Search results

1 – 10 of over 3000
Article
Publication date: 23 September 2013

Zayyad Abdul-Baki, Ahmad Bukola Uthman, Atanda Aliu Olanrewaju and Solihu Aramide Ibrahim

This paper aims to argue that the methodologies adopted by the conventional management accounting in selecting between or among two or more alternative courses of action, both in…

2258

Abstract

Purpose

This paper aims to argue that the methodologies adopted by the conventional management accounting in selecting between or among two or more alternative courses of action, both in the long-term and the short-term decision making endeavours conflict with the overall objective ( falah) of Islamic enterprises.

Design/methodology/approach

The paper explores relevant literatures (including the Qur'an and the Hadeeth) to ascertain the objective of an Islamic enterprise and suggest an alternative approach, in making a choice among alternative courses of action, that aligns with the Islamic socio-economic objective ( falah).

Findings

The paper suggests that both in long-term and short-term decision making endeavours, cost-benefit comparison (where cost includes negative externalities) rather than discounted cashflow techniques or contribution margin should be adopted in making a final choice among alternatives to achieve falah.

Research limitations/implications

The paper has not considered other objectives that may be pursued by an organisation beside profit maximization whether short-term or long-term.

Practical implications

The paper expands the frontiers of knowledge in Islamic accounting by exposing the inadequacy of the conventional management accounting decision making methods.

Originality/value

This paper explores the Islamic perspective of the conventional management accounting which is rare among scholars of accounting.

Details

Journal of Islamic Accounting and Business Research, vol. 4 no. 2
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 29 July 2022

A.W. Ainol-Basirah and A.K. Siti-Nabiha

This paper aims to systematically review studies of waqf accountability to conceptualise accountability in this unique setting.

Abstract

Purpose

This paper aims to systematically review studies of waqf accountability to conceptualise accountability in this unique setting.

Design/methodology/approach

This review followed the realist and meta-narrative evidence syntheses guidelines for meta-narrative review and used systematic searching for studies related to accountability in waqf institutions, based on the two main social sciences databases (Scopus and Web of Science). Thematic analysis was used to assess patterns regarding how researchers approached the concept of accountability in their studies, along with the context, the theories and the methods they used.

Findings

The number of research papers investigating the issue of waqf institutions’ accountability was severely limited in comparison to the growing literature on waqf institutions themselves. Existing research varies, with accountability practices understood through accounting, reporting and management perspectives, holistic accountability and studying various aspects antecedent to the achievement of accountability, such as governance, performance measurement and intellectual capital.

Originality/value

This study was conducted to fill the gap regarding a systematic review placing specific focus on accountability in the waqf institutional setting. The narrative from the review and suggestions for future research are provided to strengthen understanding of the current state of knowledge on accountability and direction, to enhance its usefulness in both theoretical building and practical improvement.

Details

Journal of Islamic Accounting and Business Research, vol. 14 no. 1
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 31 March 2023

Nur Laili Ab Ghani, Noraini Mohd Ariffin and Abdul Rahim Abdul Rahman

This study aims to assess the extent of the mandatory and voluntary Shariah compliance disclosure in the Shariah Committee Report of Islamic financial institutions (IFIs) in…

Abstract

Purpose

This study aims to assess the extent of the mandatory and voluntary Shariah compliance disclosure in the Shariah Committee Report of Islamic financial institutions (IFIs) in Malaysia. The study highlights the accountability and transparency of the Shariah Committee members to provide full disclosure of relevant Shariah compliance information to the stakeholders.

Design/methodology/approach

The study adopts content analysis to quantify and code the number of sentences in the Shariah Committee Report disclosed in the 2016 annual report of 47 IFIs in Malaysia. The extent of Shariah compliance disclosure in the Shariah Committee Report is measured based on the Standard (S) and Guidance (G) items outlined in the Shariah Governance Framework (SGF) as well as the Financial Reporting for Islamic Banking Institutions and takaful operators guidelines issued by Bank Negara Malaysia (BNM) as the reference.

Findings

The findings indicate that majority of IFIs complied with the minimum mandatory disclosure requirement based on the Standard (S) items in the Shariah Committee Report as required by the SGF. Highest information on the purpose of Shariah Committee engagement and scope of work performed is disclosed to the stakeholders in almost all IFIs. Only two prominent full-fledged Islamic bank and Islamic banking business in development financial institutions have shown highest accountability to go beyond the minimum disclosure requirement. This includes disclosing higher voluntary information on Shariah governance processes in the Shariah Committee Report of these two IFIs.

Research limitations/implications

This study adopts the SGF (Bank Negara Malaysia, 2010), Financial Reporting for Islamic Banking Institutions (Bank Negara Malaysia, 2016) and Financial Reporting for Takaful Operators (Bank Negara Malaysia, 2015) as the reference to develop the measurement of Shariah compliance disclosure in the Shariah Committee Report. These guidelines issued by BNM are still effective during the period of study, i.e. the year 2016.

Practical implications

The findings contribute towards the relevance for BNM as the regulator to enhance the current disclosure requirement in the Shariah Committee Report as stated in the SGF especially in Islamic windows and takaful operators. The main argument of this paper is that the more information being disclosed in the Shariah Committee Report will lead to better Shariah assurances. The issuance of Shariah Governance Policy Document in 2019 is expected to enhance the credibility, accountability and transparency of the Shariah Committee members concerning their oversight responsibility towards Shariah matters in IFIs’ business operations.

Originality/value

After five years since the issuance of the SGF in 2010, further study on the extent of mandatory and voluntary Shariah compliance disclosure is important to highlight the accountability and transparency on the implementation of the Shariah governance across various types of IFIs in Malaysia.

Details

Journal of Islamic Accounting and Business Research, vol. 15 no. 3
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 10 June 2022

Muneer M. Alshater, M. Kabir Hassan, Adel Sarea and Hussein Mohammad Samhan

This study aims to explore the Islamic accounting literature and attempts to identify the worldwide research trends of accounting for Islamic financial institutions.

Abstract

Purpose

This study aims to explore the Islamic accounting literature and attempts to identify the worldwide research trends of accounting for Islamic financial institutions.

Design/methodology/approach

This study adopts a mixed review approach combining the bibliometric method with content analysis. Consulting Scopus database, the authors collect 195 documents (articles and reviews) relative to the Islamic accounting field from 1982 to 2020. VOSviewer, RStudio (biblioshiny) and Excel analysed the data.

Findings

The study revealed the influential scientific actors in the Islamic accounting field, categorising the intellectual structure into seven streams: accounting for Waqf, accounting for Zakat, Shariah auditing, corporate Shariah governance and screening, accounting for different modes of Islamic financing, education and ethics. The study further provides future research directions for researchers.

Social implications

The findings highlight the efforts of academicians, researchers and practitioners in this emerging field. This effort provides awareness to different stakeholders on Islamic accounting, which will lead to better stewardship, accountability and information-based decision in line with Islamic economic principles.

Originality/value

This study is among the first Islamic accounting bibliometric papers that would help researchers stand on a firm basis concerning the development of the literature in this scientific domain.

Details

Journal of Islamic Accounting and Business Research, vol. 13 no. 8
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 8 December 2020

Serge Agbodjo, Kaouther Toumi and Khaled Hussainey

The purpose of this study is to investigate the value relevance of accounting information for Islamic, conventional and hybrid banks. It also investigates the moderation impact of…

1107

Abstract

Purpose

The purpose of this study is to investigate the value relevance of accounting information for Islamic, conventional and hybrid banks. It also investigates the moderation impact of IFRS adoption and AAOIFI mandatory adoption on value relevance of accounting information.

Design/methodology/approach

Using value relevance models, The authors run panel data regressions on 47 Islamic banks, 112 conventional banks and 42 hybrid banks (conventional banks with Islamic windows). The study covers listed banks from 14 countries over the period 2010–2018.

Findings

paper offers three empirical evidences. First, the authors find that value relevance of accounting information is higher for Islamic banks, compared to conventional banks. Second, the authors find that IFRS framework strengthens the relevance of accounting information in Islamic banks, but the authors did not find the same for hybrid banks. Third, the authors find that the mandatory adoption of AAOIFI accounting standards has a moderation effect on value relevance of accounting information for both Islamic banks and hybrid banks. The robustness analysis shows that there is a significant contribution of compliance with Islamic Finance rules in IBs and HBs, which substantially reduces managers' opportunistic behavior to manage accounting information.

Research limitations/implications

One limit of this research is the reduced number of sampled listed IBs since the authors deleted countries that do not have both listed Islamic and conventional banks.

Practical implications

The study is useful for investors that consider the Islamic ethical practices to make their investment decisions as well as for the standards-setting bodies that focus on establishing accounting standards for the Islamic banking industry.

Originality/value

The authors contribute to the value relevance literature by providing novel evidence on the value relevance in fully-fledged Islamic, fully-fledged conventional and hybrid Banks. The authors also provide new evidence on the moderating role of International Financial Reporting Standards (IFRS) and Auditing Organization for Islamic Financial Institutions standard (AAOIFI) for the value relevance of accounting information.

Details

Journal of Applied Accounting Research, vol. 22 no. 1
Type: Research Article
ISSN: 0967-5426

Keywords

Article
Publication date: 4 April 2022

Saleh F.A. Khatib, Dewi Fariha Abdullah, Hamzeh Al Amosh, Ayman Hassan Bazhair and Ali Shariff Kabara

This study aims to present a detailed investigation of Shariah audit research based on a systematic literature review.

1017

Abstract

Purpose

This study aims to present a detailed investigation of Shariah audit research based on a systematic literature review.

Design/methodology/approach

A total of 53 studies were collected from the Scopus and Web of Science databases following a systematic methodology. These studies were analyzed and evaluated based on the theoretical perspective, geographical distribution, research settings and themes background.

Findings

The findings indicate an increase in the literature on Shariah auditing over time, especially in the Malaysian context, with a dearth of research in other contexts and institutions (Takaful). It has been also revealed that the existing literature is still unclear about the effectiveness and consequences of effective Shariah auditing, pointing the need for more work on these areas. The authors outline opportunities for future Shariah auditing research.

Originality/value

The synthesized findings are helpful for policymakers and managers to understand better how research in Shariah auditing is developing and how to translate research findings into practice. To the best of the authors’ knowledge, this is the first research to comprehensively synthesize the literature on this topic and identify the potential opportunities for future research directions.

Details

Journal of Islamic Accounting and Business Research, vol. 13 no. 5
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 1 November 2023

Salah Ud Din, Sharifah Hayaati Syed Ismail and Raja Hisyamudin Raja Sulong

The purpose of this study is to present an analysis of the Islamic good governance concept and means known as Al-Siyasah Al-Syar’iyyah as a principle and approach for combating…

Abstract

Purpose

The purpose of this study is to present an analysis of the Islamic good governance concept and means known as Al-Siyasah Al-Syar’iyyah as a principle and approach for combating corruption. This literature review aims to synthesize extant literature that discusses the determinants of integrity and how to prevent and combat corruption based on the Al-Siyasah Al-Syar’iyyah perspective.

Design/methodology/approach

A systematic search was conducted on a literature review based on Scopus and referred journals from Google Scholar databases. A manual search on Google Scholar was performed to identify additional relevant studies. Studies were selected based on the predetermined criteria. They were thematically examined using content analysis.

Findings

The study found that most of the 45 works of the literature, (41 studies and four chapters) suggested that corruption should be considered a sin and that education of Al-Siyasah Al-Syar’iyyah’s perspective against corruption, emphasizing the principle of piety, the institutionalization of justice and accountability, good governance performance with an emphasis on its belief in self-accountability and justice, is the means to combat corruption.

Originality/value

This study is unique in that it focuses on locating material on battling corruption from the standpoint of Al-Siyasah Al-Syar’iyyah. Based on the al-Quran, the Sunnah and the best practices of Muslim rulership, this notion provides an epistemological, ethical and ontological stance in Islam.

Details

International Journal of Ethics and Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2514-9369

Keywords

Open Access
Article
Publication date: 30 April 2020

Azam Abdelhakeem Khalid

The purpose of this study is to explore the role of Audit and Governance Committee (AGC) for internal Shariah auditing's effectiveness in Bahrain's Islamic banks.

5357

Abstract

Purpose

The purpose of this study is to explore the role of Audit and Governance Committee (AGC) for internal Shariah auditing's effectiveness in Bahrain's Islamic banks.

Design/methodology/approach

This paper employed two-stage approach, i.e. collecting and analysis of data. In this paper, the interviews and literature review on AGC and internal Shariah auditor were conducted as these respondents are considered vital to Islamic banks.

Findings

This paper posited that in building internal Shariah audit effectiveness' conceptual framework, the Islamic worldview theory may be employed as the theoretical foundation. Based on the theory, it was suggested that the Islamic bank's auditors and governance committees may enhance the internal Shariah auditors' effectiveness.

Practical implications

In view of the roles of AGC on internal Shariah audit effectiveness, the current exploratory research contribute to enhance the limited knowledge about AGC by describing the practices of Bahraini Islamic banks in terms of composition, roles/duties and responsibilities and operations. This study also adds to the body literature of AGC effectiveness by identifying roles, duties and responsibilities of characterizing more active AGC and suggesting that these AGC could have a positive impact on internal Shariah audit effectiveness in Bahraini Islamic banks. Overall, this paper provides important insights for Board of Director's member can refer to AGC roles, duties and responsibilities to conduct a self-diagnosis of current practice.

Originality/value

This paper uniquely seized Islamic world view for Islamic banks' AGC.

Details

Asian Journal of Accounting Research, vol. 5 no. 1
Type: Research Article
ISSN: 2443-4175

Keywords

Article
Publication date: 15 December 2017

Malik Shahzad Shabbir

The aim of this paper is to study the current status and development of waqf lands in Malaysia, specifically in the state of Selangor, Malaysia and propose a new model for…

1100

Abstract

Purpose

The aim of this paper is to study the current status and development of waqf lands in Malaysia, specifically in the state of Selangor, Malaysia and propose a new model for categorisation of its waqf lands. Previous studies on waqf lands and allocation of financial resources on these lands have been general and scanty.

Design/methodology/approach

They lack the focus of categorising waqf lands according to sectors, economic attributes and strategic locations so that it was not easy to match these lands to the kind of resources and investment models required for their development. The present research is carried out to categorise waqf lands and prioritise them according to four major sectors, namely agriculture, commercial, residential and religious

Findings

The study is quantitative in nature and uses a multi criteria decision-making method, the Analytic Hierarchy Process (AHP) to prioritise the waqf lands by taking inputs from the officers working in Selangor Islamic Religious Council and some other related organisations. The study concludes with recommendations and suggestions for future research.

Originality/value

I have proposed a new model for the categorisation of waqf lands. Previous studies on waqf lands and its allocation of financial resources have been general and revealing. The present research is carried out to categorise waqf lands and prioritise them according to four major sectors, namely agriculture, commercial, residential and religious.

Details

International Journal of Islamic and Middle Eastern Finance and Management, vol. 11 no. 1
Type: Research Article
ISSN: 1753-8394

Keywords

Article
Publication date: 20 July 2023

Yunice Karina Tumewang, Herlina Rahmawati Dewi and Hanudin Amin

The purpose of this paper is to build a relationship between the quantitative and structural indicators of maqashid sharia studies produced from bibliometric analysis and the…

Abstract

Purpose

The purpose of this paper is to build a relationship between the quantitative and structural indicators of maqashid sharia studies produced from bibliometric analysis and the conceptual discussion developed through a thorough review of selected key literature.

Design/methodology/approach

The study uses bibliometric analysis, collecting information drawn from 219 articles published in 68 journals during the period of 2006–2022. This study uses VOSviewer, RStudio, Microsoft Excel, and an examination of research time periods using the Scopus database to illustrate the citation analysis and keyword map. It is also strengthened by content analysis of selected studies.

Findings

The main research theme found in this study is the application of maqashid sharia in Islamic banks, with Islamic banks and Islamic finance among the most frequently used keywords. Meanwhile, the geographical spread of maqashid sharia research has reflected its universal acceptance, as it has spread across both Muslim-dominant and non-Muslim-dominant countries. Besides, maqashid sharia is found to be an extremely important subject for ensuring the ethical dimension of Islamic finance products and services, a more inclusive human development index, and contributing to the international agenda of Sustainable Development Goals. Lastly, future research is expected to broaden it into a multi-dimensional horizon, with several recommendations offered to enrich the understanding of maqashid sharia.

Practical implications

The findings of this study can be beneficial to multiple stakeholders in Islamic finance industry, including the management of Islamic banks, who can enhance the values of maqashid sharia in designing their products/services, and the regulators, who can formulate regulatory frameworks which are reflective of maqashid sharia principles.

Social implications

This study will assist future scholars in this field to formulate and design exciting research ideas and models to address the deficiencies found in the current implementation of maqashid sharia within Islamic finance industry.

Originality/value

The primary contribution of this study is to provide comprehensive review and discussion of selected significant literature on maqashid sharia and give direction for future research. In addition, this study also extends and incorporates the results of bibliometrics using the recent maqashid sharia studies published at the end of 2022.

Details

Journal of Islamic Accounting and Business Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1759-0817

Keywords

1 – 10 of over 3000