CHARTING THE COURSE FOR ORGANIZATIONAL SUCCESS USING ISLAMIC PRINCIPLES OF LEADERSHIP IN STRATEGIC MANAGEMENT: CHALLENGES AND OPPORTUNITIES

Abstract

This paper reviews the literatures on the potential of incorporating Islamic leadership principles into strategic management for organizational success. Through a comprehensive literature review, it presents how Islamic leadership principles, emphasizing fairness, transparency, and ethical decision-making, can contribute to organizational success. These principles can build trust with stakeholders, enhance brand reputation, and potentially lead to increased customer loyalty. Furthermore, Islamic leadership's emphasis on employee consultation and respect can foster a more positive work environment, potentially leading to increased employee engagement and improved productivity. Additionally, the focus on environmental stewardship and social responsibility within Islamic leadership aligns with the growing importance of sustainable business practices. While acknowledging the potential initial costs and legal complexities of implementing these principles, this paper offers recommendations for overcoming these challenges and managing stakeholder expectations. By effectively addressing these considerations, organizations can unlock the long-term benefits of Islamic leadership for achieving ethical and sustainable business success.