Shariah Compliant Hotel Deployment: Unveiling A Case within the Hotel Industry in Malaysia

Noor Sufiawati Khairani,Mohamad Zaki Razaly,Emelin Abdul Wahid,N D Nik Ismail ,Nooh Abu Bakar

doi:10.6007/ijarbss/v11-i12/11378

Noor Sufiawati Khairani, Mohamad Zaki Razaly + Show 3 more

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https://doi.org/10.6007/ijarbss/v11-i12/11378

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Abstract

This study examines the deployment of Shariah Compliant Hotel [SCH] in the Malaysian hotel industry. Proponents of SCH suggest that Shariah compliant accommodation for tourists is an important strategy deployed for competitive advantage in the Islamic hospitality sector. However, little is understood about the deployment of SCH within the Malaysian hotel industry. The present study addresses this literature gap by focusing on both the SCH deployment practices and key business considerations of the organisational Shariah governance within the Malaysian hotel industry. The study adopts a qualitative research methodology, with data collected through semi-structured interviews and document reviews from a single Shariah Compliant case hotel operating in Malaysia. Consistent with the literature, our findings suggest that the case hotel uses a holistic, process approach to deploy SCH practices. This structured, regulated SCH deployment approach involves several key business considerations of organisational Shariah governance that directly supports SCH practices encompassing the financial management, operations, interior and design as well as the services and facilities offered to customers of the hotel.

Highlights

Islamic tourism which represents the largest and most lucrative untapped niche market in global tourism, is one of the attractive segments in tourism industry world-wide (Abu Karim et al, 2017; El-Gohary, 2015)
This study examines the deployment of Shariah Compliant Hotel [SCH] in the Malaysian hotel industry
Alpha Hotel is chosen as the case hotel based on its uniqueness: within the local halal hotel industry, the case hotel among others represents the nation’s halal accommodation advancement in the hotel industry and is among the most shariah compliant, MS1900:2014 Shariah-based quality management systems – Requirements with guidance certified Shariah compliant hotel in Malaysia

Summary

Introduction

Islamic tourism which represents the largest and most lucrative untapped niche market in global tourism, is one of the attractive segments in tourism industry world-wide (Abu Karim et al, 2017; El-Gohary, 2015). Shariah compliant have been identified as an added competitive advantage among hotels in the country especially in attracting both local and foreign Muslim tourists. This is in line with the Malaysian government’s goal in establishing the country as a global Halal hub for halal products and services. MS2610:2015 Muslim friendly hospitality services – Requirements is released in 2015 It is a documented standard focusing on Shariah-guided requirements for tourism industry players in assuring and preserving the integrity of products and services provided for Muslim travellers (Department of Standards Malaysia, 2015). In 2019, the government of Malaysia has introduced the "Muslim-Friendly Accommodation Recognition" [MFAR] initiative, a form of accreditation implemented by the Islamic Tourist Centre [ITC] which recognises Shariah compliant accommodation for tourists (The Star, 2019)

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