Any project, whether infrastructure, power, real estate, communications, retail, logistics and supply chain, healthcare, hospitality, tourism, education, transport, energy, research & development, information technology, needs a detailed feasibility study prior starting. Without the Feasibility Study Report (FSR), a project would be extremely ill conceived and would never reach its true potential.
Conducting a detailed feasibility study (DFS) is one of the key activities within the project initiation phase. It aims to analyze and justify the project in terms of technical feasibility, business viability and cost-effectiveness. The study serves as a way to prove the project’s reasonability and justify the need for launch. Once the study is done, a feasibility study report (FSR) should be developed to summarize the activity and state if the particular project is realistic and practical. The DFS aims to identify, explore, and evaluate a project’s solutions to save time and money.
The Feasibility Study Report (FSR) is a formally documented output of detailed feasibility study (DFS) that summarizes results of the analysis and evaluations conducted to review the proposed solution and investigate project alternatives for the purpose of identifying if the project is really feasible, cost-effective and profitable. It describes and supports the most feasible solution applicable to the project.
The report gives a brief description of the project and some background information. Formally this document is the starting point for running the Pre-Charter Sub-Phase. In practice, it signifies that the sponsor can proceed with deciding on project investment and make necessary assignments to the project manager. It provides legal and technical evidence of the project’s vitality, sustainability and cost-effectiveness. The reporting process allows the senior management to get the necessary information required for making key decisions on budgeting and investment planning.