How to embed DEI into a PESTLE analysis: Explainer
- Organizational culture change
*Catalyst offers research-backed inclusive workplace solutions
Executive summary
Why your organization should conduct a PESTLE analysis now
Experts across domains agree we have reached a point where change is occurring faster than at any other time in human history, and it is accelerating.1 To adapt successfully to the dynamic forces continuously reshaping the world in which we live and work, your organization requires foresight—what a PESTLE analysis offers.
What Is a PESTLE Analysis?
A PESTLE analysis is a strategic management and business analysis framework that enables organizational leaders to discover and account for current and emergent external forces that are most likely to impact their company.
A PESTLE analysis:
- Identifies macro-level trends and conditions in the following areas:
- Political (P)
- Economic (E)
- Social (S)
- Technological (T)
- Legal (L)
- Environmental (E)
- Can focus on any geographic scope a company decides is most relevant to their operations, such as a region, country, or a new or existing market.
- Can be practiced by employees across areas of the organization.
- Extends the PEST analysis, which has roots going back nearly 60 years.2
Organizations that conduct a PESTLE analysis gain a preview of the future that enables them to capitalize on opportunities and avoid threats. But a PESTLE analysis will not be as effective as possible if your leaders are not looking at it through the lens of diversity, equity, and inclusion (DEI).3
Chief diversity officers and other senior leaders: Use this guide to learn how to conduct a PESTLE analysis that will put your organization on a path to create more inclusive and equitable workplaces and a more inclusive and equitable world.