Published On:Sunday, 27 November 2011
Posted by Muhammad Atif Saeed
Feasibility Reports
Feasibility Reports |
In this lecture we will learn:
• Typical writing situation
• The questions readers ask most often
• Superstructure for feasibility reports
– Introduction
– Criteria
• Two ways of presenting criteria
• Importance of presenting criteria early
• Sources of your criteria
• Four common types of criteria
In this lecture we will learn:
– Method of obtaining facts
– Overview of alternatives
• Evaluation
– Choose carefully between the alternating and
divided patterns
– Dismiss obviously unsuitable alternatives
– Put your most important point first
In this lecture we will learn:
• Conclusions
• Recommendations
• Sample outlines
• Planning guide
• Sample feasibility reports
Typical Writing Situation:
• All feasibility reports share one essential characteristic: they are written to help decision-makers choose between two or more courses of action.
• Even when a feasibility report seems to focus primarily on one course of action, the readers are always considering a second course: to leave things the way they are.
Typical Writing Situation:
• An example of leaving things the way they are is to continue to use metal parts rather than plastic parts in the sailboats.
• In many situations, however, you readers will already have decided that some change is necessary and will be choosing between two or more alternatives to the status quo.
The Questions Readers Ask Most Often:
• As they think about the choice they must make, decision-makers ask many questions.
• From situation to situation, these basic questions remain the same.
• That’s what makes it possible for one superstructure to be useful across nearly the
full range of situations in which people prepare feasibility reports.
The Questions Readers Ask Most Often:
• Why is it important for us to consider these alternatives?
• Are your criteria reasonable and appropriate?
• Are our facts reliable?
• What are the important features of the alternatives?
The Questions Readers Ask Most
Often
• How do the alternatives tack up against your criteria?
• What overall conclusions do you draw about the alternatives?
• What do you think we should do?
Why is it important for us to consider these alternatives?
• Decision-makers ask this question because they want to know why they have to make any choice in the first place.
• Your readers may need a detailed explanation of a problem to appreciate the importance of considering alternative courses of action.
Why is it important for us to consider these alternatives?
• On the other hand, if the readers are familiar with the problem, they may see the importance of considering the alternatives if you simply remind them of the situation.
Are your criteria reasonable and appropriate?
• To help your readers choose between the alternative courses of action, you must evaluate the alternatives in terms of specific criteria.
• At work, people want these criteria to reflect the needs and aims of their organization.
Are your facts reliable?:
• Decision-makers want to be sure that your facts are reliable before they take any action
based on those facts.
What are the important features of the alternatives?
• So that they can understand your detailed discussion of the alternatives, readers want you to present an overview that highlights the key features of each alternative.
How do the alternatives stack up against your criteria?
• The heart of a feasibility study is your evaluation of the alternatives in terms of your criteria.
• Your readers want to know the results.
What overall conclusions do you
draw about the alternatives?
• Based upon your detailed evaluation of the alternatives, you will reach some general conclusion about the merits of each.
• Decision-makers need to know your conclusions because these overall judgments form the basis for decision-making.
What do you think we should do?
• In the end, your readers must choose one of the alternative courses of action.
• Because of your expertise on the subject, they want to help them by telling what you recommend.
Superstructure for Feasibility Reports
• To answer your readers’ questions about your feasibility studies, you can use a superstructure that has the following seven elements:
– Introduction
– Criteria
– Method of obtaining facts
Superstructure for Feasibility Reports
• Overview of alternatives
• Evaluation
• Conclusions
• Recommendations
Superstructure for Feasibility Reports
• Of course, you may combine the elements in many different ways, depending on your situation.
• For instance, you may integrate your conclusions into your evaluation, or you may omit a separate discussion of criteria if they need no special explanation.
Superstructure for Feasibility Reports
• But whether to include each of the seven elements, based upon your understanding of your purpose, audience, and situation.
• In the remaining part of this lecture, we will explain how you can develop each of the seven elements to create an effective feasibility report.
Introduction:
• In the introduction to a feasibility report you should answer your readers’ question, “Why is it important for us to consider these alternatives?”
• The most persuasive way to answer this question is to identify the problem your feasibility study will help your readers solve or the goal it will help them achieve.
Introduction:
• Be sure to identify a problem or goal that is significant from the point of view of your employer or client.
• Significant goals could include reducing the number of rejected parts, increasing your productivity, and so on.
Introduction:
• Consider, for example, the way Fawaz wrote the introduction of a feasibility report he prepared.
• A process engineer in a paper mill, Fawaz was asked to evaluate the feasibility of substituting one ingredient for another in the furnish for one of the papers it produces.
Introduction:
• At present we rely on the titanium dioxide in our furnish to provide thehigh brightness and opacity we desire in our paper. However… the price of titanium dioxide has been rising steadily and rapidly for several years. We now pay roughly $1400 per ton for titanium dioxide, or about 70 cents per pound.
problem
Introduction:
• Some mills are now replacing some of the titanium dioxide in their furnish with silicate extenders. Because the average price for silicate extenders is only $500 per ton, well under half the cost titanium dioxide, the savings are very great.
possible solution
Introduction:
• To determine whether we could enjoy a similar savings for our 30-pound book paper, I have studied the physical properties, material handling require-ments, and cost of two silicate extend-ers, Tri-Sil 606 and Zenolux 26 T.
What the writer did to investigate the possible solution
Introduction:
• Generally, the introduction to a long feasibility report (and most short ones) should also include a preview of the main conclusions and, perhaps, the major recommendations.
• Fawaz included his major conclusion:
Introduction:
• I conclude that one of the silicate extenders, Zenolux 26 T, looks promising enough to be tested in a mill run.
• As another example, consider the way Shazi wrote the introduction of a feasibility report she prepared for the board of directors of the bank that employs her….
Introduction:
• Ellen was asked to evaluate the feasibility of opening a new branch in a particular suburban community.
• She begins by announcing the topic of her report:
• This report discusses the feasibility of opening a branch office of Al-Shami Bank in Gulberg, Lahore.
Introduction:
• Then, after giving a sentence of background information about the source of the bank’s interest
in exploring this possibility, Shazi emphasized the importance of such a feasibility study:
• In the past, Al-Shami bank has approached the opening of new branches with great care, which is undoubtedly a major reason why it has become the most successful small, privately owned
financial institution in Gulberg.
Introduction
• Shazi also included her major conclusions:
• Overall, Gulberg offers an enticing opportunity, but would present Al-Shami Bank with some challenges it has not faced before.
Introduction:
• The introduction of a feasibility report is often combined with one or more of the other six elements, such as the description of the criteria, a discussion of the method of obtaining facts, or an overview of the alternatives.
• In addition, the opening of a feasibility report may also include various kinds of background, explanatory, and forecasting information.
Criteria:
• Criteria are the standards that you apply in a feasibility study to evaluate the alternative courses of action that you are considering.
• For instance, to assess the feasibility of opening the new branch office, Shazi uses many criteria.
Criteria:
• Those criteria may include
– The existence of a large enough market
– A good possibility of attracting depositors away from the competition
– The likelihood that profits on the deposits at the branch will exceed the expenses of operating it
– The reasonableness of the financial outlay required to open the office
Two Ways of Presenting Criteria:
• Devote a separate section to identifying and explaining them:Writers often do this in long reports or in reports where the criteria themselves require extended explanation.
• Integrate your presentation of them into other elements of the report: Fawaz did this in the following sentence from the third paragraph of his introduction.
Two Ways of Presenting Criteria:
• To determine whether we could enjoy a similar savings for our 30-pound book paper, I have studied the physical properties, material handling require-ments, and cost of two silicate extend-ers, Tri-Sil 606 and Zenolux 26 T.
Criteria named
Two Ways of Presenting Criteria:
• For each of the general criteria named in the quoted sentence, Fawaz had some more specific criteria.
• For instance, at the beginning of his discussion of the physical properties of the two extenders, he named the three properties he evaluated.
Importance of Presenting Criteria:
• There are three good reasons for presenting your criteria early in your report:
• First, your readers know that the validity of your conclusions depends on the criteria you use to evaluate the alternatives, and they want to evaluate the criteriathemselves.
• Second, your discussion of the criteria tells your readers a great deal about the scope of
your study.
• Third, your decision of the alternative courses of action will make much more sense to your readers if they know in advance the criteria of their evaluation.
Sources of Your Criteria:
• Often the person who asks you to undertake a study will simply tell you what criteria to apply.
• In other situations, your readers may expect you to identify the relevant criteria for them based on technical knowledge that you possess.
Four Common Types of Criteria:
• As you develop your criteria, you may find it helpful to know that at work, criteria often
address one or more of the following questions:
– Will the course of action really do what’s
wanted?
– Can we implement it?
– Can we afford it?
– Is it desirable?
Methods of Obtaining Facts:
• When you tell how you obtained your facts, you answer your readers’ question, “Are your facts reliable?”
• That is, by showing that you used reliable, you assure your readers that your facts form a sound basis for your decision-making.
Method of Obtaining Facts:
• The source of your facts will depend upon the
nature of your study:
– research
– Calls to manufacturers
– Interviews
– Meetings with other experts in your organization
– Surveys
– Laboratory research
Method of Obtaining Facts:
• The amount of detail you need to supply depends upon your readers and situation, but in each case your goal is to say enough to satisfy your readers that your information is trustworthy.
• For example, Shazi used some fairly technical procedures to estimate the amount of deposits that Al-Shami Bank could expect from a new branch in Gulberg, Lahore.
Method of Obtaining Facts:
• Deciding where describe your methods depends on how many different techniques you used.
• If you used one or two techniques, you could describe each in a paragraph or section, but if you
used several techniques, each pertaining to a different part of your analysis, you might mention
each of them at the point at which you discuss the results obtained.
Overview of Alternatives:
• Before you begin your detailed evaluation of the alternatives, you must be ure that your readers understand what the
alternatives are.
• Sometimes you need to devote only a few words to that task
Overview of Alternatives:
• For example, imagine that you worked for a chain of convenience stores that has asked you to
investigate the feasibility of increasing starting salaries for store managers as a way of attracting
stronger applications for job openings.
• Surely, your readers will not require any special explanation to understand the course of action you are assessing.
Overview of Alternatives:
• However, you may sometimes need to provide extensive background information or otherwise
explain the alternative to your readers.
• For example, when Jahangir needed to report on a feasibility of replacing his employer’s company-owned building- wide telephone system, he helped his readers piece together the more detailed comments he later made in his point-by-point evaluation of the systems.
Evaluation:
• The heart of a feasibility report is the detailed evaluation of the course or courses of action you studied.
• In most feasibility studies, writers organize their evaluation sections around their criteria.
Evaluation:
• For example, in her study of the feasibility of opening a new branch office of a bank, Shazi devoted one section to the size of the market, another to the competition, a third to prospective income and expenses, and so on.
Conclusions:
• Your conclusions are your overall assessment of the feasibility of the courses of action you studied.
• You might present your conclusions in two or three places in your report.
• You should certainly mention them in summary form near the beginning.
Recommendations:
• It is customary to end a feasibility report by answering the decision-maker’s question “What
do you think we should do?”
• Sometimes your recommendations will pertain directly to the course of action you studied: “Do
this” or “Don’t do it”
• You may also discover that you were unable to gather all the information you needed to make a
firm recommendation.
Do this:
• Page 591 till 595
In this lecture we learnt:
• Typical writing situation
• The questions readers ask most often
• Superstructure for feasibility reports
– Introduction
– Criteria
• Two ways of presenting criteria
• Importance of presenting criteria early
• Sources of your criteria
• Four common types of criteria
In this lecture we learnt:
– Method of obtaining facts
– Overview of alternatives
• Evaluation
– Choose carefully between the alternating and
divided patterns
– Dismiss obviously unsuitable alternatives
– Put your most important point first
In this lecture we learnt:
• Conclusions
• Recommendations
• Sample outlines
• Planning guide
• Sample feasibility reports
