1. Feasibility
Present To: Sir Asad Bashir
Present By:
Zain ul Abideen
Khuram Saleem
Registration:
2020-UET-NFC-FD-MECH-50
2020-UET-NFC-FD-MECH-51
2. What is Feasibility
Feasibility:
Feasibility describes how easy or difficult it is to do something.
When you set a goal at work, think about the long-term feasibility
of accomplishing what you want.
3. • Project teams' focus is improved.
• Provides pertinent information that aids in making a decision on
whether or not to proceed.
• Finds a convincing cause to continue with the project.
• Assists in the decision-making process for projects.
• Determines why proceeding is not a good idea.
• It boosts the success rate by considering numerous parameters.
• The number of company possibilities is reduced.
• New possibilities are discovered.
• Measures a project's ability and likelihood of being completed effectively.
• Potential issues are highlighted.
Major benefits that feasibility study in project management can provide you
5. 1-Legal Feasibility:
This assessment looks into if any component of the proposed project
violates any regulations, such as zoning rules, data protection legislation, or social media
laws. Assume a company wishes to develop a new office building at a specified location.
A feasibility study may discover that the desired location for the company is not
designated for that sort of business. That organization has just saved a lot of time and
effort by discovering early on that their idea was not feasible.
6. 2-Economic Feasibility:
This evaluation typically includes a cost-benefit
analysis of the project, which aids firms in determining the project's viability, cost,
and benefits before spending financial resources. It also acts as an objective
project review, boosting project credibility by assisting decision-makers in
identifying the proposed project's beneficial economic benefits to the organization.
7. 3-Technical Feasibility:
The technological resources accessible to the organization
are the subject of this examination. It aids companies in determining whether technical
resources are adequate for the job and whether the technical team is capable of
turning concepts into operational systems. The proposed system's hardware, software,
and other technical needs are also evaluated for technical viability. An organization,
for example, would not want to try to install Star Trek's transporters in their facility
because it is currently not technically feasible.
8. 4-Operational Feasibility:
This evaluation entails conducting research to
evaluate whether and to what extent the organization's needs can be
addressed by completing the project. Operational feasibility studies also look
at how a project plan meets the requirements specified during the system
development requirements analysis phase.
5-Scheduling Feasibility:
Scheduling a feasibility evaluation is critical to project
success; after all, if the project is not completed on time, it will fail. When scheduling
feasibility, a corporation estimates the length of time it will take to complete a project.
Following the consideration of all of these elements, the feasibility study can assist in
identifying any potential project restrictions, such as:
9. Steps for - How to conduct a feasibility study in Project
management
When doing a feasibility study, there are several procedures to take.
1-Conduct an introductory analysis:
Before making an investment, a
preliminary analysis is used to summaries project concepts, outline market
circumstances, and identify potential hurdles. You can determine whether the
proposal has promise based on the facts gathered in this step. If there are no big
stumbling barriers, you can move on to the following phase.
2-Define the scope:
It's vital to define the project's scope in order to determine
the feasibility study's scope. The project's scope will also evaluate the influence it
will have on internal stakeholders as well as external clients or customers. It's
crucial to think about how the project might affect different parts of the firm.
10. 3-Develop a projected income statement:
Estimate how much money the project will
make and how much money it will take to make that money. The first step in
producing a projected income statement is to figure out how much money you
have. Analyze and calculate the cost of the required services in order to create
income.
11. 4-Conduct a market research:
One of the most critical phases in a feasibility
study is to do market research. A market research project might be carried out by
an internal specialist or by an outside agency. The goal of conducting a good
survey is to establish accurate revenue projections. Market research is a
comprehensive study that includes population trends, demographic
characteristics, market volume, opportunity, location, and other factors.
12. 5-Roadblocks and alternative solutions :
It will research measures to assure the project's
success if any potential barriers develop during the investigation.
6-Plan business organization and operations :
At this stage, corporate organizations and
operations are designed in sufficient detail to identify the organization's technological
capabilities and operational costs.
7-Develop an opening day balance sheet:
An opening day balance sheet is a chart that
calculates total assets and liabilities on the first day of the firm before it earns money,
using Prepaid Expenses, Other Assets, Current Liabilities, and Owners' Equity. The
complete capital structure of your company is shown on the opening day balance
sheet. Financial ratios are used to measure the project's financial situation.
13. 8-Review and analyze :
Review all of the work from the previous steps to ensure that
you have included all of the relevant information and that nothing needs to be changed.
Make a comparison of the charts and information from the previous steps to ensure that
everything is in order. Examine the potential dangers that may arise during the project.
14. 9-Make a final decision :
Make a decision regarding whether the option is viable or
not based on the information supplied in the previous steps. You will have adequate
inputs to support your decision-making process if all of the preceding phases have
been completely completed.
15. A project feasibility study evaluates the following topics in project management:
1-Time:
How long do you think it'll take to finish?
2-Risk:
What are the dangers of finishing this project? Based on the predicted rewards,
is the risk worth the company's money and time?
3-Legality:
Is the company well-equipped to complete the project in terms of technical
resources?
4-Budget:
Is the organization financially capable of completing the project, and does the
cost-benefit analysis justify proceeding?
Key Features of a feasibility study for a good project
16. 5-Operational Feasibility:
Is the project addressing the organization's needs in its intended
scope by resolving issues and/or capturing opportunities?
6-Technical capability:
Is the company well-equipped to complete the project in terms
of technical resources?
Importance of Feasibility study in Project Management
The value of a feasibility study stems from the goal of an organization to "get it right"
before investing resources, time, or money. A feasibility study may unearth fresh ideas
that totally alter the scope of a project. It's preferable to make these decisions ahead of
time rather than rushing into a project only to discover that it won't work. A feasibility
study is usually advantageous to a project since it provides you and other stakeholders
with a clear picture of what is being proposed.
17. Suggestions - Some best practices to conduct project feasibility study
Feasibility studies are unique in that they represent the project's goals and requirements.
The following recommendations, on the other hand, can be employed in any feasibility
assessment. You might want to try the following, for example:
• Make a preliminary choice about whether or not to go ahead with the strategy.
• Prepare a balance sheet forecast.
• Make an income statement that is projected.
• Make plans for your business, organization, or operations.
• Conduct a market survey or market research to aid with data collection.
• Analyze and test your data to make sure it's accurate.
• Obtain input on the new concept from the appropriate stakeholders.
18. Conclusion
Many companies make the mistake of skipping the "feasibility analysis" process and
jumping right into the project. In the vast majority of situations, this results in the project's
failure. It's important to keep in mind that it's impossible to avoid potential losses if a
choice to proceed has been taken without a thorough feasibility analysis. As a result,
doing a feasibility study and creating a report for any sort of project that entails risks and
uncertainties is a sound business practice.
