Shariah Governance in Non-Financial Organizations

Abstract

Shariah governance, traditionally associated with Islamic financial institutions, is increasingly gaining relevance in non-financial organizations seeking to align their operations with Islamic ethical, legal, and social principles. This post-doctoral level study examines the conceptual foundations, structural mechanisms, and practical implications of implementing Shariah governance within non-financial sectors such as education, healthcare, manufacturing, NGOs, and public administration. Anchored in the principles of Maqāṣid al-Sharīʿah, the research explores how Shariah governance frameworks promote ethical accountability, transparency, and social responsibility beyond the realm of finance.Through an interdisciplinary lens that integrates Islamic jurisprudence, organizational governance theories, and contemporary management literature, the study analyzes key components of Shariah governance—including Shariah supervisory boards, internal compliance mechanisms, ethical auditing, and value-driven policy development. It argues that the incorporation of Shariah governance in non-financial institutions enhances organizational credibility, builds stakeholder trust, and reduces operational risks associated with unethical practices.