Halal Logistics, Halal Manufacturing, Competitiveness and Halal Organizational Sustainability: A Conceptual Exploration
Abstract
The Malaysian halal industry, especially in logistics and manufacturing, confronts several challenges due to globalization, including competitiveness issues. As a result, ensuring sustainable competitiveness has become crucial for maintaining compliance with Islamic halal Syariah standards. Preserving the sector's competitive edge while upholding halal management practices is a significant concern for businesses in Malaysia's halal industry. However, many halal companies lack the resources needed to identify the most effective strategies and methods to enhance their performance and competitiveness. This conceptual paper examines the interplay between Halal logistics, Halal manufacturing, competitiveness, and organizational sustainability within the Halal industry. The paper posits that effective integration of Halal logistics and manufacturing practices is not only essential for compliance with religious standards but also for enhancing the competitive advantage and sustainability performance of organizations. By exploring theoretical frameworks and existing literature, this paper highlights the critical role that Halal practices play in driving organizational success and proposes directions for future research in this growing field.
Downloads
References
Abdullah, A., & Oseni, U. A. (2017). Towards a shar??ah compliant equity-based crowdfunding for the halal industry in Malaysia. International Journal of Business and Society, 18(S1), 223-240.
Ali, M. H., & Suleiman, N. (2016). Sustainable food production: Insights of Malaysian halal small and medium-sized enterprises. International Journal of Production Economics, 181, 303–314. DOI: https://doi.org/10.1016/j.ijpe.2016.06.003
Ali, M. H., Zhan, Y., Alam, S. S., Tse, Y. K., & Tan, K. H. (2017). Food supply chain integrity: the need to go beyond certification. Industrial Management and Data Systems, 117(8), 1589-1611. DOI: https://doi.org/10.1108/IMDS-09-2016-0357
Ambali, A. R., & Bakar, A. N. (2013). ?alal food and products in Malaysia: People's awareness and policy implications. Intellectual Discourse, 21(1), 7-32.
Awan, H. M., Siddiquei, A. N., & Haider, Z. (2015), Factors affecting halal purchase Intention evidence from Pakistan’s halal food sector. Management Research Review, 38(6), 640–660. DOI: https://doi.org/10.1108/MRR-01-2014-0022
Azam, M.S.E., & Abdullah, M.A. (2020). Global halal industry: Realities and opportunities. International Journal of Islamic Business Ethics, 59(1), 47-59. DOI: https://doi.org/10.30659/ijibe.5.1.47-59
Baharuddin, K., Kassim, N., & Nordin, S. (2015). Understanding the halal concept and the importance of information on halal food business needed by potential Malaysian entrepreneurs. International Journal of Academic Research in Business and Social Sciences, 5(2), 170–180. DOI: https://doi.org/10.6007/IJARBSS/v5-i2/1476
Bashir, A.M., Abdullah, B., Samuel, O.O. & Zul Ariff, A.B. (2019). Factors affecting consumers’ intention towards purchasing halal food in South Africa: a structural equation modelling. Journal of Food Products Marketing, 25(1), 26-48. DOI: https://doi.org/10.1080/10454446.2018.1452813
Borzooei, M., & Asgari, M. (2013). The Halal brand personality and its effect on purchase intention. Interdisciplinary Journal of Contemporary Research in Business, 5(3), 481-491. DOI: https://doi.org/10.6007/IJARBSS/v3-i10/288
Budi, I., & Dika, F. (2017). Building competitive advantage in the halal industry: An empirical analysis. International Journal of Supply Chain Management, 6(4), 45-55.
Bux, S. R., Rehman, A., & Mohammad, Z. (2022). The effect of halal logistics on the competitiveness of halal food supply chains. Journal of Islamic Marketing, 13(4), 784-798.
Chuah, S. H., Marimuthu, M., Kandampully, J., & Bilgihan, A. (2016). What drives Gen Y loyalty? Understanding the impact of travel experience and social media use on well-being and loyalty. International Journal of Tourism Research, 19(5), 472-487.
Daisuke. K., Masato. T., Mituharu, O., Siti, H. R. E., & Mohd, H. A. (2018). A Study on the Halal food supply chain in Japan from an inbound perspective of the international multi. Conference of Engineers and Computer Scientists Vol II IMECS. Hong Kong, 14-16.
Damit, A., Salleh, N. A., & Nor, S. (2018). The credibility of halal certification: Perspectives of halal certificate holders. Journal of Islamic Marketing, 9(1), 47-67.
Ezanee, M., Siti, N., & Adam, M. (2016). Halal awareness and knowledge among Muslim’s student entrepreneurship program: A preliminary study. Paper presented at the 2nd International Conference on Business Global & Social Entrepreneurship, Koh Samui Island, Thailand, 12-14.
Fantazy, K. A., Kumar, V., & Kumar, U. (2009). An empirical study of the relationships among strategy, flexibility, and performance in the supply chain context. Supply Chain Management: An International Journal, 14(3), 177-188. DOI: https://doi.org/10.1108/13598540910954520
Fajar, K. A. (2017). The development of halal logistics in Indonesia. Journal of Halal Research, 2(2), 99-113.
Faul, F. E. F., Suhaiza, Z., & Mohammad, I. K. K. (2016). Drivers of consumers’ willingness to pay for halal logistics. British Food Journal, 118(2), 464-479. DOI: https://doi.org/10.1108/BFJ-06-2015-0212
Graziano, R. A., Horn, P. E., Wechsler, M. R., & Coster, W. J. (1997). Workplace services and organizational performance: A framework for research and practice. Journal of Applied Behavioral Science, 33(1), 58-69.
Halim, M. A. A., & Salleh, M. M. M. (2012). The possibility of uniformity on halal standards in the organization of Islamic countries (OIC) country. World Applied Science Journal, 17, 6 –10.
Hashim, H., Hussin, S.R., and Zainal, N.N. (2014) Exploring Islamic retailer store attributes from consumer perspectives: an empirical investigation. International Journal of Economics and Management, 8(S),117-136.
Hsu, P. H., Novoselov, S., Wang, S., & Zeng, J. (2009). Production efficiency and stock returns: A quantile regression approach. Journal of Financial Markets, 12(4), 604-617.
Husny, Z. J. M., Tan, M. I. I., Sulong, N., Yusof, N. S., & Mazlan, M. N. A. (2018). Technology requirement for Halal quality control. Journal of Fundamental Applied. Science, 10(2), 399-412.
Ibrahim, K. & Aghwan Z.A. (2022). The effect of Halal awareness and consumer demographics on intention to purchase Halal food: A comparative study between Brunei Darussalam and Uganda Journal of Halal Science and Technology, 1 (2), 22-36. DOI: https://doi.org/10.59202/jhst.v1i2.518
Jaafar, H.S. (2024). The Development of Halal Supply Chain Management, presented to the Halal Insight Webinar: Bringing together the realms of "halal“and "standardization" towards global halal, 18 July 2024.
Jamaludin, M. A. & Ramli, S. N. H. (2023). Smart Food for Future Sustainability: Halal and Tayyib Perspective, Journal of Halal Industry and Services. https://doi.org/10.36877/jhis.a00003095. DOI: https://doi.org/10.36877/jhis.a0000309
Kamarulzaman, N. H., Tarmizi, H. A. (2020). Inbound halal logistics practices: A case of local mosques. Journal Halal Industry & Services, 3(1). DOI: https://doi.org/10.36877/jhis.a0000167
Latif, I. A., Jantan, M., & Mohamed, Z. A. (2014). Halal food supply chain: From halal to the tayyib. Journal of Islamic Marketing, 5(3), 292-304.
Lee, P., & Lee, J. (2013). The impact of TQM on organizational performance in the context of social capital. Journal of Manufacturing Technology Management, 24(6), 785-807.
Lee, S. M. (2004). Quality management and organizational performance: A review of some key issues. International Journal of Quality & Reliability Management, 21(8), 1007-1020.
Lestari, P., Haryadi, S., & Zainuri, A. (2020). Halal logistics and sustainable development: A mediation role of competitiveness. Journal of Islamic Marketing, 11(5), 1057-1073.
Manzouri, M., Rahman, M. N., & Arshad, H. (2013). Developing strategies for supply chain sustainability: A case study in the Malaysian automotive industry. International Journal of Sustainable Development & World Ecology, 20(2), 111-124.
Mega, P. A. (2019). The importance of halal food in the global economy. Journal of Halal Research, 2(1), 12-19.
Mitra, S., & Dattaa, P. P. (2014). Adoption of green supply chain management practices and their impact on performance: an exploratory study of Indian manufacturing firms. International Journal of Production Research, 52(7), 2085-2107. DOI: https://doi.org/10.1080/00207543.2013.849014
Mollenkopf, D., Stolze, H., Tate, W. L., & Ueltschy, M. (2010). Green, lean, and global supply chains. International Journal of Physical Distribution & Logistics Management, 40(1/2), 14-41. DOI: https://doi.org/10.1108/09600031011018028
Mohamed, S., & Hamid. A. B (2015). Halal supply chain critical success factors: a literature review. Journal of Islamic Marketing, 6 (1), 44-71.
Mohamed, M., & Hassan, M. H. (2020). Halal supply chain: A review of the literature. Journal of Islamic Marketing, 11(1), 209-231.
Mukherjee, S., & Romi, S. (2014). Global Halal: Meat, money and religion. Religions, 5(1), 22–75. DOI: https://doi.org/10.3390/rel5010022
Narasimhan, R., Swink, M., & Viswanathan, S. (2010). On decisions for integration implementation: an examination of complementarities between product-process technology integration and supply chain integration. Decision Science, 41(2), 355-372. DOI: https://doi.org/10.1111/j.1540-5915.2010.00267.x
Naslund, D., & Williamson, S. (2010). What is Management in Supply Chain Management? – A Critical Review of Definitions, Frameworks and Terminology. Journal of Management Policy and Practice, 11(4), 11-18.
Ngah, A.H., Gabarre, S., Han, H., Rahi, S., Al-Gasaweh, J.A., and Park, S.H. (2021). Intention to purchase Halal cosmetics: do males and females differ? A multigroup analysis. MDPI Cosmetics, 8(19). Retrieved from https://doi.org/10.3390/cosmetics8010019 DOI: https://doi.org/10.3390/cosmetics8010019
Norazlina, A.A., Siti, S.S., Muhamad, A.R., & Ku, M.A.K. Y., (2021). Malaysian Is the Covid 19 Vaccine Halal, Revisiting the Role of National Pharmaceutical Regulatory Agency (NPRA) and JAKIM. Journal of Social Science and Humanities, 6(10), 413-428. DOI: https://doi.org/10.47405/mjssh.v6i10.1084
Noorliza, K. (2020). Sustainable halal logistics: Creating competitive advantage for halal businesses. Journal of Islamic Marketing, 11(6), 1415-1430.
Nurul, A., A., A. & Nur, A., T. (2022). Halal cosmetics: A Review on Halalan Toyyiban Concept in Soap. IIUM Press, 2(2), 86-93. DOI: https://doi.org/10.31436/hs.v2i2.57
Nurul Aini, M., Nathasa, M.R., Sumaiyah, A.A., & Nor Asiah, Y. (2014). Integrating Islamic Finance and Halal Industry: A Survey on Current Practises of the Selected Malaysian Authority Bodies. Asian Social Science, 10(17), 120-126. DOI: https://doi.org/10.5539/ass.v10n17p120
Olhager, J., & Prajogo, D. (2012). The impact of manufacturing and supply chain improvement initiatives: a survey comparing make-to-order and make-to-stock firms. Omega, 40(2), 159-165. DOI: https://doi.org/10.1016/j.omega.2011.05.001
Othman, N. A., Shaarani, S. M., & Bahron, A. (2019). Halal logistics: A marketing mix perspective. Journal of Islamic Marketing, 10(2), 394-406.
Peng, M. W., Sun, S. L., Pinkham, B., & Chen, H. (2011). The institution-based view is the third leg of a strategy tripod. Academy of Management Perspectives, 25(3), 66-81.
Rahmatina, A. K., Azizon, A., Nadira, A., Adela, M. Y. and Karina M. (2023). Opportunities and Challenges for Developing Halal Pharmaceuticals Industry. International Journal of Halal Research, 5(1), 1-12.
Rajeb, A., Rajeb, K., Zailani, S., Treiblmaier, H. and Hand, K.J. (2021). Integrating the internet of things in the halal food supply chain: a systematic literature review and research agenda. Internet of Things, 13, 100-361. DOI: https://doi.org/10.1016/j.iot.2021.100361
Rezai, G., Mohamed, Z., & Shamsudin, M. N. (2012). Non-Muslim consumers’ understanding of Halal principles in Malaysia. Journal of Islamic Marketing, 3 (1), 33 46. DOI: https://doi.org/10.1108/17590831211206572
Ririn, T. R., Sri, G., Sylva, A. R., & Ari, P. (2019). Halal Food Certi?cation to Improve the Competitiveness of East and Middle Business in Indonesia. KnE Social Sciences, 1044–1056. DOI: https://doi.org/10.18502/kss.v3i13.4266
Samson, D., & Terziovski, M. (1999). The relationship between total quality management practices and operational performance. Journal of Operations Management, 17(4), 393-409. DOI: https://doi.org/10.1016/S0272-6963(98)00046-1
Shafie, S., & Othman, M. N. (2006). Halal certification: An international marketing issues and challenges. Paper presented at the 5th Int. Conference on Islamic Marketing and Branding, Kuala Lumpur, Malaysia.
Shaharudin, M. R., Iranmanesh, M., Zailani, S., Tan, K. C. and Ghobakhloo, M. (2023). The impact of supply chain integration on reverse supply chain adoption. Kybernetes, 52(11), 5730-5751. DOI: https://doi.org/10.1108/K-01-2022-0033
Shahin, A. (2011). Classification and ranking of the measures of university quality based on Kano model: A case study. International Journal of Productivity and Quality Management, 7(4), 484-503.
Shariff, D. N., Jayaraman, K., Shah, M. Z., & Saharuddin, A. H. (2016). Service quality determinants of the container haulage industry: An empirical study in Malaysia. International Journal of Shipping and Transport Logistics, 8(1), 66-80. DOI: https://doi.org/10.1504/IJSTL.2016.073317
Shariff, D. N., Abdullah, D., Bakar, A. A., Shaharudin, M. R., & Ngelambong, A. (2024). Analyzing Halal Integrity and Sustainability Nexus in an Emerging Halal Supply Chain Ecosystem (HSCE). International Journal of Research and Innovation in Social Science, 8(7), 1489-1504. DOI: https://doi.org/10.47772/IJRISS.2024.807122
Showol, R., K. & Haruna, B., J. (2024). The impacts of supply chain integration on halal SMEs supply chain performance: The Mediating Role of Innovativeness. IIUM Press, 4(1), 48-54. DOI: https://doi.org/10.31436/hs.v4i1.82
Stank, T. P., Crum, M. R., & Arango, M. (1999). Benefits of interfirm coordination in food industry supply chains. Journal of Business Logistics, 20(2), 21-41.
Stock, G. N., Greis, N. P., & Kasarda, J. D. (2000). Enterprise logistics and supply chain structure: the role of fit. Journal of Operations Management, 18(5), 531-548. DOI: https://doi.org/10.1016/S0272-6963(00)00035-8
Suhartanto, D., Dean, D., Ismail, T. A., & Wibisono, N. (2020). The influence of store atmosphere on customer loyalty: The role of shopping experience. Journal of Business Research, 120, 160-167.
Talib, M. S. A. (2020). Halal certification on Malaysia’s global halal hub status. Procedia Economics and Finance, 35, 373-381.
Talib, M. S. A., Ali, M. H., & Idris, F. (2014). Halal supply chain critical success factors: A literature review. Journal of Islamic Marketing, 5(3), 386-408.
Talib, M. S. A., Chin, T. A., & Fischer, J. (2017). Linking halal food certification and business performance: The role of trust. Journal of Islamic Marketing, 8(3), 372-391.
Talib, M. S. A., Hamid, A. B. A., & Zulfakar, M. H. (2015). Halal supply chain critical success factors in Malaysia: A literature review. Journal of Islamic Marketing, 6(3), 324-344. DOI: https://doi.org/10.1108/JIMA-07-2013-0049
Talib, M. S. A., Ngah, A. H., & Kurniawati, D. A. (2022). Theories in Halal Logistics and Supply Chain Management Research. Halal Logistics and Supply Chain Management, 32–44. https://doi.org/10.4324/9781003223719-5. DOI: https://doi.org/10.4324/9781003223719-5
Tieman, M. (2011). The application of Halal in supply chain management: In-depth interviews. Journal of Islamic Marketing, 2(2), 186-195. DOI: https://doi.org/10.1108/17590831111139893
Tieman, M., Vorst, J. G. A. J. V. D., & Che Ghazali, M. (2012). Principles in Halal supply chain management. Journal of Islamic Marketing, 3(3), 217-243. DOI: https://doi.org/10.1108/17590831211259727
Tieman, Marco, and Barbara Ruiz-Bejarano. (2020). Halal Retailing: Closing the Last Mile in an End-to-End Halal Supply Chain. Islam and Civilizational Renewal. Kuala Lumpur. 11(1), 148. DOI: https://doi.org/10.52282/icr.v11i1.28
Tan, K. H., Razali, M. A., & Husny, N. S. (2012). The roles of halal practices to build a competitive advantage in Malaysia's halal industry. International Journal of Business and Management, 7(4), 100-111.
Tan, K. H., Ali, M. H., & Makhbul, Z. K. (2020). Halal logistics: A Malaysian perspective. International Journal of Logistics Research and Applications, 23(4), 358-377.
Tieman, M. (2013). Establishing the principles in halal logistics. Journal of Emerging Economies and Islamic Research, 1(1), 1-13. DOI: https://doi.org/10.24191/jeeir.v1i1.9115
Tummala, R., Phillips, A., & Johnson, M. (2006). Assessing supply chain management success factors: A case study. Supply Chain Management: An International Journal, 11(2), 179-192. DOI: https://doi.org/10.1108/13598540610652573
Vanichchinchai, A., & Igel, B. (2011). The impact of total quality management on supply chain management and firm’s supply performance. International Journal of Production Research, 49(11), 3405-3424. DOI: https://doi.org/10.1080/00207543.2010.492805
Well, C. A. C. Ashari, S. N. A. & Ismail, M. F. (2022). The Influence of Halal Certification, Halal Logo, Halal Assurance, Safety and Purity on Customer Purchase Intention. International Journal of Academic Research in Business and Social Sciences, 12(1), 1212-1227.
Wilson, J. A. J., & Liu, J. (2010). Shaping the Halal into a brand? Journal of Islamic Marketing, 1(2), 107-123. DOI: https://doi.org/10.1108/17590831011055851
Zailani, S., Jafarzadeh, H., & Iranmanesh, M. (2017). The impact of Halal logistics on the market performance of Halal food companies in Malaysia. Journal of Islamic Marketing, 8(4), 1033-1050.
Zulfakar, M. H., Anuar, M. M., & Abdul, T.M. S. (2014). Conceptual framework on halal food supply chain integrity enhancement. Procedia-Social and Behavioral Sciences, 121, 58-67. DOI: https://doi.org/10.1016/j.sbspro.2014.01.1108
Copyright (c) 2024 Khairulazmi Mohamad Karudin, Mohd Rizaimy Shaharudin, Amir Imran Zainoddin, Chanicha Moryadee
This work is licensed under a Creative Commons Attribution 4.0 International License.
Author (s) should affirm that the material has not been published previously. It has not been submitted and it is not under consideration by any other journal. At the same time author (s) need to execute a publication permission agreement to assume the responsibility of the submitted content and any omissions and errors therein. After submission of revised paper in the light of suggestions of the reviewers, the editorial team edits and formats manuscripts to bring uniformity and standardization in published material.
This work will be licensed under Creative Commons Attribution 4.0 International (CC BY 4.0) and under condition of the license, users are free to read, copy, remix, transform, redistribute, download, print, search or link to the full texts of articles and even build upon their work as long as they credit the author for the original work. Moreover, as per journal policy author (s) hold and retain copyrights without any restrictions.
