Retail case study: Feasibility studies for EDP;

              The computer Feasibility Study is essential to managers for making sound decisions. We must be proficient in its use
to fulfill our role as business advisors and consultants. Studies can become increasingly complex as technology expands
and applications broaden. This article restates fundamentals and suggests a workable approach in non-technical terms.
While the example used is a department store, the method is applicable to any industry.
A RETAIL CASE STUDY
Feasibility Studies for EDP
by William D. Power
William D. Power has been associated in a con­sulting
capacity with the retail industry for
the past eleven years. Admitted as principal
in the firm September 1, 1965 he is director
of retail services.
Mr. Power has written and lectured extensively
for retail groups, most notably in connection
with the activities of the National Retail Mer­chants'
Association. He is a member of the
Electronics Committee of the Retail Research
Institute of NRMA and chairman of the Man­ufacturers
Liaison Subcommittee of the group
which deals with developments in electronic
systems for the retail industry. He is also a
charter member of the Retail Research Society
and an editor of its bi-monthly publication.
Mr. Power majored in economics at the Uni­versity
of Oklahoma Business School from
which he received a BBA degree cum laude.
He is a member of Beta Gamma Sigma.
Introduction
In the early days of electronic data processing — only a
few years ago really — we heard and read a great deal
about the feasibility study. Nowadays we hear consider­ably
less. This does not mean that its importance has dimin­ished
in any respect; nor does it mean that a good feasi­bility
study is any easier to perform than it ever was —
The author wishes to express his appreciation to J. J. Miller,
Manager of Information Services, Broadway Department Stores,
Los Angeles (formerly of TRB&S), for his technical assistance.
particularly for those who are dealing with computers
for the first time. The opposite is probably true, and
perhaps it is good to start with a cautionary note. Because
the consequences of the feasibility study will have a
significant and lasting effect, the time and effort spent
in making a comprehensive study will be rewarded many
times over.
Before a computer-based system can be installed effec­tively,
there are three major aspects of feasibility which
must be determined:
8 THE QUARTERLY