Assessing Performance of Nonprofit Organization: A Framework for Zakat Institutions (original) (raw)
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KnE Social Sciences
Background. Zakat Management Institution (OPZ) is an organization authorized by the government to manage zakat through the role of zakat intermediation, which is to collect funds from muzaki and channel and utilize to mustahik. The role of zakat intermediation will determine the performance of the organization by using the balanced scorecard model. One of the factors that contribute to OPZ organization performance is the attitude of zakat collectors (amil) on the utilization of socioeconomic value of zakat. The objective of this research is to find out the contribution of management attitude in the appraisal of organization performance with balanced scorecard model. Method used in this research is survey and descriptive research with qualitative approach. Data collection techniques used were questionnaires, interviews and documentation. The population is zakat collectors of Zakat Management Institutions in Greater Bandung. Results of the research is the contribution of the attitude on the three perspectives of Zakat Organizations performance by using balanced scorecard model; (1) customers and stakeholders perspective; (2) internal business process perspective; and (3) employees and organization capacity perspective. The origin of research can outline the contribution of attitudes to a balanced scorecard perspective. Knowledge contribution can provide the variable that gives contributions to the improvement of the performance of zakat institutions with balanced scorecard.
International Conference of Zakat, 2019
The effectiveness and efficiency in a nonprofit organization have different meanings than in profit-orientated organizations. This study aims to see how the financial effectiveness and efficiency was analyzed based on its social impact and sustainability of the program. The research is based on a sample of nonprofits, chosen from the database of the website published on the panel data provided by their financial statements. The financial effectiveness and efficiency are calculated, using the ratios method modification from Ritchie and Kolodinsky model compared to ISZM, by reporting the realized elements to the targeted ones. The period of our analysis involves six fiscal years for the chosen sample. The results of this study involve measures of financial effectiveness and efficiency for each entity studied. The studied in the period identify factors which influence both effectiveness and efficiency and its evolution and interpreting the results for the whole field.
Journal of Economics, Business and Management, 2015
Measuring performance is an essential element of assessing an organizations ability to meet its goals. Dimensions typically measured are quality, time and cost. The objective of the paper is to propose a multidimensional performance measurement of zakat organizations, incorporating various dimensions such input, process, output and outcome. The model proposes a process approach in measuring the performance of zakat organizations. In the process approach, task accomplished by zakat organizations is cumulative of four components namely input, process, output and outcome. The study employ index as a method of measurement due to its ability to measure magnitude of change over time or place. A total of 303 respondents participated in this survey. The respondents comprise of zakat beneficiaries, staff, and head of departments and stakeholders of two zakat institutions. The finding indicates adequate resources or input were available to organizations. Performances of business zakat assistances showed a remarkable importance of types of programs available. A comparison between the two zakat organizations was also highlighted. In general, this study reports that the concerned zakat organizations through their assistance were able to upgrade their beneficiaries to a better quality of life.
A Maqasid and Shariah Enterprises Theory-Based Performance Measurement for Zakat Institution
International Journal of Zakat
This study aims to develop a performance measurement system for zakat institutions from the perspective of maqashid al-Shariah and Islamic enterprise theory. This study embarks from previous studies focusing on the performance measurement methods applied to the zakat institutions. The understanding of maqashid al-Shariah in this paper refers to the concept formulated by Al Ghazali and Ibn Ashur. The basis of selecting so is their widely known concept in the contemporary research. This paper concludes that the performance measurement based on maqashid al-Shariah for Islamic bank can be adopted in zakat institution by making various adjustments according to the characteristics of the institution. In addition, this study also designed a performance scorecard to assess the performance of zakat institutions based on maqashid al-Sharia and Islamic enterprises theory. This scorecard method can calculate the index of zakat management of the related institution from a broader perspective.
Critical assessment on zakat management: Zakat scorecard model
2018
Table of contents Preface xi Acknowledgements xiii Organizing committees xv Strategic management, entrepreneurship and contemporary issues Governance of financial intangible success factors: An option in building business resilience and sustainability 3 P. Sugito The influences of the alliance learning process and entrepreneurial orientation on the strategic alliance performance of Indonesian construction companies 7 R. Handayani & R. Dyah Kusumastuti Assessing necessity and opportunity-based entrepreneurship: An analysis of demographic characteristics, propensity for new ventures and entrepreneurial motivation (a study of labor forces and entrepreneurs in Padang, Indonesia)
Governance of Non-Profit Organizations: A Case of Zakat Institutions in Malaysia
2017
Malaysia, like any other Muslim country, considers the zakat institutions as one of the important contributors to economic development and society in the country.However, there are unresolved issues surrounding zakat institution.Among them is the issue of the inefficiency of the institutions in managing zakat collections.Thus, the purpose of this study is to examine three aspects of the zakat management in Malaysia, namely the collection and distribution of zakat fund performance, zakat governance and zakat collection and distribution innovation.The data were obtained through secondary sources and 14 zakat institutions were selected as a sample.The result of the study shows that the governance of zakat institution was not reached at optimum level where there is a significant surplus of non-distributed zakat funds and less innovation have been done to improve its collection and distribution. The study establishes the need for zakat institutions to improve their governance aspect in t...
International Conference of Zakat
This study aims to build a performance measurement system of zakat institutions from the perspective of maqashid sharia and sharia enterprise theory. This study embarks from previous studies focusing on the performance measurement methods applied to the zakat institutions. Understanding of maqashid sharia in this paper refers to the concept formulated by Al Ghazali and Ibn Ashur. Their applications in contemporary research can be found in various studies. This paper concludes that performance measurement based on maqashid sharia for Islamic bank can be used by zakat institution, by making various adjustments according to the characteristics of zakat institutions. In addition, this study also designed a performance scorecard to assess the performance of zakat institutions based on the perspective of maqashid sharia and sharia enterprises theory. From the scorecard, the zakat institution can calculate the zakat management index from a broader perspective.
Accreditation Model Zakat Management Organization (ZMO) In Indonesia
AZKA International Journal of Zakat & Social Finance
The rapid and growing Zakat Management Organization or Organisasi Pengelola Zakat (OPZ) in Indonesia every year has increased in line with the high potential of zakat. However, the zakat collection is still low compared to the existing potential. One of the reasons is the lack of public knowledge about zakat, weak capacity, and the regulatory framework of zakat. Therefore, it is necessary to have an assessment to measure OPZ performance from the aspects of legality and institutions, management, finance, and empowerment. The purpose of this study is to provide an OPZ accreditation rating that has not been done before. This research uses qualitative, exploratory, and content analysis methods. The type of data used is primary data obtained through the interview method by sampling data sources, observation, questionnaires, and Focus Group Discussions (FGD), while secondary data is obtained through financial statements in OPZ 2019 and non-financial statements. The results showed that the...
Multi-dimensional performance measurement framework for nonprofit organisations
2019
Performance measurement is one of the major topics that can be linked to the improvement in performance management and managerial effectiveness in an organisation. It can be defined as the accomplishment of a given organisational task which involves studying a process or strategy. A non-profit organisation (NPO) is an effective change agent in socio-economic sectors and international development. Performance measurement becomes one of the vital elements in NPOs since the funding comes from various sources and there is an urgency to show the effectiveness of NPOs through performance measurement. However, even there is a clear pathway for NPOs to contribute to the well being of the society as outlines by the National Integrity Plan, there is still a lot of lacking factors to evaluate their performance which lead to the effectiveness of the organisation. This study investigates the lacking indicator and additional enabling factors and variables that could strengthen the measurement too...
Performance Measurement of Zakat Utilization: The Effectiveness of Zakat Distribution
KnE Social Sciences
In this study, we will examine the performance of zakat. The background of the research is the zakat utilization program as one of the programs in the zakat intermediation role, performance must be assessed to see the sustainability of the program. One of them is the effectiveness of the zakat distribution program. The research method used is a case study of zakat programs (BAZNAS) in West Java area, with a descriptive analysis approach. Data collection techniques used were observation, in-depth interviews and documentation. The results of this study are expected to be an innovation that becomes a reference for zakat institution managers to assess the performance of zakat utilization by looking at the effectiveness of the zakat distribution program. Zakat distribution program at BAZNAS of West Java focuses on the economy, health, and education. BAZNAS of West Java is distributed for da’wah and the victims of natural disasters. Zakat utilization at BAZNAS of West Java covers the fiel...