PEST Analysis for St Mungo's Charitable Housing Project in Lewisham Borough

The report analyses the effectiveness of PEST analysis for St Mungo's charitable housing project in Lewisham borough. It discusses the political, economic, social and technological factors that may affect the project and provides recommendations to the management committee of St Mungo. The report also highlights the importance of using PEST analysis in decision-making processes.

HEALTH CARE ENVIRONMENT

Executive summary
The report has analysed the effectiveness of the PEST analysis to build a charitable
housing project. St Mungo is a charitable housing project residing in London that cares
for the homeless people across the UK. Presently, they are motivated to develop a project
for homeless people. Thus, they are focusing to analyse the political, economic, social
and technological scenario of Lewisham to authenticate the future of their project. The
demographical factors, local administrative issues, undeveloped political, situation, poor
economic condition, financial relationship and financial barriers can be considered as the
key factors to be analysed in this discussion. The effectiveness of the Clinical
Commission Group has also been considered as one of the integral parts of the study.
Deprivation has been identified as the main economic barrier for the homeless population
that has been resolved in the study with proper financial resolution and application of
updated technology. The study can be helpful to provide information to the St Mungo’s
charity for the further progress of their study.
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Table of Contents
Introduction......................................................................................................................................3
Analysis...........................................................................................................................................4
PEST Analysis.............................................................................................................................4
Discussion of the political, social, economic and technological factors.................................5
Recommendations..........................................................................................................................13
Conclusion.....................................................................................................................................14
Reference List................................................................................................................................15
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Introduction
The PEST analysis is considered to be one of the most important tools to understand the
political, economic, social and technological scenario of the target area. It has a
considerable impact on the decision-making process of the organisation PEST analysis
will be analysed in this study to explore St Mungo’s upcoming venture of developing
charity housing. St Mungo is a charitable organisation of the UK who works for the
homeless people. It also provides advocacy that has a significant impact on the policy
makers to formulate suitable policies for the homeless people. Moreover, they tend to
organise community awareness program to support the homeless people around the UK.
The study will explore the initiative of the St Mungo’s organisation to develop the
condition of the homeless people of Lewisham borough. Homeless crisis is one of the
foremost issues for Lewisham borough which ranked 12th in the worst twenty boroughs in
the UK. Thus, St Mungo has taken initiative to support the homeless people of Lewisham
borough. Thus, this study will consider all the relevant factors through PEST analysis that
may affect the charity housing project of St Mungo. Recommendations for each
identified issues will be conveyed to the management committee of St Mungo to erase the
decision-making process. The concluding part of the study will summarise the whole
study and will refer to the key uses of using PEST analysis to promote the decision-
making process of the managerial of St Mungo.
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Analysis
PEST Analysis
The PEST analysis has consisted with the political, economic, social and technological
factors that are impactful on expanding the business area of St Mungo’s charity. The
charity housing project of St Mungo is about to be initiated in the Lewisham borough of
the UK (GOV.UK, 2018). The below table is a suggestive outlook to understand the
types of political, social, economic and technological factors that are impactful on St
Mungo’s charitable housing project in the Lewisham borough.
Political factors Economic
factors
Social factors Technological
factors
Demographica
l policies
The issues
associated
with the JSNA
process
The priority of
problems of
the
administrative
Deprived
economi
c
structure
The
ineffectiv
e
financial
vision of
Clinical
Demographica
l issues
Social
deprivation
Social
healthcare
perspective
The vision of
local
administration
The
development
of the local
healthcare
infrastructure
The
utilization of
updated
technology to
mitigate the
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authority of
Lewisham
borough
Undeveloped
political
system
Commiss
ion
Group
(CCG)
The
utilisatio
n of
financial
resources
The
authentic
ity of the
financial
distributi
on
homeless
population
Development
of disease
screening
technology
Infrastructura
l
development
of the
technology
Table: PEST analysis
Source: Created by the researcher
Discussion of the political, social, economic and technological factors
Political factors
The political factors imply the existing rules and regulation of the local administration.
The future visions of the local administration to develop the existing infrastructure of the
homeless people are also the formidable political criterion to be analysed (Loudermilk,
2017). The Lewisham borough is presently facing problems in developing effective
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policies for the homeless people. The constant change in the administrative policies has
been creating a large problem over the last few years. The JSNA initiative of the local
administration has also failed to address the homeless issue properly (Theburyjsna.co.uk,
2018). Thus, St Mungro needs to analyse these issues to formulate their future policies
for the charitable housing.
The demographical policies
The demographical policies for the development of the homeless people in Lewisham borough
are one of the biggest issues. It is largely notable that the previous policies have completely
failed to execute and resolve the homeless situation (Pessoa and Van Reenen, 2014). The
demographical policies of St Mungo should be executed in an appropriate manner. Additionally,
they must develop policies to assure homes for all the 27% of the child population among them
homeless people. 20% of the population of Lewisham borough live under the poverty level
(Theburyjsna.co.uk, 2018). The root problem lays on the existing demographic policies of
Lewisham borough. St Mungro needs to develop more updated demographical policies that can
address the root issues of homelessness and resolve that immediate concern (Pessoa and Van
Reenen, 2014). The development of healthy demographical policies for the homeless people of
Lewisham can resolve the homeless issues.
The issues associated with the JSNA process
The JSNA implies the Joint Strategic Needs Assessment (JSNA). This assessment uses to
identify the health and wellbeing any particular location. However, the performance of JSNA is
not formidable at Lewisham borough as the number of homeless people is growing over the
years (Theburyjsna.co.uk, 2018). The latest published data of JSNA has signified that the health
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and wellbeing status of the homeless people of Lewisham borough has not witnessed any
formidable growth. Thus, St Mungo needs to assess the data of JSNA properly to locate the
health and wellbeing situation of the people of Lewisham borough (Theburyjsna.co.uk, 2018).
They should analyse the existing inequalities of the healthcare development policies of the
people of Lewisham and evaluate the evidence gathered from the JSNA data (Ahoya, 2016). The
development policies of St Mungo must assure public health adult and social care needs of the
homeless population of Lewisham borough.
Picture: JSNA
Source: https://www.bedford.gov.uk/health_and_social_care/bedford_borough_jsna/
jsna_introduction.aspx
The priority of problems of the administrative authority of Lewisham borough
The incapability of the local administrative board to mitigate the homeless issues in Lewisham
borough has raised the authentication to change the existing governing body. The current
administrative body has failed to prioritize the homeless issues in Lewisham borough (Pessoa
and Van Reenen, 2014). The healthcare wellbeing factors are getting less prioritized. The
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unaddressed root problems of the homeless population of Lewisham borough are getting fatal
over the years and now over 2000 people live under the sky every year in Lewisham borough
(GOV.UK, 2018). Thus, St Mungo needs to develop their strategies prioritizing the basic
healthcare requirements of the homeless people of Lewisham borough. Moreover, the strategies
must assure to nullify the prioritizing problems existing in the previous policies (Frueh, 2015).
Undeveloped political system
The lack of communication in the political system of Lewisham borough is considered to be the
ultimate political issues. There is no specific or strategic outlook for the governing bodies of the
Lewisham borough to mitigate the homeless issues (Pessoa and Van Reenen, 2014). Moreover,
they are incapable to handle the healthcare problems of the Lewisham borough. The political
system of Lewisham borough has no proper framework to implement proper healthcare policies
for the homeless people (Wigzell, 2017). Thus, St Mungo must develop a strategic framework
for the healthcare policies for the homeless people of Lewisham borough. Additionally, they
need to evaluate the political barriers related to the strategic implementation of the strategy
(Wigzell, 2017). This would enable them to eradicate the strategic barriers of the policy
implementation.
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Picture: Political barrier to healthcare in Lewisham borough
Source: http://councilmeetings.lewisham.gov.uk/documents/s53232/Appendix%20A
%20Draft%20Lewisham%20Barriers%20to%20Politics%20Working%20Group
%20Report.pdf
Economic Factors
The economic factors play a pivotal role in the policy makings of the organisations. St Mungo
needs to develop their economic policies by evaluating the present economic situation of the
Lewisham borough (Wigzell, 2017). The number of homeless people is growing in Lewisham
borough over the years and the economic reasons play a vital factor in this social deterioration
(Reeve, 2017). Thus, the formulation of the economic policies of St Mungo to develop their
charitable housing project in the Lewisham borough must focus on the proper resources, fund
allocation and the proper budgetary decision to promote the effectiveness of the economic
policies (Fasina, 2016).
Deprived economic structure
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The economic gap between the Lewisham borough and the central London borough is 10% that
signifies the level of economic deprive. Around 25.7% of the youth population of Lewisham
borough belongs to the deprived economic structure (GOV.UK, 2018). The deprived economic
structure can also be considered as one of the key reasons for the homelessness of the Lewisham
borough (Pessoa and Van Reenen, 2014). The declining economy in the Lewisham borough has
led to the population to a certain economic defaulter. Thus, St Mungo needs to develop their
economic strategy focusing on the deprived economic structure of the Lewisham borough
(Taylor, 2018). They must assure the homeless population to provide free healthcare and free
home to raise their standard of economic living.
The ineffective financial vision of the Clinical Commissioning Group (CCG)
The CCG moistly involves in the hospital and community services for the local areas. They
participate in the decision making for the healthcare and community development of a
diversified population group (Wiltshire Clinical Commissioning Group, 2018). The present
financial performance of CCG is not getting effective for the healthcare development of the
homeless population of the Lewisham borough. The basic financial requirement of the homeless
people has remained unsatisfied due to the improper policy framework (Wiltshire Clinical
Commissioning Group, 2018). However, St Mungo needs to clarify the financial requirement of
the homeless population of the Lewisham borough. They must assure the healthcare
development of the homeless people (Taylor, 2018). Policies must be developed to mitigate the
existing problems of the healthcare needs of the homeless population.
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Picture: Clinical Commissioning Group (CCG)
Source: http://ammf.org.uk/the-nhs-in-the-uk/
The utilisation of financial resources
The economic strategy development lies in the effective utilisation of financial resources. St
Mungo needs to utilise their financial resources properly for the development of financial plans
(Taylor, 2018). The effective utilisation of the financial resources has mitigated the healthcare
gap between Lewisham borough and other boroughs of central London by 10% (Wiltshire
Clinical Commissioning Group, 2018). Thus, St Mungo must show their craftsmanship in
developing their financial policies and utilising the resources for the betterment of the homeless
population of Lewisham borough.
The authenticity of the financial distribution
The improper financial distribution of the in the Lewisham borough is the ultimate reason for the
homelessness of the Lewisham borough. However, the Lewisham commission took initiative to
develop the existing financial policies to mitigate the issues on financial distribution (Blank,
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2017). The policies for financial distribution must mitigate the homeless issues. Thus, St Mungo
needs to develop their economic strategies by maintaining balance in the financial distribution
(Blank, 2017). This could enable them to manage their economic policies and implement a
strategic financial outlook for the betterment for the homeless people.
Social factors
Homelessness is indeed a considerable social problem for Lewisham borough. Around 2000
people every year use to suffer from homelessness (Pessoa and Van Reenen, 2014). This
promotes socials problems like poverty, stealing nature and single parents. Thus, St Mungo
needs to put concern on the factors that evaluates the social issues of homelessness. Hence, the
homeless is promoting diseases like cognitive impairment, malnutrition and diabetes (Frueh,
2015). Additionally, the charges of the available houses are way beyond their financial capability
(Wells and Root, 2015). Thus, the analysis of the social demographical factor, social healthcare
factor, social deprivation factor and the visionary factor of the local administrations would help
St Mungo’s charity to evaluate their existing capability to continue their charitable housing
project (Aithal, 2016).
The social demographical factor
The social demographical factors suggest the fact that around 47% of the overall population of
Lewisham borough belongs to black and minority population (GOV.UK, 2018). It is significant
that the black and minority population are derived from the healthcare facilities and are homeless
(Helena, 2016). Thus, racial demographic factors must be analysed by the St Mungo organisation
before the policymaking. It is also notable that discrimination also plays a pivotal role in the
homelessness of the Lewisham borough population (Demski, 2014). St Mungo must analyse the
basic healthcare demands of the black and the minority population of Lewisham borough.
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Furthermore, the demand must be evaluated with the availability of the resources to formulate
the demographical policies effectively (R, 2017).
Social healthcare factor
One of the greatest barriers to the development of the social healthcare policy is the social
interest. The rent of the houses does not qualify the average income of most of the population of
Lewisham borough (Whelan and Maître, 2013). Thus, most of the population remains homeless.
Moreover, the economic decline of the locality results in the lack of effective healthcare policies.
Thus, St Mungo needs to concern about the rent of the houses (Taylor, 2018). Strategies must be
developed to raise the living standard of the homeless people. The rent of the houses must be
either free or low in order to meet the capability of most of the population of the Lewisham
borough.
Picture: Social healthcare in the UK
Source: https://www.gov.uk/government/publications/health-profile-for-england/chapter-6-
social-determinants-of-health
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Social deprivation
The people of Lewisham borough are considered to be the most deprived population among the
boroughs of the London. Most of the people belong to minority community having no proper
resource of healthcare facilities and living homes (Aithal, 2016). Thus, as per the deprival index
of the UK, Lewisham borough has scored 31st rank among the 354 local authorities (GOV.UK,
2018). Thus, St Mungo needs to reshape their social policies focusing on the current deprived
situation of the Lewisham borough. The must develop proper healthcare and developmental
policies that can mitigate the healthcare and homelessness of the people of Lewisham borough
(Pessoa and Van Reenen, 2014).
The visionary factor of the local administrations
The administrative council of Lewisham borough has taken a serious note for the development of
the existing healthcare situation of the homeless people. They conduct a survey to authenticate
the reach of the healthcare facilities to the homeless people of Lewisham borough (Pessoa and
Van Reenen, 2014). St Mungo needs to assess the healthcare services of the local administrative
members and analyse their future vision. This would enable them to portray a new social strategy
(Pessoa and Van Reenen, 2014).
Technological factors
The technological factors define the utilisation of updated technology to develop the existing
situation. It is essential to use updated technology in order to develop the existing situation of the
Lewisham borough (Lee, 2018). Technology can be used to develop the infrastructure in order to
create a proper land bank for the St Mungo charitable organisation. The land bank can be used
for the charitable organisations and the homeless people of Lewisham borough (Lee, 2018).
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The development of the local healthcare infrastructure
The technology can be used to develop the existing healthcare infrastructure. St Mungo needs to
assess the utilisation of the required technology that can be suitable for the betterment of the
healthcare infrastructure of Lewisham borough (Lee, 2018).
The utilization of updated technology to mitigate the homeless population
The use of land bank technology is the most effective available technique to retain lands for the
homeless population (Lee, 2018). Thus, St Mungo charitable organisation must analyse the use
of this technology to develop their land bank policies.
Development of disease screening technology
The use of updated technology is essentially required for the healthcare betterment of the people
of Lewisham borough (Lee, 2018). St Mungo needs to analyse the availability of the medical
equipment with updated technology to screen the disease of the homeless population of
Lewisham borough.
Infrastructural development of the technology
Technology must be used for the infrastructural development of homeless people. St Mungo
needs to evaluate the effectiveness of the updated technology to develop the healthcare setting in
Lewisham borough (Lee, 2018). This may include the use of updated medical equipment, risk
screening tools and emergency services.
Recommendations
Homelessness is one of the biggest problems for the Lewisham borough. It affects the
standard of living and the healthcare scenario. The initiative must be taken to mitigate the
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issues regarding the homelessness (Pessoa and Van Reenen, 2014). Thus, the
recommended steps that the St Mungo charity house may take to develop the existing
scenario are:
 The charitable house must assure home to almost all of the homeless population
of the Lewisham borough
 Effective service housing project must be implemented to connect the local
government. This can promote the communication between the local government
and St Mungo charitable house that can boost up the development of homeless
people
 St Mungo charitable organisation must seek liaison from the local government in
order to continue their task smoothly. This can mitigate any further chances of the
legal issues.
 The lack of shelter and deprivation has led the people of Lewisham borough to
severe cognitive impairment. Thus, St Mungo must ensure rehabilitation and
counselling system for the mental health development of the local people.
Conclusion
The study has described the effectiveness of the PEST analysis to implement the charitable
housing project of St Mungo in the Lewisham borough. Lewisham borough is a poverty-stricken
area of London mostly consisted of the black and minority population. This study has unfolded
the effectiveness of the social, political, economic and technological factors. The analysis of
these factors has become beneficial for the policy-making process of the St Mungo charitable
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organisation. Moreover, this has helped their strategy formulation for the development of
charitable housing project in the Lewisham borough. The recommendations are provided based
on the necessity. Thus, effective implementation of the PEST analysis can mitigate the strategic
barriers.
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