FEASIBILITY REPORT
Feasibility report-is an exercise that involves documenting each of the potential solutions to a particular
business problem or opportunity.
-They can be undertaken by any type of business, project or team and they are a critical part of the
project life circle.
The purpose of a feasibility report is to identify the likelihood of one or more solutions meeting the stated
business requirements. In other words, if you are unsure whether your solution will deliver the outcome
you want, and then a project feasibility report will help again to gain that clarity
If someone or a company wants to start up a business or aproject, it has to first do the feasibility study
which aim to objectively and rationally uncover the strengths and weaknesses of an existing business or
proposed venture and the resources required to carry through and ultimately the prospects for success.
A business feasibility study examines a situation whether economical,technological,operational,
marketing – related or others and identifies plans best suited to manage the situation.
It may involve approaches as cutting cost, assessing a new business location or developing a new
technological system.
The feasibility report assesses the supporting data and reasoning of each plan and provides a
recommendation of which plan to implement.-During the feasibility report stage, the projects goals,
parameters and restraints are agreed upon with the client including
Project budget and rules for its adjustments
Project time frame
Conceptual problem solution
The following tasks are performed at this stage
1) The project feasibility is estimated and the project scope defined
2) Risks and benefits are identified
3) The project structure is elaborated
4) The project is roughly planned
5) The next project stage is planned precisely
6) Cost of the next phase is evaluated precisely and cost of the other phases – approximately.
7) Functionality development priorities are defined
8) System creation risks are estimated.
The information one gathers during the study will help you
1) List in detail all the things you need to make the business work
2) Identify logistical and other business – related problems and solutions
3) Serve as a solid foundation for developing your business plan
The components of a feasibility study
1) Description of the business – services to be offered and delivered
2) Market feasibility – description of industry
3) Technical feasibility – raw materials available , technology selection
Financial feasibility – projects how much startup capital is needed, sources of capital returns an investment.At the
end of this phase the following documents are available
1) Feasibility report
2) Project structure – description of the project organization
3) Project plan – project schedule
4) Risks list – list of potential project risks and possibilities of their elimination
Feasibility studies address things like location, raw materials availability, connectivity, depending with the kind of a
project that one wants to embark on, for example,
Marketing feasibility
-If you are setting a new retail store, the right location plays an important role in the success of your
business.
-The market feasibility study inspects the surrounding community identifies competition, life style,
shopping patens and other influences.
-Analysis of the data in the market feasibility study provides the basis of whether or not this location can
drive the market for your business.
At this stage , the client ‘s business needs are analyzed , information about project participants is collected
, and the requirements for the system are gathered and analyzed .The client’s expectations for system for
system implementation are studied and the proposed solution is offered.
Format of the report
-Abstract , summary , contents list , glossary , introduction on purpose and scope , discussion (main body ,
conclusion –flowing naturally from the body , recommendation , references if necessary )
Gives necessary background information. Tells why the reader or the
Introduction
organization should consider the reported upon alternatives.
Explains the ways in which the decision-making criteria are reasonable and
Criteria
appropriate.
Explains the methods used to collect the information or material and allows the
Methods
reader to determine that the facts are reliable.
Results Tells what the research produced.
Alternatives Explains the important features and drawbacks of the alternatives (overview).
Evaluation Tells the reader how the alternatives compare to the criteria.
Conclusions Explains the overall conclusions that may be drawn about the alternatives.
Tells what the reader or organization should do or think and explains which
Recommendation
alternative is the best.
Feasibility report on the proposed Mkoba Nutrition garden project
Introduction
Introduction
The following is a feasibility report carried out by the MSO projects committee taked to investigate the
feasibility of establishing nutrition gardens in Mkoba high density subarb in Gweru. The task force was
commissioned to carry out the feasibility study on April , 1st, 2013 and table a detailed report at the next
committees meeting on 21st April 21, 2013. The report presents the findings based on the report.Gives necessary
background information. Tells why the reader or the organization should consider the reported upon alternatives
Criteria
Methods
Data for the report was collected through the following methods
1. cite visits to inspect the available land
2. interviews of the intended beneficiaries
3. questionnaires to community leaders and beneficiaries
Results
1. resources availability
land
capital
labour
2. project viability
3. needs assessment
Alternatives
Poultry project
Direct provision of resources
Evaluation
Project viability Gives necessary background information. Tells why the reader or the organization should consider
the reported upon alternatives
Project sustainability
Conclusions
That the project be started off at the beginning of the next financial year
Recommendation
More community involvement to establish a sense of program ownership
Utilizing party structures to avoid alienation and wrong labeling.
Question
Imagine that you are the operations manager of a manufacturing company. Your org has decided to built a new
factory as part of their action plans. Write a feasibility report on the proposed new factory cite. Ensure that your
report covers all the essential elements of a good report. Use at least two visuals to present any statistics you may
have. [25]
