Fitra Lestari, Rahmad Kurniawan, Johar Arifin, Muhammad Yasir, Mawardi Muhammad Saleh and Akbarizan
Nowadays, the Good Manufacturing Practice (GMP) in Indonesia with the product’s need for halal certification is limited. The purpose of this paper is to measure the integrated…
Abstract
Purpose
Nowadays, the Good Manufacturing Practice (GMP) in Indonesia with the product’s need for halal certification is limited. The purpose of this paper is to measure the integrated framework of Halal Good Manufacturing Practices (HGMP) in small and medium-sized enterprises (SMEs) and to discover the effect of its performance in the food sector.
Design/methodology/approach
This research conducted focus group discussion in 2 locations with 8 experts and 73 SMEs in the food sector at 2 Indonesian Government agencies.
Findings
The study indicated 6 variables and 40 indicators on HGMP and its implementation in each agency. Two agencies in this research were categorized as poor, which indicated the need to increase the implementation of HGMP. For the SMEs’ business process policy, there were significantly different variables in the building, employee, storage and maintenance.
Research limitations/implications
The implementation of the HGMP is examined in this research based on government regulation. It has not been thoroughly tested based on consumer responses. Furthermore, it can consider consumer satisfaction in the halal framework of GMP.
Practical implications
Government agencies in Indonesia can measure the implementation of HGMP in food sector SMEs and guide SMEs to achieve halal quality standards.
Originality/value
This research provides an integrated framework for measuring HGMP in SMEs guided by the Indonesian Government’s agency in meeting the standard of halal products.
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The purpose of this paper is to study the correlational and effect relationship between Halal standards and the performance of Halal-certified Palestinian Food Companies.
Abstract
Purpose
The purpose of this paper is to study the correlational and effect relationship between Halal standards and the performance of Halal-certified Palestinian Food Companies.
Design/methodology/approach
Quantitative method was used, using a questionnaire survey of 40 Halal-certified Palestinian organizations out of a total of 47 certified organizations, the analysis was done using the partial least squares structural equation modeling (PLS-SEM) and the literature review was conducted using a well-known systematic literature review methodology.
Findings
Halal implementation and certification had a positive impact on performance (operational, financial and marketing). The depth/intensity of implementation fully mediates operational performance and partially mediates marketing and financial performance.
Research limitations/implications
As the sample size is small, it is recommended to conduct the study using a larger sample size, once the number of Palestinian Halal-certified organizations increases. A longitudinal or panel study is recommended to capture data that are more accurate and avoid objectivity and bias issues using a cross-sectional research design method. Finally, the study recommends to conduct additional research in the field of Halal awareness for customers to gage their intention and welling to buy Halal products within the Middle East region.
Originality/value
The importance of this study exists in the lack of previous Halal-related studies in the Palestinian context and the previously described gap in the literature. Nevertheless, the quality management drivers and impact are limited in the Palestinian context compared with other contexts; the results of the previously published studies revealed mixed results such as the drivers of quality management are based on the type of business. Finally, this research gives small insights and directions toward conducting additional studies concerning customer awareness about Halal products.
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Rangga Primadasa, Elisa Kusrini, Agus Mansur and Ilyas Masudin
This study aims to comprehensively identify and categorize key indicators for halal-sustainable supply chain management (HSSCM) tailored to small- and medium-sized enterprises…
Abstract
Purpose
This study aims to comprehensively identify and categorize key indicators for halal-sustainable supply chain management (HSSCM) tailored to small- and medium-sized enterprises (SMEs) in the food sector, emphasizing economic, environmental and social sustainability.
Design/methodology/approach
This paper uses integrated approaches such as decision-making trial and evaluation laboratory, interpretative structural model and MICMAC to investigate the interconnectedness between the economic, environmental, social and halal-specific criteria in the food sector for SMEs.
Findings
This study highlights 16 crucial indicators for HSSCM in SMEs within the food industry, organized into economic, environmental, social and halal-specific categories. The total relationship matrix shows important interdependencies between indicators, like operational costs and logistics, underscoring the necessity for a comprehensive management approach. Additionally, the cause-effect diagram and structural self-interaction matrix (SSIM) illustrate the hierarchical relationships among these indicators, aiding in strategic planning and decision-making.
Originality/value
This study integrates a broader range of indicators and reveals complex dependencies critical for managing halal supply chains effectively. This study also offers a robust framework for integrating halal practices and sustainability, supporting SMEs in adopting ethical, environmentally conscious business strategies.
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Fathullah Asni, Mohamad Ihsan Zulkifli and Yusairi Yusli
This paper aims to examine the acceptance of Zakat institutions in Malaysia towards Micro Credit-Qard Hasan Financing through Zakat Fund (MCZF) for post-pandemic asnaf…
Abstract
Purpose
This paper aims to examine the acceptance of Zakat institutions in Malaysia towards Micro Credit-Qard Hasan Financing through Zakat Fund (MCZF) for post-pandemic asnaf entrepreneurs. The study is motivated by the declining trend in Zakat collection and the increasing number of asnaf individuals in the post-pandemic period. This necessitates alternative initiatives such as the MCZF scheme by Zakat institutions. However, the reception of the MCZF scheme in Malaysia is unfavourable, despite studies suggesting its suitability for Zakat institutions and asnaf entrepreneurs.
Design/methodology/approach
This study adopts a qualitative methodology involving library and field research as data collection methods. The library research encompasses reviewing relevant books, articles, statutes and circulars. In terms of the field study, semi-structured interviews were conducted with five selected Zakat management officers from Zakat institutions and two proficient academics specialising in Shariah and Zakat management. The interview data generated several themes analysed using the content analysis method. Consequently, the snowball method was employed to determine the sample size of Zakat institutions, ensuring comprehensive coverage of their acceptance of the MCZF scheme.
Findings
The study’s findings reveal that three Zakat institutions accept the MCZF scheme for implementation, justifying it as a matter of differing opinions (khilaf) that allows room for ijtihad based on the current needs and well-being (maslahah). However, one of the Zakat institutions expresses unpreparedness to implement the scheme due to obstacles posed by an official fatwa. Additionally, the study demonstrates that two Zakat institutions reject the MCZF scheme, citing reasons such as the principle of direct ownership (tamlik) in giving Zakat funds, the prohibition specified by the official state fatwa, and the prevailing societal expectation of direct Zakat distribution without loans.
Research limitations/implications
This study focuses solely on five Zakat institutions in Malaysia, all of which have specific fatwas concerning the MCZF scheme. Future research may explore Zakat institutions in other states. Furthermore, this study specifically concentrates on asnaf entrepreneurs. Hence, further research could investigate the applicability of the MCZF scheme for other asnaf groups, such as asnaf students.
Practical implications
This study examines the acceptance of Zakat institutions towards the MCZF scheme and the justifications provided by Zakat institutions for its implementation. The findings of this study can guide Zakat institutions in Malaysia in accepting and implementing the MCZF scheme. It can significantly impact these institutions by assisting asnaf entrepreneurs in securing capital and expanding their businesses.
Social implications
This study has substantial implications for society, particularly for asnaf entrepreneurs, as loans provided through Zakat funds can help boost their business capital. Consequently, this can elevate the asnaf group from being recipients of Zakat to becoming contributors. Furthermore, when Zakat funds are provided as debt to asnaf entrepreneurs, they can be motivated to grow their businesses since they commit to repaying the debt through instalments.
Originality/value
This study analyses the acceptance of the MCZF scheme by Zakat institutions in Malaysia as an alternative initiative to support asnaf entrepreneurs after the pandemic.