Halal Supply Chain Management

Halal supply chain management is becoming important for consumer confidence in halal certified products. However, halal supply chains are complex supply chains with vulnerabilities that need to be addressed through well organised robust, effective and efficient halal supply chains. This paper sets out to argue that new innovative solutions are needed for better optimisation of halal supply chains that exploit collaboration, both vertically with supply chain partners and horizontally among companies in the same industry. Methods in vertical collaboration proposed are halal clusters and a halal supply chain orchestrator. Possible methods in horizontal collaboration are direct collaboration models and collaboration through an intermediary. Governments are recommended to stimulate vertical and horizontal collaboration initiatives in the halal industry and the development of a more advanced halal standard, incorporating international halal standards, which support a supply chain approach to...

This article measures the perception of Malaysian food manufacturers toward halal logistics through an industry survey conducted in Malaysia. Based on a survey with 44 food manufacturers in Malaysia, results indicate that the responsibility of halal logistics according to the manufacturer is a shared responsibility in the halal food supply chain and value chain. Second, the study confirms that a dedicated storage and transportation is required. The manufacturer recognizes that for cold chain products a dedicated halal sea/airport complex is required, whereas for ambient products, no mixing of halal and nonhalal products in the same section is sufficient. The manufacturer thinks that no mixing of halal and nonhalal products in the same zone of the supermarket provides sufficient assurance for the Muslim consumer. Third, 52.3% of the manufacturers are willing to pay more for a halal logistics system, whereas small and large companies show a higher willingness to pay than medium-size comp...

“Principles in halal purchasing” was chosen as a Highly Commended Paper winner as it is one of the most impressive pieces of work the Emerald team has seen throughout 2013. Purpose – The purpose of this conceptual article is to investigate the application of halal in purchasing. Design/methodology/approach – This article provides a discussion on the implications of halal for the purchasing function, in particular the purchasing portfolio matrix of Kraljic and the purchasing process model of van Weele. Findings – Halal leads to stronger partnerships with suppliers (strategic and leverage products) and adopting various strategies to secure continuity of supply (bottleneck products). Therefore, conventional commodity categories in certain industries can be allocated different for halal certified products and services, resulting in possible different product and supplier strategies. Halal requirements also have impact on the purchasing process; its tactical and operational purchasing activ...

Halal is extending towards logistics. This paper proposes a halal assurance system for transportation, warehousing and terminals as a proof of a halal logistics system. Next to an extensive literature review, focus group sessions have been conducted in Malaysia, the Netherlands and China in identifying halal control activities and assurance activities in logistics business processes. The findings show that product characteristics (bulk versus unitized, ambient versus a cool chain) and market requirements (Muslim versus non-Muslim country) influence the vulnerability of halal supply chains. Vulnerability is reduced through establishing halal control activities and assurance activities in logistics business processes. Vulnerability can be avoided in (parts of) the supply chain by having dedicated logistics infrastructure, like a dedicated halal warehouse and designated transport, or through containerisation at a lower level. The proposed halal assurance system can be an important instrum...

It is clear that halal is going through an evolution from a Muslim company, halal product, towards a halal supply chain and value chain, where halal requires an integral approach in order to protect the halal integrity for the Muslim consumer and brand owner. This means that similar to food safety, halal needs to be addressed throughout the supply chain from source to the point of consumer purchase (like the supermarket or restaurant). Therefore there is an important role for the logistics sector to facilitate global halal food, cosmetics and pharmaceutical supply chains. To find the full article in Supply Chain Asia magazine (page 20-21):  http://www.supplychainasia.org/members/magazine-archive/cat_view/2-sca-magazine/14-2014

An interview by Amilin TV on the topic of halal logistics and supply chain management with Dr. Marco Tieman (CEO of LBB International) and Mr. Darhim Hashim (CEO of IHI Alliance). http://www.amilin.tv/turning-point/is-your-food-really-halal-understanding-the-halal-supply-chain/