Environmental Concern in Managing Halal Food Supply Chain

Abstract

Nowadays environmental issues persuade companies to pursue conditions whereby the needs of the present are met without compromising the resources of future generations. So, implementing green rules and regulations gain more and more attentions. In spite of benefits of implementing green practices, many companies are not understood why they should invest on it. Hence, the aim of this study is to examine what drivers encourage companies to move towards implementing green practices in their supply chains. To achieve the objectives of this study a survey was designed and distributed to 300 halal food companies in Malaysia. A total of 61 usable replies were received. The results of this study revealed that performance and quality improvement, waste and cost reduction are the important drivers of implementing Green Supply Chain (GSC) practices in the halal food companies. It is interesting that having ISO 14000 certificates are reported as the least important driver of implementing GSC practices among these companies. Therefore, it can be concluded that internal benefits mostly motivate halal food companies to implement GSC practices. Since there is little documentation regarding the application of GSC practices in the halal food industries, understanding these issues is identified as a gap in the existing literature.