Assalam alaikum,
I am a system administraror in an Islam research and popagation centre. The centre has computer and internet facility and it is used by the ulema working there. The manager wants me to install a software on the computers which will log the activities of the activities and report the websites visited (spyware). My question is whether it is allowed to install suchsoftware or not.

All perfect praise be to Allaah, The Lord of the Worlds. I testify that there is none worthy of worship except Allaah, and that Muhammad is His slave and Messenger.

If this programme is for logging the activities of the user and reporting the websites that he visited, then it is not permissible for you to install this programme even if the Director orders you to do so as this is helping in sin and transgression. Allaah Says (what means): {Help you one another in virtue, righteousness and piety but do not help one another in sin and transgression.}[Quran 5:2]

Indeed, what the Director wants to do is to spy, and spying is forbidden as we clarified in Fataawa 92655 and 83404.

However, he has the right to condition any permissible conditions in which there is a benefit for work, but without resorting to spying. 

Allaah Knows best.