International Conference of Zakat <p style="text-align: justify;">International Conference of Zakat (ICONZ) aims at bringing scholars and practitioners together to discuss zakat in modern era.&nbsp;We welcome the sharing of knowledge resulting related to zakat and&nbsp;Islamic social finance from research from various fields including from inter-disciplinary and multi-disciplinary perspectives. We aim to create an ideal zakat environment for the discussion, exploration and reflection of key issues that are shaping the world through our series of conferences and publications.</p> <p style="text-align: justify;">ICONZ held annually in October, our Annual Conference provides an important opportunity for practitioners and researchers in zakat to not only network and learn but also to debate and vote on new policy. This is our signature and zakat exclusive forum yearly event - bringing together zakat practitioners, local government, external stakeholders and media. Additionally, the ICONZ consists of two days of full plenary, split plenary and parallel sessions where participants will immerse themselves in the zakat challenges discussion.</p> <p style="text-align: justify;">Welcome to the next 4th ICONZ 2020. Website:&nbsp;<a href="" target="_blank" rel="noopener"></a></p> Center of Strategic Studies (PUSKAS) BAZNAS en-US International Conference of Zakat 2655-6251 Zakat-Based Community Driven Development <p><em>This study investigates the cognition development in the phenomena of zakat-based community driven development (CDD) in Indonesia. Comparing with the previous and contemporary practice of zakat, this paper identifies that formation of institutional forces and distant field from social networks on actors contribute some influences in the cognition development in zakat practice, especially in zakat disbursement for empowering the beneficiaries of zakat (mustahiq). This study contributes not only to contemporary zakat practices by developing new model in zakat disbursement program, but also to neo-institutional studies on the cognition development of actors and conditions of change in the strategic action field from the experience on zakat practice in Indonesia. </em></p> Khuzaifah Hanum ##submission.copyrightStatement## 2019-11-04 2019-11-04 1 13 10.37706/iconz.2019.140 Artificial Intelligence Usage in Zakat Optimization <p><em>The development of big data and Artificial Intelligence is a challenge and also opportunity in managing zakat. Dramatically changes of technology could impact on social life and employment throughout the world, including zakat institutions. This study discusses changes in the management of zakat in 4.0 industrial revolution era, and how big data and Artificial Intelligence take over part of amil duties. The method used in this research is qualitative with a constructivistic paradigm. The research subject of this study is Rumah Zakat as the national zakat institution, with the object of research on the change in management of zakat from zakat 1.0 era to the era of zakat 4.0 and any AI technology that can take over part of amil duties. There is a change in the management of zakat from the zakat 1.0 era to the zakat 4.0 era which is certainly influenced by the development of industrial revolution. The presence of AI technology has taken over part of the amil duties at Rumah Zakat, which is in charge of serving both muzakki and mustahiq. With the presence of various artificial intelligence and big data devices, made the tasks of amil are simpler, more time-saving, and more efficient.</em></p> Fajar Nugraha Sendi Permadia Aditya Rahmat Gunawan Erip Saeful ##submission.copyrightStatement## 2019-11-18 2019-11-18 14 24 10.37706/iconz.2019.144 A Peer-to-Peer Lending Methods in Management of Zakat Funds through Sharia Financial Institutions <p><em>The gap of living standards in society should be minimized through the potential of zakat in Indonesia. Indonesian population has recorded by the Central Bureau of Statistics, in March 2018 amounted to 265 million and was expected to reach 271 million by 2020, then the poor society in Indonesia &nbsp;were 25.95 million people. Correspondingly, the dominance of Muslims in Indonesia makes zakat as a potential welfare instrument.The study was conducted by PIRAC noted that, the potential of Zakat funds amounting to 20 billion in Indonesia. </em><em>Where the average person per year has the potential to spend Rp. </em><em>557.267. However, this potential has not been able to be achieved by BAZNAS. Many destitute and poor groups from year to year remain status as mustahik. Among the obstacles faced was located in the management and distribution of zakat funds. This study aims to examine the management and distribution model of ZAKAT through Islamic Financial Institutions (LKS) using Peer to Peer Lending (P2PL) methods. With a qualitative descriptive approach, zakat funds could be managed by LKS institutions with this method, because P2PL schemes are inclusive in managing zakat funds. In that management, the funds awere divided into two, namely consumptive and productive funds. By LAZ through LKS the productive funds were managed with management and products contained in the LKS. One of the supporting instruments is halal investment. By using methods P2PL investment, zakat funds can grow each month with little downside risk. In line with the development of the Financial Tecnogy (FinTech), LAZ with LKS can work together in the utilization of information technology to manage and distribute zakat funds to boost the economy and reduce mustahik in Indonesia.</em></p> <p><em>Keywords: P2PL, Zakat, Platform, Investment, L</em><em>KS</em></p> Darlin Rizki ##submission.copyrightStatement## 2019-11-18 2019-11-18 25 40 10.37706/iconz.2019.146 Good Amil Governance in Yogyakarta: Psychological Approach <p>The implementation of Good Amil Governance as one of important aspects in standard of international zakat management institution that stated in Zakat Core Principles requires an approach that is more than just amil competence and qualification aspect. Psychological aspect of amil in work also needs to be considered in order to obtain and maintain the best human resources. As a profession that is oriented towards social benefits, amil has different working rhythm and consequences from profit institutions. This research aims to measure the happiness of amil in the workplace and see the impact on amil productivity. The result show that amil is a satisfying job, the most blissful factor for amil is work motivation, while the most unhappy factor for amil is unclear career path and less promising. In addition, the happiness level of amil also has positive relationship to the work productivity level of amil. Therefore, psychology condition of amil should be considered in order to increase the performance of zakat institutions.</p> Zaki Abdullah Dinda Aisyah Najmi Duddy Roesmara Donna ##submission.copyrightStatement## 2019-11-18 2019-11-18 41 49 10.37706/iconz.2019.148 THE Factors that Influence People Interest in Using a Digital Platform as a ZIS Payment (Case Study Go-Pay) <p>This article aims to identify the factors that influence someone's interest in transacting zakat, infaq, and sedekah through the digital platform, named Go-pay. Zakat itself is an obligation that must be carried out by Muslims who have fulfilled the requirements. While infaq and sedekah are forms of sunnah worship which do not require special conditions but have one purpose with zakat, which is to give and help those who are not sufficient in fulfilling their daily needs. The potential for zakat collection based on the expected level of growth and Muslim population in Indonesia is not compatible with reality. The number of Muslim population in Indonesia is 80% of the total population and the potential of the collection of zakat in 2017 is Rp. 250.3 trillion, but what was collected was Rp. 6.2 trillion or only 2.47% of the total.</p> Meilika Aristiana ##submission.copyrightStatement## 2019-11-19 2019-11-19 50 59 10.37706/iconz.2019.156 The Impact of Pemberdayaan Ekonomi Umat (PPEU) YBM PLN Program in Merapi Merbabu Complex: Working Capital Loan based on Lariba Operates <p><em>People who do not have capital and assets really expect a loan without interest. However, it is almost impossible for financial institutions to disburse loans without interest. They eventually became entangled in loan sharks to get a capital loan which caused them to live in riba for years. This is the background of the Yayasan Baitul Maal (YBM) PLN present in the midst of the community through the Pesantren Merapi Merbabu Community by launching the Program Pemberdayaan Ekonomi Umat (PPEU) in the form of farm capital loans without riba. The purpose of this study was to determine the impact assessment of Program Pemberdayaan Ekonomi Umat. This research uses quantitative methods through filling out questionnaires by 83 beneficiaries and the qualitative method was carried out by interviews and Focuss Group Discusions. Program impact evaluation is measured using SLIA (Sustainable Livelihood Impact Assessment) and MSC (Most Significant Change). The results of the study showed that beneficiaries were very satisfied with the “Farm Capital Loan without riba" program they received with an average score of 86%. Meanwhile the results of the evaluation from 5 aspects SLIA are as follows: the economic aspect increases by 0.5, the social aspect rises by 0.6, the da'wah aspect rises by 2.0, the spiritual aspect rises by 1.4, and the human resource aspect rises by 0.8. The results of this study are expected to recommendation for relevant stakeholders in order to optimize the community's economic improvement program.</em></p> Yosa Novia Dewi ##submission.copyrightStatement## 2019-11-19 2019-11-19 60 74 10.37706/iconz.2019.157 Zakat Model by Caliph ʻUmar ibn Khaṭṭāb: Innovations Towards the Country’s Economic Problems <p>Umar bin Khattab is&nbsp;one&nbsp;of the four <em>Khulafāʻ ar-Rāsyidīn</em> who are&nbsp;known to be firm, fair, and wise in his government,especially&nbsp;in the&nbsp;economic&nbsp;sector&nbsp;in the&nbsp;welfare of their people.&nbsp;Umar’s government lasted ten years.&nbsp;In that period there were many government innovations to overcome various state problems.&nbsp;The country’s economic problems get serious attention by him.&nbsp;Various innovations also occur in the management of zakat.</p> <p>This research is a normative legal research, using a historical approach.&nbsp;The data source is divided into three parts, namely primary sources, secondary, and tertiary sources.&nbsp;While the method of data analysis uses the content analysis method.</p> <p>The results of this study indicate that the principle&nbsp;for Umar is an important instrument and is one of the main sources of state income.&nbsp;Various innovations in the field of zakat are the efforts of Umar as a caliph to optimize the zakat fund.&nbsp;These innovations are innovation of zakat during famine, innovation of zakat for slaves, innovation of zakat on agriculture and livestock, and innovation in the distribution of zakat funds.</p> Sabarudin Ahmad Aris Sunandar Suradilaga Lisnawati Shaleh ##submission.copyrightStatement## 2019-11-19 2019-11-19 75 86 10.37706/iconz.2019.161 Model of Optimal Zakat Allocation By Using Data Envelopment Analysis Approach <p><em>An optimization model of allocation of zakat fund and recipients is developed based on the Data Envelopment Analysis - Resource Allocation Model (DEA-RAM). The quantitative method plays an important role in optimal allocation of zakat delivery programs performed by some zakat institutions; that is by reallocation of initial setting of the zakat fund and beneficiaries numbers. It raises the needs of improvements in their recent strategies on the programs by the institutions.</em> <em>Zakat institutions, even the government as regulator, should have a clear focus on the poverty-empowerment-based programs in providing needed capitals for poverty empowerment. They are expected to create certain conditions in order to prevent excessive of fund allocation for the charity-based delivery programs.</em></p> Vita Sarasi Ina Primiana Dian Masyita Yunizar Yunizar ##submission.copyrightStatement## 2019-11-19 2019-11-19 87 97 10.37706/iconz.2019.162 National Zakat Management Information System: E-Sercive Quality and Its Impact on National Zakat Collection <p>The purpose of this study is to examine the impact and the electronic service quality of the national zakat management information system (SIMBA) on the national zakat collection. This paper uses a multiple regression analysis in its explorative attempt to illustrate the impact of SIMBA implementation on the national zakat collection. It shows that SIMBA is positive and significantly impact the national zakat collection as well as the human development index that is used as a proxy for the human resource management quality of zakat institutions in the respective city. Nonetheless, the population is negative and significant to the zakat collection as endemic poverty and reluctance to pay zakat are indicated as the reasons. Moreover, this study has succeeded in adapting and conducting e-service quality survey to zakat information system realm. All the tests prove that the instrument in this study has a high degree of reliability and validity. The results show that some of the demographic factors significantly impact the perceived performance of SIMBA. Multiple regression analysis that is conducted in this study shows that e-service quality dimension is positive and significant towards SIMBA’ overall quality, perceived value, and loyalty intention. This study contributes to the zakat management system literature, especially in the impact of the national zakat information system, which is pivotal in enhancing zakat collection and poverty alleviation program funded by zakat.</p> Randi Swandaru ##submission.copyrightStatement## 2019-11-19 2019-11-19 98 124 10.37706/iconz.2019.145 The Potential of Application of Technology Based Innovations for Zakat Administration in India <p><em>India is the home country for many Muslims and effective management of zakah is essential to the country. In this era of technology, it is imperative to fuse technology with zakat to ensure that the classical zakat administration approaches are upgraded to the uruf or customary practices of the society. The objective of this paper is to find out the potential of using technology in upgrading zakat administration in India. This is a qualitative approach where the primary sources such as zakat administration laws in India and secondary sources such as journal articles and published reports on the subject are analysed to derive conclusions. The findings of this paper suggests that the innovations such as rice ATMs, mobile applications, applications made with blockchain technology, artificial intelligence and big data can also play a vital role in the effective management of zakat in India. It is anticipated that the outcome of this research will assist the zakat administrators in India to adopt technology in this regard.</em></p> Aishath Muneeza Shahbaz Nadwi ##submission.copyrightStatement## 2019-11-19 2019-11-19 125 136 10.37706/iconz.2019.163 The Financial Performance Measurement Model Modification Using Tools of Ritchi Kolodinsky and International Zakat Standard of Management (ISZM) <p><em>The effectiveness and efficiency in </em><em>a </em><em>nonprofit organization have different meanings than in profit-orientated organizat</em><em>i</em><em>on</em><em>s</em><em>. 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.</em> <em>The studied in the period identify factors which influence both effectiveness and efficiency and its evolution and interpreting the results for the whole field.</em></p> Peny Cahaya Azwari Khairul Rijal Nurfala Safitri Rambo Saputra ##submission.copyrightStatement## 2019-11-20 2019-11-20 137 159 10.37706/iconz.2019.149 The Impact of Z-Mart BAZNAS Program on Community Welfare Enhancement <p><em>The number of people living under poverty in Indonesia in 2017 is 38.4 million. There are many factors contributing to cause poverty, including economic factors. Low income causes them to be unable to fulfill daily needs. One of the instruments that can be used to overcome poverty and empower people is zakat. Utilization of Zakat funds and infaq for productive enterprises is one of the important and strategic agenda in economic empowerment. BAZNAS through the Lembaga Pemberdayaan Ekonomi Mustahik (Eng: the organization of beneficiary economical empowerment; abv. LPEM) encourages the strengthening of mustahik (Eng: beneficiary of zakat) economy through strengthening retail businesses in the form of stalls or called Z-Mart. This program intensively carries out coaching and mentoring so that the businesses run by the beneficiaries could run progressively. The target of this program is to encourage mustahik to transform into muzaki (Eng: zakat giver) with the standard had kifayah and SDGs in the 1st Goal (No Poverty) to reduce poverty. The purpose of this study was to observe the impact of the Z-Mart Program on improving the economy of the poor. This research was conducted in May 2019 in Bandung Region. The sample of this study were 21 Z-Mart Program Beneficiaries. Data was collected by in-depth interviews and Focus Group Discussion (FGD) methods. The measurement of the impact of the Z-Mart program is carried out using the Social Return on Investment (SROI) method suggested by the SROI UK Network (Social Value International). The results showed that overall, since the implementation of the Z-Mart program, the SROI value was 0.91. This means that during 1 year of the program, every IDR 1 invested has benefit of IDR 0.91. This value shows that socially to return the value invested in the Z-Mart program takes more than 1 year. Nevertheless, the results of the study show that the Z-Mart program has succeeded in increasing Mustahik's welfare through increased income, decreased moneylender practices, and increased social attitudes with infaq (Eng: the practice of giving) and alms practices.</em></p> Yulya Srinovita Deden Kuswandi Budi Asmita Fahrudin Fahrudin ##submission.copyrightStatement## 2019-11-20 2019-11-20 160 167 10.37706/iconz.2019.168 The The Effectiveness of Zakat Funds towards Mustahik’s Business Development in Banda Aceh (A Study on Baitul Mal Kota Banda Aceh) <p>This study aims to examine the effectiveness of zakat, infaq and alms (ZIS) productive funds towards the development of the mustahik business in Baitul Mal Banda Aceh. This study uses 4 variables, consisting of mustahik business development as the dependent variable, effectiveness of targeting productive ZIS funds, coaching and supervision as independent variables. This research is a survey using a questionnaire as an instrument. The population in this study is the recipient of productive ZIS in Baitul Mal Banda Aceh. A sample of 100 respondents was selected by random sampling technique. Based on the results of the regression analysis shows that the effectiveness of the target accuracy of productive ZIS funds, coaching and supervision have a positive and significant effect on business development mustahik.</p> Muhammad Haris Riyaldi Teuku Zakiyun Fuadi ##submission.copyrightStatement## 2019-11-20 2019-11-20 168 178 10.37706/iconz.2019.169 Factors Affecting Community Trust to Pay Zakat at the National Board of Zakat (BAZNAS) of South Kalimantan Province <p><em>According to </em><em>the National Board of Zakat (BAZNAS) of South Kalimantan Province</em><em> financial statement, t</em><em>he number of zakat funds received in 2016 was Rp. 901,599,200. However, the potential zakat in South Kalimantan Province in 2016 was Rp. 2,740.5 billion and it means that the zakat received is still far from the potential zakat.</em> <em>The aim of this study is for knowing whether knowledge factor, service quality factor, income factor, religiosity factor and institution image factor are related significantly on public trust in order to pay ZIS funds to the National Board of Zakat (BAZNAS) of South Kalimantan Province. The method of this research is a quantitative correlative with multiple linear regression analysis techniques. This study used a random sampling technique to muzakki National Board of Zakat (BAZNAS) of South Kalimantan Province as many as 159 respondents.</em></p> <p><em>From the results of this study, it concluded that the factor of knowledge, income, religiosity and institution image have a significant effect on public trust in order to paid ZIS funds to the National Board of Zakat (BAZNAS) of Kalimantan Province. Meanwhile, the service quality factor is not affecting public trust in order to paid ZIS funds to the National Board of Zakat (BAZNAS) of South Kalimantan Province. </em></p> Lusiana Handayani Kamila Windyani Putri Muhammad Yassir Fahmi ##submission.copyrightStatement## 2019-11-20 2019-11-20 179 191 10.37706/iconz.2019.174 Risk Management Analysis of Productive Zakat Distribution: A Case Study of DPU DT Yogyakarta <p>This study aims to analyze the Risk Management of the distribution of productive zakat funds in the MISYKAT program at DPU DT Yogyakarta Branch. This research is a descriptive qualitative research. This study uses data collection techniques with triangulation techniques namely observation, interviews and documentation. Interviews were conducted with staff/employees at DPU DT Yogyakarta Branch, Mustahiq MISYKAT Program and who experts and concentrate on zakat. The informant selection technique is by establishing several criteria and data validity techniques by triangulating the source. The results of this study indicate that DPU DT in carrying out the MISYKAT program uses risk management that is fully guided by the book "Operational Strategy Guide for MISYKAT Empowerment Program DPU Daarut Tauhiid". The book was issued by the DPU DT central. Based on the results of the study it can be concluded that DPU DT implements risk management of productive zakat distribution in the MISYKAT program as well as operational procedures and guidelines issued by the DPU DT central even though it has not been fully implemented.</p> Safaah Restuning Hayati Abraham Zakky Zulhazmi Rizqi Dwi Ningrum Syah Amelia Manggala P Aqidah Asri Suwarsi ##submission.copyrightStatement## 2019-11-20 2019-11-20 192 202 10.37706/iconz.2019.175 Influencing Factors of Muzaki Use and Receive Zakat Payment Platform <p><em>The purpose of this </em><em>paper</em><em> was to determine the factors that affect muzaki receive and use the platform to pay zakat. The method used in this research is a descriptive method with a quantitative approach to muzaki ever to its digital pay zakat institutions with a total of 100 respondents. The results show that the performance expectations, expectations of the business have a high influence on behavioral intentions muzaki in receiving and using the online zakat payment platform and condition of the facility, behavioral intentions have a high influence on the behavior of using muzaki in accepting and using the online zakat payment platform. This is caused by the belief muzaki against an online zakat payment platform that can pay zakat faster completion when compared to pay zakat offline and convenience perceived by muzaki when paying zakat using the online zakat payment platform. Of course, trust muzaki and ease of platform features online zakat payment can be a relevant factor in the platform online zakat payment made by the institution of zakat.</em></p> Erwanda Nuryahya A Jajang W Mahri Aas Nurasyiah ##submission.copyrightStatement## 2019-11-20 2019-11-20 203 215 10.37706/iconz.2019.176 Zakat, Accounting of Zakat, SAK Design of Zakat Accounting Guidelines Based on Comparative Analysis of PSAK 109 and FAS (9) AAOIFI" <p><em>This research will examine Sharia Accounting specifically which deals with the analysis of Zakat based on comparative analysis of PSAK 109 with FAS (9) AAOIFI and makes a draft of Zakat Accounting Guidelines based on comparison of PSAK 109 with FAS (9) AAOIFI which can be applied in Indonesia. The research used in this research is a descriptive qualitative research that is a method that describes, describes, compares a data and a situation and explains a situation in such a way that a conclusion can be drawn, with in-depth interviews, discussions and literature studies in order to obtain information from primary and secondary sources, using content analysis, literature review and SWOT.</em></p> M . Sudirman Muhammad Hasbi Zaenal Sigid Eko Pramono ##submission.copyrightStatement## 2019-11-25 2019-11-25 216 231 10.37706/iconz.2019.179 Perceiving Utilization of Zakat through Economic Sociology Perspective <p>ABSTRACT</p> <p><em>The success of a program in the utilization of zakat often measured quantitatively by economic perspective only, such as the rising of mustahik incomes and the number of beneficiaries in the utilization of zakat. But, on the other hand, there are qualitative aspects in terms of social relations that rarely portraited by economics itself. The economic aspect basically has three core activities: production, distribution, and consumption; while the role of sociology is seeing how the relation between the people who did those three events, which includes values, norms, and cultural aspect that determines economic motive by its cultural that had the impact on social welfare. This paper will explain that in looking at the utilization of zakat, it’s necessary to seeing the economic sociology perspective in order to see more comprehensive about social relations that contained in the process of administrative program activities in the utilization of zakat that given for mustahik such as Fakir, Miskin, Amil, Riqab, Gharimin, Mualaf, Ibnu Sabil and Fi Sabilillah. Using the classic theory of Weber about Value, the flow of Institutional by Veblen and the concept of Cultural Capital by Bourdieu, this paper will clarify the relationship between the values contained in the utilization of zakat which associated with the stakeholders.</em></p> <p><em>Keywords: Utilization of Zakat, Economic Sociology, Institutionalism, Cultural Capital, Value.</em></p> Eveline Ramadhini ##submission.copyrightStatement## 2019-11-25 2019-11-25 232 242 10.37706/iconz.2019.170 An Efficiency and Productivity of Zakat Institution in Malaysia and Indonesia: The Comparative Study <p>The efficiency and productivity of Zakat institution have widely discussed, it is an organization based on social which looks after economic disparities. Most recently, Indonesia made a standardization policy and system of zakat institution, so that the zakat institution in Indonesia can reach the same quality or higher rather than other countries. It called Zakat Core Principles. Therefore, this research will focus on the zakat institution in Indonesia and Malaysia. The purpose of this study is to measure and compare the efficiency and productivity using Data Envelopment Analysis (DEA) and Malmquist Productivity Index (MPI), which is a non-parametric and deterministic methodology for determining the relative efficiency and productivity. The result of this research shows, The first quadrant is the best efficient and productive institutions gained by zakat institution in Indonesia namely Sinergi Foundation and 3 zakat institutions in Malaysia namely Kedah, Melayu Perak, and Selangor. The second quadrant is highly productive but low efficient achieved by zakat institutions in Indonesia namely Baznas, RZ, Dompet Dhuafa and 1 zakat institution in Malaysia namely Jawhar. The third quadrant is high efficient but low productive didn’t achieve by any zakat institution in Indonesia or Malaysia. The fourth quadrant is low efficient and low productive reached by 1 zakat institution in Indonesia namely PKPU and 3 zakat institution in Malaysia namely Kelantan, PPZ and Pahang. The implication in this study is describing the position of zakat institution in Indonesia and Malaysia so that it is known which zakat institution could be a role model or benchmarking for other zakat institution.</p> <p>&nbsp;</p> Aas Nurasyiah Risa Sari Pertiwi Faqih Adam ##submission.copyrightStatement## 2019-11-26 2019-11-26 243 257 10.37706/iconz.2019.178 Maqasid Al-Shariah in Micro-entrepreneurs Development: an Overview <p>The experience of the economic crisis that had hit Indonesia in 1997 showed that micro-entrepreneurs were able to survive, reduce unemployment and absorb employment. Despite having a large role, micro-entrepreneurs, faced with various problems of access to capital. Lack of access to capital is a factor hampering the success of entrepreneurs. LPPI study results (2015), only 30% are able to access financing. As a solution, the development of micro-entrepreneurs is carried out based on the Islamic maqasid through the use of zakat funds. This study uses qualitative methods with a literature study and descriptive approach. The results of this study indicate that the Islamic maqasid which is directly related to the development of micro-entrepreneurs is protecting offspring (nasl) and protecting property (maal). Protecting religion in the context of developing micro-entrepreneurs is maintaining business continuity and sustainability. Whereas protecting assets in the context of developing micro-entrepreneurs is a business that must be managed professionally in order to grow and make a profit.</p> Efri Syamsul Bahri Mohd Mizan Aslam Aslam Abdullah Alwi Hj Hasan Hendro Wibowo ##submission.copyrightStatement## 2019-11-26 2019-11-26 258 267 10.37706/iconz.2019.182 The Influence of the Implementation of Total Quality Management and the Implementation of Good Governance on the Muzakki Trust (Study on Amil Zakat Institution in Batam City) <p><em>Zakat becomes part of the obligations of Muslims who must be paid and given to those who are entitled to receive zakat. The distribution of zakat which is intended for the recipient and the amount of zakat is often not recorded accurately. There is a discrepancy between the amount of zakat and the number of recipients of zakat. Then a new breakthrough is needed through the implementation of toral quality management and the application of good governance so that it is expected that all incoming zakat and the number of recipients of zakat can be recorded</em><em>.</em></p> <p><em>This study aims to examine the effect of the implementation of total quality management and the role of good governance on muzakki trust (a study at the Amil Zakat Institute in Batam City). The population in this study is the number of residents of the city of Batam in 2017 amounted to 1,062,250 inhabitants. Determination of the sample using the formula Hair, et al (2010) so that the total sample is 100 respondents. Data analysis using multiple linear regression with SPSS 23.</em></p> <p><em>The results of the study can be concluded that the implementation of total quality management has a significant positive effect on muzakki trust, the application of good governance has a significant negative effect on muzakki trust and the implementation of total quality management and the application of good governance simultaneously has a significant positive effect on muzakki trust.</em></p> Cahyo Budi Santoso Ahmad Gamal ##submission.copyrightStatement## 2019-11-26 2019-11-26 268 281 10.37706/iconz.2019.197 Optimization of Masjid-Based Zakat Management: A Graduation Empowerment Approach <p><em>Research related to optimizing zakat management has been widely discussed, as well as masjid-based objects, but research related to optimizing zakat at masjid focusing on the application of graduation empowerment is still rarely found. </em><em>This research initiated the concept of graduation empowerment in the Masjid-based zakat Management. Thus, the mustahik around the masjid can be managed systematically so that the graduation process into muzkki can be measured and effective.</em> <em>This article is a conceptual study through a literature review of selected articles that examine best practices both in microfinance and in social funds for the poor. Empowerment of graduations at the Masjid can be done effectively through: 1) The masjid has baitul maal and baitul tamwil (BMT) as divisions that manage the social funds of Masjid worshipers; 2) BMT builds a mustahik and muzakki database as a basis for making maps of community empowerment; 3) BMT designs graduation empowerment for mustahik through holistic intermediation; 4) professional managers; 5) partnerships with technical assistance providers; 6) program and reporting transparency</em></p> <p><em>Keywords: Optimization, Masjid-Based, Zakat Management, Graduation empowerment, BMT</em></p> Besse Wediawati Rike Setiawati Agung Gunawan ##submission.copyrightStatement## 2019-11-26 2019-11-26 282 290 10.37706/iconz.2019.198 Performance Measurement System for Zakat Institutions: Integrating Maqashid Sharia and Sharia Enterprises Theory <p><em>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.</em></p> <p>&nbsp;</p> Ataina Hudayati Achmad Tohirin ##submission.copyrightStatement## 2019-11-26 2019-11-26 291 299 10.37706/iconz.2019.199