The STEEPLE Analysis Framework
3CO01 – Business, culture and change in context
This CIPD Level 3 learning video explores the STEEPLE Analysis Framework as part of unit 3CO01 – Business, culture and change in context, specifically addressing assessment criteria AC 1.1 on examining key external influences impacting business environments. The video examines how organisations utilise STEEPLE analysis to identify and evaluate the external forces—social, technological, economic, environmental, political, legal, and ethical factors—that shape current and future business activities. By understanding these external influences through this strategic analytical tool, learners will gain the knowledge to assess market conditions and inform organisational decision-making within their HR practice.
What this video covers
The STEEPLE analysis framework is the central subject of this video, which addresses Assessment Criterion 1.1 of 3CO01 by examining the key external influences that shape business environments. The video works through each of the seven categories that give the acronym its name — Social, Technological, Economic, Environmental, Political, Legal, and Ethical — as a structured method for analysing conditions outside an organisation. Alongside STEEPLE itself, the video references SWOT analysis as a related tool for understanding the markets in which organisations operate.
Each of the seven factors is treated as a distinct area of external influence with direct relevance to people practice. The social dimension takes in demographic trends, the ageing population, work-life balance expectations, diversity and inclusion, mental health attitudes, and the rise of the gig economy. Technological coverage spans digital transformation, automation, and artificial intelligence, with attention to how these forces alter job roles and affect workforce planning. Economic factors addressed include growth rates, inflation, unemployment levels, and labour market conditions, while the environmental strand covers sustainability expectations, carbon targets, green skills, and employer branding in the context of organisational responsibility.
The political strand examines government policy, immigration rules, public sector funding, and the ongoing implications of Brexit for labour mobility and regulatory frameworks in the UK. Legal factors covered include UK employment legislation on minimum wage, working time, discrimination, family-friendly rights and dismissal, alongside UK GDPR and health and safety obligations. The video closes the framework with ethical factors, considering how standards of conduct around fair treatment, supply chain responsibility, and transparency influence organisational reputation and talent attraction — all framed as considerations that sit beyond legal compliance but carry real consequences for people professionals.
Assessment Criteria 1.1
Examine the key external influences that impact on business environments.
Indicative Content
External forces that impact on the organisation’s current and future activities. For example, the findings of STEEPLE, SWOT analysis to inform understanding of the market(s) in which the organisation operates.
What You'll Learn
Video covering: The STEEPLE Analysis Framework
About 3CO01 – Business, culture and change in context
This unit considers the impact of external influences and how the digital and commercial environment shapes businesses and the culture within which they operate. It considers the importance of people’s behaviour on organisational culture and its ability to manage change effectively.
More 3CO01 Videos
Introduction to External Influences and Why They Matter
AC 1.1 – Examine the key external influences that impact on business environments.
SWOT Analysis and Putting External Analysis into Practice
AC 1.1 – Examine the key external influences that impact on business environments.
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AC 1.2 – Discuss organisational goals and why it is important for organisations to plan.
Planning, Environmental Analysis, and Business Continuity
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Understanding Organisational Goals and Their Hierarchy
AC 1.2 – Discuss organisational goals and why it is important for organisations to plan.
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Understanding Markets, Business Models, and Customers
AC 1.3 – Discuss the products and/or services the organisation delivers, including who th...
Understanding Products, Services, and Portfolios
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