The Impact of Business Excellence on Operational Performance among Halal Certified Food Manufacturers in Malaysia

Abstract

The impact of business excellence with key elements embedded can be a tool for organization to determine opportunities and gain knowledge. This will help the organization to learn how to adopt highperformance and achieve competitive advantage. Through the business excellence model, the organization can execute their strategies to determine, forecast and survive in highly competitive market. This paper presents on identifying those elements in business excellence model (leadership, strategy and planning, customer focus, measurement, analysis, and knowledge management, operation focus) that impact on operational performance in halal certified food manufacturers in Malaysia. Data for the study were collected from 100 halal certified food manufacturers and the relationship proposed in the framework were tested using structural equation modelling (SEM). The result indicated that all the elements of Business Excellence cannot lead to operational performance except for customer focus.