Performance Measurement System for Zakat Institutions: Integrating Maqashid Sharia and Sharia Enterprises Theory

Abstract

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.