Fitra Lestari, - and Tengku Nurainun, - and Yenni Kurniawati and Mohammad Dzaky Adzkia, - (2021) Barriers and Drivers for Halal Supply Chain on Small-Medium Enterprises in Indonesia. The International Multi Conference of Engineers and Computer Scientists 2021 (IMECS 2021). ISSN p-ISSN: 2078-0958, e-ISSN: 2078-0966

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Abstract

Halal supply chain in SMEs not only provides a value proposition on consumer health but also on economic value for business actors. Currently, the number of halal certifications for SMEs in Indonesia is still limited. Problems in the halal supply chain need to be studied in order to facilitate and increase SMEs in obtaining halal certification. To overcome the gap of study, it is necessary to identify the barriers and drivers for SMEs in the implementation of the halal supply chain. The SCOR model was adopted in research to describe the activities of the business process and business actors involved in managing halal certificates. Then, there were 7 respondents who were interviewed including experts such as 2 auditors, 2 researchers, 1 policymaker and 2 food and beverage owners in one of the provinces in Indonesia. Thus, the study adopted a qualitative method by combining a case study approach and the literature review. The literature found that there are 11 barriers and 10 drivers in the halal supply chain in SMEs. Short-term validity and issuance of Halal certification are the biggest barriers. Then, the Halal certification program is getting the highest score for the drivers which facilitates efforts to implement the halal supply chain strategy. This study has analyzed the barriers and drivers for making suggestions in improving public policies regarding SMEs and their management in implementing the halal supply chain. Further research is suggested to examine the relationship between all actors in the halal supply chain to deal with existing obstacles.

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