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.
 Related articles on Designing Buildings Wiki
Featured articles and news
"We can’t sustain low density suburbs, density isn't a choice, it's a necessity." - Read our interview with the award-winning social housing architect Peter Barber.
Conservation area designation can be crucial, but treatment of individual parks varies considerably.
ICE publish new NEC4 Design, Build and Operate contract.
Report states $2 trillion is needed over the next 10 years to fix American roads.
What is the client's strategic brief for construction projects?
Read the story behind the world's most iconic festival stage, Glastonbury's Pyramid Stage.
First ever BREEAM Communities innovation credit is claimed by Temple Farm Development.
Read the story of Ronan Point, another disastrous event which had profound consequences for the construction industry.
CIOB to help conservation specialists gain recognition for their expertise with launch of new Certification Scheme.
A brief introduction to Building Information Modelling - is it the future of construction?
Have a look at Francis Kéré's 2017 pavilion, based on the concept of the tree as a place of shelter.
CIOB announce new commission to assess what more it and the industry can do to tackle build quality issues.
Not only is this building shaped like a teapot, it can rotate 360-degrees.
What is ACM cladding, what is it used for, and is it banned?