Project Closure Report

Project Closure Report

Table of Contents
Section 1.....................................................................................................................................3
Section 2.....................................................................................................................................5
Section 3.....................................................................................................................................9
References................................................................................................................................13

Section 1
Project Overview- The Downtown Project was started in 2012 planned to be completed
within 5 years. Zappos CEO Tony Hsieh is the founder of the DTP project. The projects of
Downtown Las Vegas Nevada focused on transforming a part of Las Vegas in a vibrant
community full of opportunities related to employment for young professionals. Previously,
Downtown was full of bankruptcy, foreclosure and unemployment. The baseline cost
allocated to the Downtown project was $350 million obtained from personal capital of sale of
Amazon in 2009. The project focused on providing detailed information related to DTP,
which was considered as a revitalizing project with investments in real estate, small
businesses, start-up, technology, education, art, culture, and healthcare.
Project Performance Summary- The project is not yet completed because of inappropriate
estimation of time for such a huge project. The project was associated with number of risks
which involved cost risks, design risks and schedule risks. DTP Las Vegas is a failed project
based on Triple constraints i.e. Time, Cost and Scope. The project has exceeded both costs
and time of completion. Few of the various reasons behind failure of project are business
shattering, layoffs and shuttering of businesses. The DTP project aimed at achieving Utopian
vision but there was lack of expertise and enough resources. DTP selected an inappropriate
location for community development program as Nevada is a poor city with people having
conservative perception along with community facing unemployment, bankruptcy, poverty
and crime. All these issues resulted in failure of project. The project is a complete failure
from the perspective of project sponsor as well as project manager. From the perspective of
project sponsor, lack of enough time for a project to start from scratch, lack of resources
leading to delay in operations and in overall project delay. The scope of the project should
have reduced if the project was to be completed on time estimated for its completion. The
issues such as employees lay off and negative perception of locals for DTP project also

resulted in failure of project. From the perspective of project manager also, the DTP project
was a failed project on all the three important measures which is time, cost and scope. The
delay in scheduling of activities and ineffective allocation of projects led to the failure of
project. The time allotted for completion of project that included development of shopping
mall, fire capital, shipping container capital along with HealthCare facility, stores etc in an
undeveloped region required a long time period. The investments were also not enough
leading to failure of project. Lack of effective utilization of resources resulted in non-
addressal of the quality issues involved with project. The estimated cost for completion of
project was $350 million but it rose to $500 million due to lay offs and lack of affordable
housing projects. The scope of project has not been defined effectively as it was wide that
included development of various aspects. So, project sponsor and project manager would not
have taken this project considering all these aspects.
Cost- The costs of the project was estimated to be completed in $350 million but the actual
cost increased to $500 million but the project is still not yet completed. The costs exceeded
because of the wider scope of the project that included buildings, parks, schools, malls and all
other facilities for community development. Furthermore, the community has already been
less developed, and the people are uneducated and unemployed. The development of a
vibrant community required huge investment for starting the construction process from
scratch. The costs exceeded with increasing time in the completion of the project because
more resources are required to be purchased. All these aspects led to the increase in costs of
the project. The sponsors would not have considered it to be a profitable project if prior
planning would have been conducted.
Scope- The scope of the project has been wide that led to increase in costs of project and
increase in time of the project. The project has been an entire failure because it involved wide
scope including real estate, construction, art and culture. The project with such a large scope