Final answer:
Stanley Deetz' Multiple Stakeholder Model is a business framework prioritizing the interests of all stakeholders in organizational decisions, not just shareholders. It encourages a participatory decision-making process and aims to harmonize the competing values of different stakeholders, fostering inclusivity, sustainability, and ethical practices.
Step-by-step explanation:
The Stanley Deetz' Multiple Stakeholder Model is a framework used in business and organizational communication that emphasizes the importance of considering the perspectives and interests of all stakeholders in decision-making processes. Stakeholders are defined as individuals or groups who have a stake or interest in the outcomes of a company's actions, including employees, customers, suppliers, community members, and shareholders. Unlike the shareholder primacy view that focuses only on the interests of shareholders, the stakeholder model posits that a company should balance and harmonize the diverse interests of all stakeholders, facilitating participatory decision-making and policy development. The model recognizes that different stakeholders have competing values and that exploring these underlying values can lead to better mutual understanding and more equitable decisions.
By integrating multiple stakeholder perspectives, the model aims to create more sustainable and ethical business practices. It directly opposes the view that managers should act solely in the interest of shareholders, instead advocating for an inclusive approach that takes into account the welfare of all parties affected by corporate actions. Such a model is particularly relevant in the context of environmental management, urban planning, and other areas where diverse stakeholder knowledge contributes to better understanding of complex issues.