Sunday 19 December 2021

5 stages in a Project feasibility analysis




Prior to the start of a project, which involves a high degree of uncertainty, it is possible to carry out a feasibility study or analysis. This happens when it is difficult for us to set the scope of a product or service, and therefore it is very difficult for us to try to establish a Project Management Plan or Project Plan with guarantees of being fulfilled, in form, time and cost. It is advisable to 'secure the shot more' through a previous stage, the feasibility study. This process helps to gain the necessary trust, by confirming (or denying) that the initiative can be implemented on time and within budget, and that is why the essential thing is to carry out the feasibility study as early as possible.

A viable project is an achievable project, where you have the ability to face the concrete circumstances obtaining the expected results. It is not a forecast, nor does it imply that the project will be delivered on time, under the conditions set and within the budget designated for it; the uncertainty does not disappear despite a positive response from the feasibility study. However, when it is determined that the initiative is viable there is greater confidence in the delivery.

The feasibility study is very focused and should always be specific. Some of its main features are:

The main advantage of doing a feasibility study of a project is to enjoy the opportunity to tie up all the dots before committing in time, money, and resources to an idea that may not work the way it was originally planned. Its application avoids serious inconveniences such as:

  • It is a research tool that informs about the ability to make an idea a reality.
  • It's not the same as a business plan. It is possible to use a feasibility study as a predecessor to the creation of a business plan.
  • Part of the general to move towards the most concrete details.
  • It forces to consider the need of the client and the possible competition.
  • It helps to identify the risks that you are likely to have to face in development.
  • It describes the actions to be undertaken, their benefits and the cost involved.
  • It allows to predict the benefit that will be obtained.
  • Having to increase the budget in the middle of the execution phase.
  • The bad image of the company and / or the loss of a client by not being able to carry out what was agreed due to the limitations.
  • Incur problems arising from defective delivery or far from the quality conditions and defined specifications.
  • Its most important advantages, and where its importance lies, have to do with the fact that feasibility studies help to open eyes to new possibilities, opportunities and solutions that would otherwise never have been discovered.
  • The best time to do this is when a number of solution alternatives have already been identified to address the execution of the project and what is needed is to know which of them is the most feasible to implement. In practice, 


I propose the route of the following five stages:

1.Investigation of business drivers:In most cases, the project is being driven by a problem in the business or aspect to be improved of which you need to have a clear understanding. At this stage, it is necessary to discover why these underlying reasons are important for the company and what maximum time can be used to resolve the issue to be addressed. It is also time to find out what the impact may be for the company, in case the project does not end as expected.

2. Confirmation of alternative solutions: Once the mission of the project is clear, it is necessary to understand what alternative solutions are available. These must be realistic and provide effective coverage of the problem being addressed. You will have to evaluate one by one and reject those that do not meet these requirements.

3. Determination of the viability of each solution: for this they have to ensure that their application would allow delivery on time and within budget. This is undoubtedly the most complicated part of the process of analyzing the viability of a project and, to minimize the risk of errors, different methods can be applied, such as:

Comparative research: it consists of checking the evolution and degree of satisfaction of other companies that have implemented the same solutions that are being evaluated to apply to the project. Prototype development: this alternative proposes to identify the part of the solution that has the greatest risk to be able, based on it, to create a sample, a prototype, that allows, on a small scale, to verify its viability.

Temporal compartmentalization:this method is carried out in full some of the tasks included in the project plan and measure the time needed for its execution. This mark has to be compared with the forecast that had been made to check the degree of accuracy of the planning.

4. Selection of the ideal solution: once the degree of viability of each proposed alternative solution is known, the next step is to choose the one that will be applied to the execution of the project. This decision must be based on three aspects:

Is it useful in your environment to have solid feasibility studies? Does it allow a better selection of those projects that will actually be carried out?

  • Ease of implementation.
  • Minimum level of risk.
  • Maximum delivery confidence.



It is time to take the chosen solution and re-evaluate its feasibility at a lower level. To do this, it is necessary to:

  1. Identify all tasks or work packages that are needed to complete the solution.
  2. Contrast forecasts on the duration of each task with project team members.
  3. Add all tasks and their deadlines to the project plan.
  4. Check whether it is still in a position to deliver within the maximum period set.
  5. Document all results to close the full feasibility study.

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