PEST Analysis of City of London for Healthcare

This document provides a PEST analysis of the City of London for healthcare. It explores the political, economic, social, and technological factors affecting the healthcare industry in City of London. The analysis highlights key issues in each section of the PEST table and provides five recommendations based on the findings. The document also discusses the national and local context for healthcare in City of London.

Healthcare
Environment Pest
Analysis

INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
1. PEST Analysis of City of London...........................................................................................1
2. Key highlighted issues of each section of PEST.....................................................................2
3. Five recommendations based on the findings..........................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
The City of London is a capital, ceremonial county and division of local
government comprising London's commercial core and principal central business district (CBD).
In its establishment by the Romans throughout the 1st century AD to the middle Ages, it
comprised much of London, but the new city of London has since developed well beyond the
traditional City of London boundaries (Bader and Jagtap, 2020). This assessment covers the
several topics such as PEST analysis of City of London; identify the key issues from each section
of PEST table. IN addition, on the basis of it provide the several recommendations to improve
their decisions regarding funding.
MAIN BODY
1. PEST Analysis of City of London
PEST Analysis is a forecasting tool used to determine demand within a given time period
for a specific product or sector (Behmane And et.al., 2019). PEST refers for variables such as
political, economic, social, and technological. Organizations will take sound strategic decisions
until these considerations are evaluated. It helps to increase productivity through the analysis of
various variables that may affect a company. PEST analyzes help to make good business plans,
to organize marketing campaigns, to improve products and to study. With the help of this
analysis, City of London able to make decisions regarding funding and how it will further helps
in increasing involvement of users for the services which they offer.
Political Economic
 Political stability and investment
banking industry value in the
country's economy.
 Level of corruption-particularly
regulatory rates in the financial
sector.
 Government bureaucracy and
involvement in the financial
services industry.
 Trade barriers, Taxation-incentives
 Interference by the Government in the
private market and associated
financial institutions
 Growth rate, trade & host country’s
exchange rate.
 Financial business
performance where City Of
London need to boost local market
money.
 Performance of technology in the
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and tax rates
 Wage rules-minimum wage and
overtime (Extra Pay)
field of financial services and
expertise of the workers in the
industry of financial services.
 Infrastructure quality in Financial
Services industry.
Social Technological
 Pattern of population and skill level
 Distribution of gender, hierarchy
and distribution of power within
society.
 Education quality as well as
education standard in the sector of
City Of London.
 Entrepreneurial mentality and
broader human existence. Many
communities encourage enterprise
whilst some do not.
 Generate interest that helps in
encouraging demand to fulfil their
needs.
 Technology development by the City
of London’s competitors
 Impact of technology on product
offering
 Cost structure affected in financial
services industry
 In financial sector, value chain
structure affected
 Change in the diffusion rate of
technology
2. Key highlighted issues of each section of PEST
Political factor:
Political stability: City of London has a relatively stable market although there is a small
demand and any possible single fault points (Bean and Rattner, 2018). It is done by successful
contract management and Supplier partnerships. Political stability play an important role in
evaluating the issues that may influence the long term profitability of City of London in a given
nation or market. City of London works in far more than a dozen states in Financial Services and
exposes itself to various kinds of political environment and political structure threats. The result
of sustainability across different countries in such a competitive financial services market is the
diversification of the systemic uncertainties of the political climate. The degree of political
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stabilisation on the country has been experiencing in recent years (Busby, 2020). Politicians'
honesty and probability is of engaging in corruption actions and the ensuing consequences that
result in potential indictment or dismissal of high-level government employees.
Trade barriers, taxation and minimum wages: A high degree of taxes would discourage
industries including raising earnings. A higher minimum wage will also mean increased revenues
and greater chances of success for the company, but this would involve labour exploitation. The
trade barriers which would benefit the developing country; furthermore, barriers to trade which
would damage businesses by prohibiting future exports would damage countries with possible
trading partners. By 2015, the adult wage had increased to £ 6.70p per hour and the average was
£5.30p for 18-20 year olds. A wage rate of £3.00 an hour was implemented for children under 18
years of age in 2004, after a report by the Low Pay Commission, and the figure had increased to
£3.87 by 2015. A national 'living wage' was introduced in 2016 at £ 7.20 an hour for all those
aged 25, rising to £ 7.50 an hour in April 2017. While that is the 'normal' cost of living income,
the UK has higher voluntary rates of £8.45 and London has £9.75. The UK is part of Europe’s
harmonized customs scheme and EC Regulations regulate both import and export. United
Kingdom’s Dynamic Levy is generally referred to as 'the levy.' A Common External Tariff
(CET) extends to other countries, even Australia.
Economic factor:
Growth rate, trade & host country’s exchange rate: City Of London can use the
economic aspect of the world such as rate of growth, financial trends of inflation & economy
such as the growth of financial services industry, wage growth, etc. to predict the future growth
not only for industry but also for the company (Clarke, 2019). The nation's GDP growth would
determine how much it is projected to develop in the coming years. The nation's interest rate
would influence how many people are able to borrow and spend. Higher interest rates will also
result in larger investments that mean greater economic growth. The financial markets efficiently
work and also have an impact about how well wealth can be raised at a reasonable price, bearing
in mind production and consumption. The expected exchange rate operated in will affect country
competitiveness, especially if it participates in foreign trade. Also critical is currency stability-a
weak currency is attracting foreign investors. A high degree of poverty in the world would
indicate more labour supply than requirement, it means workers would be capable of working at
lower incomes, reducing the cost of goods and services and raising the total profit margin.
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Infrastructure quality in Financial Services industry: Digital infrastructure that the state
should implement by 2019 a Nationwide Broadband Program to provide complete fibre
connectivity around the nation, including in rural communities. It will indicate that the service
will be accessible to 15 million households and workplaces by 2025, 25 million before 2030, and
all businesses and homes by 2033. The vision for the country's national roads where the
government partners with cities and private businesses to create a nationwide network of
charging stations for electric cars and ensuring that the effects of wired and automated cars are
taken into consideration when preparing the next rail regulation cycle and the road infrastructure
strategy. The City of London of UK has been ranked 11th from out 141 nations in 2019, next to
France (7th), Germany (8th) and the Netherlands (2nd) in terms of the overall quality of its
infrastructure. The USA was in 13th place for the infrastructure quality.
Social factors:
Pattern of population and skill level: The latest population predicts from its Office for
National Statistics (ONS) locations the resident population of the City of London at 9,400,
forecasted to significantly rise in years to come (Hancock, 2019). It is estimated that those 65
and older will add most to this development, with their figures massively growing in the next
decade. With 86.1 for males and 89 for females, life expectancy in the City of London is higher
than the rest of Britain and England too. Such two factors create potential of increasing health
and social care demands for service providers to arrive. Government need to make decisions
regarding investment in healthcare sector because of the growth in population for the upcoming
years. The cultural heritage and way of doing business is throughout the society impacts an
organisational performance in an environment. Shared population perceptions and opinions play
a major role with how advertisers at City Of London Group Plc perceive a given market's buyers
and also how those who design the marketing message for consumers in the financial services
sector.
Generate interest that helps in encouraging demand to fulfil their needs: Government
of City of London develop several schemes for the welfare and health care facilities to improve
lifestyle or increase interest of people towards the facilities they provided. To help support the
social care program for adults, through offsetting potential savings that should have been
required, supporting rising competition, and reducing conditions over services. In the year, 2017-
18 the social care fund was around £ 90,000 and in 2018-19 it will be £ 114,000. This investment
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helps in improving healthcare image or helps in fulfilling the entire necessary requirement for
better economy.
Technological factor:
Technology development by the City of London’s competitors: As mentioned above, the
latest technical advances and breakthroughs made by the competitors (Millan and Smith, 2019).
When people discover popularity in the industry traction in the sector in question, it is
essential to track the success amount and how rapidly it is growing and affecting the sales of its
rivals. It could turn into the level of intensity needed to respond effectively to the invention,
either by adapting the technology or by seeking a creative alternative. Too convenient, and thus
quick, the technology will be disseminated to other firms in the sector, contributing to other
companies copying the technical processes and features or better performance and production.
City of London implements High Impact Change Model Action Plan (HICM) for early discharge
preparation that is good and can proceed as soon as the patient receives a notice. Treatment
navigator meets all these hospital patients and performs the assessment. Ongoing coordination
problems with some vendors and technological concerns are share knowledge safely throughout.
Cost structure affected in financial services industry: The effect of the technologies
mostly on costs to which most manufacturing businesses are exposed has the opportunity to
profoundly raise or reduce the resulting earnings. When these earnings are large in number,
individuals may be invested back in the division of research & innovation in which future
technological innovations will further increase profit levels, and so on, guaranteeing long-term,
sustainable profits through minimising cost by using effective cost structure process.
Above discussed factors help the organization to understand to make their decisions
regarding several investments which can generate the demand of users for several services (Moro
Visconti and Morea, 2019). City of London has five years forward view where conventional
division between primary care, community and hospital programs is becoming an obstacle to
patients' demand for customized and organized health services. The proposal lays out a new
common vision for the NHS 'future, stressing the need to transition towards place-based care
services where services cooperate and make good use of their resources to address the needs of
local communities in the most efficient and productive way. This further discusses the issues
around funding and performance to be tackled across the NHS, improving public wellbeing and
ensuring standard of care. This strategy has been supported by local authorities along with social
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services incorporated as an integral part of the services that need to be incorporated for any
patient so where we continue to collaborate ever together with the NHS so local government to
meet our collective goals.
3. Five recommendations based on the findings
In order to improve the overall performance and productivity of healthcare in City of
London, there are several recommendations given to implement for better results. On the basis of
above findings, some of the strategies which are used on different levels are discussed below:
National Context: At the period of rising competition NHS is experiencing growing
financial and infrastructure stresses. In this sense, the NHS Five Year Forward View which was
published in October 2014 is set (Future strategies, 2020.). This points out a new common
strategy for the NHS 'future, stressing the need to transition towards community integrated
service services where entities cooperate and jointly use their expertise to address the needs of
local communities in even the most effective and productive manner. It further points out the
issues around funding and productivity to be tackled across the NHS and enhancing public
wellbeing and delivering patient care.
Local Context: Strategic Plan of City of London (2015-2019) has been authorized after the
previous Joint Health and Wellbeing Program Framework. This is the key strategic planning
guide of the City Government, which includes a structure for service delivery. It sets priorities
which include a dedication to provide high-quality, affordable, and sensitive programs that
support residents, citizens, London, and the country (Njuangang, Liyanage and Akintoye, 2018).
The approach facilitates the implementation of the Corporate Strategy which, in addition, will
provide strategic direction for other policies which action plans, such as those related to social
security, infrastructure, education, employment and business activity.
Sustainability and transformational plan: NHS England needed local authorities to
develop five-year Sustainability and Transformation Plans (STPs) that detail how local
communities planned that address the Five Year Forward View issues. It covers eight local
councils, seven CCGs and 3 acute hospital trusts (Homerton University Hospital Trust, Barts
NHS Foundation Trust and Barking, Havering and Redbridge University Hospital Trust).
Locality plan: CCGs and the affiliate local authorities establish localities for two to five
years plans are to tackle local issues outlined in urban health and fitness policies and to
contribute to the completion of the greater STP goals. This helps the City of London to tackle
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common goals in the locality program including social exclusion, workers' safety and cross-
border problems.
Devolution pilot and integrated communication: As a devolution pilot, the London
Borough of City of London is approved separately from the STP, alongside local health
providers. It helps us to discuss the transfer of authority at a territorial level in order to further
endorse strategies to be accomplished (Pickuth, 2018). It works to promote the development of
Hackney’s urban health and care network so that it is commercially and scientifically viable and
provides changes in quality for safety, services and very well-being. The City Council and the
CCG have collaborated together to ensure that the Community, whereby the requirements are
unique, gains advantages and enhances results from the devolution. The plan for a devolution
dedicated to pursuing shared design and construction between the CCG as well as the social care
and public health roles of the local government. The London Borough of Hackney has made a
promise to discuss this. Because as City of London Corporation is not part of the devolved
powers project, the CCG is keen to develop a reciprocal agreement with the City Corporation to
replicate that at Hackney and ensure a consistent approach around the CCG area.
CONCLUSION
From the above discussion it has been observed that, with the aid of PEST analysis
organization able to make their decisions which is fact based and helps in making appropriate
decisions. This framework used by the entities to evaluate different external factors which affect
the City of London and also allow them to made decisions regarding investment to increase the
user’s involvement in the services which helps in providing growth and development in the
country or make more stronger economy for the long run sustainable.
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REFERENCES
Books & Journals
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safety in the healthcare sector. In Wearable and Implantable Medical Devices (pp. 229-
253). Academic Press.
Bean, T. G. and Rattner, B. A., 2018. Environmental Contaminants of Health-Care Origin:
Exposure and Potential Effects in Wildlife. In Health Care and Environmental
Contamination (pp. 87-122). Elsevier.
Behmane, D. And et.al., 2019, February. Significance of Technology Factors in the Context of
Development of Health Care Sector in Latvia. In International Conference on Intelligent
Human Systems Integration (pp. 248-254). Springer, Cham.
Busby, M., 2020. Leading the Oral Healthcare Team in Risk Assessment. In Risk Assessment in
Oral Health (pp. 189-202). Springer, Cham.
Clarke, C., 2019. Strategic planning in healthcare. In Textbook of Medical Administration and
Leadership (pp. 31-46). Springer, Singapore.
Hancock, D., 2019. Organisational management tools in healthcare. Practice
Management, 29(6), pp.18-22.
Millan, M. and Smith, D., 2019. A Comparative Sociology of Gypsy Traveller Health in the
UK. International Journal of Environmental Research and Public Health, 16(3), p.379.
Moro Visconti, R. and Morea, D., 2019. Big data for the sustainability of healthcare project
financing. Sustainability, 11(13), p.3748.
Njuangang, S., Liyanage, C. and Akintoye, A., 2018. The history of healthcare facilities
management services: a UK perspective on infection control. Facilities.
Pickuth, D., 2018. Healthcare Executives: The Essentials for Excellence in Leadership and
Management. Troubador Publishing Ltd.
Online
Future strategies. 2020. [Online]. Available Through:
< http://80.169.89.105/services/health-and-wellbeing/Documents/health-wellbeing-
strategy.pdf >
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