Halal Internal Auditing Notes Chapter 2


Purpose of Halal Internal Auditing

  • Ensure Compliance:
    ✓ Shariah laws & principles
    ✓ MS 1500:2019 & JAKIM Manual Procedure

Management Responsibilities

  • Personnel Appointment:

    • Appoint Muslim Halal executives or form a Muslim committee for effective internal Halal control (MS 1500:2019).

Standard Reference

  • Malaysian Standard (MS 1500:2019):

    • Guidelines for Halal food production, preparation, handling, and storage.

Internal Audit Process

  • Management Responsibilities:

    • Form Halal internal audit team.

    • Develop internal audit procedures.

    • Conduct regular audits.

    • Document audit results.

Auditor Requirements

  • Appointed by Management:

    • Must be a Muslim Lead Auditor.

    • Competent in Shariah and Halal principles.

    • Experienced in auditing.

    • Minimum of two auditors in a team.

Audit Team Characteristics

  • Lead Auditor:

    • Must be Muslim, practicing, and competent.

  • Halal Auditor:

    • Muslims and Non-Muslims qualified and trained.

    • Must understand Halal, safety, and quality.

    • Able to assess non-Halal issues.

Principles of Auditing

  1. Integrity:

    • Act honestly and impartially.

  2. Fair Presentation:

    • Report findings accurately.

  3. Due Professional Care:

    • Exercise sound judgment.

  4. Confidentiality:

    • Protect information integrity.

  5. Independence:

    • Be unbiased throughout audits.

  6. Evidence-Based Approach:

    • Use verifiable evidence.

Key Competencies of Halal Auditor

  • Skills:

    • Recognize Halal criteria.

    • Strong communication skills.

Auditor Behaviors

  • Qualities:

    • Ethical, cultural sensitivity, observant, tenacious.

Knowledge for Audit Leaders

  • Leadership Skills:

    • Manage team strengths and ensure compliance.

Achieving Competencies

  • Developed through education, training, and experience.