Global Journal of Management and Business Research, F: Real Estate, Event and Tourism Management, Volume 23 Issue 3

Inventory Management Practices and Challenges in Mega Construction Projects in Bangladesh Md. Jamal Mia Author: e-mail: cscm.jamalmba@gmail.com Abstract- Inventory management is a very important and vital part of any kind of production business because an efficient supply chain depends on mostly proper inventory management. In any mega construction project, inventory management is more critical for binding international standard rules and regulations and also for containing different characteristics of the project. The main objective of this paper is to study the existing research on inventory management, find existing challenging factors that indicate poor performance of inventory management and also find better tools and techniques practices that create overall value for the project. This research paper will be helpful for the construction industry and get guidelines for better inventory management. Keywords: inventory, construction, materials, projects, management, etc. I. I ntroduction few megaprojects are being constructed in Bangladesh and hopefully, they will contribute largely to socioeconomic development in Bangladesh, but this kind of megaprojects is too specific, critical, mostly foreign materials dependent, and follows too much documentation and for this, the inventory management here is not so as usual as others. Generally, almost 60% cost of the project is materials cost, and ensuring an adequate supply of materials according to the schedule, minimizing inventory costs, facilitating purchasing economies, better utilization of available stocks, disposing of inactive & obsolete store items, manufacturing planning, assisting procurement, qualifying production, enabling management in cost comparison, and overall for successful completion of the project it is a must for proper inventory management. II. L iterature R eview Narimah Kasim, Siti Radziah Liwan, Alina Shamsuddin, Rozlin Zainal, and Naadira Che Kamaruddin (2012) studied that there is a need for more sophisticated technology to be implemented in a construction project in order to facilitate the materials tracking process and at the same time, reduce dependency on paper-based reports in inventory management. Finally, they recommend that the use of ICT, for example, RFID in materials tracking could facilitate effective and efficient control over materials in construction [1]. 1. S. Sindhu, Dr. K. Nirmalkumar, and V. Krishnamoorthy: Studied a few main inventory management risks in construction projects like lack of storage space, problems with de-centralized processing, inadequate training practices, improper financial support in the ordering of materials, difficulty in delivery of long lead materials and he suggested Proper preventive measures like JIT, Supply chain management system concept along with lean production system [2]. 2. Jayanth, V. Sampathkumar: Analyzed some factors affecting inventory control management and dissect the stock administration control embraced and the compelling usage of stock at the construction site with the assistance of the SPSS programming [3]. 3. Jyoti Sanjeev Mohopadkar and D. P. Patil: Analyzed some techniques in inventory management like ABC Analysis (Always Better Control), FSN Analysis (Fast Moving, Slow Moving & Non- Moving), SDE Analysis (Scarce, Difficult, Easy), HML Analysis (High, Medium, Low) and GOLF Analysis [4]. 4. Mit Shah and Prof. Ankitkumar Patel: Also showed the practical use of some techniques in inventory management like ABC Analysis (Always Better Control), FSN Analysis (Fast Moving, Slow Moving & Non-Moving), VED Analysis (Vita, Essential, Desirable), HML Analysis (High, Medium, Low) and ABC-VED Combination approach [5]. 5. Raj Desai and Prof. Dixit Patel: Analyzed some materials management factors in construction projects and also identified cost overrun factors [6]. 6. Gamane Ankush K. and Prof. Gaurav N. Desai: Select the Qualitative analysis technique such as Economic order Quantity (EOQ), Break Even Analysis (BEP), and maintaining a sufficient stock of raw materials and Control investment in inventories [7]. III. R esearch M ethodology Both primary and secondary sources of data were used for the study. The Primary data was collected from the staff of selected five mega projects from different companies by creating survey questions using A Global Journal of Management and Business Research ( F ) XXIII Issue III Version I Year 2023 23 © 2023 Global Journals