MARCH-APRIL . 2023 | @ Halal
Industry
17
HALAL CERTIFICATION IMPACT BASED ON RESEARCH STUDY CONFIRMATION AUTHOR ( S ) ( YEAR )
Ab Talib et al . ( 2017 )
Yusuf et al . ( 2016 )
Ab Talib et al . ( 2016 )
JAKIM ’ s procedures ( Soong , 2007 ) for companies to be certified .
Religiosity : Religiosity is an attribute that can influence human decisions towards specific behaviours . Religiosity can influence food service outlets to seek halal certification not just to increase sales but to see it as an act of worship . Halal compliance is another major issue that should be addressed . After the halal certificate is conferred , an ad-hoc premise visit will be planned and conducted to monitor the compliance of halal practices by the companies .
Food industry practices : Rahman et al . ( 2011 ) recognised that the food industry practices have inadequate knowledge ; of supplier and governance issues that have majorly served as one of the contributing factors to the non-compliance behaviour towards halal practices among restaurant owners . In producing food , the workers must be clean . The environment must be hygienic too . The workers must wear neat attire and require safety clothes to be used while processing hygienic foods . Human competencies and skills training are the keys to success factors for sustainability in the competitive industry market . The factors include the development of the industry ’ s know-how and good industry practices .
CHALLENGES AND PROSPECTS FOR THE HALAL FOOD INDUSTRY
Various challenges are faced by halal food industries that need urgent attention from multiple stakeholders .
Difficulties in getting halal ingredients by
SUPPORTING NOTES
Halal food certification has a positive relationship with operational and financial performance . Overall , halal food certification positively influences business performance .
Halal certification is a real defining market force and contributes to capturing more significant market shares .
Halal certification can positively influence logistics performance through its tangible and non-tangible aspects .
Yusuf et al . ( 2017 ) Halal certification plays a positive role in increasing their business performance . Giyanti & Indriastiningsih ( 2019 )
Salindal ( 2019 )
There were significant differences in all performance measures between non-halalcertified SMEs and halal-certified ones .
Halal certification significantly contributes to both innovative and market performance . Halal-certified and non-halal-certified companies have a significant difference in innovative and market performance .
certified food industries : Most certified food industries complain about the validity of the expiry date for the certificate owned by the ingredient manufacturers . Several certified food industries changed ingredients without informing JAKIM . It led to deregistering of some companies . ( Hunter , 2019 ).
The issue of employment of local Muslim workers needs to be addressed . Most local Muslim workers are not ready to work in restaurants due to their low income . Food companies are only prepared to employ people to enhance their revenue . Therefore , for local Muslim workers to get hired , they must pos- sess experience and skills that will improve the growth of the food industry .
Most of the food industries ’ management and their workers are lacking in knowledge about the concept of halal . The term is new to them . This may have resulted in noncompliance of some food industries after certification .
Food integrity : Deception or cheating in the food supply chain can happen in many ways -- such as how the food is produced , who is involved or employed in the process , and what data is on the food items . Hence , a few processes need to be established , like :
To improve the standards of supplier and their consistency in minimising product failure
• To avoid and eliminate the frequency of supplier audits , especially during the selection process
• To provide support to consumers and suppliers
• To give accurate information on the food production process , mostly when the investigation was carried out on the occurrence of specific food incidents
• To plan and change manufacturing from inspection to prevention . Quality is cultivated from the very beginning of the production process to include the entire value chain activities while emphasising the requirements of internal and external customers
SUMMARY
Bearing the halal certification can initiate high performance for firms in the food industry in Malaysia which leads to significant development in the country in terms of performance in the future . The difficulty in getting halal certified ingredients and additives should be given enough attention to maintain the integrity and compliance of halal practices . Creating the “ Halal One Stop Center ( HOSC )” to gather information from the significant producers of halal ingredients who supply different components worldwide will help the Malaysian halal food industry .
Integrity in the supply chain is related to quality , values , relationships , trusted collaboration , and honesty in managing supply chains . In the food supply chain , food integrity can be defined as ensuring the food for sale can be safely used not only in the substance of the food itself but also in the expected quality offered to customers . The other aspects of food production related to food integrity are how the procurement is done , the distribution process involved and how it is being sourced by the organisation involved .
As the Muslim market continues to grow alongside Malaysia ’ s aim as a prominent halal hub , marketers need to understand the factors that could influence consumers ’ decisions if they choose to sell their food products in Malaysia .