- PESTEL analysis is used to conduct a structured investigation of the external environment in which the organization (or change target) operates
- This involves consideration of the political, economic, social, technological, environmental (ecological), and legal environment as they pertain to the organization (or change target)
PESTEL analysis (one page)
When to use?
- PESTEL analysis is a useful strategic planning tool
- In the context of change, it is conducted in the early planning phases such as during the gap analysis; this ensures that decisions regarding the ideal (future) state take into account the broader environment in which the organization (change target) operates
What Next
- The results of the PESTEL analysis may be used to inform the decisions about the desired future state as well as plans for individuals and teams affected by the change
- If conducted prior to a SWOT analysis, the results of the PESTEL analysis provide insights on their opportunities and threats
Include in Module
Tool Category