It is a study conducted by the owner of a new project idea to study the possibility of implementing the project and its success. The feasibility study shows the required investments, the expected return, and the external influences on the project, such as state laws, competition, and technological development. For two reasons, first: to know what you need for your project and its chances of success. Second: To prove to the financiers that this project is expected to succeed and achieve a good return on investment.
How difficult is it to prepare a feasibility study?
In order to be able to create and manage a project, you must know how to plan the project and study its feasibility. Preparing a feasibility study has certain foundations that you must learn. These foundations are easy to understand and apply if you have a little education. You don’t need to use calculus, chemical equations, or computer science. The feasibility study of small projects is easy, while the feasibility study of large or international projects may require specialized experts.
What is the relationship between feasibility study and strategic planning?
The feasibility study is related to the study of a new project, while the strategic planning is the study of the best areas in which the institution can work in the coming years and how it can compete in these areas. Strategic planning is more general than a feasibility study because strategic planning shows the best areas in which the organization can work in the coming years. As for a feasibility study, it is concerned with studying a specific project or projects. Despite this, there is a great similarity between them, as both of them need to study the market, competitors, customers, influencing external factors, and the capabilities available to us that can be learned or purchased, and we end up with the expected financial return.
How is the feasibility study prepared?
I will discuss the details of the feasibility study and strategic planning in the coming weeks (see topic index)
Is it possible to use third parties to prepare the feasibility study?
Consulting offices can be used to prepare a feasibility study for your project, and pre-prepared feasibility studies can be used for specific projects. Seeking help from a consulting office will make you bear the cost of preparing the study. As for using feasibility studies prepared by entities that encourage new projects, they force you to choose from among the offered projects, which are usually traditional projects.
But why do you seek help from others to prepare the feasibility study? If this is because you do not know how to prepare a feasibility study, then it is better for you to learn that, and as I mentioned, there is no difficulty in that. Why? Because you will manage your project and therefore you will need to plan the project year after year and you will study project development or adding a new product or service. Will you turn to a consulting firm to do this for you every year? But if you are going to start a giant project, resorting to a consulting office may be justified. In general, whether you do it yourself or with the help of a specialized office, you must be aware of the method of preparing this study and what you can benefit from it and the extent of its accuracy. In addition, you will have to – at least – do a preliminary feasibility study before resorting to a consulting office.
What are the projects that need a feasibility study?
Any project, small or large. Do I need a feasibility study to open a clothing or stationery store? Yes, but it is somewhat simplified.
Can you send me a feasibility study for my project?
sorry, no. This website shows you the steps for preparing a feasibility study for your project, but it does not provide feasibility studies. You can find an explanation of these steps on the topic index page. Each project has its own feasibility study that fits the nature of the project, the location, the customers’ needs, and your capabilities. Thus you cannot use a feasibility study for a similar project. Please do not request feasibility studies via comments as they will not be published. Thanks