A Shari’ah-compliant framework for value creation: a case study of the State Islamic Religious Council / Norhayati Wahib ... [et al.]

• Main Authors: Wahib, Norhayati, Rosle, Nadiatul Akma, Abdul Malik, Hidayahtul Khusna, Ahmad Nadzri, Farah Aida, Syed Yusuf, Sharifah Norzehan
• Format: Article
• Language: English
• Published: Accounting Research Institute (ARI) and UiTM Press, Universiti Teknologi MARA 2024
• Subjects: KBP Islamic law. Sharī'ah. Fiqh
• Online Access: https://ir.uitm.edu.my/id/eprint/105800/1/105800.pdf; https://ir.uitm.edu.my/id/eprint/105800/

This study developed a Shari’ah-compliant framework for evaluating and reporting value creation within the State Islamic Religious Council (SIRC) in Malaysia. The framework integrated conventional metrics with Islamic ethical principles, addressing the unique needs of Islamic organizations such as the SIRC. Employing qualitative research, including document analysis and in-depth interviews with key stakeholders, the study identified gaps in current practices, such as limited Shari’ah integration and lack of standardized guidelines. The proposed framework emphasizes a holistic approach to value creation, encompassing financial, social, and environmental dimensions aligned with the Maqasid al-Shari’ah. It includes a robust Shari’ah governance structure, enhanced stakeholder engagement, and transparent reporting mechanisms. By incorporating these elements, the framework aims to improve the transparency, accountability, and alignment with Islamic values of SIRC, thereby enhancing its effectiveness in serving the Muslim community in Malaysia. The findings contribute to the broader discourse on Islamic governance, offering practical recommendations for Islamic organizations