Mining Stakeholder Analysis Using Discrete Choice Theory: A Case Study in Salt Lake City

"This research sought to facilitate improved stakeholder (community) analysis using discrete choice theory (DCT). The work considered 16 project attributes and four demographic factors. The discrete choice experiment was conducted in Salt Lake City, Utah to illustrate the usefulness of DCT in mining stakeholder analysis. The data was used in discrete choice modeling of individual preferences. The approach answers three important questions for enhanced stakeholder analysis: (1) What are the factors that affect individual preferences? (2) What is the effect of demographics on individual preferences? (3) What is the value of environmental and social impacts to individuals in the community? INTRODUCTION Stakeholder analysis is crucial for effective stakeholder engagement because it is important to identify and characterize stakeholders in order to effectively engage in dialogue with them. This is not only true for all stakeholders but true for characterizing the members of a particular stakeholder. The local community is usually the largest and most diverse single stakeholder group. Also, the local community is perhaps the most important stakeholder group. Thus, analysis of the local community is essential for project management. Conventional mining stakeholder analysis is a three-step process, which involves evaluating: (1) each stakeholder’s view of the project (positive, neutral, or negative); (2) how influential each stakeholder is (high, medium, or low); and (3) how they will be impacted by the project (high, medium, or low) (ICMM, 2012). The results of this evaluation are documented in a stakeholder analysis matrix (Table 1), which is used to classify the stakeholders into three groups: highly influential supporter of the project, neutral about the project, and highly influential opponent of the project. This process can be used to describe groups of stakeholders (e.g. community, non-governmental organizations, etc.) or individuals making up a particular stakeholder group (e.g. members of the local community)."