September always makes me think of back-to-school time, which is fitting, because I learned a lot myself during the recent ASAE Conference. One presentation was about building a PESTEL approach, or strategically using analysis to understand external industry forces, conduct a member-needs assessment and drive Board initiatives to shape a strategic plan. Strategic planning is no longer seen by many as a three-to-five year plan. Things change too rapidly now. Instead, there is a need for annual reassessment rather than simply sticking with the old model.
So, what does “PESTEL” stand for? Political, Economic, Social, Technological, Environmental, Legal. If you look at your organization’s plans through the lens of all six of these external influences, you can analytically make a more informed plan for its future. A PESTEL plan will allow you to anticipate challenges, align organizational goals with customer needs and create courses of action.
Here is how to build a PESTEL approach, according to session leaders Julia O’Connor, Vice President of Membership and Communications at the International Association of Movers, and Alanna McKee, founder and CEO of Scarlet Oak Consulting:
- Establish a continuous “environmental scanning” process: Conduct ongoing monitoring of information rather than a one-time research project
- Leverage your customer network: Those within your own organization may be your most valuable research asset
- Use a mix of data sources: Consider a range of primary and secondary sources when it comes to research
- Prioritize and connect your findings: Make your data actionable and link your research directly to your strategic goals
All in all, it is important to remember that a strategic plan isn’t meant to be set in stone. Let it be adaptable as the world around your company evolves. Make sure your Board, if you have one, is focused on long-term trends as opposed to reacting to short-term “noise.” Ensure your data is qualitative and quantitative. And finally, always link back to strategy.
Thanks to the session presenters for making more known about this topic!
