Vendor-Managed Inventory in Malaysia Construction Industry Keywords: Project Management, Delivery process of material, Site inventory, Vendor-managed Inventory. Introduction Effective project management is important in ensuring the successful delivery of a construction project. Project management activities include scoping, planning, organizing, controlling, and corrective measure of important project resources. Among important resources in project are labor and material. Construction material management normally focuses on delivery and handling them, for example applying Just-In-Time in material delivery. Other studies address wastage problem in construction. Little focus on treating construction material as inventory in construction process. This is due to various reasons such as inventory theory has long embedded in manufacturing sector. The logistics and supply management literature usually deal with the issue in the context of goods, repetitive manufacturing, and retailing. From the logistics management perspective, construction industry differs from repetitive manufacturer and consumer goods in several aspects include each construction project is different, the final product is one-of-a-kind, there are a lot of companies and staff working at each site, and the production of the construction firm take place in a number of different locations. In order to apply the logistics management concept in construction industry, there are several requirements needed to place for the material delivery. First, the transparency of material availability is needed for site inventory. And second, the collaborative between suppliers and contactors in term of sharing information. Thirdly, the mutual consent between both parties in order to provide a location for storing inventory that under technically monitoring. Therefore, the aim of this project is to explore the potential solution for managing material logistics of construction projects. The solution is called...