Hidayatul Ihsan and Shahul Hameed Hj. Mohamed Ibrahim
The purpose of this study is to examine accounting and management practices in two Indonesian awqaf institutions. It intends to seek evidence with regard to how mutawallis…
Abstract
Purpose
The purpose of this study is to examine accounting and management practices in two Indonesian awqaf institutions. It intends to seek evidence with regard to how mutawallis discharge their accountability.
Design/methodology/approach
Two case studies were undertaken on two awqaf institutions in Indonesia, i.e. ABC and XYZ waqf foundations. Data were collected through various methods, i.e. interviews, document reviews and direct observations.
Findings
The findings show that ABC shows more efficient management and greater transparency and accountability than XYZ due to the presence of Islamically committed professionals in the former, despite the better accounting information system and more “academically” qualified personnel in the latter.
Research limitations/implications
This study only concentrates on two Indonesian awqaf institutions.
Practical implications
This study is expected to contribute to the improvement of waqf administration.
Originality/value
The paper is the first attempt to address accounting issues in awqaf institutions, particularly in Indonesia.