Kindly read the case study below and answer the following questions: 1. What does PEST stand for? 2. If you are working as manager with Logica analyze the kind of managerial skills required to enable you to adapt to the charging economic environment? Economic influences - Logica Businesses do not operate in isolation. They are constantly faced with internal and external factors that impact on the dynamics of their operations. Monitoring the external environment vital to identify changes that could affect the business operations. Being able to address and adapt to these changes ensures the longer term Bus survival of the business. Logica is an innovative IT services organisation that brings people, business and technologies together. Logica employs more than 41,000 people and has clients around the world in a variety of industries including automotive, oil and gas and manufacturing Logica's services aim to add value for clients through, for example, improving efficiency and productivity or reducing waste. Logica monitors its external environment using PST analysis. This is a structured business tool that looks at the political economie, social and technological influences affecting a business. By auditing and monitoring these influences, Logica can be proactive in ensuring it remains competitive by adapting its own business and by generating innovative and unique solutions for its clients Economic factors change rapidly and are sometimes difficult to predict. The global economic recession has affected how most firms conduct business, perhaps by Moking for Cost-savings or reducing waste. As businesses focus on areas where efficiencies can be made, some might choose to outsource functions to reduce costs, rather than employing people with specialist skills. This has created increased demand for outsourced services such as those Logica offers. Logica's employees have the specialist IT skills required to offer businesses of all types efficient and effective ways to manage systems and processes Logica was selected by BAE Systems, the global defence and security company, to provide a Human Resources outsourcing service for its employees within the UK. Logica works with BAE to increase the effectiveness of its systems and to enhance the efficiency of its operations. This improves how BAE engages with its employees to maximise their potential This also helps BAE to reduce its costs and focus on growth