Issues in financial governance practices among Malaysia's mosques
DOI:
https://doi.org/10.24200/jonus.vol8iss3pp134-146Abstract
Mosques, like other religious organisations, possess financial, human, and physical resources. As a significant symbol of Islam, mosques play a dual role by serving their congregations and the broader public as service providers. This article examines and analyses the challenges associated with mosque financial governance in Malaysia. Despite being a Muslim-majority country since the 15th century, the full potential of mosques in Malaysia to consistently benefit society remains unrealised. Key concerns include fund management, regulatory compliance, and facility management. Since State Religious Councils serve as the sole trustees of mosques, governance practices vary according to the laws and regulations of each state. While prior research has predominantly focused on fund management due to the potential for financial contributions, this paper explores broader concerns regarding the financial governance practices of mosques in Malaysia. The study hopes to heighten awareness among mosque committees and the public about the critical importance of sound financial governance in religious institutions, particularly mosques. As a conceptual paper, its findings are expected to pave the way for comprehensive studies investigating the issues and interrelationships affecting mosque governance. This will ultimately facilitate the identification of necessary measures to enhance the governance and institutional effectiveness of mosques in Malaysia.
Keywords: Mosque, financial governance, fund management, regulatory compliance, facilities management.
References
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Ahmad, T., Thaheem, M. J., Anwar A., & ud Din, Z. (2016). Implications of stereotype mosque architecture on sustainability. Procedia Engineering, 145(1), 96-103.
Abdullah, I. C., Yusof, F., Kamaruddin, S. M., & Rasam A. R. A. (2013). Travel behaviour and land use planning: The planning of mosque in Shah Alam, Selangor. Procedia-Social and Behavioral Sciences, 105(1), 723-733.
Abul Qaraya, B. (2015). The civic and cultural role of the Sheikh Zayed Grand Mosque. Procedia-Social and Behavioral Sciences, 211(1), 488-497.
Afifuddin, H. B., & Siti-Nabiha A. K. (2010). Towards good accountability: The role of accounting in Islamic religious organisations. World Academy of Science, Engineering and Technology, 66(1), 1133-1139.
Amaratunga, D., Baldry, D., & Sarshar, M. (2000). Assessment of facilities management performance – What Next? Facilities, 18(1/2), 66-75.
Ashaari, M. (2017). Segalanya bermula dari masjid. Yayasan Takmir Pendidikan.
Bagby, I. (2018). Governance issues in American mosques: Exploring the present and making recommendations for the future. The Journal of Islamic Faith and Practice, 1(10), 40-54.
Baharudin, N. A., & Ismail, A. S. (2014). Communal mosques: Design functionality towards the development of sustainability for community. Procedia-Social and Behavioral Sciences, 153(1), 106-120.
Cuomo, A. (2005). Internal controls and financial accountability for not-for-profit boards. Charities Bureau.
Fonfeder, R., Holtzman, M. P., & Maccarrone, E. (2003). Internal controls in the Talmud: The Jerusalem Temple. The Accounting Historians Journal, 30(1), 73-93.
Hamdan, N., Ramli, A. M., Jalil, A., & Haris, A. (2013). Accounting for Waqf institutions: A review on the adaptation of fund accounting in developing the Shariah-compliant financial reports for mosque. In World Universities’ Islamic Philanthropy
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Hamid, G. G., Mikhail, S., & Estamboli, M. J. (2012). The position of mosque in Islamic cities and its location design in new cities. Damascus University, 28(1), 49-67.
Hamid, N. A. A., Saleh, N., Mustaffha, N., Ohman, N., Saidpudin, W., & Awang, A. H. (2015). The governance practices of mosques: A study of public perception in Selangor. Australian Journal of Basic and Applied Sciences, 9(31), 14-23.
Kassim, N., Abdullah, N., & Taib, Z. B. M. (2014). Decoration in praying hall of Mosque: A review of current literature. Procedia-Social and Behavioral Sciences, 153(1), 55-60.
Masrek, M. N., Mohamed, I. S., Daud, N. M., Arshad, R., & Omar, N. (2014). Internal financial controls practices of district mosques in central region of Malaysia. International Journal of Trade, Economics and Finance, 5(3), 255-258.
Mohamed, I. S., Ab Aziz, N. H., Masrek, M. N., & Daud, N. M. (2014). Mosque fund management: Issues on accountability and internal controls. Procedia-Social and Behavioral Sciences, 145(1), 189-194.
Najafi, M., & Mustafa, K. (2012). Place attachment to contemporary public-funded mosques in Malaysia. Alam Cipta, 5(2), 65-76.
Omar, H. H., Isa, M. Y., & Yusuff, N. (2015). The financial management of mosque: A study case in the district of Kubang Pasu, Kedah. International Journal of Management Studies, 22(2), 115-130.
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Rahman, M. F. B. A., Mastuki, N., & Yusof, S. N. S. (2015). Performance measurement model of mosques. Procedia Economics and Finance, 31(1), 26-35.
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Sanusi, Z. M., Johari, R. J., Said, J., & Iskandar, T. (2015). The effects of internal control system, financial management and accountability of NPOs: The perspective of mosques in Malaysia. Procedia Economics and Finance, 28(1), 156-162.
Sapri, M., Ab Muin, Z., Sipan, I., Adjei-Twum, A., Yusof, F. M., Mahamud, R., & Omar, M. (2014). Potential of facilities management in uplifting mosque management functions. In Proceeding of the International Conference on Masjid, Zakat and Waqf,
December 1-2, Kuala Lumpur (pp. 81-92). Kolej Universiti Islam Antarabangsa Selangor, Malaysia.
Scannell, L., & Gifford, R. (2010). Defining place attachment: A tripartite organizing framework. Journal of Environmental Psychology, 30(1), 1-10.
Shaibu, I. A. (2013). Towards an effective financial management of funds generated from offerings in the church: A study of some selected classical Pentecostal Churches in the Ashanti 25 Region of Ghana. Research on Humanities and Social
Sciences, 3(2), 215-221.
Sochimin, S. (2016). Manajemen keuangan masjid berbasis pemberdayaan ekonomi umat. Jurnal Ekonomi Islam (Islamic Economics Journal), 4(1), 119-150.
Sulaiman, M., Siraj, S. A., & Ibrahim, S. H. M. (2008). Internal control systems in west Malaysia's state mosques. American Journal of Islamic Social Sciences, 25(1), 63-81.
Sulaiman, N. A., Yasin, F. M., & Muhamad, R. (2018). Perspectives of audit quality: An analysis. Journal of Accounting Perspectives, 11(1), 1-27.
Utama, R. B. D. R., Fitrandasari, Z., Ariffin, M., & Muhtado, R. (2018). Can mosque fund management for community economic empowerment? An exploratory study. International Journal of Islamic Business Ethics, 3(2), 451-457.
Warraich, S., & Feroze, K. (2007). A management guide for mosques and Islamic centres. Greater Manchester.
Wernerfelt, B. (1984). A resource-based view of the firm: Summary. Strategic Management Journal, 5(1), 171-180.
West, R., & Zech, C. (2007). Internal financial controls in the U.S. catholic church. Villanova. http://www.villanova. edu/business/assets/documents/excellence/church/catholicchurch
Ahmad, T., Thaheem, M. J., Anwar A., & ud Din, Z. (2016). Implications of stereotype mosque architecture on sustainability. Procedia Engineering, 145(1), 96-103.
Abdullah, I. C., Yusof, F., Kamaruddin, S. M., & Rasam A. R. A. (2013). Travel behaviour and land use planning: The planning of mosque in Shah Alam, Selangor. Procedia-Social and Behavioral Sciences, 105(1), 723-733.
Abul Qaraya, B. (2015). The civic and cultural role of the Sheikh Zayed Grand Mosque. Procedia-Social and Behavioral Sciences, 211(1), 488-497.
Afifuddin, H. B., & Siti-Nabiha A. K. (2010). Towards good accountability: The role of accounting in Islamic religious organisations. World Academy of Science, Engineering and Technology, 66(1), 1133-1139.
Amaratunga, D., Baldry, D., & Sarshar, M. (2000). Assessment of facilities management performance – What Next? Facilities, 18(1/2), 66-75.
Ashaari, M. (2017). Segalanya bermula dari masjid. Yayasan Takmir Pendidikan.
Bagby, I. (2018). Governance issues in American mosques: Exploring the present and making recommendations for the future. The Journal of Islamic Faith and Practice, 1(10), 40-54.
Baharudin, N. A., & Ismail, A. S. (2014). Communal mosques: Design functionality towards the development of sustainability for community. Procedia-Social and Behavioral Sciences, 153(1), 106-120.
Cuomo, A. (2005). Internal controls and financial accountability for not-for-profit boards. Charities Bureau.
Fonfeder, R., Holtzman, M. P., & Maccarrone, E. (2003). Internal controls in the Talmud: The Jerusalem Temple. The Accounting Historians Journal, 30(1), 73-93.
Hamdan, N., Ramli, A. M., Jalil, A., & Haris, A. (2013). Accounting for Waqf institutions: A review on the adaptation of fund accounting in developing the Shariah-compliant financial reports for mosque. In World Universities’ Islamic Philanthropy
Conference (WIPCON 2013), Menara Bank Islam, December 4-5 (pp. 1-10). IKAZ and UITM.
Hamid, G. G., Mikhail, S., & Estamboli, M. J. (2012). The position of mosque in Islamic cities and its location design in new cities. Damascus University, 28(1), 49-67.
Hamid, N. A. A., Saleh, N., Mustaffha, N., Ohman, N., Saidpudin, W., & Awang, A. H. (2015). The governance practices of mosques: A study of public perception in Selangor. Australian Journal of Basic and Applied Sciences, 9(31), 14-23.
Kassim, N., Abdullah, N., & Taib, Z. B. M. (2014). Decoration in praying hall of Mosque: A review of current literature. Procedia-Social and Behavioral Sciences, 153(1), 55-60.
Masrek, M. N., Mohamed, I. S., Daud, N. M., Arshad, R., & Omar, N. (2014). Internal financial controls practices of district mosques in central region of Malaysia. International Journal of Trade, Economics and Finance, 5(3), 255-258.
Mohamed, I. S., Ab Aziz, N. H., Masrek, M. N., & Daud, N. M. (2014). Mosque fund management: Issues on accountability and internal controls. Procedia-Social and Behavioral Sciences, 145(1), 189-194.
Najafi, M., & Mustafa, K. (2012). Place attachment to contemporary public-funded mosques in Malaysia. Alam Cipta, 5(2), 65-76.
Omar, H. H., Isa, M. Y., & Yusuff, N. (2015). The financial management of mosque: A study case in the district of Kubang Pasu, Kedah. International Journal of Management Studies, 22(2), 115-130.
Omar, A.R.C., Hussin, M.Y.M., & Muhammad, F. (2017). Mosque economic activities and entrepreneurial orientation: A preliminary study. International Journal of Accounting, Finance and Business, 2(6), 50-56.
Rahman, M. F. B. A., Mastuki, N., & Yusof, S. N. S. (2015). Performance measurement model of mosques. Procedia Economics and Finance, 31(1), 26-35.
Rakhmawati, N. A., Wibowo, R. P., & Amir, M. I. H. (2015). Visualization application development for Mosque financial report using linked data and crowd-sourcing. Procedia Computer Science, 72(1), 374-381.
Said, J., Mohamed, A., Sanusi, Z. M., & Yusuf, S. N. S. (2013). Financial management practices in religious organizations: An empirical evidence of mosque in Malaysia. International Business Research, 6(7), 111-119.
Sanusi, Z. M., Johari, R. J., Said, J., & Iskandar, T. (2015). The effects of internal control system, financial management and accountability of NPOs: The perspective of mosques in Malaysia. Procedia Economics and Finance, 28(1), 156-162.
Sapri, M., Ab Muin, Z., Sipan, I., Adjei-Twum, A., Yusof, F. M., Mahamud, R., & Omar, M. (2014). Potential of facilities management in uplifting mosque management functions. In Proceeding of the International Conference on Masjid, Zakat and Waqf,
December 1-2, Kuala Lumpur (pp. 81-92). Kolej Universiti Islam Antarabangsa Selangor, Malaysia.
Scannell, L., & Gifford, R. (2010). Defining place attachment: A tripartite organizing framework. Journal of Environmental Psychology, 30(1), 1-10.
Shaibu, I. A. (2013). Towards an effective financial management of funds generated from offerings in the church: A study of some selected classical Pentecostal Churches in the Ashanti 25 Region of Ghana. Research on Humanities and Social
Sciences, 3(2), 215-221.
Sochimin, S. (2016). Manajemen keuangan masjid berbasis pemberdayaan ekonomi umat. Jurnal Ekonomi Islam (Islamic Economics Journal), 4(1), 119-150.
Sulaiman, M., Siraj, S. A., & Ibrahim, S. H. M. (2008). Internal control systems in west Malaysia's state mosques. American Journal of Islamic Social Sciences, 25(1), 63-81.
Sulaiman, N. A., Yasin, F. M., & Muhamad, R. (2018). Perspectives of audit quality: An analysis. Journal of Accounting Perspectives, 11(1), 1-27.
Utama, R. B. D. R., Fitrandasari, Z., Ariffin, M., & Muhtado, R. (2018). Can mosque fund management for community economic empowerment? An exploratory study. International Journal of Islamic Business Ethics, 3(2), 451-457.
Warraich, S., & Feroze, K. (2007). A management guide for mosques and Islamic centres. Greater Manchester.
Wernerfelt, B. (1984). A resource-based view of the firm: Summary. Strategic Management Journal, 5(1), 171-180.
West, R., & Zech, C. (2007). Internal financial controls in the U.S. catholic church. Villanova. http://www.villanova. edu/business/assets/documents/excellence/church/catholicchurch
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2023-09-30
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Issues in financial governance practices among Malaysia’s mosques. (2023). Journal of Nusantara Studies (JONUS), 8(3), 134-146. https://doi.org/10.24200/jonus.vol8iss3pp134-146
