An integrated framework for the measurement of halal good manufacturing practices on the case of SMEs in the food sector

Abstract

Purpose Nowadays, the Good Manufacturing Practice (GMP) in Indonesia with the product’s need for halal certification is limited. The purpose of this paper is to measure the integrated framework of Halal Good Manufacturing Practices (HGMP) in small and medium-sized enterprises (SMEs) and to discover the effect of its performance in the food sector. Design/methodology/approach This research conducted focus group discussion in 2 locations with 8 experts and 73 SMEs in the food sector at 2 Indonesian Government agencies. Findings The study indicated 6 variables and 40 indicators on HGMP and its implementation in each agency. Two agencies in this research were categorized as poor, which indicated the need to increase the implementation of HGMP. For the SMEs’ business process policy, there were significantly different variables in the building, employee, storage and maintenance. Research limitations/implications The implementation of the HGMP is examined in this research based on government regulation. It has not been thoroughly tested based on consumer responses. Furthermore, it can consider consumer satisfaction in the halal framework of GMP. Practical implications Government agencies in Indonesia can measure the implementation of HGMP in food sector SMEs and guide SMEs to achieve halal quality standards. Originality/value This research provides an integrated framework for measuring HGMP in SMEs guided by the Indonesian Government’s agency in meeting the standard of halal products.