Implementation of halal food management system in small and medium enterprises food manufacturers

Non-compliant cases toward a Halal standard (MS1500:2009) can have negative effects on Muslim consumer confidence, as well as affecting the profitability and reputation of the companies involved. In practice, non-compliance is directly associated with ineffective implementation of the management sys...

Full description

Saved in:
Bibliographic Details
Main Author: Ahmad, Anis Najiha
Format: Thesis
Language:English
Published: 2018
Subjects:
Online Access:http://psasir.upm.edu.my/id/eprint/79184/1/IPPH%202018%2010%20ir.pdf
Tags: Add Tag
No Tags, Be the first to tag this record!
id my-upm-ir.79184
record_format uketd_dc
spelling my-upm-ir.791842022-01-14T07:45:15Z Implementation of halal food management system in small and medium enterprises food manufacturers 2018-08 Ahmad, Anis Najiha Non-compliant cases toward a Halal standard (MS1500:2009) can have negative effects on Muslim consumer confidence, as well as affecting the profitability and reputation of the companies involved. In practice, non-compliance is directly associated with ineffective implementation of the management system. This signifying the need to identify and examine the critical factors for effective implementation of Halal food management system. Additionally, although there have been calls and efforts to develop an instrument to assess the effectiveness of food management system (i.e. food safety and quality) implementation, to date, limited instrument is available for Halal context. Empirical research on the Halal food management system itself is rather lacking. To fill the practical and theoretical knowledge, the main purpose of this study is to develop an instrument that assesses the effectiveness of Halal food management system implementation for small and medium enterprises (SMEs) food companies. A mixed-methods sequential approach was employed. In the qualitative phase, 15 semi-structured interviews were conducted with Halal executives (n=7), consultants (n=4) and auditors (n=4) from JAKIM to identify critical factors for effective implementation of Halal food management system in SMEs. Two of the Halal executives are from large companies, their perspectives were obtained for benchmarking purpose. Ten themes were found; top management commitment; consumer focus; employee attributes and management; teamwork; information capacity; training and education; policy and procedures; adequate support; Halal personnel empowerment and supplier management. In the second phase, these qualitative findings were used in instrument development. In the third phase, a survey was conducted with SMEs food representative (n=181) to test and validate the developed instrument; 163 responses were used in the final analysis. Exploratory factor analysis (EFA) extracted nine factors: management and environmental support; consumer focus; employee attributes and management; teamwork; information capacity; training, policy and procedure; Halal personnel empowerment; supplier management and supplier assessment. Each factor has acceptable internal reliability (Cronbach alpha = 0.927-0.962). Confirmatory factor analysis (CFA) results provided evidence for convergent (Overall factor loading>0.7, AVE>0.5, CR>0.7) and discriminant validity (HTMT ratio<0.90). The result of structural equation modelling (SEM) found the proposed instrument to be predictive of operational performance (R2 = 0.757; Q2 = 0.475) and product quality (R2 = 0.706; Q2 = 0.564). These results indicate that the instrument developed is a valid and reliable. It can be used by a food company as a self-assessment tool. In doing so, the company may select suitable strategies to allocate their resources, provide necessary support, and increase the effectiveness of their Halal food management system. Policy makers could use these findings to formulate policies and effectively improve the components of national Halal food control system to facilitate SMEs to effectively implement their Halal food management system. As one of few studies that focus on the Halal food management system, this study constitutes a foundation that could facilitates a number of new research avenues to be explored in the future. Halal food industry Food - Religious aspects - Islam Dietary laws 2018-08 Thesis http://psasir.upm.edu.my/id/eprint/79184/ http://psasir.upm.edu.my/id/eprint/79184/1/IPPH%202018%2010%20ir.pdf text en public doctoral Universiti Putra Malaysia Halal food industry Food - Religious aspects - Islam Dietary laws A Rahman, Russly
institution Universiti Putra Malaysia
collection PSAS Institutional Repository
language English
advisor A Rahman, Russly
topic Halal food industry
Food - Religious aspects - Islam
Dietary laws
spellingShingle Halal food industry
Food - Religious aspects - Islam
Dietary laws
Ahmad, Anis Najiha
Implementation of halal food management system in small and medium enterprises food manufacturers
description Non-compliant cases toward a Halal standard (MS1500:2009) can have negative effects on Muslim consumer confidence, as well as affecting the profitability and reputation of the companies involved. In practice, non-compliance is directly associated with ineffective implementation of the management system. This signifying the need to identify and examine the critical factors for effective implementation of Halal food management system. Additionally, although there have been calls and efforts to develop an instrument to assess the effectiveness of food management system (i.e. food safety and quality) implementation, to date, limited instrument is available for Halal context. Empirical research on the Halal food management system itself is rather lacking. To fill the practical and theoretical knowledge, the main purpose of this study is to develop an instrument that assesses the effectiveness of Halal food management system implementation for small and medium enterprises (SMEs) food companies. A mixed-methods sequential approach was employed. In the qualitative phase, 15 semi-structured interviews were conducted with Halal executives (n=7), consultants (n=4) and auditors (n=4) from JAKIM to identify critical factors for effective implementation of Halal food management system in SMEs. Two of the Halal executives are from large companies, their perspectives were obtained for benchmarking purpose. Ten themes were found; top management commitment; consumer focus; employee attributes and management; teamwork; information capacity; training and education; policy and procedures; adequate support; Halal personnel empowerment and supplier management. In the second phase, these qualitative findings were used in instrument development. In the third phase, a survey was conducted with SMEs food representative (n=181) to test and validate the developed instrument; 163 responses were used in the final analysis. Exploratory factor analysis (EFA) extracted nine factors: management and environmental support; consumer focus; employee attributes and management; teamwork; information capacity; training, policy and procedure; Halal personnel empowerment; supplier management and supplier assessment. Each factor has acceptable internal reliability (Cronbach alpha = 0.927-0.962). Confirmatory factor analysis (CFA) results provided evidence for convergent (Overall factor loading>0.7, AVE>0.5, CR>0.7) and discriminant validity (HTMT ratio<0.90). The result of structural equation modelling (SEM) found the proposed instrument to be predictive of operational performance (R2 = 0.757; Q2 = 0.475) and product quality (R2 = 0.706; Q2 = 0.564). These results indicate that the instrument developed is a valid and reliable. It can be used by a food company as a self-assessment tool. In doing so, the company may select suitable strategies to allocate their resources, provide necessary support, and increase the effectiveness of their Halal food management system. Policy makers could use these findings to formulate policies and effectively improve the components of national Halal food control system to facilitate SMEs to effectively implement their Halal food management system. As one of few studies that focus on the Halal food management system, this study constitutes a foundation that could facilitates a number of new research avenues to be explored in the future.
format Thesis
qualification_level Doctorate
author Ahmad, Anis Najiha
author_facet Ahmad, Anis Najiha
author_sort Ahmad, Anis Najiha
title Implementation of halal food management system in small and medium enterprises food manufacturers
title_short Implementation of halal food management system in small and medium enterprises food manufacturers
title_full Implementation of halal food management system in small and medium enterprises food manufacturers
title_fullStr Implementation of halal food management system in small and medium enterprises food manufacturers
title_full_unstemmed Implementation of halal food management system in small and medium enterprises food manufacturers
title_sort implementation of halal food management system in small and medium enterprises food manufacturers
granting_institution Universiti Putra Malaysia
publishDate 2018
url http://psasir.upm.edu.my/id/eprint/79184/1/IPPH%202018%2010%20ir.pdf
_version_ 1747813308617981952