Friday, March 11, 2011

PESTLE Analysis


PESTLE stands for Political, Economic, Social, Technological, Legal and Environment. PESTEL analysis is a tool that can aid organization making STRATEGIES understand the EXTERNAL environment in which they operate now and will operate in the future.

Political
The ministry of natural resources and environment has set the committee to issue the resolved plan of the over-usage of underground water  which is to decrease usage of underground water even stop using it. The Department of Groundwater Resources(DPR) under the ministry of natural resources and environment  have complied with the underground water usage control plan,  in the  short-run by canceling the use of underground water in the area in which can access to the tap water, and also raised the price of underground water . In the long-run, by launching  a campaign  for Thai people to use tap water instead of underground water.



Economic
The more products produced, the more water used. Thailand’s economic grows and expands. This can cause increasing in the usage of underground water. From the DPR’s statistic, the majority of using underground water is industrial sector. The over-usage of underground water can cause land subsidence leading to building and road collapse. This can lead the huge loss for the economy.



Social
Due to increased demand of water and limited water supply through sources like tap, people keep extracting more of underground water.There is a general behavior that water is the necessity of humans and it is for free. As a result, people owning the plots in Bangkok feels its their right to extract water from their premises. So does the industries.As the civilians and industries have high social influence, it is hard for the authorities to restrict them without supportive law.
Technological
We have been talking about controlling the use of underground water in Bangkok and how to sustain the water level on in problem definition. There are available technologies to measure and monitor the underground water level in Bangkok. The system was created by department of groundwater resources. The system also allows us to check how many well in particular area and where are they.


Legal
Bangkok government issued an underground water usage act in 1977.  The act was mean to control the activities that relate to underground extracting and releasing.  The government has realized this problem could become more serious and lead to land subsidizes which would result in flooding and infrastructure damages

Environment
Bangkok was declared as crisis area for overuse of underground water since 1983 where land subsidizes rate is more than 10 cm. /year.  The over use of underground water can create a big impact on agricultural sector and lead to flooding in several areas of Bangkok.  As the ground level become lower than the sea level when rain season come the water would unable to release in time.

1 comment: