...Information Systems Analysis and Design CSC340 VII. The Feasibility Study What is a Feasibility Study? Feasibility Study? Types of Feasibility Cost/Benefit Analysis Risk Analysis Comparing Alternatives Information Acquisition Acquisition Feasibility Study Contents Contents Do it! 2004 Jaelson Castro and John Mylopoulos The Feasibility Study -- 1 Information Systems Analysis and Design CSC340 The Feasibility Study The objective of a feasibility study is to find out if an information system project can be done, and if so, how. A feasibility study should tell management: Whether the project can be done; What are alternative solutions? What are the criteria for choosing among them? Is there a preferred alternative? After a feasibility study, management makes a go/no-go decision. • A feasibility study is a • management-oriented activity 2004 Jaelson Castro and John Mylopoulos The Feasibility Study -- 2 Page ‹#› Information Systems Analysis and Design CSC340 Dimensions of Feasibility Operational -- how will the solution work? Technical -- is the technology needed available? Economic -- return on investment Schedule -- can the system be delivered on time? Constraints may be hard or soft 2004 Jaelson Castro and John Mylopoulos The Feasibility Study -- 3 Information Systems Analysis and Design CSC340 Economic Feasibility The bottom line for many projects! Economic feasibility amounts to judging whether possible benefits of the project are worthwhile. As soon as...
Words: 2891 - Pages: 12
...Information Systems Analysis and Design CSC340 VI. The Feasibility Study What is a feasibility study? What to study and conclude? Benefits and costs Cost/Benefit analysis Accounting methods Comparing alternatives Do it! 2002 Jaelson Castro and John Mylopoulos The Feasibility Study -- 1 Information Systems Analysis and Design CSC340 The Feasibility Study Phase n The objectives of a feasibility study are to find out if an information system project can be done (...is it possible?...is it justified?) and to suggest possible alternative solutions. n A feasibility study should provide management with enough information to decide: - whether the project can be done - whether the final product will benefit its intended users - what are the alternatives among which a solution will be chosen (during subsequent phases) - is there a preferred alternative n After a feasibility study, management makes a go/no go decision The feasibility study is a management-oriented activity 2002 Jaelson Castro and John Mylopoulos The Feasibility Study -- 2 Page 1 Information Systems Analysis and Design CSC340 What to Study? ...What to Conclude? n Things to be studied during the feasibility study phase: ü The present organizational system, including users, policies, functions, objectives,... ü Problems with the present system (inconsistencies, inadequacies in functionality, performance,..., ü Objectives and other requirements for the new system (what needs to...
Words: 3859 - Pages: 16
...to determine whether or not the planned investment idea is feasible. The feasibility of an investment has to be considered with respect to several different aspects in order to determine whether the investment should be realized or not. Carrying out a feasibility analysis is therefore one of the most critical steps in the decision-making process. A feasibility analysis is an effective analytical tool that can be used to evaluate investments from various perspectives, e.g. technical, social, legal, financial, market, and organizational. Financial feasibility is often a predominant factor in feasibility analysis, as most investments are not realized if they do not generate profit for the project owners. The focus of this thesis is on financial feasibility analysis and its application in the decision-making process. Precision and reliability of feasibility analysis relies on the accuracy of information used in the analysis. The appropriate level of detail has to be decided with respect to what stage the investment is on. On early stages the level of uncertainty is often high, but as the investment opportunity evolves information become more detailed and reliable. As uncertainty can highly affect the results of the analysis, the level of detail has to be taken into account when basing decisions on the results. To assess the feasibility of investments relevant criteria have to be chosen. Feasibility calculations need to be done with care and the complexity of the calculations...
Words: 7292 - Pages: 30
...PROJECT FEASIBILITY DOCUMENT |Project name |insert project name | |Release |Draft/Final | | |Date: | |Author: | | |Project | | |Director: | | |Project | | |Champion: | | |Accountable | | |Body: | | |Executive Summary ...
Words: 1199 - Pages: 5
...Feasibility Studies BUSE 628 Dr. Khaled Aldeeb Faculty of Economics and Administration King Abdulaziz University Home Work Assignment Prepared By Name: Ahmed Abnawi ID: 1500912 A feasibility study is an important step in the formation or expansion of any business idea. A feasibility study is usually conducted after producers have discussed a series of business ideas or scenarios. The feasibility study helps to frame specific business scenarios so they can be studied in-depth. During this process the number of business alternatives under consideration is usually quickly reduced. However, when a company or a person attempt to conduct a Feasibility study there are some challenges that they may face and these challenges may form some obstacles against conducting a study will list some of these challenges: * How you will start? In order to conduct a Feasibility study for a business you need to assure that you are covering all the aspects related to your study. You need to be very clear about what parts you're going to address and how to work with your business colleagues to construct a coherent view. * What to do? Feasibility is hard to prove. To control this vagueness, implement a written plan of action. The inherent uncertainty makes planning a feasibility study harder than usual, although the project can fail only if the final report is inconclusive. * Wrong Team Any professional study is only as good as the team that does the work. Yet there...
Words: 721 - Pages: 3
...project is completed. Project management also involves coordinating project activities with organizational divisions and departments in order to complete their objective. There are a number of attributes to be considered for evaluating any investment project activities including: 1. the technical feasibility, 2. marketing prospects, 3. financial soundness, 4. economic viability 5. and environmental impact of the project A feasibility study is a detailed analysis of a company and its operations that is conducted in order to predict the results of a specific future course of action. Small business owners may find it helpful to conduct a feasibility study whenever they anticipate making an important strategic decision. For example, a company might perform a feasibility study to evaluate a proposed change in location, the acquisition of another company, a purchase of major equipment or a new computer system, the introduction of a new product or service, or the hiring of additional employees. In such situations, a feasibility study can help a small business's managers understand the impact of any major changes they might contemplate. The main objective of a feasibility study is to determine whether a certain plan of action is feasible “that is, whether or not it will work, and whether or not it is worth...
Words: 2337 - Pages: 10
...A feasibility study is a short, focused study that should take place early in the RE process. It should answer three key questions: a) does the system contribute to the overall objectives of the organization? b) can the system be implemented within schedule and budget using current technology? and c) can the system be integrated with other systems that are used? If the answer to any of these questions is no, you should probably not go ahead with the project. Feasibility study An estimate is made of whether the identified user needs may be satisfied using current software and hardware technologies. The study considers whether the proposed system will be cost-effective from a business point of view and if it can be developed within existing budgetary constraints. A feasibility study should be relatively cheap and quick. The result should inform the decision of whether or not to go ahead with a more detailed analysis. Feasibility studies The aims of a feasibility study are to find out whether the system is worth implementing and if it can be implemented, given the existing budget and schedule. The input to the feasibility study is a set of preliminary business requirements, an outline description of the system and how the system is intended to support business processes. The results of the feasibility study should be a report that recommends whether or not it is worth carrying on with the requirements engineering and system development process. If a system does...
Words: 544 - Pages: 3
...10/24/2011 WHAT IS A FEASIBILITY STUDY • A feasibility study is defined as an evaluation or analysis of the potential FEASIBILITY STUDY impact of a proposed project or program. It is conducted to assist decision‐ makers in determining whether or not to implement a particular project or p g program. • The study is based on extensive research on both the current practices & the proposed project & its impact on the current practice of the enterprise. • The feasibility study will contain wide‐ranging of data related to financial & operational impact & will include advantages & disadvantages of both the current situation & the proposed plan. • The feasibility study is conducted during the deliberation phase of the business development cycle prior to commencement of a formal Business business development cycle prior to commencement of a formal Business Plan. It is an analytical tool that includes recommendations & limitations, which are utilized to assist the decision‐makers when determining if the Business Concept is viable (Drucker 1985; Hoagland & Williamson 2000; Thompson 2003c; Thompson 2003a). Mahfuzul Hoque Ph D Mahfuzul Hoque Ph. D Professor , Faculty of Business Studies, Department of Accounting & Information Systems, University of Dhaka. October 24, 2011 • • • DMH‐ Project Management 1 THE IMPORTANCE OF A BUSINESS FEASIBILITY STUDY It is estimated that only one in fifty business ideas are actually ...
Words: 4286 - Pages: 18
...4T12 Project FEASIBILITY STUDY GUIDELINE This guideline is to be used in preparing a feasibility study for major projects. This is different to the work carried out in the Infrastructure Planning examined in Module 2 because we are now concerned with the details of a particular project as opposed to the overall planning of a whole multi-year infrastructure programme. The term “feasibility study” is used as a convenient description for the output for the work done, users of this toolkit should not apply preconceived notions of what a feasibility study consists of. Stated as simply as possible, the work done here must show that the project: ➢ is in accordance with predetermined needs; ➢ is the most suitable technical solution to the needs; ➢ can be implemented within any capacity constraints of the Institution which operates; ➢ has been subject to a due diligence that shows it is legally, physically and socially compliant; ➢ is fully costed over the whole life of the project; ➢ has taken due cognisance of the risks associated with its whole life cycle; and ➢ is affordable to the institution responsible for the project in the context of the available budget; The feasibility study guideline set out below is for a comprehensive document that, in many instances simply uses information already collected and set out as part of the steps carried out by the Institution. That said it is necessary to create a study that creates a holistic justification...
Words: 4935 - Pages: 20
...Feasibility Studies In order to make wise investments in a marketplace experiencing increasing levels of risk, companies are turning to feasibility studies to determine if they should offer new products, services or undertake a new business endeavor. The purpose of a feasibility study is to determine if a business opportunity is possible, practical and viable. When faced with a business opportunity, many optimistic people tend to focus on just the positive aspects. A feasibility study enables a realistic view at both the positive and negative aspects of the opportunity. A feasibility study is an important tool for making the right decisions. A wrong decision often leads to business failure. For example, only 50% of start-ups are still in business after 18 months and only 20% are in business after 5 years. Feasibility studies are useful when starting a new business or identifying a new opportunity for an existing business. Ideally, the feasibility study process involves making rational decisions about a number of enduring characteristics of a project, including: * Definition of the project; * Current market segmentation; * Projected growth in each market segment; * Current market offerings; * Customer profile(s); * Estimation of customers/revenues; * Determination of competitive differentiation and advantage(s); * Vision/mission statement; * Definition of proposed operations/management structure and management methods; and * Financing and projected...
Words: 501 - Pages: 3
...CIS 335 Case Study Bundle 2a: Due Monday, Sept. 1. How does strategic planning influence day-to-day business operations? Why is it important for systems analysts to understand a company's strategic plan? Answer: A strategic plan looks beyond day-to-day activities and focuses on a horizon that is three, five, ten, or more years in the future. Because the firm's IT group will be expected to deliver IT resources, IT managers must understand and participate in strategic planning. Strategic planning starts with a mission statement that reflects the firm's vision, purpose, and values. Mission statements usually focus on longterm challenges and goals, the importance of the firm's stakeholders, and a commitment to the firm's role as a corporate citizen. 2. What is a SWOT analysis? Prepare a SWOT analysis of your school or your employer. Answer: The letters SWOT stand for strengths, weaknesses, opportunities, and threats. A SWOT analysis can focus on a specific product or project, an operating division, the entire company, or the mission statement itself. Strengths – Affordable, comprehensiveness, quality, and growth of online education Weaknesses - lack of financial support for faculty Scholarship Opportunities - international and off-campus study and exchange programs Threats - risk of losing prominent faculty and staff for genuinely better opportunities at other schools. 3. What is an effective way to assess user requests for additional features and functions? ...
Words: 2037 - Pages: 9
...core factors through which it can make a quantum leap in the area of foreign exports namely the IT sector and the Pharma sector. And due to the competitive advantage that India has because of its labour force, which ids highly skilled and at the same time available very cheap, the Pharma Industry in India is set for growth. But at the same time Pharma industry is a different type of industry altogether and it has own set technical requirement and also its own capital and financial requirements. Through this project I would like to bring forward the various details which are of up most importance and importance to the Pharma industry right form the setting up to actual growth prospects and have also enclosed in section 2 a detailed case study by which the various complexity are discussed along with the DPCO guidelines 1995. The project also attempts to...
Words: 8925 - Pages: 36
...preliminary implementation for initial 03 years. Also, we will study all phases of project like - project planning, project analysis, project initiation, project implementation, and project result. Every stage is vital to make a project success. The major areas of the project reports are defined below: Project planning and analysis: 1. ANALYSIS We are about to create a new Project activity plan for ECI. We are about make a plan which will be feasible to implement for attaining more customer and for attaining quality of service 24/7. In this Analysis we will do in-depth study of all the departments of ECI from production to marketing to make a solid analysis of ECI business ways. 2. Detailed planning I. Technical feasibility The Technical Feasibility Study reports shows the details of how ECI will deliver a product or service i.e., materials, labor, transportation, technology needed, etc. A increase in business productivity in ECI would reach through its Technical belongings and thus the Technical products like Materials for car services, Car washer machines, And other inventory planning must be done so that the increase in customer service can be effectively done by the employees working for ECI. We have seen that complaints have been poured in by the consumers for the delay sales of the cars And maintenance of the Exotic Cars due to unavailability of the Cars. The Technical feasibility report will point out several finding of the issues to...
Words: 1604 - Pages: 7
...assignment is to: • Gain a better understanding of project management. • Understand why project management is needed and how it differs from other forms of management. • Identify the relevance of project management to the business and academic world of management. • Identify the role of a project manager. • Identify the purpose or relevance of a feasibility study in the project environment. • Identify all the stakeholders and identify their needs and expectations. Project management is seen as a rather modern discipline, however many of the greatest monuments in the world, e.g. Pyramids, Taj Mahal etc, could not have been formed without some form of project management. The art and science of project management has been used in many ways although it was not until the 20th century that businesses began to see the relevance and importance of this discipline. Its role in business began as external to the organisation, however in recent years more and more organisations have begun to use project management internally. Project management has become a vital part of many businesses and it is used in many different fields of study, from engineering, programming or IT development, research and development, product development, marketing etc. The aim of this assignment is to see how project management is defined, how it applies to the telecommunications business and how project managers and organisations can use project management to ensure stakeholders’ expectations are met. ...
Words: 7586 - Pages: 31
...FEASIBILITY STUDIES: WHY AND WHAT SHOULD THEY ENTAIL? P. Ries Asset Resource Management LLC I have been asked to present a paper addressing feasibility studies, as they relate to consideration of a digester project for large dairies. I am hoping to answer the following questions, so that you, as a dairy producer, can properly address whether or not a digester project fits within your overall business model, that is, successfully managing and operating a large scale dairy operation. As I said, the questions I hope to answer for you are as follows: 1. 2. 3. 4. 5. What is a feasibility study? Why is a feasibility study important? What should be included? Who should do a feasibility study? How much should they cost? 1. What is a feasibility study? A feasibility study is an analysis and evaluation of a proposed project to determine if it is a. technically feasible; b. is feasible within the estimated cost; and c. will be profitable. I am focusing my presentation on feasibility studies of digester projects, because that is why I’ve been asked to make this presentation. However, one should be able to use these same concepts when considering any opportunity your farm might consider, especially where large sums of money are at stake. With respect to digester projects, the technical concepts of collecting the cow manure, pumping it into a digester, producing methane gas, and using this methane gas to power turbines, which in turn produce electricity, is a proven technology, and no further...
Words: 3556 - Pages: 15
