The influence of governance to zakat disbursement efficiency in Brunei Darussalam

Ali, Nurul Nabilah and Mohd Alwi, Norhayati and Mohd Ariffin, Noraini (2015) The influence of governance to zakat disbursement efficiency in Brunei Darussalam. In: 6th IIUM International Accounting Conference VI (INTAC VI), 28th-29th Oct. 2015, IIUM Gombak, Kuala Lumpur. (Unpublished)

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Abstract

Purpose – This paper aims to measure the level of zakat disbursement efficiency (ZDE) in Brunei Darussalam from the year 2000 to 2012 and identifies the governance factor(s) that influence efficiency. Design/ methodology/ approach - This research conducts a study on all four districts in Brunei Darussalam, which are Brunei Muara, Belait, Tutong and Temburong.This research study that uses two approaches of efficiency analysis, namely (i) ratio analysis approach to measure Zakat disbursement efficiency measurement (disbursement, cost and time) and (ii) regression analysis approach in identifying governance factors (board size, professionals on board and frequency of board meetings) influence on efficiency. Findings - On average, Tutong is the most efficient district as it has the highest in disbursement and cost but lowest in time efficiency. Meanwhile, Temburong is the least efficient district as it has the lowest in cost and second lowest in time efficiency. Furthermore, this study has also found that there is a positive influence between Board size and disbursement and negative influence with cost and time efficiency; professionals on the board has a positive influence to disbursement, cost and time efficiency and lastly, frequency of board meetings positively influences disbursement and time efficiency but negatively influences cost efficiency. However, the result between frequency of board meetings and cost and time efficiency are rejected because of insignificant result. Originality/value – This paper presents a framework of governance and zakat disbursement efficiency aspects, which would be beneficial for further empirical research in this area. It also offers some practical and theoretical value for zakat institutions in an attempt to extend the concept of accountability in zakat literature areas.

Item Type:	Conference or Workshop Item (Plenary Papers)
Additional Information:	3574/59220
Uncontrolled Keywords:	Zakat disbursement efficiency, governance, cost efficiency, time efficiency, disbursement efficiency, accountability.
Subjects:	B Philosophy. Psychology. Religion > BP Islam. Bahaism. Theosophy, etc > BP1 Islam > BP173.75 Islam and economics H Social Sciences > HF Commerce > HF5001 Business. Business Administration > HF5601 Accounting. Bookkeeping H Social Sciences > HJ Public Finance > HJ9701 Public accounting
Kulliyyahs/Centres/Divisions/Institutes (Can select more than one option. Press CONTROL button):	Kulliyyah of Economics and Management Sciences > Department of Accounting
Depositing User:	Dr Norhayati Mohd Alwi
Date Deposited:	10 Nov 2017 11:24
Last Modified:	10 Nov 2017 11:24
URI:	http://irep.iium.edu.my/id/eprint/59220

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