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Article
Publication date: 24 January 2022

Muhammad Bilal Zafar, Ahmad Azam Sulaiman and Muhammad Nawaz

This study aims to examine whether corporate social responsibility (CSR) of Islamic banking is delivering financial returns or otherwise enhancing the cost.

Abstract

Purpose

This study aims to examine whether corporate social responsibility (CSR) of Islamic banking is delivering financial returns or otherwise enhancing the cost.

Design/methodology/approach

The methodology of this study includes the content-analysis approach with aid of the CSR disclosure index, and it deploys the partial least squares regression to examine the CSR-financial performance relationship. Regarding CSR disclosure and financial measures, this study takes the data from the annual reports of Islamic banking of Pakistan, from the year 2003 to 2017.

Findings

The results of this study indicate that there is a significant positive relationship exists between CSR and financial performance of Islamic banks, consistent with the instrumental-stakeholder theory. These results imply that Islamic banks, which ensure that CSR is practiced extensively, and aim to positively affect their stakeholders, perform well. Hence, the CSR engagement by Islamic banks yields instrumental returns rather it is a cost.

Practical implications

Islamic banks of Pakistan must work on a better CSR policy, it would enhance the reputation of Islamic banks, on the other hand, it would also increase their capabilities to cope with future reputation damage and negative news, thus it would protect and secure the financial results. In addition to these, investors of Islamic banks must also look at the social and ethical engagements of Islamic banks of Pakistan, while making investment decisions.

Originality/value

In general, there is a dearth of research in the domain of CSR-financial performance regarding Islamic banking. This is one of the studies which contributes to this area.

Details

Social Responsibility Journal, vol. 18 no. 7
Type: Research Article
ISSN: 1747-1117

Keywords

Article
Publication date: 9 January 2020

Muhammad Bilal Zafar and Ahmad Azam Sulaiman

This paper aims to understand corporate social responsibility (CSR) narrative under the Islamic banking paradigm by three aspects, narrative review of the literature, review of…

Abstract

Purpose

This paper aims to understand corporate social responsibility (CSR) narrative under the Islamic banking paradigm by three aspects, narrative review of the literature, review of the definitions of CSR and review of factors that cause divergence from conventional percepts.

Design/methodology/approach

This is a theoretical paper based on literature and aims to understand the CSR narrative under the paradigm of Islamic banking.

Findings

Religion brings new dimensions of ethics and expands the scope of morality in business. Islamic banking is a new wave of corporation whose social goals are as much important as making profit. There are diverse narrations and definitions prevailing in the literature of CSR under the Islamic paradigm which also encounters the aspects of divergence from conventional percepts. The academic debate of CSR-Islamic banking brings on surface a plausible CSR paradigm, that is to guide the role of Islamic banking in society under the Islamic provisions, ethics and axioms. This paper also paves the way for future direction, particularly in terms of a holistic understanding of CSR narrative under the Islamic banking paradigm.

Research limitations/implications

This is a theoretical paper; it primarily discusses the theoretical aspects of CSR narrative under the paradigm of Islamic banking, while it does not give insight into the empirical narrative or disclosure of CSR in Islamic banking.

Practical implications

The theoretical review of literature brings plausible understanding, that Islamic banking is a new wave of corporate and has standings on divine guidance. The structure of the institution in its foundation insists on real economic activity. The legitimacy of Islamic banking has roots in ethical compliance and in inculcating the broader interests of stakeholders. There are several social responsibilities, which are expected from the practitioners of Islamic banking. The practitioners as well must understand that the CSR of Islamic banking is far beyond the conventional percepts of CSR.

Originality/value

There are several normative and theoretical studies in the domain of CSR-Islamic banking. It is hard to find a comprehensive narrative review of such literature. This review is unique, which brings a holistic understanding of CSR narrative under the Islamic banking paradigm.

Details

Social Responsibility Journal, vol. 17 no. 1
Type: Research Article
ISSN: 1747-1117

Keywords

Article
Publication date: 3 June 2022

Waseem Ul Hameed, Muhammad Nawaz, Qasim Ali Nisar, Muhammad Farhan Basheer, Shoaib Imtiaz and Muhammad Bilal Zafar

The primary purpose of this study is to provide a new model in the hospitality industry by incorporating open innovation (OI) as a significant business performance (BP) supporter…

Abstract

Purpose

The primary purpose of this study is to provide a new model in the hospitality industry by incorporating open innovation (OI) as a significant business performance (BP) supporter. This study aims to examine OI’s role in fostering SI and BP in Malaysia’s hospitality industry.

Design/methodology/approach

Quantitative research approach with a cross-sectional design is used to carry out the current study. A questionnaire survey is conducted. A total of 201 valid responses were used to analyze the data through Smart PLS 3 structural equation modeling. The study sample comprises the managerial employees of hospitality companies.

Findings

The findings of this study revealed that OI has a crucial contribution to fostering service innovation (SI) and BP. Information and communication technology (ICT) increases external knowledge and internal innovation, which in turn increases knowledge management (KM). ICT intensifies KM in result, OI increases, which contribute expediting SI. Finally, increases in SI boost BP.

Practical implications

This study provides a comprehensive framework to boost hospitality industry performance. It gives vital cues to the hospitality industry for SI improvement and BP. This proposed framework is specific to the hospitality industry, and it has the potential to help the managers to have a better understanding of new ideas that can develop service quality and customer satisfaction.

Originality/value

This is one of the pioneer studies that formally documented OI’s role in Malaysia hospitality industry. This pioneering study provides the OI model for BP of the hospitality industry. Regarding the OI in the hospitality industry, managers’ and academicians’ implication is not well understood in the current literature.

研究目的

本研究的主要目的是通过将开放式创新 (OI) 作为重要的业务绩效 (BP) 支持者, 为酒店业提供一种新模式。该研究旨在研究 OI 在促进马来西亚酒店业的 SI 和 BP 中的作用。

研究设计/方法/途径

本论文采用横向比较的定量研究方法进行当前研究。本研究采用问卷进行调查。通过 Smart PLS 3 结构方程建模, 总共使用了 201 个有效样本来进行数据分析。研究样本包括酒店公司的管理人员。

研究发现

研究结果表明, OI 对促进服务创新 (SI) 和 BP 做出了重要贡献。信息和通信技术(ICT)增加了外部知识(EK)和内部创新(II), 这反过来又增加了知识管理(KM)。 ICT在结果中强化了KM, OI增加, 这有助于提高SI。最后, SI 的增加会提高业务绩效。

实践意义

本研究提供了一个全面的框架来提升酒店业的表现。本研究框架为酒店业的 SI 改进和 BP 提供了重要线索。这个提议的框架是针对酒店业的, 它可以帮助管理者更好地理解可以提高服务质量和客户满意度的新想法。

研究原创性/价值

这是正式记录 OI 在马来西亚酒店业中的作用的先驱研究之一。这项开创性的研究为酒店业的 BP 提供了 OI 模型。关于酒店业的 OI, 其管理实践意义和学术意义在当前文献中并没有得到很好的理解。

Article
Publication date: 23 September 2021

Muhammad Bilal Zafar and Ahmad Azam Sulaiman

This paper aims to gauge the level of corporate social responsibility (CSR) disclosure of Islamic banks of Pakistan.

Abstract

Purpose

This paper aims to gauge the level of corporate social responsibility (CSR) disclosure of Islamic banks of Pakistan.

Design/methodology/approach

The annual reports of Islamic banks of Pakistan from the year 2003 to 2017 were considered as the source of data. The content analysis method was used to gauge the level of CSR disclosure with the help of the CSR disclosure index. Islamic banks proclaim religiously motivated and ethical institutions; hence, full disclosure was expected from Islamic banks in the domain of CSR.

Findings

The average level of CSR disclosure of Islamic banks after a one-and-a-half decade of Islamic banking in Pakistan is 31.23%, which is far below the expected level of CSR disclosure and even below the mean level. The mean comparison analyzes show that the level of CSR disclosure differs among the Islamic banks, old and large Islamic banks are disclosing more information, in addition, the local Islamic banks have a relatively high level of CSR disclosure as compare to the foreign Islamic banks.

Research limitations/implications

The current CSR disclosure policy of the government regarding corporations in Pakistan is insufficient. There is a need to revise this policy which may result in higher CSR disclosure. The results indicate, that there is a difference in CSR disclosure among local and foreign Islamic banks, so this policy must address this aspect as well.

Originality/value

Islamic banking proclaims a new wave of the corporate that has higher social objectives, but a contradiction exists among the ideology and reality of social responsibility of Islamic banks. Then, this study also supports that the same dilemma of low CSR disclosure also prevails in the Islamic banks of Pakistan.

Details

Journal of Islamic Accounting and Business Research, vol. 13 no. 1
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 20 May 2020

Muhammad Bilal Zafar and Ahmad Azam Sulaiman

This paper begins with a challenge to explore the scope and dimensions of corporate social responsibility (CSR) in Islamic banking and design a CSR disclosure index, which may…

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Abstract

Purpose

This paper begins with a challenge to explore the scope and dimensions of corporate social responsibility (CSR) in Islamic banking and design a CSR disclosure index, which may gauge the level of CSR disclosure in Islamic banking.

Design/methodology/approach

It adopts a two-fold approach to develop the CSR disclosure index for Islamic banking, such as “identification” and “prioritization.” In the ambit of identification, it relies on the existing literature related to CSR and Islamic banking. However, it undertakes analytical hierarchy process (AHP) method for prioritization through the sample of 104 experts related to Islamic banking of Pakistan.

Findings

It concludes the CSR index for Islamic banking contains five dimensions, including 79 items across 20 sub-dimensions. The results of AHP indicate that the CSR dimensions are important for Shariah governance, employee, community, customer and environment. Moreover, within dimensions, the most important sub-dimensions are Shariah compliance, customer service and quality, green investing/banking, customer relationship, training and development and poverty alleviation.

Practical implications

The CSR disclosure index of this study has important implications for academicians, such as it paves the ways for further investigations and practical usage of index to gauge the level CSR disclosure of Islamic banking. Moreover, it delineates the spectrum of responsibilities for managers of Islamic banking under the domain of CSR.

Originality/value

The proposed CSR disclosure index is comprehensive and stresses on the social responsibility of Islamic banking toward stakeholders. In nutshell, this study offers what is expected from the practitioners of Islamic banking in the domain of social responsibility.

Details

International Journal of Islamic and Middle Eastern Finance and Management, vol. 13 no. 3
Type: Research Article
ISSN: 1753-8394

Keywords

Article
Publication date: 17 April 2024

Muhammad Bilal Zafar

This paper aims to meta-analyze the results of the prior studies related to the relationship of human capital and financial performance in Islamic banking.

Abstract

Purpose

This paper aims to meta-analyze the results of the prior studies related to the relationship of human capital and financial performance in Islamic banking.

Design/methodology/approach

To examine the relationship between human capital and financial of Islamic banks, 23 empirical studies having sample of 15,607 are considered for the meta-analysis. Moreover, different measures related to financial performance including return on assets (ROA), return of equity (ROE) and Tobin’s Q have been taken as moderating for further subgroup analysis.

Findings

The results of meta-analysis reveal a positive correlation between human capital and financial performance with an effect size of 0.268. The subgroup analyses showed significant positive associations of human capital with ROA and ROE, insignificant with Tobin’s Q.

Originality/value

This study suggests Islamic banking should prioritize human capital development, maintain consistency and adopt a long-term perspective. Future research should consider context-specific factors and harmonize human capital and financial performance measurements for consensus.

Details

Accounting Research Journal, vol. 37 no. 2
Type: Research Article
ISSN: 1030-9616

Keywords

Article
Publication date: 8 February 2024

Muneer Ahmad, Muhammad Bilal Zafar and Abida Perveen

This study aims to investigate the comparative importance of factors influencing the customer shift behavior from conventional to Islamic banking for consumer finance in Pakistan.

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Abstract

Purpose

This study aims to investigate the comparative importance of factors influencing the customer shift behavior from conventional to Islamic banking for consumer finance in Pakistan.

Design/methodology/approach

First, a comprehensive analysis of the existing literature was conducted to identify a broad range of factors related to customer shift behavior. Through an expert sampling, 14 essential factors were chosen for further investigation. Second, a questionnaire was developed using the analytical hierarchy process (AHP). This questionnaire was then distributed among customers who had previously been using conventional banking services but had made a shift toward Islamic banking. The purpose of this questionnaire was to gather data and insights regarding their motivations and decision-making process behind the shift, and a sample 215 customers are taken in the study.

Findings

The results of AHP depicts that the religiosity is a most important factor influencing customers to shift from conventional to Islamic banking, and the second most important factor is pricing. The other subsequent important factors are reputation of the bank, marketing and promotion, service quality, behavior of banks staff, Shariah compliance, management, convenience, fastness and charges/fees. Whereas documentation, ambiance and recommendation are found least important factors to patronize Islamic banking.

Practical implications

The study recommends Islamic banks to create awareness, concentrating on religious factor to have a greater impact on growth of Islamic banking and shrinking of conventional banking. Further, it suggests Islamic banks to apply Shariah-recommended approach of doing business, to help community in best possible way and to launch differentiated marketing techniques to attract customers. It also proposes regulatory authorities to provide facilitation to Islamic banking business by providing level playing field similar to conventional banking, tax equality and conversion of public financing from conventional banking to Islamic banking.

Originality/value

The originality of this study lies in its comprehensive analysis of factors influencing consumer shift behavior from conventional to Islamic banking in the context of consumer finance in Pakistan. By using the AHP, the study provides a structured approach to understanding the relative importance of these factors. This is the uniqueness of the paper that it applies the AHP for the analysis. Furthermore, the study offers practical implications for Islamic banks and regulatory authorities to effectively address and capitalize on this consumer shift trend.

Details

Journal of Islamic Marketing, vol. 15 no. 5
Type: Research Article
ISSN: 1759-0833

Keywords

Article
Publication date: 23 July 2019

Ahmad Raza Bilal, Tehreem Fatima and Muhammad Kashif Imran

The purpose of this paper is to advance the theoretical perspective of complexity leadership paradigm to introduce shared leadership style as a precursor of taking charge behavior…

Abstract

Purpose

The purpose of this paper is to advance the theoretical perspective of complexity leadership paradigm to introduce shared leadership style as a precursor of taking charge behavior in public sector higher educational institutions (HEIs) of Pakistan. Moreover, this study unveils the underlying mechanisms of the climate of initiative and psychological safety for clarifying the link of shared leadership and taking charge.

Design/methodology/approach

The multi-source and multi-wave data were analyzed by employing double mediation analysis (PROCESS Model 4); using 282 valid responses obtained from a proportionate stratified sample of faculty members working in public sector HEIs of Pakistan.

Findings

The result indicates that shared leadership is a suitable style for governing the public sector HEIs and it fosters taking charge behavior in teaching faculty. Additionally, shared leadership creates climates that support initiatives and are psychologically safe that set stage for taking charge behaviors in teaching faculty of public sector HEIs of Pakistan.

Originality/value

This research has filled the gap of focusing on more collaborative leadership styles instead of traditional vertical leadership practices in public sector HEIs of Pakistan. Theoretically, this study suggests new insights into the contextual antecedents and mediating mechanisms of taking charge behaviors.

Details

International Journal of Public Leadership, vol. 15 no. 3
Type: Research Article
ISSN: 2056-4929

Keywords

Open Access
Article
Publication date: 4 September 2020

Ambreen Sarwar, Muhammad Kashif Imran, Zafar-Uz-Zaman Anjum and Umer Zahid

In modern times, innovation is considered as a vital component of sustainable competitive advantage. The purpose of this paper is to identify how innovation at the individual…

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Abstract

Purpose

In modern times, innovation is considered as a vital component of sustainable competitive advantage. The purpose of this paper is to identify how innovation at the individual level [innovative work behavior (IWB)] and at the organizational level [innovative organizational climate (IOC)] affects the chances of success of a particular project. Additionally, the moderating effect of gender and work culture on the relation between innovative climate and behavior is tested in the study.

Design/methodology/approach

Survey technique was used to collect data from 425 employees working in project departments at the executive, middle level and senior level management in the paint manufacturing industry of Pakistan. Multiple regression, as well as Preacher and Hayes (2004) tests, were applied to test the hypotheses.

Findings

The result of the data analysis showed that IWB acts as a mediator between IOC and project success (PS), thereby supporting the hypothesized model of innovation and PS. Work culture was supported as a moderator; however, no moderating effect of gender was validated by the results.

Research limitations/implications

The management must make sure that to maximize the rate of success of projects, innovative work climate within the organizations and departments be given due importance. In addition to this, personnel’s individual innovation capabilities must also be enhanced by taking steps toward improvement through training and development.

Originality/value

Though attention has been given to research in innovation in light of other related variables, its relation to PS remains yet to be studied. The effect of gender and work culture on innovation in Pakistani paint industry was long over-due which has been addressed by this study.

Details

Innovation & Management Review, vol. 17 no. 4
Type: Research Article
ISSN: 2515-8961

Keywords

Article
Publication date: 18 July 2023

Muhammad Waqas, Tehreem Fatima and Zafar Uz Zaman Anjum

Taking job demand-resource (JD-R) and self-determination perspective, the current study focused to see how basic need satisfaction (BNS) – as a personal demand – impacts work…

Abstract

Purpose

Taking job demand-resource (JD-R) and self-determination perspective, the current study focused to see how basic need satisfaction (BNS) – as a personal demand – impacts work engagement directly and indirectly through personal resource (i.e. self-efficacy). Moreover, the aim was to test the dimension-wise impact of BNS, i.e. the need for autonomy, need for belongingness and need for competence in the aforementioned relationship.

Design/methodology/approach

This research is a time-lagged survey in which three-wave data of 398 white-collar employees were collected from the service and manufacturing sector of Pakistan through convenience sampling. Each wave of data collection was two months apart. The matched responses yielded an overall response rate of 66.33%. The collected responses were duly analysed using partial least squares structural equation modeling (PLS-SEM).

Findings

Results of the study confirmed all direct and indirect hypotheses encompassing the impact of the combined BNS construct on work engagement via self-efficacy. Nonetheless, in the dimension-wise analysis, the indirect impact of the need for job autonomy on work engagement was not validated. This depicted that the need for competence and relatedness are more important predictors of work engagement through the self-efficacy path.

Originality/value

It has been observed that prior research on work engagement was mainly focused on the role of job demands (JDs) and personal resources; however, the role of personal demands along with personal resources has little been discussed. The authors tested the total as well as the specific impact of each component of basic need on work engagement making it possible to examine the total predicting role of basic need satisfaction and the specific contribution of satisfaction of each need on work engagement.

Details

Asia-Pacific Journal of Business Administration, vol. 16 no. 4
Type: Research Article
ISSN: 1757-4323

Keywords

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