Lesson 2 DETERMINING FEASIBILITY

MAIN MENU Introduction to Determining Feasibility Defining Objectives Determining Resources EXIT

It is necessary to determine if the selected projects are feasible. FEASIBILITY means that the proposed project helps the organization attain overall objectives. The project must be feasible in three ways to merit further development. These consist of : a) Operationally b) Technically c) Economically INTRODUCTION NEXTPREVIOUSMAIN MENU

INTRODUCTION The feasibility study is used to gather broad data for the members of management that in turn enables them to make a decision on whether to proceed with a systems study. Data for the feasibility study can be gathered through interviews. The kind of interview required is directly related to the problem or opportunity being suggested. The analyst typically interviews those requesting help and those directly concerned with the decision making process – typically, management. The systems analyst should not spend too much time doing feasibility studies, since many projects will be requested and only a few can be executed. MAIN MENUNEXTPREVIOUS

DEFINING OBJECTIVES Ascertaining the overall feasibility of a requested project means finding out what the organizational objectives are and then determining if the project serves to move the business towards its objectives in some ways. There are several acceptable objectives for the systems projects. These include, but are not limited to: 1.Reducing errors and improving the accuracy of data input. 2.Reducing the cost of the system output by streamlining and eliminating duplicate or unnecessary reports. 3.Integrating business subsystems MAIN MENUNEXTPREVIOUS

DEFINING OBJECTIVES 4.Upgrading customer services to gain a competitive edge. 5.Speeding up input. 6.Shortening data-processing time. 7.Automating manual procedures to improve them in some way (reduce errors, increase speed or accuracy, cut down on employee time required, etc.) There are some unacceptable objectives for systems projects. Some are as follows: 1.To solely prove the prowess of the system analysis team. 2.To assert the superiority of one department over another in terms of its power to command internal resources. MAIN MENUNEXTPREVIOUS

DETERMINING RESOURCES Resource determination for the feasibility study follows the same broad pattern discussed previously and will be revised and reevaluated if and when a formal system study is commissioned. Resources will be discussed in relationship to three areas of feasibility: 1.TECHNICAL FEASIBILITYTECHNICAL FEASIBILITY 2.ECONOMIC FEASIBLITYECONOMIC FEASIBLITY 3.OPERATIONAL FEASIBLITYOPERATIONAL FEASIBLITY MAIN MENUNEXTPREVIOUS

DETERMINING RESOURCES TECHNICAL FEASIBILITY The analyst must find out whether current technical resources can be upgraded or added to in a manner that fulfills the request under consideration. However, sometimes “add-ons” to existing systems are costly and not worthwhile, simply because they meet needs inefficiently. If existing systems cannot be added onto, then the next question is whether there is technology in existence that meets the specification. RESOURCES MENUNEXTPREVIOUS

DETERMINING RESOURCES ECONOMIC FEASIBILITY The concerned business must be able to see the value of the investment it is pondering before committing to an entire systems study. If short-term costs are not overshadowed by long-term gains or produce no immediate reduction in operating costs, then the system is not economically feasible, and the project should not proceed any further. RESOURCES MENUNEXTPREVIOUS

DETERMINING RESOURCES ECONOMIC FEASIBILITY The basic resources to consider are: Systems analysts’ time Cost of systems study (including the time of employees you will be working with) Cost of employees’ time for study Estimated cost of hardware Cost of packaged software / software development RESOURCES MENUNEXTPREVIOUS

DETERMINING RESOURCES OPERATIONAL FEASIBLITY Operational feasibility is dependent on the human resources available for the project and involves projecting whether the system will operate and be used once it is installed. If users are virtually wed to the present system, see no problems with it, and generally are not involved in requesting a new system, resistance to implementing the new system will be strong. Chances for it ever becoming operational are low. Much of the art of determining operational feasibility rest with the user interface. RESOURCES MENUNEXTPREVIOUS