TRACK, TRACE &

VERIFICATION OF
HALAL PRODUCT
USING IDENTIFICATION
TECHNOLOGY

PBS1311026 CHELLAMMAL ALAGIRISAMY
PBS1311149 MOHAIMI MOHAMED
PBS1211186 NORSHAHIRA KAMARUZZAMAN
PBS1312009 NUBAILAH BINTI ARSHAD
PBS1311131 WAN AHMAD RAHISYAM WAN HASHIM
GSM5170
MANAGEMENT INFORMATION
SYSTEM
OVERVIEW

*2.08 billion
muslim population

*source : http://www.muslimpopulation.com/World/
Potential growing
market (Middle East,
Africa, Asia)
Economic growth :
trade/export/Halal
food and food bi-
product
halal logo is perceived as
recognition and assurance of
the food quality and safety

Reliable Certification Process
is needed

Global Scenario
Local Needs
Efficient
enforcement (Halal
products)
Reliable halal
certification & logo
Track n trace add
value to local halal
product : penetrate
potential market
worldwide
IT roles?
Link databases
-Easy references
-Enable trace &
track
Online halal
certification
application
-Faster
-Convenience
Web based system
- Wider access
2
3
eHALAL
Copy and print of fake halal logo by
irresponsible traders or manufacturers
Difficulty in tracing the suppliers chain
for certain product and manufacturer as
most of the food product are produced by
many other intermediaries in the food supply
chain
Limitation in human resource to conduct
regular enforcement
Department of Islamic
Development Malaysia
(JAKIM)
ISSUES
Monitor issuance of halal
logo
conduct enforcement

ensure the halal status given
to certain products are
reliable and trusted by public
Ministry of Domestic Trade,
Cooperatives and Consumerism
Ministry of Health
Department of Veterinary
Malaysia Royal Custom
Local authority
Department of Chemistry
Enforcement done in collaboration with:
JAKIM e-HALAL
Database
Intermediate
Database
P4Halal
Database
Read/Access
Firewall
Internet
Mobile Apps:
for trace and track
Android, iOS
Web Apps:
Industry
Authority (JAKIM)
End Users
Food product

Sensor Tag
Request Feedback
Read/Access
P4HALAL : HALAL TRACK,
TRACE &VERIFY SYSTEM
4
System Overview
Data centre for Halal
certified products
Stores data from the
sensor tag identification
Unique electronic code
generation
Link to authentication
certificate (halal status)
database
Link supply chain
information (suppliers
chain)
P4HALAL FUNCTION :
5
Mobile
Application
(External)

Mobile Application
(Internal)

Administrator
Industry
Public
Agency
System
Portal
P4Halal
P4HALAL SYSTEM CONTEXT
Involve interaction between users:
Administrator (JAKIM)
Agency/authority (JAKIM/other relevant agencies)
Industry
Public
6
Read/Access
JAKIM e-
Halal
Database
P4Halal
Database
Unique Code
Sensor Tag
e-Halal
Product Code
The printed sensor tag label will be
linked and matched with the e-Halal
product code
SEARCH &
TRACKING
Halal product
Supplier Chain
REPORTING
Report & Statistic
ADMINISTRATION
User Management
System
Administration
Data Management
SENSOR TAG
Printing and
labelling
The system will check the user access ID
(Agency/industry/Administrator) User Access
Control
Public user scans the
sensor tag with touch
screen device or
check via the portal
using unique code
P4HALAL FEATURES
P4Halal
system
Modular Based :
Product Search
Company
Search
Suppliers
Search

Mobile
Application
Support
Android & iOS

Web based portal
Link to eHalal
database

7
S
T
R
E
N
G
T
H
Established Good
Reputation

Technological
Advancement

Strong Halal Hub Position

Marketing Intelligence
System
8
SWOT ANALYSIS

W
E
A
K
N
E
S
S

Lack of
Professionalism

Lack of Knowledge

High Production
Cost
9
SWOT ANALYSIS


O
P
P
O
R
T
U
N
I
T
I
E
S

Pool of Potential
Customers

Global Halal-Hub

New Product Lines
established
10
SWOT ANALYSIS
T
H
R
E
A
T
Competition from
neighbouring
countries

Existence of new
global halal
producers
11
SWOT ANALYSIS
12
FIELD STUDY
awareness of end user towards Halal
concept
end users perception towards Halal tagging
system
end users willingness to buy Halal products
with P4Halal system and technology
OBJECTIVE
To investigate :
RESPONDENTS PROFILE
13%
68%
7.50%
2.80%
7.50%
1%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Occupation Sector
70%
30%
Gender
Male
Female
56%
44%
Muslim
Non Muslim
SURVEY
OUTCOMES
Understanding of the
Halal concept
For non muslim, 33.6%
are uncertain about the
relationship between
Halal and healthy benefit
6%
7%
16%
40%
31%
Totally Disagree
1
Disagree 2
Uncertain 3
Agree 4
Totally Agree 5
Totally
Disagree 1
6%
Disagree 2
9%
Uncertain 3
34%
Agree 4
20%
Totally
Agree 5
31%
Believe that halal food is healthy
13
food sanctioned by Al-Quran
allowed by Hadith
religiously approved
taught in Islam as accepted, slaughtered and
processed according to Islamic law
Halal is:
Trust that the product is Halal compliance
is low
Convenience of checking with the current
system is low
Confident level with the current Halal logo
is moderate
47%
30%
7%
8%
8% Totally
Disagree 1
Disagree 2
Uncertain 3
Agree 4
Totally Agree
5
Totally
Disagree 1
10%
Disagree 2
10%
Uncertain 3
45%
Agree 4
24%
Totally Agree
5
11%
9. How convenient the Halal status for product that u
purchase are checked with the current system?
Totally
Disagree 1
10%
Disagree 2
12%
Uncertain 3
39%
Agree 4
27%
Totally Agree
5
12%
10. How convenient the Halal status for restaurant that u
walk in are checked with the current system?
Totally Disagree
1
8%
Disagree 2
8%
Uncertain 3
30%
Agree 4
35%
Totally Agree 5
19%
8. I completely trust that the product I purchase or eat currently is halal
compliance with the existing system?
Totally
Disagree 1
6%
Disagree 2
13%
Uncertain 3
20%
Agree 4
30%
Totally Agree 5
31%
11. I completely trust that the display of a Halal logo on
packaged/restaurant means that the food is 100% Halal.
SURVEY
OUTCOMES
Awareness on Halal Food
14
Many were uncertain whether the
halal tagging system will increase
or decrease products price

Assumption that P4Halal boost
confidence towards Halal logo is
high
9%
8%
11%
34%
38%
Totally
Disagree 1
Disagree 2
Uncertain 3
Agree 4
Totally
Agree 5
Totally
Disagree 1
19%
Disagree 2
23%
Uncertain 3
45%
Agree 4
11%
Totally Agree
5
2%
2. Decrease the product price.
Totally
Disagree 1
12%
Disagree 2
16%
Uncertain 3
48%
Agree 4
18%
Totally
Agree 5
6%
3. Increase the product price.
Totally
Disagree 1
8%
Disagree 2
7%
Uncertain 3
13%
Agree 4
41%
Totally
Agree 5
31%
4. Boost my confidence towards the originality
of the "halal" logo.
SURVEY
OUTCOMES
Perception of P4Halal
Tagging System
15
Consumer effort to obtain halal food is
high
Consumer willingness to buy product with
P4Halal tagging is high.
Consumer prefer to buy products from
retailers, supplier and distributor who use
the P4Halal tagging
10%
11%
16%
31%
32%
Totally
Disagree 1
Disagree 2
Uncertain 3
Agree 4
Totally Agree 5
Totally
Disagree 1
10%
Disagree 2
11%
Uncertain
3
16%
Agree 4
31%
Totally
Agree 5
32%
1. I am willing to go further miles to
get Halal" product with this
technology.
Totally
Disagree 1
9%
Disagree 2
9%
Uncertain
3
12%
Agree 4
38%
Totally
Agree 5
32%
2. I am keen to buy products from
retailer, supplier, distributor who use
this technology.
Totally
Disagree 1
9%
Disagree 2
7%
Uncertain
3
15%
Agree 4
40%
Totally
Agree 5
29%
3. WiIling to buy a product with this
technology
SURVEY
OUTCOMES
Willingness to Buy
16
How the analysis was done ?
Interviewed P4Halal system project team

Questions which were raised during interview : -
Factors that influence the decision to introduce P4Halal system
Challenges that foresee in implementing P4Halal system

What was the outcome of the interview ?
Provide more accurate info on the usefulness of the tech and it should be applied
before and after the system implementation
Identify challenges in implementing P4Halal system
Findings may not reflect the actual scenario as limited number of officials interviewed
as system is still in final development stage



17
QUALITATIVE ANALYSIS
18
QUALITATIVE ANALYSIS
Challenges in system
implementation
Technology
Cost
Data Management
Resistance to change
Capacitive sensor technology
Limited local technical support
Need special printing machine
System maintenance & training cost
Cost in product label/tag printing
Increase products price?
Suppliers Trade Secret
Misuse of data input by manufacturers
Perception the new system will increase jobs
burden (JAKIM)
Manufacturers does not want to share
information on supplier list
IMPACT
OF THE
SYSTEM
RELIGION
ECONOMY
MANU-
FACTURING
USER
19
POTENTIAL IMPACT OF
P4HALAL SYSTEM
IMPACT TO THE
RELIGION
Muslims will consider the concept of Halal as an ultimate factor
of food consumption & directly influence the lifestyle.
Religious structure and rituals are important influencers for the
guidance of the consumer behaviour & intention to purchase
the food products.
P4Halal system will increase level of confident among muslim
on components and other determinants that has an impact on
the selection of products to be chosen as Halal food.
20
IMPACT TO THE
ECONOMY
With Muslims now making up close to a quarter of the world's
population, it is really come as no surprise that Halal is starting
to have a significant impact on global markets.

The demand from Muslim markets overseas is expanding
further in tandem with the growth of population size and per
capita income. Malaysia has already had a head start in the
global Halal market and aspires to be the Global Halal Hub.

The technology (identification technology) and P4Halal system
can increase the potential of export of Halal product all over the
world.

Thus, contribute to countrys income.
21
Source: HDC, Department of Statistic, J AKIM, Custom Department & MATRADE (Halal Product
Statistic Coordination Committee )
22
Halal Superhighway Link with Global Supply Chain
How Halal Tagging System will help improvised supply chain all over the world
23
IMPACT TO THE
MANUFACTURER
As the advance in the research and technology has created a
lot of new products using scientifically-based ingredients, it
makes it more important for the products to carry Halal logo.

Many Muslim nations are reaching a stage of development
whereby they can begin to impinge on world markets, both as
producers and consumers.

This is further accelerated by the speed of globalization, the
advance revolution in science and technology, and the
continuous change in product design, and the manufacturing
processes.

It is important for marketers and producers of consumer goods
and services to understand the Halal concept before
government implement the P4Halal system nationwide.
24
To be the central trading hub for Halal products, intelligent
marketing and strategic supply chain orientation as well as
structured through Halal Assurance system must be adopted.

Whether its supplying canned food to the Middle East, or Halal
cosmetics to the Americas, they must be able to penetrate the
whole supply chain.

P4Halal will ensure the delivery of premium brands of Halal
products and services to the consumers and as a platform for
the Halal industry players in venturing into lucrative Halal
market worldwide.
25
IMPACT TO THE
USERS
E-Halal system had been used by most states and the
registration of Halal certification is done via online
mechanism.

However, e-Halal can only be accessed from a device with
Internet connection and most of the process and transaction
especially registration requires stable Internet connection
with adequate bandwidth.
26
P4Halal act as
Data Warehouse
Easier for JAKIM
to trace
suppliers
Instantly verify
hall status of
product (mobile
apps)
How?
PRODUCT MANUFACTURER SUPPLIER
1
X
A
B
C Y
Z
Currently - information on particular
applicants/manufacturer is stored in
separate file/database & not link to one
another.
Difficult for JAKIM to retrieve indirect
information.
Example : Supplier 1 is supplying
processed Chocolate to manufacturer
X, Y and Z, who each produce Product
A, B and C respectively. Sample from
Product A reveal there is a present of
porcine substance and after further
investigation it is known that the
substance is from the processed
chocolate, supplied by Supplier 1.
Using the current system, Supplier 1
can only be link to Manufacturer X who
produces Product A. It will take quite
some time to link the same supplier to
Product B and C (hence link to
Manufacturer Y and Z).
27
Missing link
IMPLICATION AND
FUTURE
RESEARCH
FUTURE RESEARCH

P4Halal will be an intellectual tool to recognize the differences in supply chain relationships
opening a new opportunity for venture.
Relevant departments must involved in System Development Life Cycle tyo avoid system
duplication and underutilized
Future research on Halal assurance system (structure) and the relationship with supply chain
strategic orientation is a means of predicting Halal assurance system.
Certain factors need to be taken into considerations including change management plan to
minimise the resistance to change and increase the acceptance of user to use the system.



ISSUE

No consolidate database of what Halal related system/initiative is still in use and under
development.
Hard to maintain the database due to the fast changing of the business environment.
Some system are underutilized (Track n Trace WP Labuan)
Each pilot system does not cater for every need
Current system is smaller scale and more as proof of concept and was not maintained well
therefore the impact of the system are not able to be assessed properly.
28
CONCLUSION
29
Potential

Malaysia set the global reference for Halal
law, regulation, implementation.

Malaysia should be able to further
intensify its import from many countries
when the system is in full fledge.

Increase global presence, breaking
dependency and diversify its export for
products and destinations including to
middle east countries : Oman, Qatar and
Lebanon and United Arab Emirates


Value added to the current e-Halal
system
Strengthen Malaysia halal
certification process for halal
products
Plus point to become Halal Hub
and recognized globally.
Increase the confidence level of
other countries to trade with
Malaysia i.e integrated information
and eliminate fake certification or
logo.

P4Halal System