What Is a Design Feasibility Report?

A design feasibility report is essential for any proposed project or plan’s preliminary stages. Its purpose is to investigate, identify, and analyze the overall project design to guarantee that it is practicable to save time and resources, ensuring that you won’t meet any issues throughout development. It includes all significant parts of the project, such as the required resources, the technology you’ll need during development, the success criteria, and the estimated return on investment. You must ensure that you are receiving something in return. Statistics indicate that a company plan increases the likelihood of growth by 30%. There is evidence that adhering to a good business strategy will result in tremendous economic success.

Benefits of Feasibility Reports

A feasibility report is created to ensure everything is in order before investing time, a simple budget, and resources in a project. It’s as if you knew beforehand that the idea would be successful. This also provides you a sense of what may not work before you implement it. Here are some additional benefits of a feasibility assessment.

Give New Concepts: As the feasibility report consulting continues, fresh concepts emerge. These could fundamentally alter the project’s scope. It helps to enhance the project.Discovers New Prospects: A feasibility study is a valuable tool for identifying new prospects incorporated into the company plan. These can also raise the likelihood that the project will be implemented successfully.Restricts Business Option: Business opportunities and alternatives are condensed in the feasibility study. Among the many available possibilities, only a few are picked for implementation. These are thoroughly addressed in the report. You may also be interested in our PDF executive report.Facilitates decision-making: A feasibility report helps you decide whether or not to do a project. You would know if this works or not if you looked at the whole thing. Several things in the report can be used to figure it out. You might also like our report templates for the year. Even if the feasibility report doesn’t work, you should never give up hope that it will work somehow.Most Likely to Work: The phrase “feasible” refers to an activity or event that is plausible, probable, or accomplishable. A feasibility study is the sum of the steps and inquiries taken to assess whether an idea, concept, or strategy is likely to succeed. Compelling research can help you determine if you should proceed with your vision, modify it, or leave it and return to the drawing board.Concentrated and Specific: Studies of feasibility are concentrated and specific. They begin with a single question – if the concept, event, or action is a feasible solution – and require you to focus exclusively on that subject, drilling down to examine potential outcomes. A feasibility analysis is distinct from a business strategy. A feasibility study is an investigation instrument that might lead to the rejection of a concept, while a business plan is a call to action. A feasibility study can serve as the foundation for a business plan.The Overall Picture: The significance of feasibility studies requires evaluating the big picture and then thinking from the top down. One or two general introductory questions lead to a plethora of further, more specific inquiries that narrow the scope as you approach the ultimate solution. For instance, asking if anyone would purchase your new and improved product and if it will earn a profit generates further questions that require you to examine customer needs, prospective competition, and potential hazards. In addition to describing your product and its benefits, defining your target market, and calculating your costs and break-even and profit points, you must also tell your product and its features.

Elements of a Feasibility Report

In its simplest form, a feasibility report is a characterization of the problem or opportunity to be explored, an analysis of the current mode of operation, a specification of the requirements, an evaluation of the alternatives, and an agreed-upon path of action. Consequently, the processes for creating a feasibility report are generic. They can be applied to any project, whether for systems and software development, making an acquisition, or any other form of assignment. There are essentially six components to any viable feasibility report:

Project scope: Creating a project scope is an element of the planning process that outlines all suggested plan components. It should address all business areas that may be affected by the plan’s implementation. In addition, it is essential to include the prospective project outcome in the product scope. This contains all work required to execute the project, including project objectives, tasks, expenses, deliverables, and deadlines.Current analysis: The goal of the current analysis is to define and comprehend the organization’s existing practices. This study allows you to determine the pros and drawbacks of the existing product or system. This information is used to establish whether specific components of the current product can be utilized to create the prospective product, saving money on the production of the new product or system. Requirements: The project’s overall objective determines the proposed project’s requirements. The technological and financial needs of the endeavor are two components to identify. Investors must know technical requirements and the total amount of money to be invested in determining the best method for meeting the needs.Approach: Typically, after reviewing the requirements, a consultant will recommend a course of action to meet the needs set in the preceding step. Sometimes, utilizing already-established systems is preferable to selecting a brand-new, more expensive method. Before proceeding, the consultant evaluates all choices and suggests the most advantageous course of action.Evaluation: After selecting a method, a consultant will often analyze the technique’s cost-effectiveness. In addition to analyzing and estimating the estimated cost, a consultant may also assess alternate alternatives. Finally, an evaluation and cost summary is compiled, incorporating a cost-benefit analysis and return on investment (ROI) elements.Review: A consultant compiles the components above into a feasibility study and conducts a formal evaluation. The evaluation demonstrates the accuracy of the whole research and facilitates project decision-making. At this stage in the investigation, the project is either authorized, altered, or denied. All parties sign a document confirming their agreement if the proposal is approved.

Tips In Doing a Feasibility Study

Preparing a project’s feasibility study is a crucial stage that can aid project managers in deciding whether to give or not to give time and money to the venture. Feasibility studies may also prevent a company’s management from undertaking a risky business venture by presenting crucial information. Here are some tips for conducting a feasibility study if you’re still interested.

1. Perform an Initial Evaluation and Create a Future Income Statement

Begin by drawing a rough outline of your concept. Concentrate on an unmet need, an underserved market, and whether your service or product has a substantial competitive advantage. The next stage determines if the scalability factors are excessively high to pass. In addition, this phase of income statement preparation requires traveling back in time. Start by estimating how much money the project will need to be successful, and then establish the type of finance you’ll need to reach that goal. This is the foundation for the revenue statement. Consideration must be given to which services are crucial, how much they will cost, and any income alterations, such as settlements.

2. Conduct Market Research and/or a Survey

Because the success of the feasibility study depends on this stage, conduct exhaustive research. If your organization lacks the resources to undertake a competent investigation, it would be to your best advantage to hire an independent agency to do it. The market research completed during the kickoff phase of the project will provide the most accurate picture of the project’s financial prospects and potential return on investment. Various criteria must be considered, including the market’s location, demographics, competitiveness, market value, and the sector’s expansion potential.

3. Planify a Company’s Structure and Operations

The procedures must be carried out to verify that the proposed project is possible from a technical, operational, economic, and legal standpoint: This endeavor is not superficial or broad. New enterprises must cover start-up expenditures, fixed investments, and recurring expenses in a complete financial plan. These expenditures include equipment, marketing strategies, real estate, personnel, supplier availability, and overhead costs.

4. A financial statement for the first day should be prepared.

This includes a precise calculation of the firm’s assets and liabilities. Create a list of everything you’ll require, including where to obtain it, how much it will cost, and any financing possibilities. Land, facilities, and equipment can all be leased or purchased, and the same holds for finance and receivable accounts.

5. Evaluate and Verify All Data

Evaluation and analysis are essential for ensuring that everything is in order and nothing needs to be modified or altered. Before handing in your work, you should double-check it for completeness and accuracy. Examine and contrast your past actions, such as your financial statements, with your current expenditures and commitments. Is this possibility still viable? Consider risk, analyze and manage it, and create any necessary backup plans.

6. Determine whether or not to continue

You’ve reached the end where you must decide if the project is worth your time and money. This may appear simple, yet it is the culmination of a series of processes that have led to this moment of selection. Other evaluation factors before adopting this binary option include whether the engagement is worth the time, effort, and money and whether it corresponds with the organization’s long-term strategy and objectives.

How To Write a Design Feasibility Report

We already know that writing a feasibility report isn’t the easiest thing to do. It talks about many factors and data that you have to think about and analyze to ensure that the information you have gathered for your report is accurate, complete, fair, and presented in the right way. To ensure all of these things and more, you need to keep in mind a few key steps or parts when writing the document to make sure it is well-written. We’ll talk more about these necessary steps below.

1. Create the project summary

The first thing you must include is a description of the design, including what it is, what its purpose is, what you hope to accomplish with it, etc. It should also discuss the needs of your firm and how this initiative will help promote and meet those needs. Because this is also an introduction, you must ensure that it is persuasive enough for your readers to continue reading. It is the scourge of every corporate paper, being bland. Specify what your audience would gain personally and professionally if the initiative is successful.

2. Describe potential solutions and provide an evaluation rubric

To correctly complete this component, you must first do an alternatives analysis to identify potential steps for the project’s development. These are the practices you intend to follow during project development to ensure success. Also, after listing the alternative development steps, compare each answer to a set of evaluation criteria. If a solution fits and satisfies the success criteria you’ve specified, then there’s a good likelihood that it’s the optimal strategy to carry out this design job.

3. Offer the best practical solution

After identifying the best solution for the project, use your expertise and understanding of the subject to present the answer in the most convincing manner possible. It would help if you convinced your audience that this strategy maintains the company’s ideal resource distribution while providing the potential benefit.

4. Conclusion

The conclusion is the final and most crucial stage. Be sure to review your work one last time before submitting your report to verify that everything is as polished as possible and that no further revisions are necessary. Finally, after analyzing your work, compose the conclusion. Restate the project’s objective and goal and the optimal course of action to assure its success. Include the alternatives you’ve developed and how they were examined to verify that they are appropriate for the organization.


What does architectural schematic design entail?

Schematic design is a rough construction sketch that provides an overview of a project’s essential elements and construction cost estimates, allowing you to assess whether or not your concept fits within the project budget.

How long do feasibility studies take?

Expect a feasibility study to last between sixty and ninety days. Unless the market is scorching, do not commit significant funds to land sales agreements at this period. Ensure that any contracts you sign include a refund of your money if you decide to abandon the project.

What is an essential part of the feasibility study?

Economics is the most significant aspect of a feasibility study. Economics is the driving force behind most undertakings (with some exceptions for government and non-profit projects in which cost-benefit analysis is a primary tool).

What distinguishes a business plan from a feasibility study?

A feasibility study is replete with calculations, analysis, and estimated projections, but a business plan consists primarily of tactics and plans to build the business.

While it is possible that the feasibility report won’t work, you should never give up faith that it will succeed somehow. This is only the beginning of the free new business plan being created. There is always something positive about testing out new ideas to determine their viability. Reports on the project’s viability are essential, particularly for businesses who want to execute a project correctly. It is an excellent business practice that discovers fresh ideas that have the potential to shift not just the project’s direction but also the firm itself.