This course aims to provide participants with the competencies required to prepare, analyze, and evaluate feasibility studies. The course involves building a feasibility study financial model using hands-on training in Microsoft Excel. The course also aims to enable participants to appraise service and industrial investments using different capital budgeting techniques and analyze the related financial parameters. This course aims
Course Methodology
The course uses interactive techniques, such as brief presentations by the consultant and the participants, group exercises, and case studies. The course also includes building a feasibility study model using Microsoft Excel software.
Course Objectives
By the end of the course, participants will be able to:
Explain feasibility study components, objectives, and cycle
Identify the crucial elements in a feasibility study
Build a feasibility study financial model using Microsoft Excel
Apply different investment appraisal methods and analyze financial parameters
Analyze the feasibility study and find its merits and shortcomings
Target Audience
Project sponsors, senior management, functional managers, project managers, and individuals involved in preparing, writing, and analyzing feasibility studies. This course is worth 30 Professional Development Units (PDUs).
Target Competencies
Planning
Analyzing data
Evaluating options
Thinking proactively
Managing scenarios
Cognitive ability
Note
This is a hands-on training course using laptops, which Plus will make available for the duration of the course. For courses outside the UAE, participants must bring their laptops with a fully working version of Microsoft Excel 2016 or newer.
Plus is assigned as a Registered Educational Provider (R.E.P.) with the Project Management Institute (PMI®).
This course is worth 30 PDUs.
Course Outline
Introduction and Definitions
Definitions of 'feasibility study'
Objectives of a feasibility study
Feasibility study versus business plan
Feasibility study cycle
Preparation steps for a feasibility study
Feasibility Study Elements
Report elements of the feasibility study
Executive summary
Outline of the feasibility study
Marketing feasibility
Market research and analysis
Market research data types
Sales projection analysis
Technical feasibility
Critical technical questions
Supply feasibility
Operational feasibility
Financial feasibility
Project costs
Indirect costs
Ongoing costs
Feasibility Study Financial Model using Microsoft Excel
Building the financial model of the feasibility study
Weighted Average Cost of Capital (WACC)
Cost of equity using the Capital Asset Pricing Model (CAPM)
Unlevered Free Cash Flow (UFCF)
Terminal value of the project
Preparing sensitivity tables
Creating different scenario analyses
Appraisal and Analysis of the Feasibility Study
Financial analysis parameters
Liquidity ratios
Operating ratios
Financial leverage ratios
Security ratios
Profitability ratios
Investment appraisal analysis
Quantity and sales Breakeven Points (BEP)
Payback Period (PP)
Net Present Value (NPV)
Internal Rate of Return (IRR)
Profitability Index (PI)
Evaluation and Implementation of the Feasibility Study
Internal recommendations and conclusions
Evaluating feasibility studies
Common mistakes in using the feasibility study results