The perception on halal supply chain management systems implementation of SMEs in Selangor

Abstract

Objectives: Managing halal supply chain is the main challenge in any halal related industry. Therefore, the study is to identify the perception of implementing Halal Supply Chain Management Systems in SMEs. Methods/Statistical Analysis: The understanding toward the need of Halal Supply Chain Management Systems will be quantified in the form of semistructured questions. The study was conducted through interviews to measure the selected items toward the need for halal SCM. On that purpose, the upper management or owners of the organization were selected as the respondents from 11 halal SMEs companies that run their businesses in Selangor, Malaysia. Findings: The result shows the importance of implementing the Halal Supply Chain Management Systems in addressing the problems related to the sustainability of halal related businesses. The complex issues of halal could be overcome, particularly to the relationship between suppliers and buyers in the business systems that need each other to integrate information between them. The respondents’ agreed that the implementation of the halal SCM critical to reduce the problems related to procurement and supply chain as a whole. The problems in halal chain based on the factors of integrated information for halal Supply Chain Management is discovered. The related issues state clearly the importance of procurement continuity with business performance. Application/Improvements: The study is expected to be the basis for drawing up best practices for ideal halal supply in a more cost-effective and sustainable manner.