A Strategic Risk Management Planning Framework in Facing the COVID-19 Pandemic at Lembaga Zakat Negeri Kedah (LZNK)
DOI:
https://doi.org/10.33102/jmifr.667Keywords:
Strategic management, risk management, strategic planning, COVID-19 pandemic, Lembaga Zakat Negeri KedahAbstract
The COVID-19 pandemic has adversely affected the overall socio-economic aspects of industries, thus necessitating an interdisciplinary approach related to strategic planning and risk management. The growing number of asnaf and the declining trend of zakat collection have impacted most zakat institutions in Malaysia, including Kedah. Thus, Lembaga Zakat Negeri Kedah (LZNK) need to establish a strategic risk management plan by considering various factors affecting the collection of zakat and other relevant strategic plans. This study aimed to propose a strategic risk management planning framework for LZNK in response to the COVID-19 pandemic. It involved a case study at LZNK whereby the data was collected through a literature review and semi-structured interviews with selected informants. Thematic analysis was employed to analyse the qualitative data. The results showed that LZNK has the potential to develop its own strategic risk management planning framework in response to COVID-19. This study also proposed the establishment of a specific Enterprise Risk Management (ERM) unit at LZNK, which acts as the secretariat to manage risks based on the framework developed.
Downloads
References
Abdul Haniff, H. S. N., Hj Long, M. N. H., & Ahmad, N. H. (2022). Inisiatif dan inovasi institusi zakat era pendemik Covid-19 – Satu penelitian terhadap Lembaga Zakat Negeri Kedah (LZNK). International Journal of Islamic Business, 6(2), 1–14. https://repo.uum.edu.my/id/eprint/28950
Abdul Rahman, N. (2020, July 9). Kutipan zakat di Kedah dijangka merosot. Berita Harian. https://www.bharian.com.my/berita/wilayah/2020/07/708850/kutipan-zakat-di-kedah-dijangka-merosot
Abdullah, J. (2022, February 3). Kutipan zakat meningkat di Kedah. Utusan Malaysia. https://www.utusan.com.my/berita/2022/02/kutipan-zakat-meningkat-di-kedah/
Ahmad Bustamam, U. S. A., & Sarion, A. (2017). Strategy construction towards certification of Islamic quality management standard, MS1900: 2014. In F. L. Muda @ Ismail & Z. Kefeli @ Zulkefli (Eds.), E-Proceeding International Halal Management Conference (IHMC) (pp. 48–55). https://www.researchgate.net/profile/Asri-Noer-Rahmi/publication/353391465_IHMC-2017-E-PROCEEDING/links/60f9dd852bf3553b29067893/IHMC-2017-E-PROCEEDING.pdf#page=56
Al Anshory, A. C., Hudaefi, F. A., Junari, U. L., Zaenal, M. H., & Ramdhoni, R. (2020). The role of zakat institution in preventing COVID-19. Policy Brief, 1–11. https://www.researchgate.net/profile/Fahmi-Hudaefi/publication/340095477_The_Role_of_Zakat_Institution_in_Preventing_Covid-19/links/5e7860f8299bf1892c021e50/The-Role-of-Zakat-Institution-in-Preventing-Covid-19.pdf
Al Haq, M.A & Abd. Wahab, N. (2017). Effective zakat distribution: highlighting few issues and gaps in Kedah, Malaysia. Al.-Iqtishad: Jurnal Ilmu Ekonomi Syariah, 9(2), 259–288. http://dx.doi.org/10.15408/aiq.v9i2.4002
Ali, N., Che Seman, A. & Mohamad, M. T. (2015). Isu kontemporari pengurusan dan pembayaran zakat di Malaysia. Majlis Agama Islam Wilayah Persekutuan
Arfah, A., Olilingo, F. Z., Syaifuddin, S., Dahliah, D., Nurmiati, N. & Kusuma Putra, A. H. P. (2020). Economics during global recession: Sharia-economics as a post COVID-19 agenda. The Journal of Asian Finance, Economics, Business, 7(11), 1077–1085. http://dx.doi.org/10.13106/jafeb.2020.vol7.no11.1077
Asadi, Z. (2015). An investigation of risk management strategies in projects. Marketing Branding Research, 2, 89–100. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3338377
Bao, G. (2015). What theories are needed for strategic management? Nankai Business Review International, 6(4), 433–454. http://dx.doi.org/10.1108/NBRI-05-2015-0012
Basir, S. A, Abdul Ghani Azmi, I., Syed Ismail, S. H, Ibrahim, P. & Mohamed, H. A. (2019). Malaysian Islamic quality management system MS1900: An implementation steps at Malacca Zakat Center. Humanomics, 33(2), 239–254. https://doi.org/10.1108/H-10-2016-0078
Beekun, R. I. (2006). Strategic planning and implementation for Islamic organisations. International Institute of Islamic Thought.
Braun, V. & Clarke, V. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, 3(2), 77–101. http://dx.doi.org/10.1191/1478088706qp063oa
Bukhari, M. I. (1966). Sahih Bukhari. Muhammad Sarid.
Campbell, S., Greenwood, M., Prior, S., Shearer, T., Walkem, K., Young, S., & Walker, K. (2020). Purposive sampling: complex or simple? Research case examples. Journal of research in Nursing, 25(8), 652–661. https://doi.org/10.1177/1744987120927206
David, F. R. & David, F. R. (2013). Strategic management: concepts and cases: A competitive advantage approach (16th ed.). Pearson.
Dirie, K. A., Alam, M. M., & Maamor, S. (2023). Islamic social finance for achieving sustainable development goals: A systematic literature review and future research agenda. International Journal of Ethics and Systems, 40(4), 676–698. https://doi.org/10.1108/IJOES-12-2022-0317
Dobbs, M. E. (2014). Guidelines for applying Porter’s five forces framework: a set of industry analysis templates. Competitiveness Review, 24(1), 32–45. https://doi.org/10.1108/CR-06-2013-0059
Fabeil, N. F., Pazim, K. H & Langgat, J. (2020). The Impact of COVID-19 pandemic crisis on micro-enterprises: Entrepreneurs’ perspective on business continuity and recovery strategy. Journal of Economics Business, 3(2), 837–844. http://dx.doi.org/10.31014/aior.1992.03.02.241
Fitzroy, P, Hulbert, J. M. & Ghobadian, A. (2012). Strategic management, the challenge of creating value (2nd ed.). Routledge. https://doi.org/10.4324/9780203804407
Francis, R. and Armstrong, A. (2003). Ethics as a risk management strategy: The Australian experience. Journal of Business Ethics, 45(4), 375–385. http://dx.doi.org/10.1023/A:1024163831371
George, B., Walker, R. M., & Monster, J. (2019). Does strategic planning improve organisational performance? A meta‐analysis. Public Administration Review, 79(6), 810–819. http://dx.doi.org/10.1111/puar.13104
Ghazali, A. R & Nasution, E. J. A. H. (2020). Unleashing full power of zakat during COVID-19 pandemic. The Jakarta Post. https://www.thejakartapost.com/academia/2020/05/21/unleashing-full-power-of-zakat-during-covid-19-pandemic.html
Grant, R. (2003). Strategic planning in a turbulent environment: evidence from the oil majors. Strategic Management Journal, 24, 491–517. https://doi.org/10.1002/smj.314
Hambari, H., Arif, A. A., & Zaim, M. A. (2020, October 7-8). The role of zakat institution in facing Covid-19: A case study of the Federal Territory Islamic Council (MAIWP) of Malaysia. 4th International Conference of Zakat Proceedings, Surabaya, Indonesia https://doi.org/10.37706/iconz.2020.225
Hamid, N. H. (2020a, March 18). LZNK beri jaminan bekalan makanan cukup. Sinar Harian. https://www.sinarharian.com.my/article/74343/edisi/utara/covid-19-lznk-beri-%09jaminan-bekalan-makanan-cukup
Hamid, N. H. (2020b, March 26). LZNK bimbang bekalan makanan untuk asnaf tidak cukup. Sinar Harian. https://www.sinarharian.com.my/article/75696/EDISI/Utara/LZNK-bimbang-%09bekalan-makanan-untuk-asnaf-tidak-cukup
Hayati, S. R., Budianto, G.U & Manggala Putri, S. A. (2019). Risk management in the zakat distribution: Case study on productive zakat program in Dompet Dhuafa Yogyakarta. Madania: Jurnal Kajian Keislaman, 23(2), 127–136. https://bit.ly/3Ix861Y
Hitt, M. A., Hoskinsson, R. E., & Ireland, D. R. (2009). Strategic management: Concepts and cases competitiveness and Globalisation. Cengage Learning. http://155.0.49.213:8080/jspui/handle/123456789/800
Hudaefi, F. A Saoqi, A. A. Y., Zaenal, M. H., Junari, U. L., Farchatunnisa, H., Iqbal, M. & Sudaisih, A. (2020). Developing a framework of risk management in digital zakat collection: A preliminary study [Working Paper]. Puskas Baznas.
Ibrahim, M. F. (2020). Pandemik COVID-19 dan implikasi terhadap institusi zakat di Malaysia sebagai institusi kewangan sosial Islam. E- Prosiding Seminar Kewangan Kebangsaan 2020 (pp. 313–324). Lembaga Zakat Negeri Kedah. https://www.ukm.my/hairun/kertas%20kerja/muhd%20ammar%20firhan%20skik%202020.pdf.pdf
Ishak, S., Mohamad Nor, M. N., Shuib, M. S., Osman, A. F. & Saad, R. A. J. (2019). Corporate governance practice, risk management and internal control at Kedah State Zakat Board (LZNK). International Journal of Innovation, Creativity and Change, 6(2), 389–404. https://repo.uum.edu.my/id/eprint/31350
Islamic Development Bank (IsDB). (2024). IsDB promotes Islamic finance for the Sustainable Development Goals at the 2024 Forum for Financing Development (FFD) and the SDG investment fair at the United Nations. Islamic Development Bank. https://www.isdb.org/news/isdb-promotes-islamic-finance-for-the-sustainable-development-goals-at-the-2024-forum-for-financing-development-ffd-and-the-sdg-investment-fair-at-the-united-nations
Ismail, M. S. I., Fazial, F., Kasim, N. H., & Abu Bakar, S. (2023). Empowering Asnaf through Effective Distribution Practices: Lembaga Zakat Negeri Kedah (LZNK), Malaysia. Environment-Behaviour Proceedings Journal, 8(SI14), 115–120. https://doi.org/10.21834/e-bpj.v8iSI14.5067
Jalal, S., & Che Abdullah, A. S. (2024). Challenges of collecting zakat on digital assets: A case study of selected states Kuala Lumpur, Selangor and Perlis. The Journal of Muamalat and Islamic Finance Research, 21(1), 32–48. https://doi.org/10.33102/jmifr.545
Jalil, M. S., & Muhammad Puad, N. F. (2023). Empowerment of zakat collection and distribution management during the Covid-19 pandemic in Kedah State Zakat Board (LZNK). International Journal of Zakat and Islamic Philanthropy, 5(1), 72–80. https://baitalzakat.com/files/english-files/baitalzakat.com-E100303.pdf
Kedah Zakat Enactment (2015). https://maik.kedah.gov.my/wp-content/uploads/2025/04/ENAKMEN-LEMBAGA-ZAKAT-KEDAH-DARUL-AMAN-2015.pdf
Kelman, I. (2020). COVID‐19: What is the disaster? Social Anthropology / Anthropologie Sociale, 28(2) 296‒297. https://doi.org/10.1111/1469-8676.12890
Korableva, O. N., Gorelov, N. A., & Shulha, M. V. (2017, September 21–22). Risk component of innovation management strategy [Conference presentation]. 12th European Conference on Innovation and Entrepreneurship (ECIE 2017), Paris, France. https://www.proceedings.com/content/036/036878webtoc.pdf
Lembaga Zakat Negeri Kedah (LZNK). (2020a). Laporan agihan dan kutipan Lembaga Zakat Negeri Kedah 2011-2021. Lembaga Zakat Negeri Kedah. https://www.zakatkedah.com.my/wp-content/uploads/2024/08/LAPORAN-AGIHAN-DAN-KUTIPAN-LEMBAGA-ZAKAT-NEGERI-KEDAH-2011-2021.pdf
Lembaga Zakat Negeri Kedah (LZNK). (2020b). Pelan strategik Lembaga Zakat Negeri Kedah (2021-2025) (1st ed.). Lembaga Zakat Negeri Kedah.
Lestari, P. (2010). Pengukuran kinerja Badan Amil Zakat Daerah (BAZDA) kabupaten X di wilayah Eks Karesidenan Banyumas dalam perspektif balanced scorecard. Jurnal Investasi, 6(1), 1–13. https://journal.trunojoyo.ac.id/infestasi/article/view/478
Mhd Sarif, S., Yazid, H. S. A., Mustaffa Kamal, M. H., Roslan, M. M., Mohd Hashim, M. I., Abdul Aziz, M. S & Salahuddin, Z. (2016). Strategic planning from Islamic perspective. [Working Paper]. http://dx.doi.org/10.13140/RG.2.2.26936.14087
Md Yusof, S., Md Tahir, R., & Othman, A. (2020). Pelaksanaan pengurusan agihan zakat di Kedah. International Journal of Zakat and Islamic Philanthropy, 2(2), 50–57. https://repo.uum.edu.my/id/eprint/31398
Mohd Mokhtar, M. S. & Ahmad. F. A. (2019). The Islamic quality management system in Malaysia through narrative review approach, Journal of Islamic, Social, Economics and Development, 4(26), 44–56. https://www.researchgate.net/publication/337886018_The_Islamic_Quality_Management_System_in_Malaysia_A_Narrative_Review
Mustaffha, N., Yusuf, S. N. S., & Kasim, N. (2020). Risk management framework for zakat institution. International Journal of Zakat and Islamic Philanthropy, 2(1), 134–144. https://baitalzakat.com/files/english-files/baitalzakat.com-E100210.pdf
Nasution, A. H., Muhammad Zakariah, K. N. & Zakariah, M. A. (2018). Kajian strategi zakat, infaq dan shadaqah dalam pemberdayaan umat. Jurnal Ekonomi Bisnis Syariah, 1(1), 22–37. http://dx.doi.org/10.5281/zenodo.1148842
Oliver, J. J, & Parrett, E. (2018). Managing future uncertainty: Reevaluating the role of scenario planning. Business Horizons, 61(2), 339–352. http://dx.doi.org/10.1016/j.bushor.2017.11.013
Osman, M. F, Md Hussain, M. N, Abdullah, S & Abdul Wahab, N. N. (2019). Strategi kutipan zakat: Eksplorasi isu kontemporari. International Journal of Zakat and Islamic Philanthropy, 1(1), 37–44. https://share.google/ygqh26DaY2xBqP4QB
Oxford Dictionary. (2010). Oxford Dictionary of English, 3rd Revised Edition. Oxford University Press.
Pearce, J. A., Robinson, R. B., & Subramanian, R. (2000). Strategic management: Formulation, implementation and control. Irwin/McGraw-Hill.
Rahmatika, A. N & Hariono, T. (2018). Risk management of zakat maal supervision in the fintech era based on literature review. International Conference of Zakat 2018 Proceedings, 5–16. https://doi.org/10.37706/iconz.2018.130
Rangga, A. A., Setyohadi, D. B., & Santoso, A. J. (2017). Strategic planning of information system (case study: Ministry of religious affairs in Southwest Sumba). International Journal of Computer Engineering Information Technology, 9(7), 143–150. https://repository.uajy.ac.id/id/eprint/15365
Rofie, M. K., Abd Aziz, N. M., & Abdullah, S. (2022). Asnaf Care: Satu strategi dana tambahan Lembaga Zakat Negeri Kedah (LZNK) ketika pandemik Covid 19. Sains Insani, 7(2), 47–55. https://doi.org/10.33102/sainsinsani.vol7no2.466
Sammut‐Bonnici, T., & Galea, D. (2015). PEST analysis. John Wiley & Sons, 12, 1–10. https://doi.org/10.1002/9781118785317.weom120113
Stephen, D. G., & Daniel, R. P. (2013). Risk management. In. S. D. Gantz & D. R. Philpott (Eds.), FISMA and the risk management framework (pp. 329–365). Newnes. https://doi.org/10.1016/B978-1-59-749641-4.00013-8
Sulaiman, Y., Abdul Rahman, M & Nik Mat, N.K. (2019). The conceptual paper on how governance influence the compliance behavior of business zakat payers in Kedah. Journal of Behavior Studies in Organisations, 2, 1–9. http://dx.doi.org/10.32038/JBSO.2019.02.01
Syafi, A. (2016). Prospek zakat dalam perekonomian modern. ZISWAF: Jurnal Zakat dan Wakaf, 1(1), 145–170. https://download.garuda.kemdikbud.go.id/article.php?article=577845&val=8785&title=PROSPEK%20ZAKAT%20DALAM%20PEREKONOMIAN%20MODERN
Tok, E., Yesuf, A. J., & Mohamed, A. (2022). Sustainable development goals and Islamic social finance: From policy divide to policy coherence and convergence. Sustainability, 14(11), 1–23. https://doi.org/10.3390/su14116875
Triyani, N., Beik, I. S., & Baga, L. M. (2018). Manajemen risiko pada Badan Amil Zakat Nasional (BAZNAS). Al-Muzara’ah, 5(2), 107–124. https://doi.org/10.29244/jam.5.2.107-124
Widiastuti, T., Mawardi, I., Robani, A & Rusdiana, A.S. (2018). Optimization of zakat fund management in regional zakat institution. Humanities Social Science Reviews, 6(2), 133–139. http://dx.doi.org/10.18510/hssr.2018.6217
Widyastuti, A., & Affan, M. W. (2022). Implementasi penggunaan fintech dalam manajemen risiko: Studi pada Baitul Maal Hidayatullah. Jati: Jurnal Akuntansi Terapan Indonesia, 5(1), 64–76. https://doi.org/10.18196/jati.v5i1.13326
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 Marina Abu Bakar, Raziah Md Tahir, Hafizah Zainal
This work is licensed under a Creative Commons Attribution 4.0 International License.
