Page 31 - DMGT401Business Environment

Business Environment

Notes (i) Housing trends
(j) Fashion & role models
(k) Age profile
(l) Attitudes to career
4. Technological

(a) What changes may be coming our way?
(b) What new technology/systems?
(c) How do we record attendance, performance? how might this change?
(d) Use of and encourage home working?
(e) Communications technologies

(f) Changes of technology that will increase/reduce the need for recruitment
(g) Changes to HR software
5. Legal
(a) What is happening in our sector that will impact what we do?
(b) Minimum wage,

(c) Working time,
(d) Food stuffs,
(e) Under 18 working,
(f) Occupational/ industrial Training etc.
(g) What changes will impact the services of the organization?

6. Environmental
(a) Staff morale
(b) Staff engagement
(c) Need to reduce storage needs
(d) Management attitudes (inside dept/ function)

(e) Organizational culture

1.3.4 Social, Legal, Economic, Political and Technological (SLEPT)
Analysis

It is important to 'scan' the external environment before creating business plans or when
evaluating existing ones. Doing this takes the form of a SLEPT analysis and thus there is a
scanning or an investigation of the Social, Legal, Economic, Political, and Technological influences
that can be or likely to be on a business. It is important that you should be aware of the actions
of your competitors in business.

Social factors relate to the pattern of behaviour, tastes, and lifestyles. A major component of this
is a change in consumer behaviour resulting from changes in fashions and styles. The age
structure of the population also alters over time (currently we have an ageing population). To
give your business a better shape it is better to have a good knowledge of the social factors
around you.

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