Halal risk management: combining robustness and resilience

Abstract

Purpose The purpose of this paper is to introduce a supply chain view of a robust and resilient halal brand. In this conceptual paper, a risk prevention-mitigation-recovery cycle is proposed. Design/methodology/approach This paper builds further on previous work published in the Journal of Islamic Marketing on Islamic branding and halal supply chain management. Hypotheses are developed on the intensity of risk management. Findings Integrity of halal products is becoming an increasing concern for governments and industries. Three halal supply chain risk cycles are proposed: (1) risk prevention: risk vulnerability assessment, supply chain (re)design, vertical and horizontal collaboration, monitoring; (2) risk mitigation: investigative audits, cross-functional team, risk mitigation and communication plan, monitoring; and (3) risk recovery: risk recovery and communication plan, resume operations, maintain employee support, review risk mitigation and recovery plans. Research limitations/implications This conceptual paper proposes three halal supply chain risk cycles to better organise risk management in halal supply chains. However, more empirical research on halal risk management is needed to validate these risk management cycles. Practical implications To better protect halal brands and corporate reputation, there are evident benefits of extending halal assurance towards the supply chain, for which prevention-mitigation-recovery cycles are proposed. Originality/value As halal is going through an evolution, towards a halal supply chain and value chain, halal-certified brands need better protection. It is the first study investigating halal risk and reputation management for halal-certified brands.