Mapping the barrier of halal food industry performance and the policy insight: combination of ISM-DEMATEL approach

Susanty Aries (), Puspitasari Nia Budi (), Mariana Shinta Devi (), Fekete-Farkas Mária (), Gyenge Balázs () and Nazaruddin La Ode ()
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Susanty Aries: Department of Industrial Engineering, Faculty of Engineering, Diponegoro University, Semarang, 50275, Indonesia
Puspitasari Nia Budi: Department of Industrial Engineering, Faculty of Engineering, Diponegoro University, Semarang, 50275, Indonesia
Mariana Shinta Devi: Department of Industrial Engineering, Faculty of Engineering, Diponegoro University, Semarang, 50275, Indonesia
Fekete-Farkas Mária: Institute of Agricultural and Food Economics, Hungarian University of Agriculture and Life Sciences (MATE) - Szent István Campus, Pater Karoly Utca 1, 2100 Gödöllő, Hungary
Gyenge Balázs: Institute of Economics and Finance, Budapest Metropolitan University, Nagy Lajos Király Utca 1-9., 1148 Budapest, Hungary
Nazaruddin La Ode: Doctoral School of Economic and Regional Sciences, Hungarian University of Agriculture and Life Sciences (MATE) - Szent István Campus, Pater Karoly Utca 1, 2100 Gödöllő, Hungary

Engineering Management in Production and Services, 2024, vol. 16, issue 4, 69-95

Abstract: The study aims to understand interlinkages and the relative importance of barriers to maximising the performance of the halal industry in Indonesia using Integrated Interpretive Structural Modelling (ISM) and the Decision-Making Trial and Evaluation Laboratory (DEMATEL) methodology. This study uses the content validity method to find the relevant or valid barrier, the ISM methodology to examine the interrelationship between the valid barriers, and the DEMATEL methodology to find the cause–effect relationships and revise the ISM digraph. To the best of the authors’ knowledge, this study is the first to investigate the barriers to systematically maximising halal industry performance in Indonesia, elaborating on the relationship between relevant theories and practical issues to identify the barriers. The study’s integrated approach helps corporate and political decision-makers identify essential barriers to development and explore the interdependencies between barriers. This can help decision-makers overcome critical obstacles, use resources more efficiently, and find innovative solutions for the industry’s viability and dynamic development.

Keywords: barriers; halal industry; ISM; DEMATEL (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:vrs:ecoman:v:16:y:2024:i:4:p:69-95:n:1005

DOI: 10.2478/emj-2024-0034

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