CHAPTER 3: ISLAMIC ETHICS IN PRODUCTION

By: Mohd Adib Bin Abd Muin2014

TABLE OF CONTENT

1.0 INTRODUCTION 2.0 PROBLEM STATEMENT 3.0 LITERATURE REVIEW 4.0 FACTS 5.0 DISCUSSION 6.0 CONCLUSION 7.0 RECOMMENDATION 8.0 REFERENCES 9.0 Q AND A SESSION

1.0 INTRODUCTION

Ethics involves a discipline that examines good or bad practices within the context of a moral duty

Definition of Production: Production refers to the practices and means that are used to convert tangible and intangible input into goods or services.

Production in Islam: Creation of utilities and adding value to utilities

The Holy Prophet said, “Acquisition of lawful livelihood is the most important obligation after the obligation of prayer”.

Factors Of Production

1. Land

2. Labor

3. Capital

4. Entrepreneur

2.0 PROBLEM STATEMENT

1. Surpluses

2. Producing goods and services in proper proportions

3. Product Halal & Haram

4. Concealment goods

3.0 LITERATURE REVIEW• This area of business ethics deals with the duties of a

company to ensure that products and production processes do not cause harm (Philips, 2008).

• Some of the more acute dilemmas in this area arise out of the fact that there is usually a degree of danger in any product or production process (Vandivier, 1983) and it is difficult to define a degree of permissibility, or the degree of permissibility may depend on the changing state of preventative technologies (Marcoux, 2009) or changing social perceptions of acceptable risk (Velentzas-Broni, 2010a).

• The production process should not cause harm to others as restricted currently by zoning regulations. This is based on the instruction of the Prophet : " one should not harm himself or others"

The product or service must be lawful and does not involve "trespassing the limits of Allah" [Qur’an, 2:29].

Permissibility of lawful trade : The Qur’an explicitly states that trade in itself is permissible “… but Allah has permitted trade and has forbidden interest” [Qur’an, 2:275]

4.0 FACTS

Production Activities

Human ability to create a product that can be used by others by using the facilities which already been created by Allah.

Create wealth by using natural resources Value added to a product or service An activity to produce output from the

input Should have the right objectives

Production Of The Lawful

Production is restricted by the following conditions: The product or service must be lawful The method of production should not

cause an undue and excessive harm to Allah-given resources

Productive resources are not to be left idle

The production process should not cause harm to others

Protection Of Natural Resources

Human must believe that natural resources are sufficient• Allah had provided the sufficient natural resources

till hereafter Natural resources must be used in the right way

• Human as a trustee• It is forbidden to damage the natural resources

Islam encourages to involve in agriculture, livestock, manufacturing, etc.

3 questions should be answered in the production process • What are the goods that will be produced?• How it will be produced?• How much it will be produced?

5.0 DISCUSSION Halal production covers all products or services

that do not conflict with al-Qur'an and hadith.

“Wahai sekalian manusia! makanlah dari apa yang ada di bumi yang HALAL lagi baik, dan janganlah kamu ikut jejak langkah Syaitan; kerana Sesungguhnya Syaitan itu ialah musuh Yang terang nyata bagi kamu”. (al-Baqarah: 168)

“Dan makanlah dari rezeki yang telah diberikan Allah kepada kamu, Iaitu yang HALAL lagi baik, dan bertaqwalah kepada Allah Yang kepadanya sahaja kamu beriman”. (al-Maidah: 88)

Each output can provide security and safety to the user.

Provide complete information

Providing high quality of products and services.

6.0 CONCLUSION It was concluded that is seen that Islam is very

concerned on matters pertaining to the affairs of the production. ethics in the production process is very important and should not be ignored because here the starting point to the beginning of the marketing of goods or services. production that does not follow the principles set by Islam will affect the entire business operation.

So that, entrepreneurs who want to venture into the business need to equip themselves with knowledge of Islamic business and make the Quran as a source of reference to which they are engaged-profit but will not take care of the surrounding community

7.0 RECOMMENDATION & SUGGESTION

Planning (al-saff 61:4)

Quality control

Training and motivational for workers

Warning and punishment

8.0 REFERENCES JOURNALS AL-QURAN AND HADITH WEBSITES

9.0 Q AND A SESSION