USING AGILE METHODOLOGY TO IMPROVE CORPORATE GOVERNANCE IN UZBEKISTAN’S BANKS: CHALLENGES AND DEVELOPMENT PROSPECTS

Abstract

This article examines the opportunities, existing challenges, and development prospects of using Agile methodology to improve the effectiveness of corporate governance in Uzbekistan’s banks. The accelerating digital transformation of the modern banking sector, rapidly changing customer demands, increasing competition with FinTech companies, and the need to introduce innovative products within shorter timeframes require greater flexibility in banking management systems. In this context, combining traditional hierarchical management mechanisms with Agile principles can expand banks’ ability to make timely decisions and adapt to changing market conditions.

The study analyzes international academic literature on Agile Governance and Agile Project Governance and links such Agile principles as adaptive management, rational delegation of authority, cross-functional collaboration, rapid decision-making, continuous improvement, and customer orientation with corporate governance systems in banks. The study also considers institutional and organizational challenges that may arise when implementing Agile methodology in Uzbekistan’s banking sector, including centralized management, rigid hierarchical structures, concentration of decision-making authority at senior management levels, insufficient interdepartmental cooperation, and the integration of Agile approaches with risk management and internal control mechanisms.

As a result, the study proposes key directions for the gradual integration of Agile methodology into corporate governance in Uzbekistan’s banks. This approach can contribute to accelerating management decision-making, strengthening innovation processes, enhancing cross-functional collaboration, improving the quality of customer service, and increasing banks’ adaptability to changing market conditions.