stakeholders satisfy your aggregate needs.

And – as perception is the only reality – you need to make sure that you properly communicate superior value of your unique value to your stakeholders.

A very important SRM component is careful expectations management. Which means that an ideal company must (a) create high aggregate value expectations by its stakeholders; and (b) always slightly exceed these expectations.