You definitly CAN do that upgrade in house. The peoplsoft delivered processes should work without much issue unless you have significantly modified/ customized delivered functionality.
My most recent eval and test upgrade from 7.5x to 8.1 went well.
James Vail
jvail@selectconcepts.com
The upgrade documentation is available from Customer Connection. There are more than 11 steps if you are counting all effort required.
The second part of your question does not make sense to me.
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