What is the purpose of feasibility analysis in project management?

The purpose of feasibility analysis in project management is fundamentally about assessing the practicality and likelihood of success of a proposed project. This process involves a comprehensive examination of various factors, including technical, economic, legal, and operational aspects, to determine whether the project is viable and worth pursuing. It aims to identify any potential challenges or obstacles that could hinder the successful completion of the project and helps decision-makers understand the risks and benefits involved.

This analysis not only evaluates whether the project can be completed within the available resources and timeframe but also considers whether the proposed solution aligns with organizational goals and market needs. By providing an early indication of potential issues, feasibility analysis serves as a critical tool for guiding project decisions, allowing stakeholders to commit to or abandon projects based on informed insights.

While assessing financial resources is an essential part of project evaluation, it is only one component of the broader feasibility analysis. Similarly, summarizing the project's objectives or prioritizing project tasks are valuable activities but do not encompass the overarching goal of determining the project's overall feasibility.