PROPOSING A REGULATORY

FRAMEWORK FOR MUSLIM FRIENDLY

HOSPITALITY
: A SYSTEM APPROACH
Religion $ ells.
WHY MUSLIM-FRIENDLY REGULATORY FRAMEWORK ?

• THERE ARE LOOPHOLES IN THE MUSLIM-FRIENDLY HOSPITALITY

REGULATORY FRAMEWORK.

• THE NEED TO DEFINE AND ESTABLISHED A MUSLIM-FRIENDLY

HOSPITALITY (MFH) REGULATORY FRAMEWORK IS A GRAVE
CONCERN IN THE DEVELOPMENT OF ISLAMIC TOURISM IN MALAYSIA
(ISLAMIC TOURISM CENTRE MALAYSIA, 2013; SAMORI, RAHMAN, & ZAHARI, 2017)
F a i t h - B a s e d Needs

PROFIT / RETURNS
• Consumer
Confidence
• New Market
• Bigger
Audience
• Religiosity
HALAL
ACCREDITATION
Fake / Dubious Halal Government
PRE 2011 (TDA 1972)
Logo Sanctioned

• Dubious Halal Logo

• Self Declaration Of Halal
• False Representation
• False Description
• Negative Perception Of Halal

ACCREDITATION
Certification

HALAL
• Halal Integrity Questioned
• Consumer Confidence On
Halal Diminished
• Haram Adulterated Food In
The Halal Supply Chain
• Confidence On Government
Function Low

(Hassan & Hanif, 2017)

 Monitoring Enforcement

• Dubious halal logo Legal

• Self declaration of Halal Repercussion
• False representation
• False Description

Lead /
Certification
Agency
 Post 2011 (TDA 1972)

• Single Halal Logo

• No Self declaration of Halal

ACCREDITATION
• Reduce Cases of False representation
• Reduce Cases of False Description

HALAL
• Positive perception of halal certification

• Halal integrity consolidated

• Consumer confidence on Halal grew
• Material/process control in the halal
supply chain
• Confidence on government function
High
• Halal based industry grew
exponentially
 METHODOLOGY
• Review of secondary data
• Detailed analysis of legislativedocuments
including acts, legislation, standards,
guidelines and circulars were conducted

• Datafindings were openly coded, stratified

and the analysed, and translated into
graphical charts representation in Atlas ti. 8

• Mapping of the halal regulatory framework

• Benchmark with the halal regulatory framework
• Adopting system approach
 SYSTEM APPROACH
The organisation, Super system
viewed, as an organic
and open/closed Pre requisite for system :
system consist of 1. E v e r y C o m p o n e n t m u s t
interrelated
interrelating, nested
2. C o d e p e n d e n t w i t h e a c h
and symbiotic parts other
known as a subsystem 3. H i e r a r c h i c a l o r d e r
4. B o u n d a r i e s
(Spears, 2000)
FINDINGS & DISCUSSION
Faith-Based Needs

PROFIT / RETURNS
• Consumer
Confidence
• New Market
• Bigger
Audience
MUSLIM FRIENDLY
HOSPITALITY
• Religiosity
ACCREDITATION
Self-Declaration

MUSLIM FRIENDLY
HOSPITALITY
ACCREDITATION
MALAYSIA
Halal Certification, Then…. Muslim-Friendly Certification, now….
 Mapping Of The Malaysian Regulatory Elements
In The Tourism Sectors

1
• Current legislative elements in the Malaysian law that relate to the management and
administration of tourism sectors in Malaysia is adequately covered (Mosbah &
Mohamed Saleh, 2014). Mapping of the current set of legislative elements shows that
every element has been covered adequately. However, when it comes to the practices of
MFH, there seems to be an insufficiency. 2
Elements In The Muslim-friendly Hospitality
Source : MS 2610 Muslim-Friendly Hospitality Services – Requirement (Department
of Standards Malaysia., 2015)
 GOVERNMENT POLICY
 11 Malaysia Plan
th

 National Eco-Tourism Plan

 Strategic Plan for Islamic Tourism Development, Islamic Tourism Centre
ACT ORDERS REGULATION
   
 Tourism Industry Act 1992  Trade Description (Certification and Marking of Halal)  Food Hygiene Regulations 2009
 Trade description Act 2011 Order 2011  Food Regulations 1985
 Tourism Vehicle Licensing Act  Trade Description (Definition of Halal) Order 2011  Trade Descriptions (Certification and Marking of Halal Fees)
 Innkeepers Act 1952   Regulations 2011
   Tourism Industry Regulations (Business Travel and Business
( Including enactment passed by the state government) Operation Travel Agency) 1992
 Tourism Industry Regulations (Licensing and Controlling
Tour Guide) 1992
 Tourism Industry Regulations (Compounded Offenses) 1992
 Tourism Vehicle Licensing Act 1999
 Tourism Vehicles (Tourism Vehicle Licensing and
Regulation) Regulations 2000
STANDARDS MANUAL & GUIDELINES
CIRCULARS
   
 MS 2610:2015, Muslim Friendly Hospitality Services -
Requirements
 MS 1500:2009, Halal Food - Production, Preparation, Handling
And Storage - General Guidelines (Second Revision)
 MS 1900:2005, Quality Management Systems - Requirements • None
From Islamic Perspectives • None
 MS 2300: 2009, Value-Based Management System –  
Requirements From An Islamic Perspective
 MS 2393: 2010 (P), Islamic Principle and Halal – Definition
and Explanation of terms

MAPPING OF MFH RELATED REGULATORY ELEMENTS IN THE TOURISM INDUSTRY

Source: Adapted from Spears (2000) Foodservice
Organizations - A Managerial and System Approach
Source: Adapted from Spears (2000) Foodservice Organizations - A Managerial and System Approach
 MFH POLICY
• No conclusive evidence showing the
existence of MFH or Islamic tourism policy
being implemented or being planned by the • To set a national Shariah council on Islamic
Malaysian government tourism
• MFH sector requires strong government • Introduce a systematic quality assurance
policies for the sector to fully mature by and accreditation system for MFH
formulating policies that create a conducive PROPOSITION
• Future plan for Islamic Tourism /MFH
environment (khairil wahidin awang & yuhanis abd aziz, • Identification of stakeholders
2011)
• Strategic Plan For Islamic Tourism
Development, Islamic Tourism Centre
 ACT, STATUTE AND LEGISLATION
• no act or legislative document that could be • subsidiary legislation is introduced under
tied directly to the MFH the TIA 1992 that cover the aspect of MFH
• governing law that so much in control of • in the form of adjunctive Order or
Malaysian Tourism is the Tourism Industry Regulation
Act 1992 (TIA 1992) • Section 34, Subsection (1), the minister has
• MFH regulatory framework lacked power the power to make such regulation consider
of authority expedients to the act, and through Article
• Without a proper and adequate legislative PROPOSITION (2), Item (a) (g) (h) (ha) (i) and (j)
power, it is difficult to enforce as well as to (Government of Malaysia, 1992)
manage the MFH as a practical system, as • MFH need to have a comprehensive
there is no set of rules to dictates the definition on “Muslim-Friendly Hospitality”
operation of MFH and its related services. • defined penalty for abusing and falsely
using the Muslim-Friendly
 IMPLEMENTATION GUIDELINE, MANUAL PROCEDURES AND CIRCULARS

• Lead agency to derive comprehensive

implementation guidelines and manual
procedures on the adoption of MFH in the
• No known guidelines, manual procedure tourism sectors, together with its
nor do circulars that could be related to the certification procedures.
MFH services • The implementation could be adopted from
• Governing material usually derived from PROPOSITION the halal certification manual procedures
the governing bodies that oversee the (3rd revision 2014) by JAKIM, as well as the
implementation of the system halal assurance system management 2011
• Addendum to the guidelines and
procedures can be introduced through
circulars, when necessary
 STANDARDS AND TERMS OF REFERENCE
• the standards for MFH has been put in
place, adopted on voluntarily basis by
industry player
• no certification existed to be used with this • Certification scheme based on the
standards standards
• The MS 2610:2015 Muslim-Friendly • Used extensively as minimum standard for
Hospitality Services – Requirements PROPOSITION
MFH
Standard
• this is only known pieces of authoritative
reference that ties directly to the MFH
practices
 INTERNAL CONTROL MEASURES

• To uphold the integrity of the Muslim

friendly hospitality as a credible rating and
accreditation system • to be used together with the standards, an
• a link between this internal control systems internal control system that will ensure the
to a legislative document, which has to accountability of the MFH practices through
bear in authority systematic management.
• installation of (HAS) within an organisation • ensure that all Shariah requirements are
is sufficient to preserve and protect the PROPOSITION met before, during and after conferring the
integrity of the Halal products through Muslim Friendly status
better management of Halal practices and • adequately address the Shariah concerns
meeting Shariah requirement and Muslim’s requirements
• A control system also has been highlighted
in the MS2610:2015
 LEAD AGENCIES
• No government agencies to coordinated
and lead the implementation of MFH • role and function of ITC need to be
• ITC - Islamic Tourism Centre expanded from its current roles
• augmenting the roles of the Ministry of • no credible lead agency bears the same
Tourism, Malaysia and Tourism Malaysia, capacity and experience, to what ITC has
aids as a consultative body particularly in been doing so far
matters of Islamic tourism PROPOSITION • bestowed with the necessary legislative
• Limited roles power to ensure and uphold the
• strategic tourism research and market accountability of Muslim-Friendly
intelligence as well as providing training implementation in Malaysia.
and capacity-building services about
Islamic tourism
 FEEDBACK SYSTEM

• Lead agencies to collect

• Vital to ensure the and received all the
running of the process feedbacks
• Check and balance • Internal and external
tools PROPOSITION sources
• Consistent data on • Collect, analyze and
implementation proposed CQI on the
system

Ryan (2008), Spears (2000)

Faith-Based Brand Trust Demographic
Needs

Religion $ ells.
Product Profit /
Religiosity
Confidence income
 CONCLUSION
• There still loopholes in the Muslim Friendly Hospitality (MFH), particularly a transparent
MFH policy as well as an MFH legislation which has standing power to oversee the
functionality of MFH practices being implemented on a commercial basis.

• Lesson learned from the halal certification, and halal ecosystem in Malaysia provided
valuable insight, on the repercussion and effect of a firm and robust regulatory framework.

• By having the regulatory framework, transposed into a system approach, the linkages are well
defined, and connections are acknowledged. A firm, credible and all encompassed
regulatory framework will create a sustainable ecosystem of MFH practices in Malaysia.
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