Pestle analysis
PESTLE is list of areas that can be analysed to help assess the position of a business in relation to external factors. These are factors that may have implications on its trading abilities in both the long and short term.
A PESTLE analysis can form part of a risk management strategy. When a PESTLE analysis is undertaken by a business, a short report is generally prepared highlighting any possible implications on future trading potential, setting out both opportunities and threats.
The acronym PESTLE stands for:
- Political: For example, a change in government is likely to have an effect on the construction sector.
- Environmental: Such as the impact of a government target to cut emissions.
- Social: An ageing population and an increase in requirements for single person homes may impact on the types of buildings required.
- Technological: Advances in broadband technology, or the adoption of BIM may change the ways we work.
- Legal: Planning legislation, building regulations, case law and so on.
- Economic: Government spending has historically been used to regulate the economy, with significant impacts on construction.
This is a variation on PEST analysis which is restricted to Political, Economic, Social, and Technological influences.
[edit] Find out more
[edit] Related articles on Designing Buildings Wiki
Featured articles and news
Delayed, derailed and devalued
How the UK’s planning crisis is undermining British manufacturing.
How much does it cost to build a house?
A brief run down of key considerations from a London based practice.
The need for a National construction careers campaign
Highlighted by CIOB to cut unemployment, reduce skills gap and deliver on housing and infrastructure ambitions.
AI-Driven automation; reducing time, enhancing compliance
Sustainability; not just compliance but rethinking design, material selection, and the supply chains to support them.
Climate Resilience and Adaptation In the Built Environment
New CIOB Technical Information Sheet by Colin Booth, Professor of Smart and Sustainable Infrastructure.
Turning Enquiries into Profitable Construction Projects
Founder of Develop Coaching and author of Building Your Future; Greg Wilkes shares his insights.
IHBC Signpost: Poetry from concrete
Scotland’s fascinating historic concrete and brutalist architecture with the Engine Shed.
Demonstrating that apprenticeships work for business, people and Scotland’s economy.
Scottish parents prioritise construction and apprenticeships
CIOB data released for Scottish Apprenticeship Week shows construction as top potential career path.
From a Green to a White Paper and the proposal of a General Safety Requirement for construction products.
Creativity, conservation and craft at Barley Studio. Book review.
The challenge as PFI agreements come to an end
How construction deals with inherited assets built under long-term contracts.
Skills plan for engineering and building services
Comprehensive industry report highlights persistent skills challenges across the sector.
Choosing the right design team for a D&B Contract
An architect explains the nature and needs of working within this common procurement route.
Statement from the Interim Chief Construction Advisor
Thouria Istephan; Architect and inquiry panel member outlines ongoing work, priorities and next steps.
The 2025 draft NPPF in brief with indicative responses
Local verses National and suitable verses sustainable: Consultation open for just over one week.