Feasibility Study in Software Engineering: Types, Process, Examples & Importance
Before a company starts spending money, time and effort on a software project, it first needs to know whether the project can actually be completed successfully. This is where a feasibility study becomes important.
A feasibility study is an early investigation used to check whether a proposed software project is practical, affordable, technically possible and suitable for the organisation.
In simple words, it answers one important question: “Should we really develop this software?”
Why Does Feasibility Study Feel Confusing?
Students usually understand the basic definition but become confused when different types such as technical feasibility, economic feasibility and operational feasibility are introduced together.
The easiest way to understand this topic is to imagine that you want to develop a software system. Before starting coding, you must check five things: Do we have the technology? Can we afford it? Will people use it? Is it legally safe? And can we finish it on time?
These questions form the basic idea behind a feasibility study.
Meaning of Feasibility
The word feasible means something that is practical and possible to do successfully.
Therefore, when we perform a feasibility study for a software project, we are checking whether the proposed system can realistically be developed under the available conditions.
Simple Example
Suppose a college wants to develop an Online Examination System. The management may like the idea, but that does not automatically mean the project should start.
First, the development team should check:
- Does the college have enough computers and servers?
- Can the college afford development and maintenance?
- Will teachers and students be comfortable using it?
- Can student information be stored legally and securely?
- Can the system be completed before the next examination?
If these questions receive acceptable answers, the project may be considered feasible.
Why is Feasibility Study Important?
A software project may sound useful but still fail because of limited budget, insufficient technology, lack of skilled developers or unrealistic deadlines. A feasibility study helps identify such problems before the organisation makes a major investment.
Reduces Project Risk
Major problems can be identified before development begins.
Saves Money
The organisation avoids investing in projects that are too expensive or unrealistic.
Saves Development Time
Weak project ideas can be rejected or modified before coding starts.
Supports Better Decisions
Management receives useful information before approving the project.
Identifies Requirements
Resources, technologies, people and infrastructure can be estimated early.
Improves Project Planning
Cost, schedule, risks and possible solutions become easier to understand.
Types of Feasibility Study in Software Engineering
One of the most common ways of remembering feasibility types is TELOS.
1. Technical Feasibility
Technical feasibility checks whether the required technology, hardware, software, infrastructure and technical knowledge are available for developing the system.
It mainly answers: “Can we technically build this software?”
- Required hardware
- Software platforms
- Database technology
- Network infrastructure
- Development tools
- Team skills
- System performance
- Integration with existing software
A company wants to create an Artificial Intelligence based customer support system. However, its development team does not have AI experience and the existing servers cannot handle the required processing.
In this situation, the company must either upgrade its infrastructure, hire skilled people or reconsider the project.
2. Economic Feasibility
Economic feasibility checks whether the expected benefits of the software justify the money required to develop, operate and maintain it.
It answers: “Is this project financially worth doing?”
- Developer salaries
- Software licenses
- Cloud or server cost
- Hardware purchase
- Training cost
- Maintenance cost
- Security cost
- Reduced manual work
- Faster operations
- Lower long-term cost
- Higher productivity
- Better customer service
- Increased revenue
If a system costs ₹10 lakh but is expected to save the organisation ₹30 lakh over a reasonable period, the project may be economically feasible.
3. Operational Feasibility
Operational feasibility checks whether the proposed system will actually work inside the organisation and whether users are willing and able to use it.
It answers: “Will this system work properly in the real organisation?”
A hospital introduces a new digital patient management system. Technically the system works perfectly, but doctors and staff find it too complicated and continue using paper records.
This shows an operational feasibility problem.
4. Legal Feasibility
Legal feasibility checks whether the proposed system follows applicable laws, regulations, contracts, licences and organisational policies.
It answers: “Can this system operate without creating legal problems?”
- Software licensing
- Data protection requirements
- Copyright rules
- Contracts
- Privacy requirements
- Industry regulations
- Terms of service
5. Schedule Feasibility
Schedule feasibility checks whether the software can be completed within the required deadline.
It answers: “Can we finish the project on time?”
A university wants a complete admission portal within only two weeks. The development team estimates that proper development, testing and deployment will require three months.
The project may therefore be technically possible but not schedule feasible under the current deadline.
TELOS Memory Trick
Whenever an exam asks you to write the types of feasibility, simply remember the word TELOS.
Feasibility Study Process
A feasibility study is normally performed before major development begins. The exact process may change between organisations, but the basic flow is similar.
Identify the Problem
First understand why the new software is required. The existing problem, business need or improvement opportunity should be clearly defined.
Understand Basic Requirements
Collect high-level information about what the proposed system needs to do, who will use it and what major resources may be required.
Identify Possible Solutions
There may be more than one way to solve the problem. The organisation can compare custom development, existing software, cloud solutions or modification of the current system.
Perform Technical Analysis
Check whether the required technology, infrastructure and technical knowledge are available.
Perform Cost-Benefit Analysis
Estimate development cost, operational cost, expected benefits and long-term value.
Check Operational and Legal Issues
Understand whether users can work with the system and whether the project follows relevant laws, licences and organisational rules.
Estimate the Schedule
Estimate how much time the project will require and compare it with the required deadline.
Identify Major Risks
Analyse important risks such as lack of skills, high cost, integration problems, security issues or unrealistic deadlines.
Prepare the Feasibility Report
The findings are documented so that management can understand the advantages, limitations, cost, risks and recommended solution.
Take the Final Decision
Based on the study, management may approve the project, reject it, modify it or postpone it.
Complete Feasibility Study Example
Example: College Online Examination System
Suppose a college wants to replace some manual examination activities with an online examination system.
Before starting development, the project team performs a feasibility study.
| Feasibility Type | Question | Example Analysis |
|---|---|---|
| Technical | Can the system be developed? | The college has computers, internet access, developers and cloud hosting support. |
| Economic | Can the college afford it? | Development cost is acceptable and the system may reduce repeated manual work. |
| Operational | Will users accept it? | Teachers and students can use the system after basic training. |
| Legal | Does it follow rules? | Student data, software licences and privacy requirements need to be handled properly. |
| Schedule | Can it be completed on time? | The team estimates four months, while six months are available. |
Based on this study, the college may decide that the project is feasible and approve development.
Feasibility Study Report
After completing the analysis, the findings are normally recorded in a feasibility report.
This report helps management decide whether the software project should continue.
A feasibility report may contain:
- Project background
- Problem description
- Project objectives
- Proposed solution
- Alternative solutions
- Technical feasibility
- Economic feasibility
- Operational feasibility
- Legal feasibility
- Schedule feasibility
- Major risks
- Estimated cost
- Expected benefits
- Final recommendation
Feasibility Study vs Requirement Analysis
Students sometimes confuse feasibility study with requirement analysis. Both are important, but their purpose is different.
| Basis | Feasibility Study | Requirement Analysis |
|---|---|---|
| Main Question | Should we build the system? | What should the system do? |
| Focus | Practical possibility of the project | Detailed user and system requirements |
| Major Areas | Technology, cost, operation, law and schedule | Functional and non-functional requirements |
| Result | Go, modify, postpone or reject decision | Detailed requirement specification |
Advantages of Feasibility Study
- Helps avoid unsuitable software projects.
- Reduces unnecessary investment.
- Identifies risks at an early stage.
- Improves project planning.
- Supports better management decisions.
- Helps estimate project cost.
- Helps estimate development time.
- Identifies technical limitations.
- Checks user acceptance.
- Compares alternative solutions.
Limitations of Feasibility Study
A feasibility study is useful, but it does not guarantee that a project will succeed.
- Early estimates may not always be accurate.
- Some future technical problems cannot be predicted.
- Cost estimates may change.
- User requirements may change later.
- Unexpected legal or organisational issues may appear.
- A poor feasibility study can lead to a wrong decision.
Common Mistakes Students Make
Mistake 1: Writing only cost analysis and calling it a complete feasibility study.
Economic feasibility is only one part of the complete study.
Mistake 2: Confusing technical feasibility with operational feasibility.
Technical feasibility checks whether the technology can support the project. Operational feasibility checks whether the system can work effectively with real users and the organisation.
Mistake 3: Forgetting schedule feasibility.
A project can be technically possible but still fail because the deadline is unrealistic.
Feasibility Study in SDLC
In the Software Development Life Cycle, feasibility analysis is generally performed during the early planning and investigation stage before large-scale development begins.
Exam-Oriented Answer
What is Feasibility Study?
A feasibility study is a preliminary investigation performed before software development to determine whether a proposed system is practical and possible to develop. It analyses technical, economic, legal, operational and schedule factors before management decides whether the project should continue.
5 Marks Question: Explain Types of Feasibility
The major types of feasibility can be remembered using TELOS:
- Technical Feasibility: Checks technology, hardware, software and technical skills.
- Economic Feasibility: Checks whether project benefits justify the cost.
- Legal Feasibility: Checks laws, licences, contracts and regulations.
- Operational Feasibility: Checks whether the system can operate successfully in the organisation.
- Schedule Feasibility: Checks whether the project can be completed within the required time.
10 Marks Question: Explain Feasibility Study with Process
For a long-answer question, write the definition first, then explain its importance, describe all TELOS feasibility types, draw the process diagram and finish with one practical example. This gives a complete answer instead of writing only definitions.
Quick Revision
- Feasibility means practical possibility.
- A feasibility study is performed before major software development begins.
- Its main purpose is to decide whether a project should proceed.
- TELOS is an easy way to remember the major feasibility types.
- T = Technical Feasibility.
- E = Economic Feasibility.
- L = Legal Feasibility.
- O = Operational Feasibility.
- S = Schedule Feasibility.
- The final output is generally a feasibility report and recommendation.
- A feasible project is practical in terms of technology, money, operation, law and time.
Frequently Asked Questions
What is feasibility study in software engineering?
It is an early study used to determine whether a proposed software project is practical, affordable and possible to develop successfully.
What are the five major types of feasibility?
The commonly used five types are technical, economic, legal, operational and schedule feasibility. They can be remembered using TELOS.
What is technical feasibility?
Technical feasibility checks whether the organisation has the technology, infrastructure and technical skills required to develop and operate the software.
What is economic feasibility?
Economic feasibility checks whether the expected benefits of a software project justify its development and operational cost.
What is operational feasibility?
Operational feasibility checks whether the software will work effectively in the organisation and whether users will be able and willing to use it.
Why is feasibility study important?
It helps organisations identify risks, estimate cost and time, evaluate available resources and avoid investing in unsuitable projects.
What is the result of a feasibility study?
The result is normally a feasibility report containing findings, risks, cost estimates and a recommendation to continue, modify, postpone or reject the proposed project.
Conclusion
A feasibility study is one of the most important early activities in software engineering because it helps an organisation decide whether a software idea is actually practical before major resources are committed.
Instead of starting development immediately, the organisation studies the technical, economic, legal, operational and schedule conditions of the project. This reduces unnecessary risk and gives management a clearer idea about cost, resources, deadlines and possible problems.
For exams, remember one simple word: TELOS. Once you remember Technical, Economic, Legal, Operational and Schedule feasibility, most questions from this topic become much easier.
