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Stakeholders in the Organisation

A "stakeholder" is anyone who has an interest in the value that the organisation creates.

Stakeholders may be:


Every sport and recreation enterprise has "owners". A business enterprise will have shareholders and/or proprietors while a non-profit organisation will have members. In the case of government agencies, the owners will be taxpayers.


Every organisation will have customers of some sort. If the organisation is an association the customers will be its members and participants in its programs.


Commercial organisations provide sponsorship monies and seek in return on their investment in the form of promotion and publicity benefits for their company name and products. Government agencies provide sponsorship to recreation organisations and also seek a return on their investment in the form of benefits for the community in general.

Employees/ Volunteers

Unlike other industries, the sport and recreation industry has a large dependency on volunteers. Non-profit organisations usually have less than five employees and in many cases they function purely with volunteers. It is therefore extremely important to consider the needs of volunteers.

The Community

Every organisation should be honourable in the eyes of the public. Organisations must ensure that their conduct does not fall below the community's expectation. Issues such as athlete doping, poor ethical conduct on the part of coaches and a failure to maintain required safety standards can lead to community outrage.

Other organisations in same sport

Diagrasm depicting the hierarchy of sportParticularly in the sport sector, most organisations will be stakeholders of other organisations that are involved in the same sport but on a different level of the hierarchy (see Figure 2 on right). The relationship between these organisations at different levels is such that are dependent upon one another. A State Sports Organisation must provide value to district organisations and clubs that are constituent to it. At the same time it must provide value to the national sporting body. All organisations are stakeholders of the national body.

Figure: Hierarchical structure of sport

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