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The implementation of statistical process control can improve the quality of halal cosmetics product and give a benefit to the company: Partial Least Square Structural Equation Modeling Approach
Rosita Husain Husain, Astri Yulia, Mohd Fuad Mohd Salleh

Last modified: 2017-01-05

Abstract


The demand for halal cosmetics products is rapidly increasing due to the high quality of the products. Hance, it is not surprising that  halal cosmetics industry can be the next emerging sector for the Halal Industries in Malaysia . The halal cosmetic products in Malaysia are certified and control under JAKIM (Department of Islamic Development Malaysia) and follow the Malaysian Standard MS 2200:2008 requirement.  According to the Standard MS2200: 2008, Halal Cosmetics products must be safe and not hazardous to be used by customers. It means the products should have high quality in the manufacturing process. Thus, the implementation of Quality Control method intended to improve the quality of the halal products has become a business strategy for organizations. Statistical Process Control (SPC) is known as a powerful technique which organizations can use in improving the quality of products or services and lead to the many benefit for companies. Therefore, the purpose of this study is to examine the influence of management commitment on SPC implementation and the impact of SPC implementation on company benefit.  The study was conducted for 10 cosmetics companies in Selangor, and use self-administered questionnaires as data collection method. This study applies modelling methodology of Partial Least Squares (PLS) using SmartPLS software to study the relationships in the theoretical model. The results of the PLS analysis support the proposed model with all regression coefficients are significant at 0.05 (t-value > 1.97), i.e. the relationships among the constructs are statistically significant. As a result, the model is statistically valid and give a clear indicators of SPC implementation in Halal cosmetics companies.

 


Keywords


Halal Cosmetics, Statistical Process Control, Management Commitment

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