Software Feasibility Study: Questions To Ask When Determining If It’s Time To Upgrade or Modernize!

When updating or building new software, it is important to clearly define the list of expected features and functionalities, along with the project boundaries, to ensure that the software development meets specific operational needs while staying within scope and budget. Here’s a sample outline. In this example we look at what a manufacturing or transportation company may ask of their feasibility study:

By defining these features and boundaries, the project team can focus on delivering a software solution that enhances the shipping and tracking operations specifically tailored to the needs of the manufacturing company, while avoiding scope creep and managing stakeholder expectations effectively. This approach ensures that the project remains manageable, within budget, and on schedule.

When preparing a software feasibility study for presentation to stakeholders, a comparison table that details the existing software versus proposed new features or improvements can be extremely effective. Here’s an example of such a comparison table, designed to showcase the enhancements and justifications for upgrading or replacing the existing system:

The sample table illustrated above succinctly presents the enhancements that the proposed software offers over the existing system, underlining the benefits and reasons behind each feature upgrade. This format helps stakeholders quickly understand the value addition from the new software and supports decision-making processes with clear, actionable insights.

Creating a technology checklist for a software feasibility study involves assessing various technical aspects that are crucial for the successful implementation and operation of the software project. Below is an example of what such a checklist might look like:

The sample checklist above provides a structured approach to evaluating the technical readiness and requirements for a software project. By thoroughly assessing each item, decision-makers can determine the feasibility of the project from a technological standpoint and identify any potential gaps or challenges that need addressing before proceeding.

Below is an example of a market analysis report tailored for stakeholders interested in the feasibility study for updating financial accounting software. This analysis aims to evaluate the market’s current state, customer needs, competitive environment, and growth opportunities for an updated financial accounting system targeted primarily at small and medium-sized enterprises (SMEs).

Although an example, this market analysis report aims to provide stakeholders with a thorough understanding of the market landscape for financial accounting software, facilitating informed decision-making regarding the feasibility and potential of updating the existing software product.

The following graphs and tables provide a clear and concise way to present crucial data to stakeholders, aiding in decision-making for the software project.

Market Size and Growth Projections:
This graph shows the projected growth of the market size over the next five years, indicating an increasing trend which suggests a growing opportunity for the software.

Cost Breakdown for Software Project:
The bar chart details the distribution of costs across different categories such as Development, Marketing, Support, Infrastructure, and Licensing. This visualization helps in understanding where the major expenditures will occur.

ROI Analysis Over Time:
The ROI analysis graph displays the return on investment over the years, starting from a negative return initially as the investment outweighs returns, progressing to a positive ROI as the returns on the project grow. This helps in evaluating the financial viability of the project over time.

A compliance checklist is essential in a software feasibility study to ensure that the software meets all relevant legal, regulatory, and standard requirements. Below is an example of a compliance checklist that could be used during the feasibility study for a software project, particularly one that may handle sensitive data or operate in a regulated industry:

This checklist provides a comprehensive framework to ensure that the software project adheres to all necessary compliance requirements, thereby reducing legal risks and enhancing trustworthiness. It is crucial for businesses to tailor the checklist to their specific operational and industry needs, adding or modifying items based on the legal and regulatory environment pertinent to their operations.

Below is a detailed example of a risk assessment matrix designed for a software feasibility study focused on software modernization or a new software project. This matrix includes an array of potential risks categorized by technical, market, financial, and operational factors, along with their potential impact, likelihood of occurrence, and strategies for mitigation.

This matrix helps project managers and stakeholders understand the specific vulnerabilities of a software project and provides a structured approach to preemptively tackle these issues. By preparing for these risks, a project is more likely to stay on track and achieve its objectives efficiently and effectively.

The first figure is an example of a Budget Allocation Graph for a software feasibility study. The pie chart divides the budget into different categories: Development, Testing, Infrastructure, Training, Legal Compliance, and Marketing. This visual representation helps stakeholders quickly understand how the budget is planned to be distributed among various necessary components of the project.

The next example is of a Gantt Chart for a software project timeline. It visually represents the various phases of the project, such as Requirement Analysis, Design Phase, Development Phase, Testing Phase, Deployment, and Post-Deployment Review, along with their respective durations. This type of chart is particularly useful for tracking project progress and ensuring that milestones are met on schedule.

These tools are indispensable in project management as they help in planning, monitoring, and communicating the project’s financial and temporal aspects effectively.

Included below is an example of a summary table for a software feasibility analysis. This table outlines the key findings from a hypothetical software feasibility study, indicating whether the project is technically and financially viable, and highlighting major challenges, benefits, and critical decision points.

This summary table serves as a concise and effective tool for stakeholders to review the comprehensive analysis of a software project’s feasibility, enabling informed decision-making about whether to proceed with the project. Each decision point is directly derived from the analysis, ensuring that any action taken is based on solid, researched information.

Creating a compelling summary for a stakeholder presentation on a software feasibility study involves highlighting the most critical points that will aid in decision-making. Here’s an example of how such a summary might be structured, focusing on key findings, benefits, challenges, and decision points:

This sample summary effectively communicates the essence of the feasibility study, providing stakeholders with the information they need to make informed decisions about the project. It clearly outlines what needs to be considered, the benefits of the project, and any risks involved, thereby setting the stage for fruitful discussions and decisions.