Page 35 - Flip Banks TG

PEST

PEST (PESTEL) is a diagnostic tool used in strategy to analyse

the macro environmens and identify how future trends in

the political, economic, social, technological, environmental
and legal environments might impact individual

organisations within an industry.

Organisations study the key drivers of change behind the

PESTEL factors. These key drivers of change constitute

opportunities and threats in a firm’s external environment

and industry which can be overcome by focusing on

strengths and eliminating weaknesses.

For “its part, Barclays continues to develop new

technology and invest in digital and mobile capabilities

to improve and differentiate their offering. Barclays is

in fact one of a few banks that has started processing

transactions based on Blockchain technology when

together with innovative start-up company Wave

became the first to execute a global trade transaction

using blockchain technology. The new blockchain based

system developed by Wave, uses distributed ledger

technology to ensure that trading parties can see,
transfer title and transmit shipping documents and

other original trade documentation through a secure

decentralised network. The new system could therefore

speed up trade transactions, reduce costs for

companies around the world and reduce the risk of

documentary fraud” (Annual Report 2016).