With the help of the USAID Enterprise Development Project Trade Specialist Dmitry Revin, Navoi based chemicals manufacturer, NavoiAzot has completed a $2.1 million purchase of computer hardware equipment, IT implementation and business optimization services which will allow them to vastly improve their internal operations and realize significant cost savings and productivity increases. In addition, other Uzbek businesses are benefiting as suppliers of specific project services.

With the help of the USAID Enterprise Development Project Trade Specialist Dmitry Revin, Navoi based chemicals manufacturer, NavoiAzot has completed a $2.1 million purchase of computer hardware equipment, IT implementation and business optimization services which will allow them to vastly improve their internal operations and realize significant cost savings and productivity increases. In addition, other Uzbek businesses are benefiting as suppliers of specific project services.

With US$60 million in annual sales, NavoiAzot had enjoyed considerable success in Uzbekistan, but at the same time its growth has been hindered by it's antiquated information systems. All information is currently tracked by paper and pen and even finding simple information such as inventory levels, not to mention closing the monthly accounting period, and takes roughly 1? months. Naturally, this makes accurate decision making by the management extremely difficult and a great deal of waste occurs which hurts profitability.

Tashkent Trade Specialist Dmitry Revin assisted NavoiAzot in every step of the five-month process of making the investment. Dmitry found the trade partners: HP, SAP AsiaSystems and two other Uzbek subcontractors who are still in negotiations; ensuring a timely information flow for all parties involved; and assisted in protracted contract negotiations.

The result of these efforts is a $2.1 million investment by NavoiAzot that includes computer hardware, business process re-engineering and process optimization solutions, as well as an IT system implementation in finance, inventory management, manufacturing and sales and distribution. Besides generating business for several companies in Uzbekistan, the deal will allow NavoiAzot to vastly improve its operations by cutting down the time it takes to gather and disseminate basic business information from 1-? months to 2-3 days. The expected increase in internal efficiencies includes: 40% reduction in inventory levels; 25% reduction in needed warehouse space; 65% increase in inventory turnover; 35% reduction in the defect rate; 60% decrease in transport costs; 30% decrease in administrative expenses; and a 30% increase in working capital.

This important investment will allow NavoiAzot to vastly enhance it's competitiveness in an industry that is experiencing increased competition. NavoiAzot will be able to continue to grow its profits and provide not only a stable work environment for its employees, but also an impetus to the Uzbek economy.