Integrated Islamic Financial Accountability Model for Islamic Social Enterprise (ISE)

Muhammad Iqmal Hisham Kamaruddin; Sofiah Md Auzair

doi:10.33102/jmifr.v16i1.206

Authors

Muhammad Iqmal Hisham Kamaruddin Faculty of Economics and Muamalat, Universiti Sains Islam Malaysia, 71800 Bandar Baru Nilai, Malaysia
Sofiah Md Auzair Faculty of Economics and Management, Universiti Kebangsaan Malaysia, 43600 UKM, Bangi Selangor, Malaysia

DOI:

https://doi.org/10.33102/jmifr.v16i1.206

Keywords:

Financial accountability, Islamic accountability, Islamic Social Enterprise (ISE), Financial management, Islamic social accounting

Abstract

This study aims to present an integrated Islamic financial accountability model, which is different from previous accountability models and frameworks. In this case, all three accountability aspects which are: (i) accountability to whom (accountability groups); (ii) accountability for what (accountability dimensions); and (iii) accountability on how (accountability tools and processes) were integrated into a single model. By using these three accountability aspects, this model is specifically focused on financial accountability area with additional Islamic elements that suits Islamic Social Enterprise (ISE). In order to develop this model, this study applies the comparison method on previous accountability and Islamic accountability models with additional literature inputs from financial accountability aspects and Islamic accountability perspectives. Based on the findings, this study introduces an integrated Islamic financial accountability model specifically for ISE, one of the emerging institution types under the non-profit sector. It is hoped that the integrated Islamic financial accountability model developed in this study will be implemented by the management of ISE in order to discharge their accountability especially to donors, beneficiaries and other stakeholders.

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