Is your project actually doable? A feasibility study will tell you

Not all projects succeed. But a feasibility study can help you predict the outcome before you sink resources into a money pit in-the-making.

Whether you’re launching an app, or changing internal processes, a feasibility study is a smart way to figure out whether your idea will actually work. It helps you answer life’s big questions like: Does this make good business sense? and can we do this with the resources we have?

In this article, we’ll walk through what a feasibility study is, why it’s worth your time, when to use one (and when you can do without). Read on!

Why most projects fail

We all know the thrill of a new idea. The pitch lands and everyone’s excited. But fast forward a few months, and things start to unravel — budgets balloon, timelines glide by, or worse, no one wants the end product. What happened?

It’s simple: a lot of projects fail because the idea was never truly tested in the real world before it began. That’s where a feasibility study comes in.

What is a feasibility study?

A feasibility study (aka a feasibility analysis), is a project reality check. Or in other words, it’s a way to work out whether a project is practical, affordable, and makes good business sense before you invest.

It helps you answer questions like:

• Can we actually make this happen with what we’ve got?
• Will the payoff be worth the effort?
• Are we missing something big — like a legal hurdle, a technical gap, or a market that isn’t actually interested?

Without this kind of check-in, you’re building on guesswork. And guesswork is expensive.

What a feasibility study isn’t

Feasibility studies often get lumped in with other early-stage project documents — but they’re not the same thing. Here’s how to tell them apart (and avoid doing extra work for no reason).

Not a project pitch or proposal

A pitch or proposal is about sparking interest and exploring possibilities. A feasibility study comes after that. It doesn’t sell the idea — it stress-tests it.

Not a business plan

Business plans lay out your big-picture strategy — vision, goals, long-term roadmap. A feasibility study is much more focused. It zeroes in on one project or initiative and asks, “Can we really make this happen?”

Not a project charter

Think of a project charter as the elevator pitch for your project. It’s short, high-level, and used to get initial sign-off. A feasibility study goes deeper, backing up that pitch with practical facts and figures.

Not the business case (though they’re often linked)

A business case argues why the project should go ahead. It includes rationale, benefits, risks, and financial forecasts. A feasibility study supports that case by showing whether it’s actually possible — and under what conditions.

In short:

• A pitch starts the conversation.
• A charter defines the project’s scope.
• A business case justifies the investment.
• A feasibility study proves it can work in the real world.

Is a feasibility study really worth it?

Feasibility studies aren’t just there to deliver a hefty dose of realism. They’re also a great way to bring structure and clarity to decision-making. This is handy, especially when the stakes are high.

The benefits of a feasibility study include:

• Avoiding project failure through logical assessment
• Spotting issues and risks early on
• Narrowing business alternatives and simplifying complex choices
• Improving stakeholder commitment thanks to added clarity
• Providing a clear, evidence-based reason for your project to exist
• Improving success rates through a comparison of multiple approaches.

More generally, feasibility studies are flexible and scalable, which means you can apply the process to any kind of project — whether that’s software development, or a new team process. That said, the bigger the project, the more important the feasibility study becomes.

When a feasibility study is worth doing (and when to give it a miss)

The trick is knowing when a study adds value, and when it’s just a box-ticking exercise.

Let’s say you’re planning to roll out a new product line that needs a hefty upfront investment, and coordination across multiple departments. That’s a prime candidate for a feasibility study. You need to know if your resources and timeline can actually support the idea — and if the market wants what you’re putting down.

Or maybe you’re torn between two different approaches and need a clearer way to choose. A well-run feasibility study can help you compare risks and likely outcomes to guide your decision.

But what about when not to run one? Let’s say your project is smaller: tweaking a team process you’ve already updated recently, or duplicating a project you ran successfully last year. If the risks are low and the outcomes are predictable, then running a full feasibility study is probably overkill.

TL;DR:

• Use one when the stakes are high, or you’re navigating unfamiliar territory.
• Skip it when you’ve already got the data and experience to move forward without it.

Where does a feasibility study fit in the wider project management lifecycle?

Feasibility studies sit firmly within the initiation and planning phases of project management. It should happen after the project proposal, but before any major resource commitments. Think of it as the bridge between a good idea and a green-lit plan.

Five lenses, one goal: is this actually doable?

A good feasibility study doesn’t just give you a “yes” or “no.” It helps you look at your project from every critical angle — so you can spot gaps before they become expensive mistakes. Think of it like putting your idea through five different lenses:

Can we build this?

This is your technical lens. Do you have the right tools, infrastructure, and skills to make this thing happen? If your project depends on tech you haven’t mastered — or equipment you don’t own — you’ll want to know that before committing.

Will the numbers work?

Here’s your financial lens. What will it cost to get this off the ground? What’s the projected return? Do the numbers add up, or are you staring down a money pit? This step helps you balance investment against outcome.

Do people want this?

That’s your market lens. Is there actual demand for your product or service? What are your competitors doing? This lens helps you test the idea’s commercial viability — and avoid building something no one needs.

Can we support it internally?

Enter the operational lens. Does the project align with your current workflows and team structure? Can your staff deliver it, maintain it, and manage it? If it’s going to stretch your team too thin, that’s something you need to know now.

Are there rules that could stop us?

This is your legal and regulatory lens. Whether it’s industry compliance, licensing, data privacy, or zoning, legal feasibility is about making sure your project doesn’t hit an avoidable wall down the road.

You may not need to delve into every aspect for every project, but if you’re ignoring one entirely, you could be overlooking a major storm on the horizon.

How to run a feasibility study

Every project is different, but there are six key stages to consider before kick-off.

1. Start with a reality check

Before plunging into the full study, it’s worth doing a high-level check for any glaring red flags. Are there immediate dealbreakers — like an unworkable timeline, or budget gap — that would make the project unviable from the get-go?

This quick check helps avoid investing time in a study that won’t lead anywhere. If there are no major problems, move on to step 2!

2. Assess the current situation

Start by looking at your existing processes or offerings. What’s working? What isn’t? A SWOT analysis will help you get a clear idea.

This step helps you establish a baseline and spot any issues before the project begins. You may even discover that improving an existing process is more effective than launching something new.

2. Define what you’re solving

Get crystal clear on the problem or opportunity. Who is it for? What’s the goal? What would success look like — and what constraints (budget, time, people, legal, etc.) do you need to work within? This becomes your project’s compass.

Ask yourself:

• Who is this for?
• Is there a need for it?
• What’s the marketing or integration strategy?
• What are our competitors doing?
• What are the internal, corporate, and external constraints (such as budget, technology, marketing, logistics, laws, and regulations)?

These things form your project scope should be thorough and clear because everyone involved will use it as their blueprint. Think of it as your project’s boundaries. Without clearly defined limits, you could end up producing or providing more than is needed or agreed upon, which is a waste of your time and resources.

3. Requirements

What do you need to make this thing happen? This is where you detail your existing and needed resources. Questions to ask yourself include:

• Do you need extra staffing?
• Do you need new software?
• Can your existing processes be improved with tech?

Be brutally honest here: do you have what you need — or would you need to buy, hire, or outsource?

4. Explore your options and approach

You might have one solution in mind, but a feasibility study is your chance to explore others. Are there leaner ways to get the same result? Different tools, different routes, different partners? Put your main idea in context.

The two questions to ask yourself here are:

• Does this approach answer the requirements?
• Is it practical and achievable?
• Are there better ways to do this?

5. Evaluate financial feasibility

Next, do the math. What’s the cost? What’s the projected benefit? This includes everything from upfront spend to long-term ROI — and any risks that could throw things off. If the financials are shaky, it’s better to know now.7. Scan for risks and red flags

Even if everything looks good on paper, step back and ask: What could go wrong? Where are the weak points? Are your assumptions solid? This is where you catch blind spots, stress-test your plan, and add contingency measures if needed.

8. Final review and decision

Analysis done? Now it’s time to pull everything into a clear summary and talk your findings through with decision-makers. Whether the result is “go,” “no-go,” or “revise and retry,” everyone should be on the same page so there’s no backtracking or finger-pointing later on.

Feasibility study examples

Still wondering how all this fits together in the real world? Here are two examples.

Internal process overhaul

A national logistics company wants to automate part of its warehouse operations to speed up dispatch times and eliminate human error.

Instead of diving straight into implementation, they commissioned a feasibility study. Here’s what they found:

• Technical feasibility: Their current systems don’t support the automation tech without big upgrades.
• Operational feasibility: Retraining warehouse staff would take time and buy-in,  needing a phased rollout.
• Financial feasibility: Upfront costs were high, but long-term savings from faster dispatch and reduced error rates would recoup the investment in approximately 18 months.
• Legal feasibility: Workplace safety compliance required new protocols and documentation.

The result? A clear go-ahead, with a staged approach and a built-in training plan that kept things realistic.

Expanding into a new customer segment

A tech company currently serving enterprise clients is considering launching a scaled-down self-serve version of its platform for freelancers.

The feasibility study examined:

• Market feasibility: Demand existed, but the space was crowded. However, a niche group of creative professionals wasn’t being well-served.
• Technical feasibility: Minimal backend changes were needed to support a stripped-down version.
• Financial feasibility: Lower price point, but lower support costs too. Break-even was realistic within the first year.

Armed with the study, the company launched a test version to a targeted user group. Feedback was strong, and the full rollout followed with confidence — and proof.

What’s next? How to turn insight into action

If you’ve read this far, chances are you’ve got a project in mind — or at least a few big ideas waiting in the wings. So where do you go from here?

Here’s a simple roadmap to get your feasibility study off the ground:

Clarify your “why”

Start with the problem or opportunity. If you can’t define the why clearly, the rest of the study won’t make sense .

Decide what needs testing

Not every project needs the full five-lens treatment. Pick the areas that matter most based on your specific context — market, financials, tech, legal, operations.

Gather the right people

Bring in the voices you need — finance leads, product owners, operations managers, maybe even customers. A strong feasibility study isn’t done in isolation.

Do the work (but don’t overcomplicate it)

Structure your findings in a way that’s easy to digest. Use clear headings and concrete recommendations. A feasibility study should inform — not overwhelm.

Share and decide

Present your study to key stakeholders. Use it as a decision-making tool, not just a report. Whether your next move is “go” or “no go”, move with clarity and confidence.

Bonus: Use the right tools

Feasibility studies involve a lot of moving parts. Project management software like Backlog can help you keep tasks and communication in one place — and give your team visibility every step of the way. Plus, with interactive features like Gantt charts, Wikis, and version control, your stakeholders can gain transparency into every stage of the process too. Give it a try for free today!

This post was originally published on April 15, 2021, and updated most recently on June 25, 2025.