AAP114 6F

UNIVERSITI TEKNOLOGI MARA

PERAK DARUL RIDZUAN

ASSIGNMENT 3
SEMESTER MARCH – JULY 2020

COURSE : CONSTRUCTION ECONOMICS III

COURSE CODE : DQS 356
DATE OF ISSUE : WEEK 12
DATE OF SUBMISSION : WEEK 12
PREPARED FOR : EN. RAJA MOHD AIZAT AKHMAL BIN RAJA
MOHD ROZUAN

TITLE: INTRODUCTION OF FEASIBILITY STUDY

NAME: ILLYA AMYRA BINTI NORDIN
MATRIC NO. : 2017202148
INTRODUCTION OF FEASIBILITY STUDY

In the construction industry, a feasibility study is a preliminary study undertaken

in the early stages of a project before starting a construction project. Therefore, it is
tend to be carried out when a project is large or complex or when there is some doubt
or controversy regarding the proposed project. The main objective of the feasibility
study is to study whether the proposed project is viable to proceed or not. This study is
also used to determine the viability of an idea whether the project is technically and
financially feasible. Moreover, this study acts as one of the evaluation techniques that
help in decision making. For example, the main criteria that usually influences a
decision is finance like return on investment.

Next, feasibility study is a very important stage before we begin the construction
project. Conducting a feasibility study is always helpful for a project because it helps
give you and other stakeholders a clear idea of the proposed project. Hence, there are
many reason to do feasibility study such as it can improves project teams’ focus. By
conducting a feasibility study, all the relevant factors and requirements such as site
condition have been reviewed in detail. Thus, it will facilitates and enhances the focus
of the project team. This is because they already know and understand the situation on
the construction site clearly. This also can reduce the problems that may occur on the
construction site.

Other than that, during the process of feasibility study, we can also identifies the
reasons for not proceed the proposed project. For example, where the client wanted to
use the foundation pad footing to build the building on the site, but the results of the
feasibility studies indicated that the land area was unsuitable and suggested using a
piling instead of pad footing to strengthen the building. Thus, it proves that this study
also helps to prevent unwanted things from happening on the building in the future.

In addition, the feasibility study can also improve success rates by evaluating
multiple parameters such as government, construction authorities and many more
experienced parties. This works by conducting a survey of the above parties on what
buildings they thinks are appropriate to be built on the site in order to increase the
value of the building. This is because the parties above have a sufficient ideas and
experience in the construction industry.
 Furthermore, there are also many consequences of not conducting a feasibility
study in a project. Without a feasibility study, the end product of a project will be in a
low quality. Thus, the project will be less responsive and less profitable. This is due to
the lack of sufficient ideas from an experienced parties through the feasibility study.
However, this is also because they do not know the details of the project and the
circumstances of the site during the construction due to no feasibility study conducted.

Besides, without conducting a feasibility study, we cannot predict with what will
happen in the future at the construction site. As an example, injury to workers due to
negligence at construction sites, shortage of supply, and other unexpected thing that
may be occur during construction. This is because they cannot properly plan what will
happen on the site because they do not know the situation on the site clearly.

Last but not least, all of the above have proven that feasibility study is important
to practice before starting a construction project. Without a feasibility study, the
process of the construction would not have been smooth and would have been risky.
Therefore, we can also avoid unwanted events while increasing the success rate for
the construction of a project.