Comprehensive Analysis of Sanne Group's Business Environment Report

This report provides a detailed analysis of the Sanne Group's business environment. It begins with an introduction to the company, including its history and core services in financial services. The report then examines the organizational structure of Sanne Group, highlighting its flat structure, management, and governance, including the roles of directors and key executives. Furthermore, the report evaluates the importance of PESTEL analysis for business organizations, discussing how it helps in strategic planning and understanding external factors. The analysis then applies the PESTEL framework to Sanne Group, identifying political, economic, social, technological, environmental, and legal factors influencing its operations. The report includes factors such as political instability, economic indicators, social trends, technological advancements, environmental concerns, and legal regulations impacting the company. The report concludes with a summary of the key findings and their implications for Sanne Group's strategic management and future growth.

Examination of a company

Table of Contents
INTRODUCTION...........................................................................................................................3
Task-1..............................................................................................................................................4
Presenting organizational structure of Sanne group....................................................................4
Task-2..............................................................................................................................................5
Importance of PESTEL analysis.................................................................................................5
TASK-3............................................................................................................................................7
Factors that influenced the environment of company.................................................................7
Pestel analysis of Sanne group....................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
The examination of company refers to analysing all key systems and process within firm. The
chosen firm of the report is SANNE GROUPS that deals in providing financial services to
private clients and financial institutions. Similarly, the report will highlight the structure of
company that is used for managing and governing business operations. Further it will analyse the
importance of PESTEL for the business operations. The report will also discuss the external
factors of PESTEL analysis that have direct impact on performance and environment of
company.

Task-1
Presenting organizational structure of Sanne group
Sanne group is the public limited company that deals as a provider of management services. The
company was founded in the year 1988 in jersey and headquartered in London (Sanne Group
PLC. 2021). The shares of the company are listed on London stock exchange and it is the
constituent of FTSE 250 indexes. It operates in 22 different countries that include UK, Asia and
Africa. Leadership of Sanne is that they work with talented people who have deep knowledge
and expertise in nature that differentiates. Origin of company is to provide fiduciary services to
their private clients, fund managers, global corporates and financial institutions. Sanne deals in
services like capital markets, private debt, private equity, corporate services and real assets.
Sanne have around 1800 employee working with them across the world. The net income of
company was £8.9 million in year 2019. The company have started working with corporate
customers in year 2003. The vision and strategy of Sanne is to be the worlds top leading
providers in asset and corporate administration services. Company have to face some issues that
are related to signing their shareholders before announcing floatation. In the era of covid19
company have managed existing portfolio rather than new fundraising by getting benefits from
customers. In the year 2020 Sanne have around £250 billion of assets under management. Sanne
in the march 2020 have sold their private client business to JTC plc (Bloch, and et.al, 2020).
Organizational structure refers to the distribution of positions or relationship among units Of
business. Sanne group uses flat organizational structure that means the company has no level of
management between its staff and executives. This type of structure mainly work on organization
that are based on how many levels are their and how managers control it in different form. In this
manager are responsible for all the functions that are performed by individuals who are
dependent on their help, support and directions. The manager of Sanne group have to guide their
employees with less guidance as there are limited superiors. The benefit of using this structure by
Sanne is that their well- trained workers are more productive and will give ideas and
involvement at the time of decision-making. Flat organization structure results in cost saving as
fewer level of management will incur fewer expenses on salaries. Another advantage of using
this structure by Sanne is improvement of customer relation (Boland, and et.al, 2020). As this is
more capable for the organizations to remain close with their customers and will result in
responding efficiently to changing needs. In this structure Sanne provide more open

communication and collaboration between the employees working on same workplace. In this
form bureaucracy is reduced which will lead to equality among employees. When it comes to the
job of employees they will have better commitment and ownership regarding work. This
structure will give everyone an equal voice that is related to feedbacks on services & models and
submitting new ideas that may lead to competitive success.
Sanne group have 10 directors on the board in which two are executive directors and Five are
non-executive directors. The chairman is Rupert Robson and Martin Schnaier acts as the chief
executive officer of Sanne group. In order to appoint the directors of company Sanne group calls
annual general meeting in which all the shareholders are present and by majority of votes they
elect new director. All the rights related to appointing are in the hands of shareholders or
appointed committee. Mainly the process of appointing are done on basis of Companies article of
association only if vacancies arises. The company must give notice to house after the new
director is appointed. Sometimes there are discussion at the time of appointment between the
shareholders and directors related to the power and tactics (Gondek, Boessenkool and Star,
2018).
Task-2
Importance of PESTEL analysis
PESTEL analysis refers to the framework that are used to analyse the key factors like political,
economic, sociological, technological, legal and environmental that have direct impact on the
organization from outside. This model helps to identify external factors which influence the
companies policies.

PESTEL analysis have great role in the growth of company because they are used for making
strategies and planning related to product line or opening new company (Maekelberg 2020) . The
importance of pestel analysis are:
 Gives knowledge to business: It helps in knowing what are the steps taken in starting
the business and conducting it. They give information about what are the wants and
needs of the customers is company are fulfilling their all the needs. With the help of this
the owner of the business can find out what the changes that the company have to make
using different factor.
 Cross-functional skills: Pestel analysis is important as it involves cross-functional skills
that helps in reducing the impacts of potential threats to the organization. It is important
because it helps company to know some elements that are related to law, physical
environment and ethics of population. Further it helps company to prepare for the threats
which will arise time to time because of this external factors otherwise they will lose
market share to its competitors.
 Helps in market growth: The firm can asses directly to the market that are related to its
competitors and understanding the market growth, positions of the company in different
field and what are the directions that are used by the organizations to operate the
business using different strategies (Messchaert and et.al, 2018). Pestel analysis are
important for the companies who are operating their business on global markets as they
are concerned with outside environment.
 Helps in knowing the different factors: It is important for the company to know the
social factors that are related to change in trends. Significance of model is it will also
improve the ability of doing successful business. If the company is new in the market
model will help them to identify the significance that are related to changes in political,
economic, social, technological, environmental and legal factors.
 Gives necessary data: It will provide necessary data and encourages strategic planning
that will result in growth of company. As a result it will help company to identify
different opportunities that arises time to time due to external factors. By this model
company will improve its performance that are based on public safety and ingredient
regulations.

 Demographics characteristics: It is important for the companies as it will help them to
know demographics characteristics that are custom, values and norms that will affect the
organizational operations (morpOrr and et.al, 2021). This model is important for
companies what are the government regulation that will affect the trade markets and
business environment. Analyse includes all the legal and environmental factors which
are related to changing the policies and rates.
TASK-3
A-Factors that influenced the environment of company.
PESTEL analysis are the framework that is used to study the macro-environmental factors in the
external environment of the business which have direct impact on the business operations
(PESTEL Analysis: Definition, Examples, Importance & Advantages. 2021). In this module
opportunities are used to take first mover advantage and threats are related to the strategic plans
for meeting the needs and desire of company (Pálsdóttir and et.al, 2019). The various factors that
will influence the external factors are:
-Political factors:- The political factor of the economy are related to the interference of
government and the political parties in the processing of the company. It will affect the company
if there is political instability in country. Government have provided several subsidiaries to
promote like education and health. This factors will include policies, laws, regulations that are
defined by the government related to tax, trade, etc.
-Economic factors:- These factors help company to know the current scenario that will have
long termed impact on the operation of business. Factors include inflation, foreign exchange,
growth, interest, unemployment rates that are pertaining in the country. These different rates will
affect the purchasing power of company due to decrease in disposable income of individual
which will result in changing the demand and supply forces in economy.
-Social factors:- These factors are concerned with the population in economy. Lifestyle, health
conscious and trends in markets are the important for making profits in company. Different
services and products that are offered by company are based on the beliefs and attitudes of
people. Element are classified in the form of demographic components that are culture, value
systems, norms etc. For example in today's era people are very conscious about their health they
perform various activities that is gym, aerobics and dancing.

-Technological factors:- These factors are related to the technology used by the companies. If
the company have successfully adopted new technology that will result in terms of time, costs
and efforts for human resource. The companies use this factors to take first mover advantage
towards their competitors. The innovation in the technology changes the operations of the
company whereby new methods which are faster and more efficient in generating economies of
scale. This factors will result in reduction of waste and errors in the operation of company (Roy
and et.al, 2020).
-Environmental factors:- These factors are related to the issues that are faced by the marketers
and are considered to take corporate social responsibility in business. The factor will include
terms in respect of pollution, sustainable development, non-biodegradable resources, clean and
green environment and the carbon footprint targets. There are different categories that have
direct impact on the profits of company that is climate change, weather which can also affect the
countries like tourism, agriculture, insurance and farming.
-Legal factors:- These factors are used by the company to know what are the legal and illegal
law that affect the operations of business. Factors include laws like labour law, patent and
copyright law, consumers protection law and safety law, etc. It is difficult for organization whose
business is globally and each nation have its own rules and regulations.
B-Pestel analysis of Sanne group
The analysis gives details about the operating challenges of the Sanne group that are related to
the competitive forces (Sanne Group Plc PESTEL Analysis. 2021).

Political factors: This factor play an important role in the Sanne as it can affect the long-
term profitability in not only the company but also in few country and markets. Sanne is
operating in providing financial services to many countries and expose itself to different types of
political system risks and environment. It is important for the Sanne to see the changes that are
made by the government which will result in alter towards the development of the industry.
Moreover, if the government of country are well-developed then they can make environment
more comfortable for the Sanne group who is the international business organization. Along this
the things that are affected by political factors are legal framework, trade regulations, different
laws, employee benefits and interference of government (Tiego and et.al, 2019).
Economic factors: These factors are used to determine the aggregate demand and
investment in an economy. In Sanne macro environment deals with what are the competition
norms that have direct impact on the competitive advantage of firm. It is important for the Sanne
to understand the factors which are relevant to the foreign exchange rates, labour conditions and
saving rates as they regulate the overall environment of country. Similarly, if the company have
full knowledge about the economic factors then it can help them to estimate the growth tragedy
of industry. If interest rate is higher this will increase the opportunity opportunities for company
to make profits in international trade markets. Few factors that have direct impact on the business
cycle are government intervention, exchange rates and education level in the economy.
Social factors: The way of doing work and culture have direct impact on the
Organization in environment. In today's era the attitude and belief of the people are not stable
they kept on changing it is important for the company to understand what are the trends, power

structure and spending in the market. If there is changing in demographic trends then company
have to choose what are the different segments can be used for the growth and development of
business operations. Factors that have direct impact on the operations of Sanne are education
level, attitudes, class structure, skill and demographics level of population.
Technological factors: In these factors the company is considered the changes in
technology that have direct impact on the goals of business. This is also the part of model which
are related to understanding factors at the time of making strategic decisions for company. The
Sanne should keep eye on the changing technological trends to make sure that they are one step
ahead from their competitors By entering new markets with new technology it can increase its
market share by focusing on emerging technological innovations (Van Herpen, and et.al, 2020).
Environmental factors: Sanne have different norms and structure which can affect the
profits of firm. By entering new markets it is the duty of company to understand what are the
environmental standards that are required by the company to operate in those markets. The
factors are related to laws regulations, Sustainability act and climatic changes which are
important part and have direct impact on the services that are provided by the company.
Legal factors: This is the last and important factor that is related to entering new
markets. Company cannot enter if they don't know the details about the legal environment and
regulatory structure of that markets. Various factors that Sanne have to face are intellectual
property rights, consumers and environmental protection standards.
CONCLUSION
From the above report it has been concluded that Sanne follow flat organizational structure that
means the company has no level of management between its staff and executives. By evaluation
of above report importance of Pestel analysis that is company can identify different opportunities
that arises time to time due to external factors. By using pestle analysis company have identified
what are the factors that affect the operations of company that are political, economic, social,
technological, environmental and legal.

REFERENCES
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van Herpen, and et.al, 2020. A head start in higher education: the effect of a transition
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Online
PESTEL Analysis: Definition, Examples, Importance & Advantages. 2021. [Online]. Available
through: <https://studiousguy.com/pestel-analysis-definition-examples-importance-
advantages/>
Sanne Group Plc PESTEL Analysis. 2021. [Online]. Available through:
<https://www.case48.com/pestel-analysis/12205-Sanne-Group-Plc>
Sanne Group PLC. 2021. [Online]. Available through:
<https://www.londonstockexchange.com/stock/SNN/sanne-group-plc/analysis?
lang=en>