F.M 4

PESTEL ANALYSIS

Political Factors

Economic Factors

Social Factors

Technological Factors

Environmental Factors

Legal Factors

The organization is fully equipped to change its policies according to the changes taking place politically across the state and at the federal level. The organization is familiar with the political preferences regarding the policy of improving care quality, offering insurance coverage, and improving coordination with other healthcare organizations and the state and federal authorities. The organization has to keep an eye on political factors such as political stability, interference by the government, intellectual property protection policies, trade regulations and tariffs, anti-trust laws, wage legislations, employee benefits, safety regulations, and pricing regulations.

Since the organization is in the field for decades, its leadership is fully aware of economic factors that can influence the organizational factors. The organization remains alert to economic issues such as fuel prices, interest rates, consumer confidence, inflation, and increasing labor costs.

Therefore, the organizational leadership is fully prepared to make necessary changes according to the new developments from economic perspectives.

The organizational leadership has actively worked to improve its outlook to meet the challenges associated with social factors. The social factors most likely influencing the organization are consumer behavior, leisure, interests, entrepreneurial spirit, education level, class structure, demographics, and skill level. The organizational staff members understand the significance of each of the above factors.

Technology plays a significant role in making an organization retain its position in the market to keep the competitors behind. Methodist Hospital administration understands the value of technological interventions in improving the quality of care for the consumers and the performance of employees in making correct use of technology to identify the problem and offer a solution. Therefore, the organization had equipped all departments with state-of-the-art technological devices to improve employee performance and patient outcomes. The organizational leadership emphasizes the need to acquire first-hand information about rates of technological diffusion, recent technological developments, and the impact of technology on cost structure and value chain structure.

Environmental factors of air pollution, waste management, attitudes towards renewable energy, water pollution, laws regulating environmental pollution, weather, and climate change can make a healthcare organization thrive in the market or deprive it of its upper hand in the industry. Therefore, every healthcare organization has to pay sufficient attention to each factor. The Methodist Hospital also requires a thorough understanding of environmental protection laws in different states.

To complete the marketing forces effectively, the Methodist Hospital pays more than enough attention to different legal factors influencing it. The legal factors influencing the organizational position in the healthcare industry include the latest developments in data protection, health, safety, employment, consumer protection, e-commerce, copyright, discrimination, and anti-trust laws (Fox & Vaidyanathan, 2016). The organization has equipped itself with experienced lawyers who can pursue the case for the final hearing in this matter.