A New Methodology for Managing Effective External Stakeholder Relationships

23 Pages Posted: 24 Jul 2006

See all articles by Alistair Ross

Alistair Ross

Lonmin Platinum

Steve Zaffron

Landmark Worldwide LLC; Vanto Group

Olga Loffredi

Vanto Group, Inc.

Date Written: February 2007


A critical concern of any mining company today is its relationship with the different stakeholder groups impacted by the operational activity - communities, unions, vendors, local partners and competitors, local and federal governments, interest groups and non-government organisations. What ten years ago would have gone unnoticed, now, and even more so in the future, can drastically impact the profitability and even existence of a mining operation.

This paper describes the development and delivery of a new paradigm for creating effective external stakeholder relationships. We report on the actual measurable results of an integrated and highly complex initiative lead by Lonmin Plc. (Lonmin) and Landmark Education Business Development (LEBD) that significantly altered the nature of the relationship with the stakeholders.

Given the nature of the long-term investment required in a mining operation, any breakdowns or surprises in its relationship with external stakeholders brings with it the potential for major loss.

The transformation of executive and senior management and community leadership was required to enable them to be effective in managing this complex set of circumstances.

JEL Classification: L00, F00

Suggested Citation

Ross, Alistair and Zaffron, Steve and Zaffron, Steve and Loffredi, Olga, A New Methodology for Managing Effective External Stakeholder Relationships (February 2007). Barbados Group Working Paper No. 06-04, Available at SSRN: https://ssrn.com/abstract=920182 or http://dx.doi.org/10.2139/ssrn.920182

Alistair Ross (Contact Author)

Lonmin Platinum ( email )

South Africa

Steve Zaffron

Landmark Worldwide LLC

353 Sacramento St.
Suite 200
San Francisco, CA 94111
United States

Vanto Group ( email )

353 Sacramento Street
Suite 200
San Francisco, CA 94111
United States

Olga Loffredi

Vanto Group, Inc. ( email )

Rua Deputado Jose da Rocha Ribas 111 / 802
Rio de Janeiro 22630-000
(55 21) 2491 5243 (Phone)

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