The paper 'The Case of Coal Seam Gas Case of Australia' is a great example of a business term paper. World over, it is emerging that more than ever before, more and more people including institutions, organizations, and governments are becoming aware of the need to work towards ensuring sustainability in the environment. It is notable that different activities performed by human beings and that comprise economically and industrialization has continued to cause immense destruction to the world environment. Some of these are catastrophic and cause very serious damage to the environment.
A good example is the latest accident that involved the 2010 BP Deepwater Horizon oil spill and the toxic sludge spill in Ajka Hungary. However, this is not the only activity that can cause damage to the environment such activities as mining and weapon testing are also very destructive to the environment alongside industrialization activities. With this in mind, the public has continued to increase its voice to various organizations to enact laws and value chain activities that are echo-friendly (Dunphy et al 2007). The purpose of this essay is to present the case of coal seam gas case of Australia which has continued to stir a lot of various stakeholders including the government and the mining industry body on how well the various concerns and interests should be addressed and above ensure high-level environmental sustainability activities. It is understood that in almost every project various people and parties are involved and who have different interests.
It is notable however it is the degree of the influence that each stakeholder has that might have an influence on the performance of the project that may be used to determine which management approach to use.
Stakeholder management is a very important aspect of any project. This is because it determines the end result of the project. (Friedman and Miles 2006), stakeholder literature can be classified into three main branches namely: descriptive, instrumental, and normative. The descriptive part of stakeholder theory is aimed at understanding how managers can be in such a way so that they are able to deal with different stakeholders and attend to their interests comprehensively. In this case, the project is seen as a constellation of very diverse interests which can be either direction including competitive and cooperative.
This is theory is especially important in trying to identify ways in which divergent interests of stakeholders can be dealt with. On the other hand, the instrumental approach to stakeholder management theory is concerned with critically analyzing the consequences of taking all the interests of the stakeholders when designing a project strategy. This is especially important in a situation where the organization is trying to determine the relationship that exists between stakeholder interests and the achievement of organizational goals.
The normative approach to stakeholder management theory is concerned with the existing philosophical guidelines which are linked with management activities in an organization. The combination of these three approaches without getting proper acknowledgment is considered to be very confusing even though under correct forums can be very fruitful (Flak & Rose 2005). The coal seam gas project in Australia is one such case of a project that seems to have numerous stakeholders and who are expected to have an influence on the outcome or the success of the project.
Among the stakeholders to this project include the environmentalists, state government, consumers, communities, mining companies, farmers and landowners, farmers associations, and mining industrial bodies. While stakeholders can work either way in that working cooperatively or cooperatively, in the case of coal seam gas, the stakeholder relationship is very competitive as almost all stakeholders have very different interests and whose level of impact varies greatly (Dimovski & Skerlavaj 2004). This, therefore, raises the question, on which is the best approach to stakeholder management can be used to ensure the successful execution of the project.
This is because every action the mining company is likely to take is likely to impact on the stakeholders and the project progress. To effectively forge the way forward with regard to managing the stakeholders is to seek to get approval and apply the three approaches to stakeholders’ management which include a descriptive, instrumental, and normative approach (Friedman and Miles 2006).
Chua CH & Kuechler, D 2005, The evolution of E-commerce research: A stakeholder perspective. Journal of Electronic Commerce Research, 6(4), p. 262-279.
Dimovski V & Skerlavaj M 2004, A stakeholder theory approach to the organisational performance and influence of information-communication technology: Model conceptualisation and testing. Economic and Business Review for Central and South - Eastern Europe, 6(3), p. 245-265.
Dunphy, D., Griffiths, A. and Benn, S. 2007, Organisational Change for Corporate Sustainability, 2nd edition, Routledge, London.
Flak LS & Rose J 2005, Stakeholder governance: Adapting stakeholder theory to e-government. Communications of the Association for Information Systems, 16(31), p. 1-46.
Fraser A 2011, Tanna attacks coal-seam gas critics over inaccurate claims, June 11, 2011 12:00AM, available at:
Friedman, A and Miles, S 2001, “Developing a Stakeholder Theory”, Journal of
Management and Studies, 39/1: 1:21.
Friedman, A and Miles, S 2006, “Stakeholders: Theory and Practice”, Oxford University Press.
Sandi K 2011, Criticism is growing over the rush to approve coal seam gas proposals, Coal Seam Gas: is it too late to Lock the Gate? 27 April, 2011 2:44 am, available at: http://www.independentaustralia.net/2011/environment/coal-seam-gas-is-it-too-late-to- lock-the-gate/
Paddy M 2011, Energy analyst turns up heat on new gas project, October 28, 2011, available at: http://www.smh.com.au/environment/water-issues/energy-analyst-turns-up-heat-on-new- gas-projects-20111027-1mm53.html
Scott J 2012, Rinehart Decries Australian Costs With Africans Earning $2 a Day
Sep 5, 2012 7:14 AM GMT+0300, available at:
SEAN N 2012, Key mines given free rein over aquifers, July 19, 2012 available at:
Sean N 2011, Coal seam gas industry under the microscope, Date August 6, 2011, available at: