What Is The PESTLE Method
The PESTLE method is an extension of the PEST model, but with a few extra analytical dimensions.
While a SWOT analysis (strengths, weaknesses, opportunities and threats has a mix of both internal and external factors to consider, the PESTLE model looks almost totally outwards to look at the environment in which the company exists.
The acronym represents six dimensions:
- Political,
- Economic
- Social
- Technological
- Legal
- Environmental issues
By looking at these six dimensions, the company can attempt to anticipate the future, and changes that may occur, and to plan to protect its interests and to take advantage of opportunities.
Conclusion
The strength of this model is its intuitiveness. It's easy to understand, and not difficult to undertake, but its weakness is that it is completely outward looking, and doesn't take into account current and future organizational capabilities and conditions.
For this reason, it's probably best combined with something like a SWOT model.