SPECIFICS OF BUILDING ENTERPRISES MANAGEMENT IN THE MILITARY STATE

Abstract

The construction industry is vital to the development of the national economy. However, Ukrainian construction sector currently operates in high risk and uncertain conditions caused by military actions, critical shortage of skilled labour, rising material costs, and the disruption of supply chains. In a highly competitive environment, a construction business must ensure not only high-quality project execution but also effective operational management, adherence to deadlines, and the implementation of innovative management solutions.That is why it is necessary to implement new tools of business management and analysis, considering current challenges.The article examines the specifics of managing construction enterprises in the conditions of today’s unstable and high-risk external environment and analyzes the dynamics of key construction industry indicators based on data from the Ukrainian State Statistics Service. The methods used in the article (analysis and synthesis, induction and deduction as well as comparison, graphical and table methods) allow to reach the purpose of the article. Among them the cost of construction output, net profit (or loss), and operational profitability, number of active business entities. The article highlights the distinctive characteristics of construction enterprises compared to other economic sectors, making necessary to adapt risk management systems to the specific nature of this industry. The economic sectors most affected by military actions have been determined, among them housing, transport, and energy sectors.Key factors affecting the unprofitability of construction enterprises have been identified, such as the continuous rise in the cost of construction and installation works, worsening of investment climate, stuff shortage and high operational risks. The main factors ensuring the financial stability of enterprises, particularly those in the construction sector, are also outlined. Particular attention is paid to mechanisms of management adaptation aimed at providing the financial and economic stability of companies and preparing for the country's post-war recovery.