The use of pestle analysis in organizing the activities of an enterprise. PEST analysis of the external environment of the enterprise

Tikhomirova Anastasia, Kom-322

SWOT and PEST analysis using the example of MAGAZIN No. 6 LLC “Household Goods”

The object of the study is LLC Store No. 6 “Household Goods”. Limited Liability Company Store No. 6 “Household Goods” was created by transformation in accordance with the requirements of the Civil Code of the Russian Federation and the Federal Law “On Limited Liability Companies” from the Limited Liability Partnership Store No. 6 “Household Goods”, registered by decree of the head of the administration of the Sovetsky district of the city. Chelyabinsk No. 1802 dated November 5, 1992.

LLC Store No. 6 "Household Goods" uses a special tax regime - a single tax on imputed income.

SWOT analysis.

The main problems of the Household Goods store are rising costs, which leads to a decrease in profits and profitability of production. Lack of storage space reduces the store's turnover rate.

The increase in purchase prices for products is due to high inflation rates, rising gasoline prices and the euro exchange rate on the world market. At the same time, the Household Goods store has internal resources, among which the main ones are the qualified personnel of the enterprise and the presence of permanent suppliers. As a result, the Household Goods store, despite the crisis that began in 2008, is profitable.

The weakness compared to competitors is that the company is not a serious competitor.

PEST analysis

According to the PEST analysis, the Household Goods No. 6 store will not have problems with hiring staff, high taxes and unfair competition, but on the other hand, the share of energy costs is high, and the overall economic downturn also negatively affects the store’s activities.

Ogilvy also strongly emphasized the need for research for successful promotion in the market. Knowledge of what is happening in and around the company certainly makes the path to the top of the market easier. One of the classic ways to analyze a company's external environment is PEST analysis (sometimes also called STEP analysis).

This technology allows you to evaluate the environment according to four different aspects: political, economic, socio-cultural and technological. This allows you to look at the situation from different angles and analyze what is happening more deeply.

It should be remembered that when conducting an analysis, it is necessary to take into account not only the current situation on the market, but also its forecast for the next three to five years, this will allow you to adjust the company’s development strategy.

So, in conducting a PEST analysis, the following stages can be distinguished:

1. Identification of factors influencing the company’s activities, especially those related to making a profit

2. Collection of information about these factors and forecasts for their changes

3. Identifying the significance of each factor

4. Compiling a PEST analysis table

To get the most full picture Don’t limit yourself to your own opinion, find out what experts think about what’s happening in the market, check the opinion of those who directly work with clients, find out what experts in related fields think about the situation. Carefully study the available publications in the press; foreign experience may be useful.

Having identified the factors influencing your business, distribute them into four groups. Political factors include factors related to both the foreign and domestic policies of the country, as well as various legal acts directly or indirectly regulating your activities. It is necessary to consider whether legislation will change in the near future, and what impact this will have on the company’s activities. For example, political factors include the recently introduced sanctions, which affected many areas of the economy at once.

You should also consider:

• degree of government intervention in your industry
• level of corruption of officials.
• stability of power of the existing government
• main policy trends.

The next group of factors are economic. In this group of factors it is necessary to distinguish macro- and microeconomic factors.

It is necessary to assess the general situation on the market, for this it is necessary to answer the following questions:

• Is a crisis or growth expected?
• How high is the unemployment rate?
• How do exchange rates change?
• what is the average per capita income?
• How high is the inflation rate?
• What are the trends in the banking industry?

Socio-cultural factors have no less influence on the work of the company. They reflect not only socio-demographic characteristics, but also the mood in society, traditions and cultural characteristics consumers.

In this field you need to select:

• how the population size, racial composition, gender and age characteristics change.
• cultural characteristics
• level of education of the population and trends in its change
• social structure of society
• fashion trends in various areas, popular “memes”, etc.

The last group of factors is technological. The structure of the modern world is largely determined by speed technical progress. If you don’t keep up with him, you may well find yourself out of work. Of course, some industries are more technologically advanced, others less so, but all are affected by this.

In this group you need to pay attention to:

• the impact of mobile technologies on the industry
• influence of the Internet on the market
• innovations in the field, new technologies and materials.
• development of other information technologies
• speed of development scientific and technological progress in the country.

After identifying the factors and entering them into the appropriate cell of the table, it is necessary to evaluate their strength of influence on a scale from 1 to 3.

1 - low impact, has virtually no impact on the company’s activities

2 - only significant changes in the factor affect the company’s profit

3 - high degree of influence, any changes have an impact on the company.

This assessment is subjective. Factors that do not affect the company are not included in the table.

After this, it is necessary to obtain an expert assessment of the probability of a change in the factor. Several people with direct experience in the industry should be invited as experts. The likelihood of change is assessed on a five-point scale; after receiving expert assessments, the average score is calculated. Afterwards, you need to calculate the overall average score by adding up all the average grades.

Next, the weight-adjusted factor score is calculated. To do this, the average expert assessment is multiplied by the degree of influence of the factor, and the result is divided by the sum of average scores expert assessments. The higher the obtained coefficient, the more influence must be given to this factor. Next fill in pivot table PEST analysis, in which factors are listed in descending order of weight.

Afterwards, it is necessary to write down the consequences of changing the factor and the actions that the company will take in this case to minimize the damage.

There are various modifications of PEST analysis, the most popular of which are: PESTEL, PESTELI, STEEP and LONGPEST. Typically, such an extended version of the analysis allows you to analyze other aspects of the brand environment. So PESTEL, in addition to standard ones, also analyzes environmental (Environmental/Ecological) and legal (Legal) factors. PESTELI adds industry aspects of the market to the previous version. STEEP analysis is suitable for companies that want to analyze the ethnic (Ethical) aspects of the external environment. LONGPEST allows you to assess the influence of factors at the local (Local), national (National) and global (Global) level.

PEST analysis allows you not only to assess the current situation around the company and predict future changes. A well-executed PEST analysis is the basis for the company’s anti-crisis plan.

It is good because it allows you to identify and comprehensively evaluate the strengths and weaknesses of the organization, as well as threats and opportunities for the activities, products, management system, and projects of the organization.

When conducting a SWOT analysis, variations of it are often used to identify threats and opportunities. This method helps to fully consider and evaluate the influence of political, economic, social and technological factors of the external environment on various aspects of the organization’s business (its profit, management system, etc.). The method is widely used in strategic planning and management of large organizations, as well as for assessing investment risks.

What is the essence of the method?

In the process of PEST analysis, political (P - political), economic (E - economic), social (S - social) and technological (T - technological) factors of the external environment are determined and their impact on the organization is assessed. The influence of factors is assessed in points or other units of measurement. Based on the results of the analysis, a summary matrix is ​​compiled.

When conducting a PEST analysis, not only the actual state of factors is assessed, but also their possible changes in the near future, for example, over the next few years, are predicted. Therefore, it is important to involve in the analysis industry experts or organizational personnel competent to make market forecasts.

The structure of PEST analysis can be represented schematically:

How to apply the method?

ABOUT The main steps of PEST analysis include:

1. Identification of external factors that may affectactivities, products, management system of the organization;
2. Collection of data on trends in factors;
3. Analysis of factors by significance and degree of influence of factors;
4. Drawing up a PEST analysis matrix.

1. Determination of external factors

At this stage, a list of environmental factors of the organization is formed that may influence the activities and management system of the organization in the next three to five years.The identified factors are divided into four groups: economic, political, technological and socio-cultural. The set of factors in each group depends on the activities of the organization, the characteristics of the region and the goals of the analysis.

On the image Examples of factors in each group are presented:

2. Collection of information about trends in factors

To make forecasts on trends that will manifest themselves in the economy, technology, social environment, etc., you need to study a large amount of statistical and analytical information and draw conclusions based on this data.

3. Analysis of factors by significance and degree of influence

Having identified the factors, it is necessary to assess the strength of influence of each of the factors according to three-point scale, where:

1 - insignificant influence of the factor, any change in the factor has almost no effect on the organization;

2 - only a strong change in the factor will affect the organization;

3 - high influence of the factor, any fluctuations cause significant changes in the activities of the organization.

Assessing the strength of a factor's influence is a subjective expert assessment.If factors do not have any impact on the organization, they are not included in the table.

Next, the probability of change in each factor is estimated according to five-point scale, where 1 is the minimum, 5 is the maximum probability of changing the environmental factor. The assessment is usually carried out by a group of experts or employees with sufficient experience in the industry and expertise in any of the areas of work. In a separate column of the table, the arithmetic mean of the assessments of all experts is calculated:

The actual significance of each factor is then assessed. It allows you to assess how much the organization should pay attention to and control the factor of change in the external environment. The actual significance of a factor is calculated as the probability of a change in the factor, weighted by the strength of influence of this factor on the organization. The higher the actual significance of a factor (the “Weight-Adjusted Score” column), the more attention and effort the organization should devote to reducing the negative impact of this factor on the organization.

To fully complete the analysis, it is necessary to draw conclusions: for each factor, describe its impact on the industry, organization and draw up action programs to reduce the negative impact of the factor and make maximum use positive influence factor on the organization.

Types of PEST analysis

Using , many analysts wondered why only four environmental factors were subject to thorough analysis and proposed expanding the boundaries of analysis and the list of factors. As a result, varieties of analysis with new abbreviations appeared: SLEPT- analysis (supplemented by one factor: L - Legal); PESTLE- analysis (supplemented by two factors: Legal and Environmental); STEEPLE-analysis (supplemented by several factors: Legal, Environmental, Ethnical and, if necessary, Geography).

The concept of “external environment of the organization”, characteristics of its elements. PEST analysis of the external environment using the example of an enterprise.

INTRODUCTION

Every company exists and operates in conjunction with many factors. These factors impact the organization in different ways and have a very significant impact on the organization's capabilities, prospects and strategy. The set of interaction factors is considered in management as the organization’s environment. In this work we will reveal the concept and significance of factors in the external environment of an organization.

The problem of the relationship between organization and environment in science began to be considered for the first time in the works of A. Bogdanov and L. von Bertalanffy in the first half of the twentieth century. At the same time, in management, the importance of the external environment for organizations was realized only in the 50s, in conditions of increasing dynamism of its factors and increasing crisis phenomena in the economy. This was the starting point for intensive use systematic approach in the theory and practice of management, from the standpoint of which any organization began to be viewed as an integrity consisting of interconnected parts, in turn entangled in connections with the outside world. Further development of this concept led to the emergence of a situational approach, according to which the choice of management method depends on a specific situation, characterized to a large extent by certain external variables.

The external environment is the source that supplies the organization with the resources necessary to maintain its internal potential at the proper level. The organization is in a state of constant exchange with the external environment, thereby providing itself with the opportunity to survive. But the resources of the external environment are not limitless. And they are claimed by many other organizations located in the same environment. Therefore, there is always the possibility that the organization will not be able to obtain the necessary resources from the external environment. This can weaken its potential and lead to many negative consequences for the organization. The task of strategic management is to ensure that the organization interacts with its environment in a way that allows it to maintain its potential at the level necessary to achieve its goals, and thereby enable it to survive in the long term.

In order to determine the organization's behavioral strategy and implement this strategy, management must have an in-depth understanding not only of the internal environment of the organization, its potential and development trends, but also of the external environment, its development trends and the place occupied by the organization in it. At the same time, the external environment is studied by strategic management primarily in order to reveal those threats and opportunities that the organization must take into account when defining its goals and subsequently achieving them.

Initially, the external environment of an organization was viewed as given operating conditions beyond the control of management. Currently, the priority is the point of view that, in order to survive and develop in modern conditions, any organization must not only adapt to the external environment by adapting its internal structure and behavior in the market. It must actively shape the external conditions of its activities, constantly identifying threats and potential opportunities in the external environment. This position formed the basis of strategic management used by leading firms in conditions of high uncertainty in the external environment.

1. The concept of the external environment of the organization.

1.1.THE CONCEPT OF “EXTERNAL ENVIRONMENT OF THE ORGANIZATION”.

In management, there is such a thing as the “entrepreneurial environment,” which refers to the presence of conditions and factors that affect the functioning of the organization and require acceptance or adaptation to them. The environment of any organization is usually considered to consist of two spheres: internal and external.

The external environment is a complex of active economic entities, economic, social and natural conditions, national and interstate institutional structures and other external conditions and factors operating in the environment of the enterprise and influencing various areas of its activity. The external environment is determined by external influence factors.

External influencing factors are conditions that an organization cannot change, but must constantly take into account in its work: consumers, government, economic conditions, etc.

The state of the external environment is of key importance for business, since the external environment in relation to the organization is an objective environment, that is, it exists independently, which leads to the need to take it into account in its activities. In this regard, the effectiveness and efficiency of the organization’s activities depends on the correctness of taking into account all aspects of the external environment.

The external environment is understood as all conditions and factors that arise in the environment, regardless of the activities of a particular company, but which have or may have an impact on its functioning and therefore require management decisions.

Moreover, the set of these factors and the assessment of their impact on economic activity are different for each company. Typically, in the management process, an enterprise itself determines which factors and to what extent can affect the results of its activities in the present period and in the future. The conclusions of ongoing research or current events are accompanied by the development of specific tools and methods for making appropriate management decisions. Moreover, first of all, external environmental factors that influence the state of the company’s internal environment are identified and taken into account.

One way to define the environment and facilitate the accounting of its influence on the organization is to divide external factors into two main groups: the microenvironment (the environment of direct influence) and the macroenvironment (the environment of indirect influence).

The direct impact environment is also called the immediate business environment of the organization. This environment is formed by such environmental subjects that directly influence the activities of a particular organization. We include the following entities, which we will discuss further: suppliers, consumers, competitors, laws and government agencies.

Indirect environmental factors or the general external environment usually do not affect the organization as noticeably as direct environmental factors. At the same time, the manager needs to constantly keep records of them, since the environment of indirect influence is usually more complex than the environment of direct influence. The macroenvironment creates the general conditions for the existence of an organization in the external environment. The main factors of indirect impact include: technological, economic, sociocultural, political and legal, as well as international changes.

A schematic representation of the firm and its interaction environment is presented in Figure 1.

ENVIRONMENT OF INDIRECT INFLUENCE

ENVIRONMENT OF DIRECT INFLUENCE

Figure 1. - Firm environment

The changing external environment is an area of ​​constant concern for organizations. The analysis of the market external environment includes aspects that have a direct impact on the success or failure of the organization. These aspects include changing demographic conditions, life cycles of different products or services, ease of market penetration, income distribution, and level of competition in the industry.

The connection between environments is emphasized by M. Baker: “The emphasis on macroeconomic analysis is based on the belief that marketing practices at the level of an individual firm are largely determined by the external factors within which the firm operates. These are macroeconomic factors that control the structure of industries and markets and the nature of competition, that is, the microenvironment.” [ 1 ] .

1.2.CHARACTERISTICS OF THE EXTERNAL ENVIRONMENT

The management of a company usually seeks to limit the consideration of the effects of the external environment primarily to those factors on which the effectiveness of the company’s activities at a particular stage decisively depends. Decision making depends on the breadth of information about the state of the external environment and the effect of its various factors. The classification of factors and qualities of the external environment due to their diversity is quite different and can be based on various principles. Adhering to the classification generally accepted in management, we can propose the following list of characteristics of the external environment.

Interconnectedness of factors;

Complexity;

Mobility;

Uncertainty.

Like internal environmental factors, external environmental factors are interrelated. The interconnectedness of environmental factors refers to the level of force with which a change in one factor affects other factors. Just as a change in any internal variable can affect others, a change in one environmental factor can cause changes in others. A striking example of the interrelated influence of factors on the activities of a company is the story of Mikhail Khodorkovsky and his company Yukos. Liberalization of the Soviet economy in the late 80s and early 90s. of the last century allowed Khodorkovsky to create initial capital; during privatization, he will receive ownership of oil fields. Rising oil prices on the world market ensured the company's rapid growth and technological development. The 1998 crisis contributed to the successful introduction of a new product to the domestic market - inexpensive motor oils, which became a successful substitute for Western oils that were “gone” or had become unaffordable. Then the company launched a new business line - gas stations. They immediately won a significant market share, as they offered not just gasoline, but a new product for increasingly wealthy and demanding consumers - a gas station service. The buyer did not have to stand in the rain at the cashier's embrasure window. At his service were a warm room, quick payment in cash or by card for businesses, gas station services, and a car wash. The new product responded to changing market requirements. The stabilization of the economic situation in the country began to attract Western investors, and Yukos became a “transparent” public company, which allowed it to carry out an initial public offering and increase the capitalization of the business. The changing political mood of the authorities suddenly destroyed this successful, stable business structure.

The relationships and vectors of influence of environmental factors are often very difficult to predict. Positive changes for a company can sometimes result from changes that seem at first glance to be negative. Thus, when in 2003 the government introduced quotas for the import of chicken under the influence of the lobby of Russian poultry farm owners, for the market leaders - Soyuzkontrakt and Optifood - this not only did not bring losses, but turned out to be very profitable. During the year, competition in the industry decreased, as small firms that had previously existed due to dumping policies were forced to curtail their business, and the overall profit margin increased from 5 to 15%.

The fact of interconnectedness is especially significant for the global market. The globalization of the economy is transforming the organization's environment into a rapidly changing one. Managers can no longer view external factors in isolation. New information technologies and means of communication unite individual countries into a single information consumption space. As K. A. Nordström and J. Ridderstrale write in the book Funky Business: “The Internet opens up more markets and more things than ever before to total transparency and increased globalization. With the destruction of barriers, excess production capacity becomes the norm. At the same time, the costs of searching for a profitable offer are quickly reduced; The Internet provides a base on which consumers can use their collective power to bargain. In effect, power shifts from those who sell to those who buy. The faceless, humble, loyal consumer will soon become history."

The external environment has a certain complexity.

The complexity of the external environment refers to the number of factors to which an organization must respond, as well as the level of variability of each factor. If an organization is under pressure from government regulations, multiple interest groups, multiple competitors, and accelerated technological change, it can be argued that the organization is in a more complex environment than, for example, an organization concerned with the actions of just a few suppliers, in the absence of political "lobbies" and slow changes in technology. Likewise, when it comes to diversity of factors, an organization that uses only a few inputs, a few specialists, and does business with only a few firms in its home country should consider its collateral conditions less complex than an organization that has different parameters. In terms of the diversity of factors, organizations that use different technologies will be in more complex conditions and have undergone more rapid development than organizations that are not affected by all this. For example, OJSC Irkut, which produces supersonic military aircraft and small civil aircraft, is a city-forming enterprise. It went public last year with an IPO. OJSC Irkut will be influenced by international factors, political and economic factors within the country, will be subject to pressure from city authorities, influence from several thousand of its employees, will depend on numerous suppliers, companies with which it cooperates, will be forced to constantly monitor technological changes in the industry, etc. At the same time, a private tire workshop located in the same area of ​​the city will depend only on the change of season, the hard work of several workers and the presence of a central road nearby.

The next characteristic of the external environment is mobility.

Environmental mobility is the speed at which changes occur in an organization's environment. Many researchers point out that the environment modern organizations changes with increasing speed.

At the same time, despite the fact that this trend is general, there are organizations around which the external environment is especially mobile. It is believed that the most rapid changes in the external environment primarily affect the pharmaceutical, chemical, electronics, aerospace, software, biotechnology, and telecommunications industries. Changes in these industries are so rapid that expert development forecasts even for 5-7 years turn out to be unrealistic. In 1997, the Research Institute for Research and Design of Communication Facilities predicted that by the end of 2005, 40.8 million people would use mobile communications in Russia. In August 2005, 102.4 million subscribers were registered. In 1995, in an interview with Kommersant, Eckard Pardov (EMTEC Magnetics) argued that VHS will remain the most popular video standard in the next 10 years. In 2003, the DVD/VHS cassette sales ratio was 4/1. Over the past five years, Adobe Corporation has annually released new version its main software product and several additional packages with backgrounds, filters and additional utilities, while the first versions of Photoshop were released at intervals of 2-3 years. Latest models cell phones- Smartphones are an amazing hybrid of computer and telecommunications, capable of accessing the Internet.

In the industries listed above, firms are affected by factors such as changes in technology and competitive practices. Less noticeable changes in the external environment occur in mechanical engineering, the production of spare parts for cars, the confectionery industry, the furniture industry, the production of containers and packaging materials, and canned food.

In addition, the mobility of the external environment may be higher for some parts of the organization and lower for others. For example, in many firms, the research and development department faces a highly fluid environment because it must keep up with all technological innovations. On the other hand, a manufacturing department may be immersed in a relatively slow-changing environment characterized by a steady flow of materials and labor resources. At the same time, if production facilities are scattered across different countries of the world or initial resources come from abroad, then manufacturing process may find themselves in a highly mobile environment.

Given the ability to operate in a highly fluid environment, an organization or its units must rely on a greater variety of information to make effective decisions regarding its internal variables. This makes decision making more difficult.

There is one more characteristic of the external environment that should be highlighted - this is its uncertainty.

Environmental uncertainty is a function of the amount of information an organization (or person) has about a particular factor, as well as a function of the confidence in that information. If there is little information or there is doubt about its accuracy, the environment becomes more uncertain than in a situation where there is adequate information and there is reason to believe that it is highly reliable. As business increasingly becomes a global endeavor, more and more more information, but confidence in its accuracy decreases. Thus, the more uncertain the external environment, the more difficult it is to make effective decisions.

Changes that occur in world commodity markets and in the world economy as a whole directly affect the economic activities of individual firms that use various means, forms and methods of adaptation to the external environment. In each country they are multivariate, which depends on specific economic conditions, traditions, degree of orientation towards the foreign market and many other factors. It is the analysis of the external environment, based on multivariate calculations of the profitability and efficiency of production of individual types of products and the activities of the company as a whole, that makes it possible to take into account the specific conditions of the external environment through the use of flexible forms of connections between all management functions and directly influence the entire business cycle of R&D - production - sales .

The effective operation of an organization assumes that the manager has the skills to work in conditions of uncertainty in the external environment and the lack of sufficient information to accurately predict the dynamics of consumer needs and changes in external factors. When the rate of change increases, the organization faces a fairly high level of uncertainty. As a result, the organization needs to adapt to rapid changes as quickly as possible, but this requires significant effort, time and financial costs.

Currently, there are two basic strategies for working in conditions of high environmental uncertainty: adaptation and impact on the environment.

1. Adaptation of the organization to environmental changes in order to make it more favorable for functioning.

Depending on the influence of uncertainty in various environmental factors, a company can use various adaptation strategies, the four main types of which are given below:

Forecasting and planning. In many corporations, the functions of forecasting and planning changes in the external environment are considered one of the most important activities. As a rule, additional planning departments are created in cases where the uncertainty of the external environment is at a critically high level. Forecasting is an attempt to identify tendencies (trends) in the development of the external environment and, on their basis, predict its future conditions and possible events. Planning also helps mitigate the impact of sudden changes in the external environment;

Flexible structure. The structure of the organization must allow it to respond effectively and quickly enough to changes occurring in the external environment. Research shows that a flexible (organic) structure allows an organization to most effectively adapt to both external changes and carry out internal transformations. On the contrary, rigid (mechanistic) organizational structure most adequate to the external environment with a low level of uncertainty;

Mergers and creation of joint ventures. A merger is understood as the combination of two or more organizations into one organization, as a result of which it is possible to reduce the level of uncertainty. A joint venture is a strategic alliance or program involving two or more organizations. As a rule, such organizations are created to implement complex projects involving significant investments, when one of the companies does not have sufficient experience to conduct independent operations. A major partner can provide qualified sales personnel, product distribution channels, financial resources, research base, etc. Mergers, consolidations, creation of strategic alliances on this moment are a common occurrence both in Russia and around the world:

2. Impact on the environment - the second option of the strategy, within which the organization seeks to influence the factors of an uncertain external environment.

Analysis of the external environment requires constant attention on the part of managers, therefore it is carried out on the basis of studying a large amount of information and requires specification in order to make correct and timely decisions.

When considering the influence of the external environment on an organization, it is important to understand that the characteristics of the environment are different, but at the same time related to its factors, since all of the above characteristics describe factors of both direct and indirect impact. Next, we will dwell in more detail on the features of the impact of different groups of factors on the activities of the organization.

1.3.EXTERNAL MACRO ENVIRONMENT (INDIRECT IMPACT ENVIRONMENT)

The macro environment is the outermost layer of elements from the company itself that somehow influence the company without directly affecting its current operations. Usually there are four main factors of the macroenvironment: technological, socio-cultural, economic and legislative. Richard L. Daft in his textbook “Management” identifies another consolidated factor - international changes (conditions)

Indirect environmental factors or the general external environment usually do not affect the organization as noticeably as direct environmental factors. At the same time, management needs to take them into account. The indirect impact environment is usually more complex than the direct impact environment. Therefore, when studying it, they usually rely primarily on forecasts.

Let us consider the possible directions of influence on the enterprise of each of the factors listed above.

Technology

Technology is a set of means, processes, operations by which elements entering production are converted into output ones.

Technological change includes scientific and technological innovations in a particular industry and in society as a whole. Technology is both an internal variable and an external factor of great importance. As an external factor, it reflects the level of scientific and technological development that affects the organization, for example, in the areas of automation, information technology, etc. Technological innovations affect the efficiency with which products can be manufactured and sold, the rate of product obsolescence, the how information can be collected, stored and distributed, as well as what kind of services and new products consumers expect from the organization.

The rate of technology change in the last decade is very high and researchers argue that this trend will continue. Some recent major technological innovations that deeply affect organizations and society include: computer technology, nuclear technology, microwave technology, semiconductor technology, integrated communications, robotics, satellite communications, nuclear power, synthetic fuels and food, and genetic engineering. Today's innovations such as microdot microelements and memory on cylindrical magnetic domains make it possible to store on a floppy disk a volume of information that previously required a building with numerous card-file database blocks. Semiconductors and microprocessors made portable computers easily accessible, they also changed the nature of many products (electronic watches replaced mechanical watches) and led to the introduction of new types of instruments and machines into new areas.

The progress of science and technology for the enterprise has two opposite trends. On the one hand, the prospect and opportunity to realize oneself in the market of manufactured goods and services. On the other hand, there is a threat to the existence of the organization and its competitiveness. In this case, it is necessary to see and prevent the new prospects that are opening up, since the technical capabilities for implementing fundamental changes are mainly created outside the enterprise. Analysis of the technological component allows timely detection of paths further development, which opens up for production and for modernization of manufacturing technology, as well as sales of products.

State of the economic environment

Economic changes reflect the general economic situation in the country or region in which the company operates. Economic factors are the most significant, since the current and projected state of the economy can negatively affect the strategic goals of the organization. Indicators such as the inflation rate, stability of the national currency, international balance of payments, tax rate, purchasing power of the population, dynamics of GNP, GDP, unemployment rate, interest rates, as well as the main trends in changes in the structure of industries and organizational forms management must be constantly diagnosed and assessed. Each of them can represent either a threat or a new opportunity for the organization.

Management must be able to assess how the organization's operations will be affected by general changes in the economy. The state of the global economy affects the cost of all inputs and the ability of consumers to purchase certain goods and services. If, for example, inflation is forecast, management may consider it desirable to increase the organization's supply of inputs and negotiate fixed wages with workers in order to contain the rise in costs in the near future. It may also decide to make a loan, since when payments become due, the money will be worth less and thereby partially compensate for losses from interest payments. If an economic downturn is predicted, the organization may prefer to reduce inventories of finished products, since there may be difficulties in selling them, lay off some employees, or postpone plans to expand production until better times.

It is important to understand that one or another specific change in the state of the economy can have a positive impact on some organizations and a negative impact on others. For example, while retail stores in general may be hit hard in an economic downturn, stores located in wealthy suburbs, for example, will feel nothing at all. During an economic downturn, the auto parts industry thrives. Consumers prefer to repair rather than buy cars. The 1998 crisis in Russia led to the bankruptcy of many enterprises involved in the import of food products. But he stimulated the revival and development of the food industry within the country, changed the structure of imports in favor of the import of technologies rather than finished products.

An indicator of the state of the economic environment is indicators of business activity (decline, stagnation, rise, stability); inflation, deflation; pricing policy of market participants, etc.

Sociocultural factors

The company's activities take place in the community. In the process of this activity, the enterprise establishes relationships with various elements of the structure of society, which determines the influence of factors of the social and cultural environment on the enterprise. Sociocultural factors of the macroenvironment include demographic characteristics, norms, customs and life values ​​of the country in which the organization operates. Socio-cultural factors influence the formation of population demand, labor relations, wage levels, working conditions, etc.

First of all, the demographic situation is considered, within the framework of which the geographical distribution and population density, gender and age structure, social stratification of society, national homogeneity, level of education of the population, and income level are taken into account. These indicators influence the demand and purchasing habits of the population; allow us to assess the prospects for labor supply and the qualitative characteristics of the labor market.

Factors of the system of social norms: social behavior and cultural environment have a great influence on the activities of firms. These factors include social values ​​and accepted principles of behavior (for example, attitude towards work, spending free time) and social expectations. Important issues today are the prevailing attitude towards entrepreneurship in society, the role of women and national minorities in society, changing the social attitudes of managers, and the movement to protect the interests of consumers. Observing changes occurring in the system of social norms, as well as predicting the consequences, are very important for making decisions in management.

For almost all organizations, the attitude of the local community in which this or that organization operates is of paramount importance. In each community, there are specific laws and guidelines in relation to business that determine where the activities of a particular enterprise can be developed. Some cities, for example, go to great lengths to create incentives to attract industry to the city. Others, on the contrary, have been fighting for years to prevent enterprises with environmentally hazardous production from entering the city. In some communities, the political climate is favorable to business, which forms the basis for the influx of local budget funds from taxes. In other places, property owners choose to shoulder a larger share of municipal expenses, either to attract new businesses to the community or to help businesses prevent pollution and other problems that business and the new jobs it creates can cause. .

A special role is played by social and organizational structures - parties, trade unions, the press, consumer associations, institutions, and youth organizations. Of particular interest here are the principles of family building, social division and the influence of authority figures.

It is often social factors that can create the biggest problems for a firm. In order to effectively respond to changing social factors, the company must change, consciously transforming itself into a form adapted to the new external environment.

Legislative and political factors

This factor is based on federal and local legislation, as well as political actions aimed at establishing control over the company's activities. The political component of the external environment should be studied primarily in order to have a clear understanding of the intentions of government authorities regarding the development of society and the means by which the state intends to implement its policies. To study political situation includes finding out what programs are being implemented by various parties, the government’s attitude towards various sectors of the economy and regions of the country, etc.

Certain aspects of the political environment are of particular importance to organizational leaders. One of them is the sentiment of the administration, legislative bodies and courts towards business. Closely linked to sociocultural trends, in a democratic society these sentiments influence government actions such as the taxation of corporate income, the imposition of tax breaks or preferential trade tariffs, requirements for hiring and promotion practices of minorities, consumer protection legislation, and price and wage controls. wages, the balance of power between workers and company managers.

Political stability is of great importance for companies with operations or markets in other countries. National conflicts, the activities of terrorist organizations or unstable political regimes are conditions that impede the development of normal activities. They increase property, operational, and financial risks. Frequent changes of political regimes in countries Latin America led to destruction national economies, hyperinflation and the ruin of many private enterprises. The increased activity of terrorist organizations over the past few years has led to crisis and stagnation in the tourism and airline industries.

The organization's management must also take into account the existence of various pressure groups, whose representatives are closely connected with legislative and political circles and are interested in ensuring that the company's activities do not go beyond socially acceptable limits. The most famous among us are those who fight against smoking, for car safety, and for the environmental movement. Thus, Greenpeace activists achieved changes in the rules of whaling and tuna fishing, imposed a ban on many fur production and the placement of some industrial enterprises in Europe and the USA.

International changes

International changes in the external environment mean events occurring outside the country of origin of the company and opportunities for developing the company's business in other countries. New competitors, buyers and suppliers emerge from the international environment, which also creates new technological and social trends. The process of globalization is now covering more and more countries. Therefore, even firms that focus only on the domestic market are forced to think on an international scale, assessing the potential and threats of the external international environment. The importance of the domestic political factor is complemented by the international one due to the integration of economies various countries. The global environment represents a kind of “playing field” on which the rules of the game and players are constantly changing, and it is impossible to predict changes in advance.

The factor of international change becomes a particularly important issue when companies adopt a global or pan-regional strategy, i.e. strategy implemented at the multi-country level. In many industries, the role of national boundaries as an organizing principle of international activity is becoming increasingly less important.

Factors driving this trend include:

Consolidation of regions;

Transition to an open economy;

Global Investments;

Development of production and production strategy;

The growing popularity of world travel;

Rapidly increasing literacy rates, education and urbanization in developing countries;

Convergence of consumption patterns, lifestyles and tastes;

Achievement in the field of information and communication technologies;

Global media merger;

Increased flow of information, labor, money between borders.

Many global companies, such as Coca-Cola, McDonald's, British Airwais, Sony, IKEA, Toyota, Levi-Strauss, successfully integrate their international strategies. The driving forces of globalization are forcing many companies to expand operations abroad and target international market segments. Integrating strategies provides a number of benefits to organizations, including reducing costs through economies of scale, improving product quality, and strengthening market position and competitiveness.

To successfully integrate a company into a multivariate and complex international environment, management must first and foremost continually monitor and evaluate changes in this broader environment. Threats and opportunities here may arise as a result of easier access to raw materials, changes in exchange rates and political decisions in countries that act as investment targets or sales markets, national cultures and consumer habits, etc.

2. Methodology for PEST analysis of the organization’s external environment

In the course of studying the macro-external environment, so-called PEST analysis techniques are used. During the PEST analysis, the enterprise tries to identify favorable and unfavorable trends for each of the main factors of the “macro environment” (political, economic, social and technological), and on this basis decide on the continuation of its work (for example, investing in the development of a new product) or, conversely, about leaving this market. When conducting a PEST analysis, it is necessary to analyze the possible impact on the activities of the enterprise of four main factors of the macroeconomic environment: Political; political; Economic economic; Social social; Technological technological. As information tools, an enterprise should choose the most complete and accessible data sources in the region. The impact of certain “macroenvironment” factors depends on the type of activity chosen, and it is not always necessary to take into account all these elements. The basis of PEST analysis can be schematically presented as follows (Fig. 2).

PEST analysis is a tool designed to identify political, economic, social and technological aspects of the external environment that may affect a company's strategy. Politics is studied because it regulates power, which in turn determines the company's environment and the acquisition of key resources for its activities. The main reason for studying economics is to create a picture of the distribution of resources at the state level, which is the most important condition for the activity of an enterprise. No less important consumer preferences are determined using the social component of PEST analysis. The last factor is the technological component. The purpose of her research is considered to be to identify trends in technological development, which are often the causes of changes and losses in the market, as well as the emergence of new products. The main provisions of PEST analysis: “The strategic analysis of each of the four specified components should be quite systematic, since all these components are closely and complexly interconnected.” You cannot rely only on these components of the external environment, since real life is much wider and more diverse.

Analysis of the external environment is an assessment of the state and prospects for the development of the most important, from the point of view of the organization, subjects and factors environment: industries, markets, suppliers and a set of global environmental factors that the organization cannot directly influence.

Having analyzed the external environment and obtained data on factors that pose threats or provide new opportunities, management must assess whether the firm has the internal strengths to take advantage of opportunities and what internal weaknesses may complicate future problems associated with external threats.

Figure 2 - Main factors of PEST analysis

There are two main options STEP and PEST analysis. A version of STEP analysis is used for countries with developed economies and a stable political system, priorities are taking into account social and technological factors. To analyze the macroenvironment in those countries where the economy is poorly developed and is in a transition period, they use the form of PEST analysis, where in first place political and economic factors. When choosing the first or second option, the criterion is the priority of taking into account certain groups of macroenvironmental factors from the point of view of strength possible impact and stability of factors to monitor.

Thus, PEST analysis is a tool designed to identify:

Political (Policy),

Economic (Economy),

Social (Society),

Technology

Aspects of the external environment that may affect the company's strategy. Politics is studied because it regulates power, which in turn determines the company's environment and the acquisition of key resources for its activities. The main reason for studying economics is to create a picture of the distribution of resources at the state level, which is the most important condition for the activity of an enterprise. No less important consumer preferences are determined using the social component of PEST - Analysis. The last factor is the technological component. The purpose of her research is considered to be to identify trends in technological development, which are often the causes of changes and losses in the market, as well as the emergence of new products.

When conducting a PEST analysis, it is important to require a systematic strategic analysis of each of the four specified components, since all these components are closely and complexly interconnected

This type of analysis can be carried out using various formats, often there are two options: a simple four-field matrix, appearance which is given below in Table 1 and the tabular form of STEP analysis (Table 2). Each of these options has advantages and disadvantages. The choice of analysis method depends on the goals of the analysis, the level of readiness of experts and a number of other factors.

Table 1 - Four-field matrix of PEST analysis

table 2

Tabular form for conducting PEST analysis

3. PEST analysis of the environment using the example of the enterprise OJSC PromHolding.

3.1. BRIEF CHARACTERISTICS OF THE ENTERPRISE.

OJSC PromHolding is a modern diversified enterprise with powerful production, technical and intellectual potential. The plant has 75 years of experience in the global market.

“The organizational and legal form of the enterprise is an open joint-stock company. OJSC "PromHolding" is commercial organization, which has state registration (the company was established on the basis of resolution No. 329 of the administration of the Leninsky district of Tambov in 1992), is the legal successor of the Komsomolets plant, bears the rights and obligations that arose with the said enterprise before its transformation into the joint-stock company Komsomolets 1".

Open Joint Stock Company "PromHolding" is legal entity and organizes its activities on the basis of the Charter and current legislation.

The Company is a legal entity from the moment of its state registration and owns separate property, which is accounted for on its independent balance sheet. The Company has the right to have bank accounts (including foreign currency) on the territory of the Russian Federation and abroad. The company has a company name, a round seal and a stamp with its company name in Russian and indicating its location. The company may have stamps and forms with its name, its own emblem, trademark, and other means of visual identification, registered in the manner established by the legislation of the Russian Federation. The charter of the enterprise was approved by the general meeting of shareholders of OJSC Tambov plant "Komsomolets" named after. N.S. Artemova" May 14, 2002

The governing bodies are:

1. General meeting of shareholders of the company;

2. BOARD OF DIRECTORS: Chairman - Sergey Nikolaevich Artemov; Members of the board of directors are Artemov Vladimir Nikolaevich, Bogush Vladimir Anatolyevich, Biralo Valery Georgievich, Isaev Vladimir Vladimirovich, Lomakin Viktor Mikhailovich, Bulakh Sergey Vitalyevich; Dvoryashin Mikhail Ivanovich, Kochetov Vyacheslav Alexandrovich.

3. Sole executive body - General Director: Artemov Vladimir Nikolaevich

The Audit Commission consists of 3 people, a chairman and two commission members. Its competence includes exercising control over the financial and economic activities of the issuer. The Audit Commission annually conducts an inspection (audit) of the Company’s property, work carried out during the year and the corresponding expenses of the Company. The audit commission includes: Ivanov S.V., Petrenko V.V., Sviridova O.N.

The audit of accounting and financial statements is carried out annually by the auditor. A proposal to nominate an auditor is made by the chief accountant at a meeting of the issuer's Board of Directors. The decision of the meeting of the Board of Directors is approved by the general meeting.

The authorized capital of the Company is RUB 100,037,800. There are 34,664 units in circulation. ordinary uncertified shares with a par value of 2,230 rubles and 10,196 pcs. preferred uncertificated shares with a par value of 2,230 rubles. All shares of the Company are fully paid. The Company has the right to increase the Authorized Capital by increasing the par value of shares or placing additional shares. Additional shares may be issued by public or private subscription. The decision to increase the size of the Company's authorized capital by increasing the par value of shares is made by the general meeting of shareholders of the Company. The decision to increase the Authorized Capital by placing additional shares is made by the Board of Directors within their competence established by this Charter and the current legislation of the Russian Federation or the General Meeting of Shareholders. The Company is not liable for the obligations of its shareholders. The company is liable for its obligations with all its property.

The Company carries out its production and economic activities in accordance with the procedure established by the legislation of the Russian Federation, as well as social development collective of workers, independently sets prices for manufactured products and services provided, determines the forms and amounts of remuneration for workers.

Technological (computerization, introduction of flexible technologies);

Economic (strengthening the financial stability of the organization, increasing the profitability of work, increasing the market value of share capital);

Production (increasing production output, improving the quality of goods, increasing production efficiency, reducing costs);

Administrative (achieving high controllability of the organization, reliable interaction between employees, high discipline and coherence in work);

Marketing (conquering new markets, attracting new buyers, clients, extending the life cycle of goods);

Scientific and technical (creation and introduction into production of new product samples and improvement of existing ones, bringing them to the level of world standards);

Social (creating favorable working and rest conditions for workers, increasing educational and qualification levels, establishing social partnership relations).

The General Meeting of Shareholders is the highest management body of the Company. Competence General meeting shareholders is determined by current legislation and the Charter of the enterprise.

Management of the current activities of the Company is carried out by the sole executive body - the General Director.

Form of ownership of PJSC (Public company since 2014 under the Civil Code of the Russian Federation) “PromHolding” is private property.

The main activities are the development, manufacture and sale of industrial and technical products, including: equipment for the production of beer, alcohol, alcoholic beverages, dairy products, juices, drinking and process water, sugar, bioethanol, equipment for chemical production, the oil and gas industry , for the nuclear energy complex.

The company's activities are largely diversified by target markets (produces equipment for various industries), sales geography (Russia and foreign countries), which allows it to have a stable financial position when market conditions change in certain industries or regions.

The technological process at the plant is organized according to full cycle production, this means that the company has all the necessary departments to manufacture a complex product from start to finish.

Now at the plant, instead of workshops, production is carried out by separate production units.

Manufacturing is a larger segment than the shop floor. The production manager has greater powers and bears greater responsibility than the workshop manager. The production manager is personally responsible for the production of products of this name.

The specialization of the main production of the enterprise is mixed (subject-technological), i.e. Some of the production is organized according to technological type, i.e. they specialize in performing homogeneous technological operations (for example, production No. 2 (procurement)), and some - by subject type, i.e. they specialize in the manufacture of a specific product or part of it, using various technological processes (for example, production No. 11 (production of devices from non-ferrous metals)).

The enterprise has production facilities: basic (procurement and processing), assembly, and service facilities.

The promising directions of PromHolding OJSC will be:

Consolidating in new sales markets for products and increasing market share in them (aluminum devices, bottoms, equipment for the sugar and chemical industries), expanding the range of manufactured products

Carrying out the entire range of works as a general contractor for the construction of new production facilities for our Customers (design, construction part, equipment, installation and installation supervision, turnkey delivery of the facility)

Continuation of technical re-equipment, replacement of machine tools with equipment that meets Western standards

Introduction of new management technology, which will dramatically reduce costs, increase staff motivation, and increase the responsibility of senior and middle managers for decisions made.

3.2 THREATS AND EXTERNAL UNCERTAINTY

OJSC PromHolding operates in the mechanical engineering industry. Over the past 5-5 years, mechanical engineering in the Russian Federation has been developing at a slow but steady pace (3-5% per year depending on the region). Investments in the industry are growing from year to year.

There are no consumers placing orders from year to year, which is due to the specifics of the equipment produced (customer plants carry out reconstruction, modernization or construction of new production facilities no more than 5-15 years).

In 2009, the main customers were:

Regarding equipment for the brewing industry:

COMPANY [!!! In accordance with Federal Law-99 dated 05/05/2014, this form was replaced by the non-public joint-stock company] “Ivan Taranov Breweries” (7.9%);

COMPANY [!!! In accordance with Federal Law-99 dated 05/05/2014, this form was replaced by non-public joint stock company] “Yerevan Beer” (1.4%);

COMPANY [!!! In accordance with Federal Law-99 dated 05/05/2014, this form was replaced by non-public joint-stock company] “Lipetskpivo” (1.3%);

OJSC Amstar (1.0%);

COMPANY [!!! In accordance with Federal Law No. 99 dated May 5, 2014, this form was replaced by the non-public joint stock company] “Moscow EFES Brewery” (1.0%).

Regarding equipment for the food industry:

Business Alliance LLC (3.2%);

OJSC "Lianozovsky Dairy Plant" (1.8%);

Regarding equipment for the oil and gas industry:

TsKBN OJSC Gazprom (2.5%);

Urengoygazprom LLC (1.5%);

LLC "OMNI Technologies" (1.0%).

In terms of equipment for the alcoholic beverage and alcohol industry:

Russian Standard Vodka LLC (7.2%);

LLC "NTC Spirtpischeprom" (3.8%);

OJSC Mordovospirt (3.6%);

OJSC Moscow Plant Kristall (3.3%);

OJSC Talvis (2.0%).

Regarding chemical equipment:

LLC "LENNIIKHIMMASH" (7.6%);

COMPANY [!!! In accordance with Federal Law-99 dated 05/05/2014, this form was replaced by the non-public joint stock company] “Yuzhtekhmontazh” (2.3%).

Regarding equipment for nuclear energy:

COMPANY [!!! In accordance with Federal Law-99 dated 05/05/2014, this form was replaced by the non-public joint stock company] “KomplektAtomIzhora” (1.5%).

OJSC PromHolding operates in regional, all-Russian and foreign product markets in segments within its area of ​​interest.

The main countries importing the issuer's products in 2010 were: Kazakhstan, Armenia, Belarus, Ukraine, Turkmenistan, Tajikistan, Germany, Japan.

Geographical advantages include the fact that the enterprise is geographically located in an area not subject to natural disasters(earthquake, flood, etc.) - in the central black earth region of Russia. The city of Tambov is located at the intersection of major highways and railways.

Sales of products may decrease due to market saturation with manufactured equipment; factors for increasing sales are: the expanding geography of supplies, the development of new types of equipment in those industries on which the production of PromHolding OJSC is focused, and the increasing solvency of customers.

The most significant is the risk of a sharp increase in competition in the industry due to both the revival of old production facilities (through investments, including foreign ones), and the construction of new production facilities, as well as the supply of products by Western companies to the Russian market.

Due to increased competition, the price trend for products on the market tends to decrease. At the same time, this risk is diversified primarily by reducing the issuer’s expenses, as well as expanding the sales territory of products and entering new markets (new areas of the company’s activities are actively developing).

Behind last years the issuer has achieved significant progress in the production and sale of products. The growth in production volumes for the period from 2007 to 2010 was 3.9 times, although in 2009 there was a slight decrease.

In 2007-2011, the second stage of reconstruction of the enterprise was carried out (an investment project worth 1 million US dollars was implemented), which made it possible to produce new types of equipment (large-sized technological tank equipment for the production of beer, milk, oil and gas complex) - reconstruction production premises, acquisition and independent production of new equipment. Since 2003, a new investment project has been launched (total amount more than $2 million) to modernize production facilities - metalworking and welding equipment is being almost completely replaced with German analogues, the productivity of which is an order of magnitude higher, heating systems and air supply systems are being changed, new production facilities are being built .

The overall assessment of the issuer's performance within the industry can be characterized as positive, the dynamics of development in comparison with other enterprises in the industry - as advanced.

Among positive factors development can be called significant diversification of the issuer's business across market segments: access to both new product markets and new geographic markets. In addition, a positive aspect was the reconstruction and modernization of production, which allowed the issuer to remain at a technological level comparable to the production of Western countries.

Among the negative factors, one can note a sharp increase in competition in the industry, including from Western manufacturing companies trying to capture the domestic market. IN Lately Along with such important competitive advantages as the speed of order processing, Western competitors offer more favorable financing conditions.

Suppliers whose share accounts for more than 10% of all supplies of inventory items: Arinoy LLC (Moscow), TD Izhora-Metal LLC (Moscow) supply stainless rolled steel. with Federal Law-99 dated 05/05/2014, this form was replaced by a non-public joint-stock company] “PO Promet”, LLC “Russian Copper Rolling” are the main suppliers of rolled copper products.

Regarding the components used for production, JSC Tambov Plant Komsomolets named after N.S. Artemov works with a large number of both Russian and foreign enterprises.

Contractual relations are maintained for a year with subsequent re-conclusion in the absence of claims on both sides.

Import supplies account for less than 5% of total volume supplies. This mainly involves the purchase of imported components installed on the equipment produced by the enterprise.

The risks associated with an increase in prices for the main raw materials (rolled metal) are insignificant, the metal market in Russia is stable and changes in prices for rolled metal can be predicted and taken into account when concluding contracts. In addition, the issuer works with a wide range of suppliers both in Russia and in the West, which allows it to diversify this risk.

In the field of product quality and prices, the issuer is the undoubted leader in the Russian Federation and CIS countries.

The following measures are planned to be taken to increase the issuer's competitive advantages: searching for new markets for products, cooperation with Western companies for the joint production of equipment using Western technologies at the issuer's production facilities, cooperation with various financial institutions in order to offer more competitive delivery conditions (delay, leasing), continuing to update the machine park in order to increase production capacity, product quality, and reduce order production times.

In 2000-2001, the first stage of reconstruction of the enterprise was carried out (an investment project worth 1 million US dollars was implemented), which made it possible to produce new types of equipment (large-sized technological tank equipment for the production of beer, milk, oil and gas complex) - reconstruction of production premises, acquisition and independent production of new equipment. In 2007, a new investment project was launched (total amount more than $2 million) to modernize production facilities - metalworking and welding equipment is being almost completely replaced with German analogues, the productivity of which is an order of magnitude higher, heating systems and air supply systems are being changed, new production facilities are being built premises.

3.3. RISKS ASSOCIATED WITH THE PURCHASE OF PLACED SECURITIES

Issuer's risk management policy:

The issuer's risk management policy is aimed at building a risk management system through which risks can be controlled at all levels. A risk management system is necessary to ensure sustainable operation and development by preventing or minimizing risks that pose a threat to business and reputation.

The risk management system being developed includes a description of risks and risk management techniques, i.e., decision-making processes.

3.3.1. Industry risks

Industry risks for the issuer are significant, however, they are diversified by the issuer by constantly expanding the range of production and entering new markets. Competitive risks from foreign manufacturing companies who are ready to dump during the financial crisis remain significant.

The risks associated with an increase in prices for the main raw materials (rolled metal) are insignificant, the metal market in Russia is stable and changes in prices for rolled metal can be predicted and taken into account when concluding contracts. In addition, the issuer works with a wide range of suppliers both in Russia and abroad, which allows it to diversify this risk. Risks associated with possible changes in prices for products manufactured by the issuer are relatively high. At the same time, this risk is diversified primarily by reducing the issuer’s expenses, as well as expanding the sales territory of products and entering new markets (new areas of the company’s activities are actively developing).

3.3.2.Country and regional risks

The risks associated with possible military conflicts, the introduction of a state of emergency, and strikes in Russia are potentially insignificant, since the political, economic and social situation is stable.

The issuer is not exposed to risks associated with natural disasters (earthquakes, floods, etc.), since it is geographically located in an area not susceptible to these natural disasters (Central Black Earth Region of Russia).

The risks associated with the cessation of transport links are insignificant, since the city is located at the intersection of major highways and railways, and there is no water transport.

3.3.3.Financial risks

Due to the general lack of liquidity in the market, difficult access to credit resources and high rates on bank loans, the risk of delays in customer payments for manufactured and/or shipped equipment increases significantly. This risk is planned to be minimized by including in contracts conditions for the customer to provide bank guarantees for the last payment under the contract or the use of a letter of credit form of payment in contracts.

It is planned that the majority of customers who are late in payments will repay their debts by the end of 2010. Work is already underway with debtor enterprises active work for debt collection, the enterprise has a debt collection commission; in special cases, documents for debt collection will be submitted to arbitration courts. The company is not exposed to the risk of overstocking warehouses with finished products, since it produces products strictly to order, for a specific customer, only if there is a contract and advance payment has been received.

The issuer's exposure to the risk of changes in interest rates due to their insignificant volume is insignificant. The likelihood of financial losses as a result of changes in exchange rates that may occur in the period between the conclusion of a contract and the actual settlement of payments under it can be significant, since the exchange rate, established taking into account the purchasing power of currencies, is very flexible.

3.3.4.Legal risks

In the event of a change in currency legislation unfavorable for the issuer, there are minor risks of deterioration financial condition. This is explained primarily by the fact that the volume of exports and imports of the issuer is small (no more than 5% of gross revenue from product sales).

Changes in tax legislation: the likelihood of introducing new types of taxes and fees on certain aspects of economic activity; the possibility of increasing (decreasing) the level of rates of existing taxes and fees; changing the terms and conditions for making certain tax payments; the likelihood of cancellation of existing tax benefits in the field of economic activity of the enterprise. Being unpredictable for an enterprise (as evidenced by modern domestic fiscal policy), it has a significant impact on the results of its financial activities.

When taking certain steps, we do not do it “blindly,” but focusing on certain environmental factors. The same is true when the question arises of launching your own project. Before proceeding directly to the implementation of the project, production and sale of products, it is necessary to analyze the external environment and its various factors. There are many ways to conduct this analysis. One of the most effective and convenient is Pest analysis which will be discussed in today’s article.

What is pest analysis

Pest analysis is a method of comprehensive assessment of the external environment of an enterprise to identify the most significant factors that can influence the effectiveness and efficiency of activities.

Pest analysis involves consideration of four basic areas:

• Political
• Economical
• Social
• Technical

Thus, such an analysis allows us to look at the influence of the external environment on the company’s activities from all sides. Often, for example, when having a business idea, a person thinks that only economic factors will affect it - the exchange rate, tax legislation, inflation and the general price level, etc. However, sometimes the influence of other factors - political, social and technical - turns out to be much more significant. The influence of the technical factor is especially strong, which can sometimes radically change the situation both in the market and in social sphere, and even in politics.

It is obvious that analysis of the external environment is an integral part of any business plan. Carrying out Pest analysis one of the primary tasks that should be solved when drawing up a business plan for your future project. If you decide to do this yourself, we recommend that you still focus on ready-made samples such documents. For example, you can take as a basis the structure ready-made business plan an enterprise engaged in activities similar to yours. This will allow you to develop your own business plan faster and taking into account all the necessary components.

Factors that are analyzed in pest analysis

In this section I would like to describe in more detail how environmental factors are analyzed.

Political. This includes, first of all, the influence of legislation, administrative and territorial management in the country, and the state of the political situation. For example, in an unstable political situation, running a business, let alone starting new project— it’s simply impractical. Difficulties may also arise if the legislation implies the presence of various administrative barriers to starting a business. You may not suffer direct economic losses in this case, but you will definitely spend a lot of effort and time to obtain all the necessary permits. These time costs can be called opportunity costs, which also negatively impact the efficiency and effectiveness of your business.

Economical. This factor is the most common and has a direct impact on the project. Influence economic factor always affects the financial result of the company. Inflation, exchange rates (if the project is implemented not only on the foreign market, or without the participation of external partners and suppliers), changes in tax rates - all this affects the amount of revenue and profit of the company.

Social. This factor can affect the outcome of launching a new project in the following way: informal norms, values ​​and beliefs prevailing in society can greatly affect the results of a company's activities. For example, you decide to open a restaurant in a Muslim country. Taking into account social factors, it will be necessary that, for example, there are no pork dishes on the menu. Or that eating areas be closed, etc. If these social and religious norms and values ​​are not taken into account, then starting such a business may not be successful.

Technical. The influence of technical inventions and innovations on all spheres of life is very clearly demonstrated by history. For example, the advent of the Internet, mobile phones etc. radically changes the way of life, accordingly, the needs of people change, based on this, various types of businesses appear or die out. Technical factors are the most long-term and therefore may not have an impact on your project in the short term. But if you are planning something large-scale, then you should also consider how the technical components of the life and needs of your target audience may change.

Pest analysis using the example of an enterprise

To make it more clear, let’s look at the influence of environmental factors using the example of a specific enterprise. Let's take, for example, a company that produces corrugated sheets.

The political factor in a given business can only influence through the presence or absence of administrative barriers to running such a business. General political stability or destabilization may also have an impact. For example, if this is a region where there is a change of power, perhaps even hostilities are underway, then the population will not be very interested in engaging in construction and purchasing corrugated sheets for these purposes.

The economic factor will manifest itself, firstly, through the influence of the price level, and, secondly, through the level of real disposable income of the population. As a rule, corrugated sheeting manufacturers sell their products only to the domestic market. Therefore, changes in exchange rates in this case should not have a significant impact.

Social factor Pest analysis for the production of corrugated sheets may affect, for example, the dynamics of housing development in the region. Demographics, population migration, etc. will have an impact on the demand for corrugated sheets.

The technical factor in this case will be very significant because if some other material appears, similar to corrugated sheeting, but more competitive in quality and price, then your business will suffer and become less profitable.

Pest analysis technology

In this section we list the main parameters of the technology Pest analysis external environment.

Political factors include consideration of:

• Political stability/destabilization;
• Legislation;
• The degree of execution and compliance with laws;
• Presence/absence of administrative barriers.

Economic factors include consideration of:

• The influence of exchange rates and their fluctuations;
• Inflation and general price level;
• Tax regimes and benefits;
• The general level of income of the population;
• Prices for raw materials, fuel and rent.

Social factors include consideration of:

• Informal norms accepted in society;
• Religious norms;
• The presence of various social groups;
• Demography and migration;
• Sex and age structure of the population;
• Level of education in society;
• Dominant professions and specialization, etc.

Technological factors include consideration of:

• Level of digitalization of the economy and all spheres of life;
• Speed ​​of emergence and implementation of innovations;
• Commitment to innovation;
• General level of technical education;
• Number of research developments;
• Enterprise costs for R&D.

Pest analysis as part of a business plan

Pest analysis is a good tool for initial planning of activities for a future project. Conducting such a study allows you to understand what to prepare for and where to focus your main efforts when developing a project.

Wherein Pest analysis as a strategic planning tool allows you to identify the most strong point enterprises and use it as a factor contributing to the best positioning, promotion and competition with other enterprises.

It's good if in your business plan Pest analysis external environment will be combined with any type of analysis of the internal environment of the enterprise. For example, with snw analysis (study of strengths, neutrals and weaknesses of activities) or with swot analysis(combines the study of internal (strengths and weaknesses) and external (opportunities and threats) factors).

Conclusions: value of pestle analysis

To summarize the above, we note that identifying the influence of external factors on the activities of an enterprise and working with the results of such a study is one of best recipes when planning a project, as well as solving problems and improving your business. Taking into account environmental factors - basic principle when starting a new business. Competent work with external factors and minimizing dependence on them will help your business to be as stable as possible.

Getting started Pest analysis and in general, when conducting strategic and current analysis, we recommend using ready-made developments. For example, on the websites of companies specializing in business planning, you can download a sample of a ready-made business plan for an enterprise similar to your type of activity. You can also turn to professionals in the field of business planning to develop such a strategically important document, taking into account the characteristics of your enterprise.