Ethical Governance: Insight from the Islamic perspective and an empirical enquiry

Charity governance is undergoing a crisis of confidence. In this paper, we suggest an alternative approach to how governance could be perceived and conceptualized by considering the ethical notions of governance embedded in religious enquiry, with a specific focus on the Islamic perspective of governance. We firstly develop an ethical framework for charity governance, utilizing insight from the Islamic perspective. Secondly, we undertake an empirical study to assess the experience of governance within Islamic charity organizations. Our theoretical framework provides a comprehensive approach to viewing organizational governance with an emphasis on governance as a mechanism for working towards social justice and the public good. However, our empirical findings reveal an ‘ethical gap’ between the ideals of the Islamic Ethical Framework and the reality of governance practice within Muslim charity organizations. We consider the implications of these findings and outline avenues for future research.