Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it?
It is posited that Islamic Banking is meant to be socially responsible. Relating to this social responsibility, this paper undertakes two objectives. One is to develop an illustration of a corporate social responsibility (CSR) measurement index by allocating differential weights to process-based and...
| Main Authors: | , , , |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Faculty of Economics and Management, Universiti Putra Malaysia
2018
|
| Online Access: | http://psasir.upm.edu.my/id/eprint/65315/ http://psasir.upm.edu.my/id/eprint/65315/1/12%29%20Weighted%20Corporate%20Social%20Responsibility%20Index%20for%20Measuring%20Islamic%20Bankings.pdf |
| _version_ | 1848855249484251136 |
|---|---|
| author | Shahabuddin, Abu Saim Mohammad Alamer, Abdullah Rajeh Ali Abd Sukor, Mohd Edil Niaz Ahmad, Mohd Naseem |
| author_facet | Shahabuddin, Abu Saim Mohammad Alamer, Abdullah Rajeh Ali Abd Sukor, Mohd Edil Niaz Ahmad, Mohd Naseem |
| author_sort | Shahabuddin, Abu Saim Mohammad |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | It is posited that Islamic Banking is meant to be socially responsible. Relating to this social responsibility, this paper undertakes two objectives. One is to develop an illustration of a corporate social responsibility (CSR) measurement index by allocating differential weights to process-based and outcome-oriented CSR measures. The illustrative index contains nine (9) process-based measurement items, which fall under three (3) dimensions: investment, research and development, and human resources. Outcome-oriented measurement items are eight (8), which represent three (3) dimensions: Shariah Supervisory Board (SSB), social activities and sharing, and environment. The way of deciding different weights for these two categories of measures is explained, and a possible method for validation of assigned weights is proposed. Another objective is to explain why CSR measures relating to core business processes should be given more weight than outcome-oriented CSR measures for Islamic banks. In order to develop this explanation, the paper draws upon Quranic and Hadith texts, maqasid literature and published works on CSR of Islamic banks. The basic argument underlying this explanation is that purity of the process of earning is a precondition for the earning-based beneficial acts to be acceptable as good deeds. |
| first_indexed | 2025-11-15T11:22:46Z |
| format | Article |
| id | upm-65315 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T11:22:46Z |
| publishDate | 2018 |
| publisher | Faculty of Economics and Management, Universiti Putra Malaysia |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-653152018-10-05T07:30:31Z http://psasir.upm.edu.my/id/eprint/65315/ Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it? Shahabuddin, Abu Saim Mohammad Alamer, Abdullah Rajeh Ali Abd Sukor, Mohd Edil Niaz Ahmad, Mohd Naseem It is posited that Islamic Banking is meant to be socially responsible. Relating to this social responsibility, this paper undertakes two objectives. One is to develop an illustration of a corporate social responsibility (CSR) measurement index by allocating differential weights to process-based and outcome-oriented CSR measures. The illustrative index contains nine (9) process-based measurement items, which fall under three (3) dimensions: investment, research and development, and human resources. Outcome-oriented measurement items are eight (8), which represent three (3) dimensions: Shariah Supervisory Board (SSB), social activities and sharing, and environment. The way of deciding different weights for these two categories of measures is explained, and a possible method for validation of assigned weights is proposed. Another objective is to explain why CSR measures relating to core business processes should be given more weight than outcome-oriented CSR measures for Islamic banks. In order to develop this explanation, the paper draws upon Quranic and Hadith texts, maqasid literature and published works on CSR of Islamic banks. The basic argument underlying this explanation is that purity of the process of earning is a precondition for the earning-based beneficial acts to be acceptable as good deeds. Faculty of Economics and Management, Universiti Putra Malaysia 2018 Article PeerReviewed text en http://psasir.upm.edu.my/id/eprint/65315/1/12%29%20Weighted%20Corporate%20Social%20Responsibility%20Index%20for%20Measuring%20Islamic%20Bankings.pdf Shahabuddin, Abu Saim Mohammad and Alamer, Abdullah Rajeh Ali and Abd Sukor, Mohd Edil and Niaz Ahmad, Mohd Naseem (2018) Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it? International Journal of Economics and Management, 12 (1). pp. 233-246. ISSN 1823-836X; ESSN: 2600-9390 http://www.ijem.upm.edu.my/vol12no1/12)%20Weighted%20Corporate%20Social%20Responsibility%20Index%20for%20Measuring%20Islamic%20Bankings.pdf |
| spellingShingle | Shahabuddin, Abu Saim Mohammad Alamer, Abdullah Rajeh Ali Abd Sukor, Mohd Edil Niaz Ahmad, Mohd Naseem Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it? |
| title | Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it? |
| title_full | Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it? |
| title_fullStr | Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it? |
| title_full_unstemmed | Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it? |
| title_short | Weighted corporate social responsibility index for measuring Islamic banking's social performance: how to develop it? |
| title_sort | weighted corporate social responsibility index for measuring islamic banking's social performance: how to develop it? |
| url | http://psasir.upm.edu.my/id/eprint/65315/ http://psasir.upm.edu.my/id/eprint/65315/ http://psasir.upm.edu.my/id/eprint/65315/1/12%29%20Weighted%20Corporate%20Social%20Responsibility%20Index%20for%20Measuring%20Islamic%20Bankings.pdf |