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Abstract: The research work focused on analyzing the factors affecting stakeholders' management and the rate of stakeholders' significance impact to the banking industries. The uses of some selected statistical tools were adopted to analyze the objective of this research. From the analysis, it was observed that goodness of fit test and normality test revealed a significance result of 0.000 and 0.038 respectively. The results show that stakeholders' management are highly significance in the banking industry.
Key words: Banks, Stakeholder, management, Normality test, goodness of fit and statistics
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1.0. INTRODUCTION
The term stakeholder firstly "appeared in the management literature in an internal memorandum at the Stanford Research Institute, in 1963" (Freeman, 1984, p. 31). The word means "any group or individual who can affect or is affected by the achievement of the organization's objectives" (Freeman, 1984, p. 46). Bryson (1995, p. 27) proposed a more comprehensive definition for the term: "A stakeholder is defined as any person, group, or organization that can place a claim on an organization's attention, resources, or output or is affected by that output".
The stakeholder theory is a theory of organizational management and business ethics that addresses morals and values in managing an organization. It was originally detailed by R. Edward Freeman in the book Strategic Management: A Stakeholder Approach identifies and models the groups which are stakeholders of a corporation, and both describes and recommends methods by which management can give due regard to the interests of those groups. In short, it attempts to address the "principle of who or what really counts".
In the traditional view of a company, the shareholder view, only the owners or shareholders (or stockholders) of the company are important, and the company has a binding fiduciary duty to put their needs first, to increase value for them. Stakeholder theory instead argues that there are other parties involved, including employees, customers, suppliers, financiers, communities, governmental bodies, political groups, trade associations, and trade unions. Even competitors are sometimes counted as stakeholders - their status being derived from their capacity to affect the firm and its stakeholders. The nature of what is a stakeholder is highly contested (Miles, 2012), with hundreds of definitions existing in the academic literature (Miles, 2011).
The...