Which factor is generally assessed during a 'Feasibility Study'?

A feasibility study is a crucial step in project management and business analysis, focusing on determining the viability of a proposed project or solution. The most critical factor assessed during this process includes the technical, financial, and operational aspects of the project.

Technical feasibility evaluates whether the technology required for the project is available or can be developed and whether it will function as intended. Financial feasibility examines the cost-effectiveness of the project, assessing funding requirements and potential returns on investment. Operational feasibility looks at whether the project can be integrated into existing processes and operations and whether it will meet the organization’s capacity and capability constraints.

Assessing these factors collectively helps ensure that a project is not only achievable but also strategically aligned with an organization’s goals. While market demand, company culture, and competitor activities may be relevant to decision-making, they do not constitute the primary focus of a feasibility study, which is fundamentally about evaluating the practical aspects that support the decision to proceed with a project.