SPEST BUSINESS METHOD (Political, economic, social and technological environment) Analysis The external environment of any organisation/university/faculty/department etc. can be analyzed by conducting a PEST analysis. The acronym PEST (sometimes rearranged as STEP) is used to describe a framework for analyzing a range of macro-environmental factors including the political, economic, social and technological environment. A PEST analysis fits into an overall environmental scan that includes the SWOT analysis and McKinsey's 7S model, which is briefly discussed below and also referenced in the document "Preparing a SWOT Analysis." For a unit (referring to any area under investigation, be it an academic department, a research unit, an administrative unit or a support services unit), a PEST analysis should cover: 1. The environment external to the unit but within the UCC, and 2. The external environment outside the UCC, given the national and international profile of the office. The PEST analysis provides the following simple framework: Political Factors Political factors can have a direct impact on the way the company operates. Decisions made by the government influence the operations of units within the university to varying degrees. Political refers to political forces and influences large and small that can affect the performance or options available to the affected unit. The political arena has an enormous influence on the regulation of public and private sector businesses and the spending power of consumers and other businesses, both inside and outside the UCC. Political factors include government regulations and legal issues and define both formal and informal rules under which the UCC and units must operate. Depending on its role and function within the university, a unit may need to consider issues such as: • How stable is the internal/external political environment? • Will government policy influence the laws regulating third level education? • What is the government's policy on education? • Is the government involved in trade agreements such as the Bologna Agreement? • The impact of labor laws • The impact of environmental regulations • Trade restrictions and tariffs • Political stability (internal and external • Decision-making structures Economic Factors All businesses are influenced by economic factors at the national and global levels. Which… ... half of paper ......which measures? • A propensity for action: a propensity to act, even in light of incomplete information, rather than engage in in-depth discussions and analysis • Close to the customer: listen, learn from, and provide exemplary service to its customers---------------------------------------- ------------ -------------------------------------Page 5• Autonomy and entrepreneurship: promote leaders and innovators throughout the organization/department; encourage practical risk taking and tolerate failure • Productivity through people: respect and validation of staff; recognition that staff are the source of quality and productivity gains • Practical, value-driven: led by executives who are 'in touch' with the essential aspects of the organisation; paying explicit attention to the promulgation of the organization's core values ​​• Stick to knitting: operate primarily in fields of established expertise • Simple form, lean staff: characterized by few administrative layers and simple systems • Simultaneous, loose ownership: a combination of centralization and decentralization; promote individual autonomy within the confines of the organization's core values.