This document discusses the importance of conducting a feasibility study for an organization. It provides an overview of what a feasibility study is, when it should be conducted, the typical areas it assesses (technical, economic, legal, operational, scheduling), and the general steps involved. The key areas a feasibility study examines include assessing if the proposed plan is practical and has sufficient resources, if it will provide a return on investment, and if it fulfills requirements. Conducting a feasibility study gives an organization focus, identifies opportunities and risks, and enhances the probability of a project's success. It also provides quality information for decision-making.

1. Feasibility Study
& its importance in
Context Of Organization
Pukar K.C
Lalita Shrestha
Dilisha Shrestha
MBS 3rd Semester

2. Introduction
01
02
Areas of
Feasibility Study
03
Steps for
Feasibility Study
04
Feasibility
Report
05
Importance in
Context of
Organization
06
Feasibility Study
Vs. Business Plan

3. • An assessment of the practicality of a
proposed plan or method.
• Is this FEASIBLE ?
- Do we have resources ?
- Will we get our ROI ?
WHAT ?
• During a project life-cycle .
• After the project case.
WHEN ?
• Project Scope.
• Current Analysis.
• Requirements.
• The Approach.
• Evaluation.
• Review.
Effective.
Introduction

4. Areas of Feasibility
Study
• Group of engineers &
technical experts.
• Facilitates organizations
to properly assess
industrial possessions
and assembled
capability.
Technical
• Related with price &
expenditure.
• Helpful for decision-
makers to decide
whether or not to
process the planned
scheme depending on
financial condition.
Economic
• Whether the plan is in
conflict with national or
international legal
system.
• Used to assess any
violation of the legal
requirements.
Legal
• To decide whether the
proposed methods fulfill
business requirements.
• Also forecasts all
possible schemes to be
recognized & resolve
problems.
Operational
• Plays important role to
complete a project on
schedule time.
• Prediction of time
requirement to complete
various tasks of a
project.
Scheduling
For every project the feasibility is considered as an important step
for the investor or the organization to make sure their mission is
officially feasible ,gainful for the organization and beneficial for
society.

5. Conduct a preliminary
analysis.
Steps for Feasibility
Study
I II III
IV V VI VII
Prepare a projected
income statement.
Conduct a market survey
or perform market
research.
Plan business
organization &
operations.
Prepare an opening
balance sheet.
Review & analyze all
data.
Make a go / no go
decision.

6. Feasibility Report
Executive
Summary
Description of Product /
Services
Technology Considerations
Financial Projections
Product / Service Marketplace
Marketing Strategy
Organization / Staffing
Schedule
Findings and
Recommendations

7. Importance
Conducting a feasibility study is a good business practice. If
you examine successful businesses, you will find that they did
not go into a new business venture without first thoroughly
examining all of the issues and assessing the probability of
business success.
Gives focus to the project and outline
alternativesNarrows business alternatives
Identifies new opportunities through the investigative
process.
Identifies reasons not to
proceed
Enhances the probability of success by addressing and mitigating factors early on that could
affect the project
Provides quality information for decision making
Provides documentation that the business venture was thoroughly
investigated.
Helps in securing funding from lending institutions and other monetary sources
Helps to attract equity investment.

8. VS
Feasibility
Study
Business Plan
Outlines the actions needed to
take the proposal from “idea” to
“reality.”
Deals with only one alternative
or scenario which is concluded
as feasible
If a business is considered feasible, a
business plan is constructed which
provides ,how the business will be
created and developed
Addresses the question of “Is
this a viable business venture?”
Outlines and analyzes several
alternatives or methods to
narrow the scope of the project
It is conducted before the
business plan