UIDP Survey | Use of Commercial Feasibility Reports to Justify Research Funding
Some companies require a commercial feasibility report prior to a new R&D project. UIDP was interested in learning about industry best practices for when and how to use these reports. Download the survey report.
In a survey fielded to industry prime representatives May 20 to June 15, 2020, UIDP found that a majority of respondents (58%) said they use a commercial feasibility report to justify funding proposed projects.
The majority require them for every proposed research project (no financial threshold indicated). One participant indicated the threshold for requiring a feasibility report is for projects requesting a minimum of $50,000.
Under the “other, please specify” option, one participant said that, while the feasibility report (or a business case) is a powerful factor, it is not the sole determinant for project selection. Another participant said It depends on the strategic business unit involved in the R&D project, but generally a report is required for all projects unless they’re exploratory in nature.