Factors influencing ICT adoption in halal transportations: a case study of Malaysian halal logistics service providers

Abstract

The purpose of this study is i) to investigate the factors that influence the adoption of Information and Communication Technology (ICT) in Halal transportations and logistics and ii) to develop an ICT adoption framework for Halal logistic service providers (LSPs). The Halal LSPs selected for the study currently used ICT service platforms, such as accounting and management system for Halal logistic business. The study categorizes the factors influencing the adoption decision and process by LSPs into four groups: technological related factors, Halal assurance related factors, organizational and environmental related factors. The major contribution in this study is the discovery that technological related factors (ICT compatibility with Halal requirement) and Halal assurance related factors are the most affecting factors among the Halal LSPs applying ICT for Halal performances control in transportation’s operation. Among the environmental related factors, ICT requirement for monitoring Halal included in Halal Logistic Standard on Transportation (MS2400:2010) are the most influencing factors in the adoption of ICT with the support of the government. In addition, the government related factors are very important in the reducing the main barriers and the creation of the atmosphere of ICT adoption in Halal LSP sector.