A feasibility study, as the name implies, is a study used to determine if a solution to a problem is viable or not. Ensuring this solution is legally, technically and economically feasible is the main goal of a feasibility study. In a feasibility study, before the solution is deemed feasible, the cost required to do the project and the value it delivers must be evaluated. In our company, we first consider the needs of the company and the goals they are trying to achieve. All of these feasibility study factors may affect the outcome of the project are then put into consideration as well. Here is a brief overview on how we do project feasibility study for our clients.
A feasibility study is a complex process as it involves a slew of different other processes to complete the report. In this article, we will try to break down the processes involved to make up our feasibility study report in general. Some of these processes may not be needed for some projects but most of the time they are vital to the entirety of the project to get the client/s started.
In this process, we gather all the data and information available to help support the cause and purpose of our client. Some of the most useful information are demographics, competition, statistics and even current trend or news revolving around the project and the industry to where it belongs. In one of our project feasibility analysis for our client which is a retail manufacturing company trying to expand their services to a new country, the data we gathered included customer behaviour and buying methods in the particular country. These data and information really paid huge dividends for the company as they were able to prepare well and modified their marketing and business model towards the data we presented to them.
Some consider this process to be under data gathering but we take a look at it in a different light because it serves to be very vital to the whole feasibility study report. We consider all the possible expenses and then work around the budget set for the project. As much as possible, we look for the most cost-effective options to save some cash without compromising the quality of the client’s service or product. (Read our Cost Estimation article under our blog for more information.)
Once we have prepared all the available options for the client. We now give them some time to analyze their options and the best way to do this is to provide advantages and disadvantages of each option to help give the client a clearer picture of what they have. We also compare and contrast the prices they have to spend for each option for them to easily weigh in on their choices.
Lastly, we provide a timeline for the entire project before it starts operating. Reasonable lead times for each quantity are also provided so the project manager will have an optimum timeline to look at for the business plan. There could be some changes along the way, but these feasibility study factors are also covered within the project timeline as these iterations could inevitably happen. (See also Lead Time Analysis article under our blog for more information.)
This sums up the entire process of our feasibility study. The following items mentioned above are all highlighted in our feasibility study report so clients can easily understand and analyze the data presented to them.