Building supply chain performance through halal logistics, organisational capabilities and knowledge management

Halal industry is expanding and gaining importance due to the growing demand for halal products and services. From the lens of dynamic capabilities theory, this paper explores the importance of organisational capabilities on supply chain performance (SCP) through the mediating effect of halal logistics practices. Knowledge management process acts as a moderator to strengthen the relationship between organisational capabilities and halal logistics practices. Data were collected through a survey and responses from 270 managers of halal-certified manufacturers were usable for further analysis. Based on the structural equation modelling approach, this study found that organisational capabilities are positively related to SCP. Halal logistics practices were found to mediate the relationship between organisational capabilities and SCP. Meanwhile, knowledge management process moderates the relationship between organisational capabilities and halal logistics practices. This study provides implications to the existing body of research and the halal products manufacturers.