SPECIFIC LEARNING OBJECTIVES: At the end of this module you MUST be able to: 1. Identify the different feasibility studies that could be used by the systems analyst. 2. Describe and differentiate each feasibility study. 3. Use and apply a certain and appropriate feasibility study according to the needs of the organization’s information system being developed. TOPIC: 1. Technical feasibility 2. Operational feasibility 3. Economic feasibility 4. Cost-benefit study 5. Market analysis

1. Module Title: RESEARCH PROJECT
Module Content: FEASIBILITY STUDY
Developer: Ms. Eliza M. Pascual

2. Specific Learning Objectives
1
Identify the different feasibility studies that
could be use by the systems analyst.
2 Describe and differentiate each feasibility
study.
3
Use and apply a certain and appropriate feasibility study
according to needs of the organization’s information system
being developed.

3. 1 Technical Feasibility
2 Operational Feasibility
3 Economic Feasibility
4 Cost-Benefit Study
5 Market Analysis

4. 1 Data Flow Diagram : PROCESS
2 Data Flow Diagram : DATA FLOWS
3 Data Flow Diagram : DATA STORES
4 Data Flow Diagram : EXTERNAL ENTITIES
5 Data Flow Diagram : CONTEXT DIAGRAM

5. Basic Flowchart Symbols
PRE-DEFINED
PROCESS

6. can be considered as preliminary investigation that helps the
management to take decision about whether study of system should be
feasible for development or not.

7.  It investigates the technical feasibility of each implementation
alternative.
 It analyzes and determines whether the solution can be supported by
existing technology or not.
 The analyst determines whether current technical resources be
upgraded or added it that fulfill the new requirements.
 It ensures that the candidate system provides appropriate responses
to what extent it can support the technical enhancement.
1. Technical Feasibility

8. It determines whether the system is operating effectively once it is
developed and implemented.
It ensures that the management should support the proposed system
and its working feasible in the current organizational environment.
It analyzes whether the users will be affected and they accept the
modified or new business methods that affect the possible system
benefits.
It also ensures that the computer resources and network architecture
of candidate system are workable.
2. Operational Feasibility

9. It is evaluating the effectiveness of candidate system by using cost/benefit
analysis method.
It demonstrates the net benefit from the candidate system in terms of benefits
and costs to the organization.
The main aim of Economic Feasibility Analysis (EFS) is to estimate the economic
requirements of candidate system before investments funds are committed to
proposal.
It prefers the alternative which will maximize the net worth of organization by
earliest and highest return of funds along with lowest level of risk involved in
developing the candidate system.
3. Economic Feasibility

10. process for evaluating the merits of a good particular project
in a systematic way in terms of cost and benefit of the project.
an economic evaluation technique that measures all the
positive (beneficial) and negative (costly) consequences of an
intervention or program in monetary terms.
4. Cost Benefit Analysis
Total Profit
Total Cost
Lifetime benefits – Lifetime costs
Lifetime Costs
ROI = =

11. a quantitative and qualitative assessment of a market.
5. Market Analysis
a. Demographics and Segmentation. assessing the size
of the market , to slice it into different segments
b. Target Market. The target market is the type of
customers you target within the market.
c. Market Need. This section is very important as it is where
you show your potential investor that you have an intimate
knowledge oy your market.

12. d. Competition. need to explain the competitors’ position and describe
their strengths and weaknesses. The idea is to analyze your
competitors’ angle to the market in order to find a weakness that your
company will be able to use in its own market position.
5. Market Analysis
e. Barriers to Entry. all about answering questions from investors:
e.1. What prevents someone from opening a shop in front of yours
and take 50% of your business?
e.2 Having answered the previous question what makes you think
you will be successful in trying to enter this market? (start-up only)

13. THANKYOU