What is feasibility studies on construction project?

I am a principal with an international consulting firm that provides economic, financial, and engineering analyses for clients considering the implementation of multi-billion dollar infrastructure and industrial projects across the globe. Our team consists of 20 PhDs and 5 MBAs. Thus, consider my response for what it is worth...

Feasibility studies are necessary studies that are conducted prior to implementation of a project. The operative Word in "feasibility study" is "feasibility," though most people seem to overlook that basic concept.

In general, a feasibility study will address whether a project should be implemented. The study is but one of many options that should be considered by owners in the decision analysis stage of a project.

A feasibility study usually includes components such as an impact analysis, regulatory analysis, technical/engineering analysis, risk analysis, economic analysis, financial analysis, and financial mechanism analysis. Our studies require a high level of mathematical understanding in economics, fiance, and engineering.

Most companies that offer to complete feasibility studies are simply not qualified to perform these studies, but many firms offer to take advantage of you, if you allow them. Studies such as that I have described herein require the competencies of engineers, Accountants, and financial experts working collectively as a team to complete the study. A single person is usually not qualified to complete all sections of a study alone.

In the end, the purpose of a feasibility study is simply to determine the feasibility of implementing a project.