PESTEL, or PESTLE, is an analysis process to help Marketers, Strategists and leaders get a picture of their target environment.
PESTEL stands for Political, Economic, Social, Technological, Environmental, Legal.
- For each of the PESTEL areas, brainstorm a list of FACTORS: what affects your project?
- Organise each area into a prioritised list; 1 for Political, 1 for Economic,… etc
- Take the top e.g. 6 items in each of the 6 lists, and score the impact.
- Arrange the findings onto a 1-side document format, so that your teams can hold these factors in mind.
By Business Documents UK Ltd Team . Published: 2016/05/15 8:56:25 PM, Last Updated: 2016/05/16 12:04:41 AM Answer URL
PESTEL Analysis is an examination of macro-environmental, external factors to help us understand the environmental context for a Product, Project, Business Area or Organisation.
PESTEL helps us understand the situation our Product operates in, by describing “Factors”.
It involves investigating 6 areas: Political, Economic, Social, Technological, Environmental, Legal (that make the acronym PESTEL).
Take PESTEL further – don’t just make lists!!
Most accounts of PESTEL analysis involve exploring these areas to make lists of factors that are relevant.
We would advise taking it 1 step further, prioritising and then scoring the impact of your factors, in order to best inform your plans and keep your team aware of its operating environment.
Plotting the impact of your PESTEL factors informs your PESTEL Product Strategy
- Brainstorm the FACTORS:
- Organise the list of items you have made for each area with most important at the top.
- Don’t spend too long at this stage.
- Just make rapid lists.
- Focus on the most important:
- Take the top 6 items in each of the 6 lists.
- Score the impact: Low, Medium, High.
- Present it:
- Arrange the findings onto a 1-side document format.
- Promote it, so that your team bears these factors in mind.