ABSTRACT

Halal transportation services are devised by logistics providers purely to maintain the status and quality of products with a Halal certification. Unfortunately, Halal manufacturers rarely make use of Halal transportation services. This chapter aims to identify obstacles and facilitators to the application of transportation services among Halal small and medium-sized enterprises (SMEs) in Malaysia. Data from 306 Halal SMEs were collected after a purposive sampling selection. Structural equation modelling with SmartPLS was applied to identify the relationship between variables in the Technology–Organization–Environment Framework and the intention to use Halal transportation services. The findings show that complexity, cost and supplier availability are obstacles, while competitive pressure and organizational readiness are facilitators to the acceptance of Halal transportation by Malaysian Halal SMEs. The findings provide essential information and a fuller perspective on the obstacles and facilitators to the use of Halal transportation by these SMEs. Moreover, the authors provide several recommendations to promote the use of Halal logistics by the government and service providers.