American Journal of Business Management, Economics and Banking
American Journal of Business Management, Economics, and Banking is a peer-reviewed international, open-access journal. This journal publishes articles in Economics, Business Management, Banking, and Accounting. Authors can submit original research for the double-blind peer-reviewed journal. ISSN (E): 2832-8078 JIF 2024: 8.960
THE IMPACT OF IMPROVING TAX POLICY ON STATE BUDGET REVENUES
This article presents a comprehensive and detailed analysis of the impact of tax policy changes on state budget revenues. The study investigates recent tax reforms, adjustments in tax rates, improvements in incentive systems, and the digitalization of tax administration, and examines how these measures have influenced the formation, growth dynamics, and stability of budget revenues. The research highlights the role of tax policy in promoting economic growth, ensuring fiscal sustainability, and improving public financial management efficiency. It also addresses measures for reducing the shadow economy, expanding the tax base, and optimizing revenue collection. Based on analytical findings, practical recommendations are developed to enhance the effectiveness of fiscal policy, increase state budget revenues, and strengthen economic stability. The results provide both scientific and applied value, offering guidance for future improvements in national fiscal strategies and sustainable economic development.
Tax policy, state budget, budget revenues, fiscal policy, economic stability, tax reforms, tax rates, tax incentives, tax administration, digitalization, shadow economy, public finance, economic growth, fiscal sustainability, tax base, fiscal management, financial governance, budget optimization.
Copyright (c) 2025 https://creativecommons.org/licenses/by-nc/4.0
THE IMPACT OF REDUCING THE STATE'S SHARE IN THE ECONOMY ON WELFARE
This article analyzes the impact of reducing the state’s share in the economy on public welfare from both theoretical and practical perspectives. Based on scientific sources, it examines how a decrease in government participation can activate market mechanisms, improve the competitive environment, stimulate private sector development, and enhance the efficient use of resources. At the same time, the article discusses the potential risks of rapid and uncontrolled reduction of the state’s role, including increased social inequality, unemployment, and challenges in strategic sectors. The findings emphasize the necessity of a gradual and balanced approach to optimizing the state’s share in the economy.
State share, privatization, market economy, public welfare, competition, economic efficiency, social stability, institutional reforms
PRACTICE OF LIABILITY MANAGEMENT IN COMMERCIAL BANKS BY ENSURING DEPOSITS STABILITY
Deposits account for a significant share of commercial banks' liabilities. Specifically, according to the Republic of Uzbekistan, as of November 1, 2025, the total liabilities of all commercial banks in the Republic amounted to 745,616.0 billion soums, of which deposits accounted for 377,565.0 billion soums, or 50.6 percent. This requires, first and foremost, ensuring deposit stability in commercial banks' liability management. This article determines the share of deposits in the loan portfolio structure of commercial banks in the Republic, their optimal size, and the challenges associated with banks' lending operations. Research proposals aimed at addressing these challenges are developed.
Commercial bank, loan, deposit, problem loan, interest, bank liabilities, liquidity, loan portfolio, deposit portfolio, investment, security, income.
HOW NEW MARKETING STRATEGIES APPLIED BY FAST-FOOD RESTAURANTS IN TASHKENT AFFECT GEN-Z’S PERCEPTION OF THE BRAND
Fast-food consumption in Tashkent has increased rapidly in recent years, leading to stronger competition among both local and international fast-food brands. As a result, restaurants have started to rely more on modern marketing strategies such as social media advertising, influencer promotions, and discount-based campaigns to attract young consumers. This study examines how these marketing strategies affect Gen-Z’s perception of fast-food brands and their purchasing decisions in Tashkent. The research is based on a quantitative survey conducted among 100 respondents aged 16–25. The findings show that the most popular fast-food restaurants are “Evos” (35%), “KFC” (21%), “Max Way” (14%), and “Oq Tepa Lavash” (10%), with an average spending of approximately 65,000 UZS per visit. The results indicate that promotions and discounts have the strongest influence on brand choice, followed by location convenience and brand reputation. While social media and influencer marketing increase brand awareness, they do not significantly affect purchasing frequency in the short term. Overall, the study suggests that Gen-Z consumers in Tashkent remain highly price-sensitive and tend to make rational, value-oriented decisions when choosing fast-food brands.
IDENTIFICATION AND ANALYSIS OF TAX RISKS THROUGH TAXPAYER SEGMENTATION
This article analyzes theoretical and practical approaches to identifying and managing tax risks through segmentation of taxpayers' activities. It is argued that the financial activities of any business entity are closely related to various risk factors and that it is necessary to form an effective risk management system to reduce the negative consequences of these risks. The study examines in detail the nature of tax risks, the factors that cause them, and the mechanisms for managing them. It is noted that the current tax risk management system is not sufficiently developed, which creates the need for institutional development and training of qualified specialists in this area. It also the risk effective management instrument as tax payers’ activity segmentation main stages illuminating is given.
Tax risks; tax risk assessment; tax relations; tax policy; taxpayer segmentation.
PROSPECTS FOR ENHANCING INCLUSIVE ECONOMIC ACTIVITY THROUGH MODERN TECHNOLOGIES
This article discusses the role and prospects of modern technologies in enhancing the economic activity of visually impaired individuals. In today’s digital era, technologies are considered a key tool for increasing production capacity, improving efficiency, and optimizing time and costs. For visually impaired entrepreneurs, mobile applications, online platforms, cloud technologies, artificial intelligence, and big data are examined as effective approaches to overcoming barriers to economic participation. The article also highlights the importance of technologies in information security, employee productivity, and monitoring economic processes. Furthermore, measures aimed at expanding the economic and social opportunities of visually impaired people, including reforms being implemented in the Republic of Uzbekistan, are analyzed.
International cooperation, smart glasses, Braille alphabet, artificial intelligence, smart cane, adaptive beacons.
IMPACT OF COMMERCIAL BANKS' CREDIT OPERATIONS ON BANK LIQUIDITY
Lending is the primary activity of commercial banks. As of November 1, 2025, the share of loans in total assets of commercial banks in the Republic of Uzbekistan amounted to 67.6 percentage points. This article examines the types of loans and theoretical approaches to ensuring bank liquidity amid the ongoing expansion of lending. Existing problems in the industry are identified and solutions are proposed.
commercial bank, business entity, credit, liquidity, asset, bank liabilities, deposit, microloan, interest, income, expense.
MODERN DEVELOPMENT TRENDS OF THE GREEN ECONOMY CONCEPT AND ITS ROLE IN THE GLOBAL ECONOMY
The article provides a comprehensive analysis of the formation of the concept of a green economy, its modern development trends and its role in the global economy. The research study examines economic mechanisms aimed at ensuring sustainable development, efficient use of resources, prevention of climate change and environmental safety. It also highlights the impact of green technologies, renewable energy sources, carbon emission reduction policies in developed and developing countries, and the impact of “green” investments on global economic growth.
Green economy, sustainable development, environmental safety, renewable energy, green investments, climate change, efficient use of resources, carbon emissions, global economy, green technologies.
MODERN METHODS OF ASSESSING THE RISKS OF INSURANCE ORGANIZATIONS
This article presents the results of a study on the existing risks in the activities of insurance organizations, the main purpose of risk assessment, assessment invaders, as well as on the foreign methodology for choosing modern methods of assessment, which are used in determining and eliminating risk. Including statistical and expert methods of risk assessment in insurance, risk-free (risk-free) as part of the financial stability loss Risk Assessment Scale, accepted risk, critical risk, catastrophic risk zones, international risk assessment methods risk analysis, stress-test, event tree, Monte Carlo, theoretical opinions and considerations about The Baes trust network are formulated. A comparative analysis of assessment methods was carried out and practical recommendations for their application were formulated. At the same time, in international practice, detailed information about the new stress-testing method of risk assessment, one-variable and multifactorial factors of the method and one-factor and multi-factor models, advantages and disadvantages of the method are presented.
Risk, risk assessment method, risk management, critical-risk zone, stress-testing, Bayes trust network, tariff policy, financial stability scale, one-factor model.
CLUSTER DEVELOPMENT IN UZBEKISTAN’S ECONOMY: PRODUCTION VOLUME, INVESTMENT FLOWS, AND EXPORT DYNAMICS (2022–2024)
This article analyzes the formation and development of the clustering process in the economy of Uzbekistan. Although the cluster system is relatively new, it plays an important role in attracting investments, expanding production volumes, and increasing export potential. The purpose of the study is to study the dynamics of production, investment, and export indicators of clusters. Statistics for 2022-2024 showed that cluster production volumes are growing steadily, investments are modernizing infrastructure, and export indicators are increasing competitiveness in international markets. The results confirm the formation of the cluster system as a modern production model in the economy of Uzbekistan.
Clustering, production volume, investment flows, export potential, innovative technologies, competitiveness, modernization, economic efficiency, national economy
DEVELOPING THE USE OF DIGITAL TECHNOLOGIES IN ANALYZING THE ACTIVITIES OF COMMERCIAL BANKS
The article provides an in-depth examination of the application of digital technologies in analyzing the activities of commercial banks in Uzbekistan, their impact on efficiency, and their role in improving service quality. In recent years, digital transformation processes in the national banking system have accelerated sharply, leading to a significant increase in the share of remote services. According to data from the Central Bank, between 2018 and 2023 the number of electronic transactions increased 12-fold and their value grew 9-fold, clearly demonstrating the rapid development of digital services. The study analyzes statistics from 2020–2024, current regulatory and legal documents, as well as innovative solutions used in commercial banks such as HumoPay, QR-Online, remote identification, and artificial intelligence modules. Empirical analyses confirm that increasing the level of digitalization in banking operations has a direct positive effect on service speed, the reduction of operational costs, and the growth in the number of customers.
Digital transformation, banking technologies, remote services, Humo Pay, QR-online, fintech, artificial intelligence, digital economy, banking operations, transactions, electronic payments.
ENSURING INFORMATION SECURITY WITHIN THE BANK MANAGEMENT SYSTEM: KEY STRATEGIC APPROACHES
The rapid digital transformation of the banking system of the Republic of Uzbekistan, conditioned by the systemic introduction of innovative information and communication technologies and supported by state strategies, has created a secure, efficient, and modern national payment infrastructure. However, while this kind of transformation increases the efficiency, transparency, and competitiveness of financial operations, it has also given a boost to the demand for relevant advanced information security measures. Ensuring the reliability, integrity, and confidentiality of banking data can be reached only via proactive, multilevel approaches that integrate technological innovations, robust cybersecurity frameworks, and effective management of digital risks, which in turn will let the banking sector provide safe, convenient, and high-quality remote financial services both to domestic and international users.
Digital banking, national payment system, information and communication technologies, electronic payments, remote banking services, information security, cybersecurity, electronic digital signature, banking infrastructure, and protection of financial data.
IMPROVING THE MECHANISM FOR MANAGING FINANCIAL RESOURCES OF LOCAL BUDGETS TO PROMOTE SOCIO-ECONOMIC DEVELOPMENT OF REGIONS IN UZBEKISTAN
This article examines the mechanisms for enhancing the financial independence of local budgets to promote socio-economic development in Uzbekistan’s regions. In particular, it analyzes the policy of transferring at least 50% of personal income tax revenues and full property and land tax revenues from large taxpayers to regional and city budgets. The study highlights the positive impact of these mechanisms on local fiscal independence, investment activity, entrepreneurship, and infrastructure development. Empirical modeling using panel regression and a before–after approach demonstrates the effectiveness of these fiscal policies in strengthening local financial capacity and fostering balanced regional development.
Local budgets, financial resources, personal income tax, property tax, land tax, fiscal policy, regional development, fiscal decentralization, economic incentives.
THE THEORETICAL AND METHODOLOGICAL FOUNDATIONS OF CASH ACCOUNTING
This expanded and enhanced article provides a deep scientific analysis of the theoretical, methodological, and practical foundations of cash accounting in modern enterprises. The study clarifies the conceptual essence of cash flows, evaluates the role of cash management in ensuring financial stability, and examines the integration of national standards with IFRS requirements, especially IAS 7. The methodological basis is significantly broadened to include theoretical–conceptual analysis, comparative assessment, regulatory evaluation, and digital transformation research. Particular emphasis is placed on the impact of ERP systems, AI-driven accounting tools, and cloud technologies on the accuracy, speed, and transparency of cash accounting. The results demonstrate that strong documentation, internal control, and automation are key factors strengthening payment discipline and minimizing accounting risks. The article also provides strategic recommendations for modernizing cash accounting systems in Uzbekistan, enhancing compliance with international standards, and improving financial decision-making. The study contributes to the advancement of accounting methodology by proposing more integrated and technology-oriented approaches to cash flow management.
Cash accounting; internal control; liquidity; solvency; accounting policy; cash flow measurement; IFRS; IAS 7; documentation; cash discipline; risk management; digital accounting; ERP systems; financial reporting; transparency.
APPLICATION PROCEDURE OF INTERNATIONAL FINANCIAL REPORTING STANDARDS IN BUSINESS ENTITIES
The main purpose of international standards in financial reporting is to bring the financial information of enterprises in different countries into a comparable, reliable, and transparent form. This article outlines the content of International Financial Reporting Standards (IFRS), the principles of their formation, and the mechanisms of their practical application. In addition, the views of domestic and foreign researchers on the topic are summarized, and relevant recommendations are provided.
Financial reporting, IFRS (International Financial Reporting Standards), investor confidence, small and medium-sized businesses, financial transparency.
QUANTITATIVE AND QUALITATIVE ANALYSIS OF ACCOUNTING INFORMATION IN ASSESSING THE FINANCIAL POSITION OF BUSINESS ENTITIES
This article analyzes the issues of assessing the financial stability of business entities. In particular, it highlights the importance of classifying assets according to their degree of liquidity and grouping liabilities based on maturity when determining solvency. Special emphasis is placed on the significance of properly structuring accounting information during the analysis process. Furthermore, it is scientifically substantiated that the presence of hard-to-liquidate resources within assets and the existence of short-term liabilities requiring prompt settlement may lead to misinterpretations, even in cases where the current solvency ratio indicates a relatively high value.
Solvency, liquidity, financial condition, accounting information, current assets, current liabilities.
ECONOMETRIC ANALYSIS OF THE IMPROVEMENT OF CREDIT SERVICES
The quality of credit services and the level of non-performing loans (NPLs) are key determinants of financial stability and banking sector soundness. This study analyzes the main factors influencing the volume of NPLs in the banking sector of Uzbekistan through advanced econometric modeling. Using monthly data from January 2020 to January 2025 obtained from the Central Bank of the Republic of Uzbekistan, we examine the impact of capital adequacy, term deposits, liquidity indicators, and other key variables on NPL dynamics. Pearson correlation analysis is applied to identify significant relationships, followed by multiple regression estimation. Diagnostic checks reveal the presence of autocorrelation and heteroskedasticity in the static model, which is addressed through dynamic modeling using ARMAX and ARIMA specifications. The ARMAX(1,1) model demonstrates that capital adequacy has a negative and statistically significant impact on NPLs, whereas term deposits and liquidity ratios exert positive effects. The final ARIMA(0,1,0) model provides a robust baseline for short-term forecasting, indicating an expected monthly increase of 300.27 units in NPL volume. The findings emphasize the importance of strengthening capital adequacy, managing liquidity prudently, and ensuring controlled deposit growth to mitigate credit risk and enhance the quality of credit services in Uzbekistan’s banking sector.
Non-performing loans (NPL); Credit risk; Banking sector; Econometric modeling; ARIMA; ARMAX; Capital adequacy; Term deposits; Liquidity ratio; Uzbekistan.
THE IMPACT OF THE INVESTMENT ENVIRONMENT ON ECONOMIC DEVELOPMENT
The article highlights the advantages of using investments in the development of the country’s economy, as well as approaches related to extended multifactor and risk-oriented investment, and issues related to indicators of investment activity at the enterprise level.
Investment, investment advantages, extended multifactor approach, risk, evaluation indicators.
DEVELOPMENT TRENDS IN ASSET OPERATIONS OF COMMERCIAL BANKS
This study examines the development trends of commercial banks’ active operations in Uzbekistan, with a particular focus on the role of the National Bank. The analysis highlights the growing importance of credit operations, investment activities, and interbank placements in shaping the structure of banking assets. Special attention is given to the strategic measures undertaken to enhance human capital, including the establishment of corporate academies and large-scale investments in staff training, which improve institutional efficiency and align banking practices with international standards.
Commercial banks, active operations, Uzbekistan, credit operations, investments, asset structure, financial stability, human capital, corporate academy, innovation, digital banking, IT systems, risk management, sustainable growth.
THE INFLUENCE OF DIGITAL COMMUNICATION ON THE GRAMMAR AND VOCABULARY OF THE MODERN RUSSIAN LANGUAGE
The article discusses the influence of digital communication on the formation of new lexical and grammatical models of the modern Russian language. The author analyzes the processes that occur as a result of the active use of instant messengers, social networks and network platforms. Special attention is paid to the phenomena of abbreviations, acronymization and hybridization of language units. The mechanisms of penetration of Internet jargon and Anglicisms into the everyday speech of native speakers are considered. grammatical structures, which manifests itself in the simplification of syntax and changes in the norms of the design of written speech. The role of the speed of information exchange as a factor influencing the economy of language resources is emphasized. Based on the analysis of digital discourses, new communicative strategies are identified, due to the specifics of virtual communication. The author shows that the digital environment is becoming an independent language space that forms its own norms and stylistic rules. The conclusion is made about the need for further study of the dynamics of Internet communication to understand the ways of development of the modern Russian language. It has been established that digital communication is beginning to have a systemic impact not only on vocabulary, but also on grammar. The paper emphasizes the importance of adapting linguistic analysis to the new conditions of language functioning.
Digital communication, Internet discourse, neologisms, Anglicisms, abbreviations, acronyms, network jargon, hybridization of vocabulary, transformation of grammar, simplification of syntax, language dynamics.
SMALL BUSINESS LENDING IS THE KEY TO THE COUNTRY'S DEVELOPMENT
Lending to small businesses and private entrepreneurship plays an important role in GDP growth and in the development of the country's economy. Crediting small business and private business plays main role in increasing GDP and developing economy of the country.
Small business, private entrepreneurship, credit, micro-credit, domestic ox product, cash, credit lines.
IMPROVING THE CONSOLIDATED FINANCIAL REPORTING AND AUDIT METHODOLOGY
In the process of presenting a consolidated financial report prepared in accordance with international standards, conclusions and recommendations are developed on the problems and their solutions that have arisen in the process of conducting an audit, improving the audit quality control system.
Audit process, financial reporting, consolidated financial reporting, external audit, international financial reporting standards, international auditing standards, joint-stock company, audit quality assessment.
THEORETICAL FOUNDATIONS OF ECONOMIC GROWTH RESEARCH (ON THE EXAMPLE OF NAMANGAN REGION)
Economic growth represents one of the key indicators of a country's development and plays an important role in strengthening economic stability, improving the quality of life, and addressing urgent social challenges. Regional economies (using the Namangan region as an example) are complex, multi-component systems influenced by both internal (social, economic, and cultural) and external (global and national) factors. Modern processes of globalization, digitalization, and structural economic transformation enhance the significance of the regional level within the national development system. Regional economies are becoming not only an object of state policy but also an independent source of economic growth, innovation, and social stability. Under these conditions, special attention is paid to studying the factors determining sustainable regional development and to forming effective mechanisms for managing these processes. The Namangan region occupies one of the key positions in the socio-economic structure of the Republic of Uzbekistan. The region is characterized by high agricultural potential, a developing industrial sector, active entrepreneurship, and growing investment attractiveness. At the same time, structural imbalances remain, along with the need to increase labor productivity and introduce innovative technologies. Studying the trends and specific features of the region’s economic growth makes it possible to identify priority directions of regional policy and to ensure balanced territorial development.
Economic growth, regional demand and supply factors, GDP, investments, human capital, agriculture, light industry.
IMPROVING MANAGEMENT ACCOUNTING IN RAILWAY TRANSPORT ENTERPRISES: THE CASE OF “UZBEKISTAN RAILWAYS” JSC
This article explores the theoretical and practical aspects of improving management accounting at “Uzbekistan Railways” JSC The study analyzes current challenges in aligning national accounting practices with International Financial Reporting Standards (IFRS) and examines the potential of introducing modern management tools, including the Balanced Scorecard (BSC), digital transformation instruments, and international auditing practices. Findings indicate that effective integration of these approaches can enhance financial transparency, increase operational efficiency, and support sustainable development of railway transport enterprises in Uzbekistan.
Management accounting, International Financial Reporting Standards, railway transport, balanced scorecard system, digital transformation, audit, financial transparency, efficiency.
THE IMPORTANCE OF GREEN FINANCING SOURCES AND MECHANISMS FOR THE BUILDING MATERIALS INDUSTRY
This article analyzes the economic and environmental significance of green financing sources and mechanisms in the building materials industry. The study examines the effectiveness of green bonds, government grants, subsidies, private investment funds and financial instruments based on the sustainability index in increasing energy efficiency, reducing waste and introducing innovative technologies in building materials production processes. The article also analyzes the strategic role of financial management mechanisms, their potential for optimal resource allocation and achieving sustainable development goals. The results of the study confirm the importance of green financing in increasing industrial competitiveness, reducing environmental risks and serving the sustainable growth of the national economy, while offering an effective model for harmonizing financial and environmental strategies.
Green financing, building materials industry, sustainable development, financial management mechanisms, environmental innovations, green bonds, energy efficiency, economic efficiency.
DEVELOPMENT TRENDS OF DIGITAL ECONOMY AND FINANCIAL INCLUSION IN UZBEKISTAN’S BANKING SYSTEM
The article analyzes the development trends of digital economy and financial inclusion in Uzbekistan’s banking system from 2020 to 2025. Using statistical, comparative, and SWOD analysis, the study demonstrates the growth of digital services, mobile payments, online banking, and financial literacy programs. The social impact of digital finance, including access to banking services for rural populations, women, and youth, is also discussed. The article provides recommendations for adopting Reg Tech and AI technologies, improving financial literacy, and enhancing cybersecurity.
Digital economy, financial inclusion, banking system, mobile banking, online banking, Reg Tech, cybersecurity.
WAYS TO IMPROVE THE FINANCING OF FIXED CAPITAL INVESTMENTS
The article explores ways to improve the financing of investments in fixed capital. It analyzes current challenges in the allocation and utilization of financial resources, including insufficient private sector involvement, limited diversification of funding sources, and inefficiencies in investment management. The study highlights the importance of strengthening public-private partnerships, expanding the role of commercial banks and investment funds, and adopting innovative financial instruments to enhance investment efficiency. Additionally, the article examines international best practices and their applicability to the context of Uzbekistan, offering practical recommendations to optimize investment processes. The proposed measures aim to increase capital inflows, ensure financial sustainability, and support the modernization and competitiveness of the national economy.
Fixed capital, investment, financing improvement, financial resources, public-private partnership, investment efficiency, innovative financing, economic growth.
ENTREPRENEURIAL SKILLS AND EMPLOYEES JOB PERFORMANCE OF FAMILY BUSINESSES IN YENAGOA BAYELSA STATE
This study explores the interplay between entrepreneurial skills and employee job performance within family businesses in Yenagoa, Bayelsa State, a region where such enterprises are vital to economic stability despite an oil-dominated economy. Drawing on the Resource-Based View (RBV) framework, the research examines how key entrepreneurial competencies decision-making, communication, and leadership influence workforce productivity and efficiency. Family businesses in Yenagoa face unique challenges, including informality, limited resources, and familial dynamics, which may hinder the effective application of these skills. Through a conceptual analysis, this study highlights how cultivating these skills can enhance employee performance, offering practical strategies for business owners and policymakers to strengthen these firms’ sustainability. By addressing a research gap in Yenagoa’s informal business context, the findings provide a foundation for empirical studies and contribute to understanding workforce dynamics in family-run enterprises.
Entrepreneurial skills, employee job performance, family businesses, Resource-Based View, decision-making, communication, leadership, Yenagoa, Bayelsa State, economic sustainability
THE ROLE OF DEPOSIT POLICY OF COMMERCIAL BANKS IN INCREASING THE RESOURCE CAPACITY OF BANKS
This article analyzes the deposit policy of commercial banks and its impact on financial stability and liquidity management from a theoretical and practical point of view. Bank deposits are considered as the main factors affecting the long-term stability and liquidity risks of the banking system. Scientifically based proposals have also been developed to increase the efficiency of deposit attraction, minimize liquidity risks and maintain an interest policy flexible to macroeconomic changes.
Deposit policy, bank liquidity, financial stability, time deposits, savings deposits, interest rate policy, inflationary effects, lending opportunities, bank resources, macroeconomic analysis, financial risks.
ASSESSING THE IMPACT OF JUST-IN-TIME LOGISTICS ON EFFECTIVE INVENTORY MANAGEMENT IN CONSTRUCTION PROJECTS IN THE SOUTH-SOUTH REGION OF NIGERIA
The construction industry in Nigeria’s South-South region faces significant challenges in material management, leading to inefficiencies, cost overruns, and delays in project delivery. This study investigates the impact of Just-in-Time (JIT) logistics on effective inventory management in selected construction projects within this region, focusing on the interplay between inventory control and JIT implementation. Utilizing a correlational research design, data were collected from 208 respondents across top, middle, and lower management levels using a validated questionnaire based on a five-point Likert scale. Statistical analysis, including regression and ANOVA, revealed a strong negative correlation (R = 0.751, R Square = 0.564) between JIT logistics and inventory levels, rejecting the null hypothesis that JIT does not affect inventory levels (p = 0.000). Survey results indicated high agreement (88.94%–98.08%) on the importance of inventory management practices, such as real-time tracking and optimal inventory levels, in supporting JIT’s goals of waste reduction and timely material delivery. Major challenges identified include complex return processes (93.27% agreement) and lack of coordination (97.60% agreement), which hinder JIT effectiveness. Proposed strategies to optimize construction efficiency include adopting advanced tracking systems, streamlining return processes, enhancing supplier coordination, implementing lean principles, and providing staff training.
Construction Efficiency, Just-in-Time (JIT) Logistics, Lean Construction, Inventory Management, Material Management