This FAQ provides comprehensive guidance on using PESTLED360, a key application in My360 for analyzing macro-environmental factors. It also explains how PESTLED360 integrates with Scenario360 and how to maximize its potential within the MyClients system.
General Overview
Q: What is PESTLED360?
A: PESTLED360 is a macro-environmental analysis tool that evaluates Political, Economic, Social, Technological, Legal, Environmental, and Demographic drivers. It supports organizations in identifying external opportunities and threats, helping shape their innovation strategies and long-term goals.
Q: Why is PESTLED360 important?
A: It enables organizations to:
Evaluate key external forces affecting their business.
Anticipate potential risks and opportunities.
Feed crucial insights into Scenario360, ensuring scenarios are rooted in real-world data.
Q: How does PESTLED360 integrate with Scenario360?
A: PESTLED360 identifies and categorizes external forces, which are then imported into Scenario360 to shape strategic scenarios. This seamless integration ensures that scenario development is data-driven and aligned with both external dynamics and organizational priorities.
Using MyClients to Manage PESTLED360 Canvases
Q: What is MyClients?
A: MyClients is a central dashboard in My360 that allows you to:
Manage client information, including contacts and projects.
Create and link PESTLED360 canvases.
Assign roles to users, such as observers or contributors, to ensure efficient collaboration.
Q: How do I create a client in MyClients?
Go to the MyClients app in My360.
Click Add Client and fill in the required details (e.g., company name, contact person, industry, and markets).
Once the client is created, you can add PESTLED360 canvases, assign users, and monitor progress.
Creating and Sharing PESTLED360 Canvases
Q: How do I create a PESTLED360 canvas?
1. Go to the MyClients app in My360.
2. Navigate to the PESTLED Canvases section under a client’s profile.
3. Click Add PESTLED360 Canvas and fill in:
Canvas Title: A descriptive name for the analysis.
Description: Brief details about the purpose of the canvas.
PESTLED Local Country: Specify the country if the analysis is localized.
4. Save the canvas as public or private:
Public Canvases: Shared in the global PESTLED driver library.
Private Canvases: Exclusive to the specific client.
Q: How do I share a PESTLED360 canvas?
A: Enable the shared link feature in the canvas settings by enabling the PESTLED360 Collaboration. This allows external collaborators to:
View the canvas during a specific timeframe.
Suggest new drivers without editing or deleting existing ones.
Contribute ideas during workshops or remote sessions.
When to use shared links:
For stakeholder engagement workshops where external insights are valuable.
When gathering additional input from subject-matter experts.
To validate drivers with client leadership teams.
Understanding and Managing PESTLED Drivers
Q: What are the PESTLED drivers, and how do they impact strategy?
1. Political Drivers: Include regulations, trade agreements, political stability, and urbanization policies.
Example: Government incentives for renewable energy adoption.
Impact: Can open new markets or introduce compliance risks.
2. Economic Drivers: Cover interest rates, economic growth, labor costs, and currency stability.
Example: Low interest rates driving automation investments.
Impact: Affect funding opportunities, profitability, and cost structures.
3. Social Drivers: Focus on changing demographics, cultural shifts, and consumer behaviors.
Example: Growing demand for ethical and sustainable products.
Impact: Drives innovation in product design and marketing.
4. Technological Drivers: Include advancements in AI, automation, and communication tools.
Example: Emerging 5G networks enhancing connectivity.
Impact: Enables process optimization and new product innovations.
5. Legal Drivers: Include intellectual property laws, compliance requirements, and trade restrictions.
Example: Stricter data protection regulations like GDPR.
Impact: Requires investments in compliance and data management.
6. Environmental Drivers: Focus on climate change, resource scarcity, and sustainability efforts.
Example: Increased regulations on carbon emissions.
Impact: Drives operational changes and new green technologies.
7. Demographic Drivers: Examine population growth, aging demographics, and migration patterns.
Example: An aging workforce prompting investments in automation.
Impact: Influences workforce strategies and market segmentation.
Q: How do I edit a key driver in a PESTLED360 canvas?
1. Open the specific PESTLED360 canvas.
2. Locate the driver you wish to edit.
3. Click the Edit icon next to the driver to:
Update the title or description.
Change the impact category (positive, negative, or both).
Adjust the level (local, global, or both).
4. Save changes to ensure the updated information is reflected in the analysis.
Prioritizing and Visualizing Drivers
Q: How are PESTLED drivers prioritized?
A: Drivers are evaluated based on:
Impact: The degree of influence on the organization.
Certainty: The likelihood of the driver occurring.
These evaluations are mapped into a matrix to prioritize:High-impact, uncertain drivers for strategic planning and scenario analysis.
Certain drivers for operational readiness.
Q: How can I visualize and refine drivers?
A: Use the drag-and-drop interface in PESTLED360 to group related drivers or reclassify them. Highlight important uncertainties that warrant deeper investigation in Scenario360.
PESTLED360 Integration with Scenario360
Q: How do I link PESTLED360 to Scenario360?
Go to the MyClients app in My360.
Go to the Scenarios section in MyClients.
Create a new scenario and select a linked PESTLED360 canvas.
The drivers will automatically populate the Collect stage in Scenario360.
Q: What happens after linking PESTLED360 to Scenario360?
A: Begin Scenario360’s six-step process:
Collect: Import drivers from PESTLED360 or add new ones.
Categorize: Prioritize drivers by impact and uncertainty.
Stretch: Define opposing outcomes (axes) for critical uncertainties.
Elaborate: Refine and narrow down to the most influential forces.
Combine: Group forces into cohesive scenarios.
Develop: Create narratives, timelines, and actionable strategies.
Best Practices and Troubleshooting
Q: How can I ensure my PESTLED360 canvas is comprehensive?
A:
Leverage the global driver library to identify commonly used drivers.
Regularly update drivers based on industry trends or client feedback.
Involve cross-functional teams to capture diverse perspectives.
Q: What should I do if a canvas becomes too complex?
A: Use the merge feature to combine similar drivers or park less relevant ones for future analysis.
Q: How do I manage conflicting insights from collaborators?
A: Use causal loops to map relationships between conflicting drivers. This approach helps identify systemic interdependencies and prioritize areas for action.
Practical Applications
Q: How does PESTLED360 drive strategic innovation?
A:
Identifies external trends that align with organizational capabilities.
Prepares organizations for potential disruptions or opportunities.
Provides a foundation for Scenario360, enabling foresight and adaptability.
Q: How do I present PESTLED360 insights to stakeholders?
A:
Use visualizations, such as matrices and loops, to simplify complex data.
Highlight key findings and their potential impact on strategy.
Provide actionable recommendations for addressing high-impact drivers.