tutorsindia (2)

1
CREATING A STRATEGIC BUSINESS PLAN USING PESTLE
ANALYSIS
An Academic presentation by Dr. Nancy Agnes,
Head, Technical Operations, Tutors India
Group www.tutorsindia.com Email
info_at_tutorsindia.com
2
Today's Discussion
Introduction Conducting a PESTLE Analysis
Political Economic Social Technological Legal
Environmental Conclusion
OUTLINE
3
INTRODUCTION
A key management approach that is effectively
being used within most modern organizations is
Strategic Planning. It has continuously enjoyed
top rankings amongst five of the most popular
approaches that have been adopted by managements
across the globe .
4
Typically, it has been considered as an approach
adopted to formulate strategy, strategic
planning comprises of components such as a)
evaluation of the mandate of the organization,
values and mission, b) analyzing an
organizations internal and external
environment, and c) identifying strategic issues
on the basis of such analysis and developing
strategies, plans and goals to tackle any issues
. When an organization is keen to realize a
preset goal, it is expected to formulate an
effective strategy to achieve it. The strategy
has to be such that it establishes priorities,
fixes a time duration, allocates resources,
formulate mechanisms for control, allocate human
resources and it also needs to comprise of
guidelines as to the manner in which every aspect
will be tackled to realize a particular goal in
the most appropriate manner.
5
Though the organization might be very reputed,
would be having a skilled and committed team,
the question here would be whether any strategies
formulated might be of use or not? Its quite
simple, all the organization needs to do is
conduct a PESTLE analysis
6
CONDUCTING A PESTLE ANALYSIS
For those who are clueless, a PESTLE analysis
essentially would refer to executing an audit of
an organizations environment which facilitates
the process of planning and helps in arriving at
strategic decisions. It is understood that in
case an organization is in a position to audit
their present environment and evaluate probable
changes, they will be in a better position than
their competitors to respond to changes .
7
The analysis would generally determine the most
probable events that might have an impact on the
organization.

• Each of the factors from PESTLE Political,
  Economic, Social, Technological, Legal,
  Environment would have an impact on the business
  plan.

8
POLITICAL
This factor would present the manner and level to
which the political environment of a region
would impact the economy and some
organization. This might be at the local, state
or national level. Existing considerations
within the market that might influence the
organization would comprise of factors such as
probable change in government, instability in
the government owing to the balance of power,
altering policies of business and
superannuation, laws pertaining to tax, labour
related laws and trade limitations.
9
ECONOMIC
This factor would pertain to aspects that are
distinct to the economy and have a direct impact
on the organization. Factors that could
influence the strategic plan of an organization
would comprise of rate of interest, rate of
exchange, rate of inflation, prices of property
and economic growth as well. Economic aspects
would also refer to economic factors of the
organizations geographic area.
10
SOCIAL
This factor essentially comprises of demographic
factors which would be inclusive of rate of
growth of population, gender and age
distribution of population, cultural facets and
changes in social behaviours. For instance
lately social media is being extensively
utilized to discuss about products and
services. Several of these aspects might make an
impact on the manner in which organizations
conduct their businesses with their customers
and the techniques used for interacting with
them.
11
TECHNOLOGICAL
The technological factor would refer to the rapid
changes that occur in the domain of technology,
technological research and development
initiatives and automation. Such factors are
instrumental in driving decisions for
outsourcing, efficiency and quality
considerations. For example use of smart
phones, artificial intelligence, emergence of
location based searching, skype meetings or
mobile internet for that matter. Over the period
of the past three decades, the massive changes
that have occurred in the domain of technology
has hugely impacted all industry sectors and the
speed and level that this will occur only stands
to show an upward trend.
12
(No Transcript)
13
LEGAL
Legal factors would pertain to every law that is
directly linked with the organization and their
domain of activity. For instance laws on
privacy, consumer protection laws, employment
laws and laws against discrimination could
certainly influence some aspects of an
organization. Note Get the best LLM
international law thesis writing online
help. Read blog Titles for International Public
and Private Law in Dissertation
14
ENVIRONMENTAL

• The environmental factor draws reference to every
  factor that is directly linked with, determined
  or influenced on the basis of the natural
  environment where the organization
• is located.
• This would comprise of weather and natural
  disasters, climate changes, geographical
  position and sustainability.
• For instance if the location where the
  organization is situated is subject to extreme
  weather conditions, it would definitely make a
  negative impact on the organization.

15
CONCLUSION
All the above said factors are intricately
associated with the business and it would do
well for an organization to carry out an PESTLE
analysis. The analysis will help them to
understand their external environment and then
they can formulate strategies to tackle them
while creating their strategic plan. Tutors
India Uk is the 1 Academic Writing
Assistance Brand in offering any Business,
Management and Marketing research paper or any
types of content which offers the core research.
16
CONTACT US
UNITED KINGDOM 44-1143520021 INDIA 91-444813707
0 EMAIL info_at_tutorsindia.com