Hackney Borough's PEST Analysis Essay For St. Mungo's Centre Opening.

Perform a PEST analysis on your chosen inner London borough to explore the viability of opening a new St Mungo’s in the area. 

It is your role to make recommendations about the possible opening of a new St Mungo’s centre (should it open or not) you need to recommend what the centre should be like, if it were to open.

Additional Marks are awarded for the academic quality of the assignment.

Ensure you reference appropriately, ensure that you demonstrate that you have looked at a wide variety of research and that you have used an appropriate structure for the report, it is important that you write about the keys issues, that you present your ideas formally and use appropriate language.

PEST is an acronym for four major macro-environmental factors which include technological, economic, political, and socioeconomic determinants (Ho, 2014). Organizations apply PEST analysis to discover, analyze, and evaluate the macro-environmental determinants that can affect the success of their enterprises. The PEST analysis framework looks at the opportunities and threats due to political, economic, social, and technological factors. Institutions rely on the results from PEST analysis to draft their strategic plans. Furthermore, the findings from the analysis assist employees of the firm to conduct adequate market research. SOAR, SWOT, risk and other forms of studies rely on the conclusions from PEST to make the findings.

St. Mungo’s is a charity home organization registered under the England’s Company Act (Forward, 2015). The primary objective of the institution is to assist homeless and rough sleepers in London. The charity firm began supporting the rough sleepers and other homeless individuals in 1969. St. Mungo's is one of the largest homes for the homeless in the UK. The organization provides both bed and financial support to hundreds of rough sleepers across the southern and southwest part of England each night. The firm has a StreetLink website, mobile app, and a phone line that assist the homeless in accessing its various services. This report will conduct a PEST analysis in the London borough of Hackney to gauge whether St. Mungo's should open a center at the area. It will also provide five recommendations on the factors making it possible for the organization to open a center at Hackney.

Hackney JSNA avails accommodation for the streets sleepers and other homeless individuals for six months. The local authorities help homeless individuals to get their accommodation before the end of the six months (Basurto, 2017). The authorities also created a temporary shelter for individuals awaiting the housing and the homeless between the year 2012 and 2013. In the same period, the city administration accepted more than 34 applications from the homeless people. The number of individuals requesting for temporary accommodation has been on the rise in the last one year. The Hackney authorities expect the number of applicants to increase in the next three years. The housing needs team is partnering with the city administrators and the homeless individuals to solve the homelessness issue in Hackney (Wall, 2017). The team has asked the authorities to construct sixty more units to solve the problem.

Hackney JSNA has also established innovative accommodation units for the street sleepers. JSNA has developed service models to support the streets sleepers and the other homeless individuals (Crae et al., 2018). London city has collaborated with St. Mungo's to establish new housing units which will house the long-term street sleepers. The Hackney authorities have noted the difference between the short-term and long-term rough sleepers. The city administrators have established a hosted called The Lodge to house the rough sleepers. The hostel has adopted the hotel-style fashion of accommodation and abandoned the traditional models. The Lodge engages, supports, and accommodates the homeless individuals. Hackney is also persuading the churches to help the rough sleepers at night. The authorities are using Broadways as suitable alternatives for providing temporary accommodation to the street sleepers (Sadler, 2016). The CCG is supporting the rough sleepers by finding them jobs; hence, solving their financial and housing issues.

Political Factors

Hackney has the sixth highest number of street sleepers in London. Street sleeping is a type of homelessness that is visible (Greene, 2014). The high number of rough sleepers in Hackney should alert the authorities to tackle the problem by partnering with the charity home organizations. The duty of accommodating homeless individuals is a huge challenge to the local authorities. The street sleepers are vulnerable to criminal activities due to insufficient security on the streets. Additionally, rough sleepers are susceptible to drug abuse, misuse, and alcoholism. The unfavorable conditions of living on the streets can cause physical and mental ailments to the rough sleepers (Lamb, and Joels, 2014). A recent study has shown that various issues cause individuals to move to the streets. However, a section of street sleepers turns down assistance from the charity homes and the government.

According to 2012/2013 statistics, 95% of the street sleepers are men (Hohmann, 2016). Moreover, 83% of the street sleepers are between the ages of 24 to 57 years. Only 11% of the street sleepers are above 57 years. A significant number of the rough sleepers are UK nationals while the rest of the homeless population originates from other sections of Europe.  A majority of the rough sleepers have alcoholism, drug abuse, and mental illness issues. The street sleepers have severe health conditions in comparison to other homeless individuals (DeVerteuil, 2015). Thus, the authorities should prioritize the street sleepers when accommodating the homeless individuals. A recent study has also shown that homeless individuals have higher rates of visiting health facilities than those with homes. The high rates of hospitalization among the homeless individuals are an economic burden to the London authorities. Street sleepers also record an increasing prevalence of complications like tuberculosis. Therefore, the charity organizations should provide accommodation to the rough sleepers and other homeless individuals for good health.

Hackney JSNA has allocated £3 million to solve the homelessness problem in the next three years (Morphet, and Clifford, 2017). The allocation has three objectives including catering for individuals at risk of homelessness, resettling the street sleepers, and constructing new hostels. The JSNA intends to collaborate with St. Mungo’s and other charity organizations in solving the problem of homelessness in Hackney. The local authorities plan to establish more than fifty units to house individuals at risk of being homeless. JSNA also intends to use part of the money in building temporary housing units for people who are in the process of getting new jobs. The housing team plan to decorate the hostels per the choice of the rough sleepers and other homeless individuals. JSNA intends to persuade church and mosque leads to accommodate the street sleepers at night (Buck, and Jabbal, 2014). The erection of tents to house the rough sleepers opposed to moving into the new hostels is another creative means of accommodation.

 CCG has also allocated funds more than £5 million to tackle the overcrowding problems in Hackney. Overcrowding leads to extreme conditions like the outbreak and spread of complications such as respiratory diseases and asthma (Khan et al., 2018). Hackney intends to work with charity homes in constructing additional accommodation units to end the overcrowding issue. The problem is responsible for a large number of street sleepers at Hackney. The housing teams are intending to extend the spacing of houses thereby ensuring proper air circulation in the hostels. CCG has decided to move homeless individuals from Hackney to the uninhabited sections of London. Overcrowded places are prone to domestic violence; hence pushing people into homelessness and others moving to the streets for accommodation (Cobb-Clark et al., 2016). Thus, the local authorities should use a section of the funding to prevent homelessness due to overcrowding. The administrators should also persuade homeowners in lowering rents to enable every citizen to afford accommodation.

Social Factors

Hackney has developed a mobile app to gather information on the rough sleepers and the other homeless individuals (Clarke et al., 2015). Hackney residents are free to notify the local authorities and the support groups about the location of the homeless and the street sleepers. After identification of the whereabouts of the rough sleepers, the charity organizations summon them and provide the necessary support. Other well-wishers are also finding the mobile app to be a valuable source of information on the number of homeless individuals. The app enables the general public to contribute towards supporting the rough sleepers through financial contributions. The well-wishers can provide additional apartments to the local authorities to accommodate the homeless people (Wilde, 2017). The app also contains a useful toll-free telephone number. Hackney residents are free to use the telephone number in contacting the charity organizations once they spot a homeless or a rough sleeper. Therefore, the mobile app is assisting in solving the problem of homelessness.

Hackney has also developed a functional website to complement the mobile app. The public can rely on the website to retrieve credible statistics on the homeless people (Watt, and Bernstock, 2017). The developers of the website update the information on a daily basis. The UK administration requires the data from the website before drafting the budget for the London borough of Hackney. Charity organizations also rely on the website information to gauge the number of accommodation units that house the rough sleepers and other homeless individuals (Watt, 2018). The members of the public can also estimate the amount of financial contribution that can assist homeless individuals from the website. The website also informs Hackney residents about the contribution of the authorities and charity homes towards solving the issue of homelessness. The charity homes are using the website as a platform for posting the hostels for accommodating the homeless individuals. Moreover, charity firms can persuade the government for financial assistance using the website statistics as evidence. Thus, the website serves as a valuable source of data.

It is highly recommended that St. Mungo's open a center in Hackney due to the increasing number of rough sleepers and homeless in the area. The registered charity firm should establish hostels to accommodate the street sleepers and the homeless individuals. Hackney had 130 homeless individuals according to the 2017 statistics (Cunningham, and Slade, 2017). The large number makes a housing to be a priority issue in the area. Therefore, the local authorities should collaborate with the charity organizations to house the street sleepers. Secondly, the strong political will at the London borough of Hackney should persuade St. Mungo's in establishing accommodative units in the area. The plan by the city administrators to develop temporary accommodation units showcases their desire to house the street sleepers. Furthermore, the intention of the city administrators to offer innovative housing units should encourage St. Mungo's in helping the homeless individuals. Thirdly, St. Mungo's and other charity organizations should take advantage of the suitable economic conditions of Hackney to establish accommodation units. The UK government has allocated £3 million to resolve the problem of homelessness (Carr-Hill, 2015). St. Mungo’s should seek financial backing from the government to assist in its activities. The organization should also use sections of the overcrowding funds to establish new hostels.

Fourthly, the London borough has the required technological tools that support the establishment of housing units. St. Mungo's should rely on the data from the website before establishing housing units. The data from the website and the mobile app will assist the organization in determining the number of accommodation units that can house homeless individuals.  Therefore, advancement in technology facilitates the activities of the local authorities and charity organizations (Bonsón, Royo, and Ratkai,  2015). Fifthly, the unsafe health conditions facing the rough sleepers should push St. Mungo’s to establish accommodation units. The street sleepers are susceptible to both mental and physical complications. Furthermore, homeless individuals are vulnerable criminal activities like theft. The recommendations should persuade St. Mungo’s to start a housing center at London borough of Hackney.

Conclusion

PEST is an acronym for macro-environmental factors which include social, economic, political, and technological determinants. St. Mung’s is a charity organization that offers accommodation to the rough sleepers and other homeless individuals in the UK. Hackney JSNA supports the homeless people for six months. Furthermore, Hackney has established innovative housing units to house the street sleepers. The authorities are collaborating with mosques and churches to accommodate the street sleepers at night. One hundred thirty individuals at Hackney were homeless due to 2017 statistics. Moreover, men make up to 95% of rough sleepers in Hackney according to the 2012/2013 statistics. The increasing number of homeless individuals is a concern to the charity organizations and the authorities. Hackney has allocated adequate funds to tackle rough sleeping and homelessness. The authorities have awarded more than £5 million to solve overcrowding issues and another £3 million to solve the problem of homelessness. Hackney has the necessary advancement in technology to address homelessness. The area has a mobile app that assists in gathering information on the number of homeless individuals. It is highly recommended that St. Mungo's established a center at Hackney due to various justifications. The increasing number of homeless people in the area is one of the reasons pushing the charity organization in developing a center at Hackney.

References

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