CHAPTER 1

Introduction to
Islamic
Management
Prepared by:
Pn sharifah nurulhuda bt s ab latif
Lecturer of syariah
Faculty of islamic study (kuisas)

ISLAMIC WORLDVIEW
Islam means The Surrender, that is, man

surrendering to Gods will and purpose.

Islam is an Arabic word that connotes submission,
surrender and obedience.
Another literal meaning of the word Islam is
peace
One can achieve real peace of body and mind
only through submission and obedience to Allah.
Islam consists of submission and obedience to
Allah, the Lord of the universe (Mawdudi,1960).

 Islam

created a unique management paradigm

nurtured civility, prosperity, diversity and happiness
among people of different creeds and ethnic origins
around the globe for more than 1000 years (Abbasi et
al.2010).

Islamic perspective on management studies is an

important area of research for modern management

scholars (Abbasi et al., 2010).

Islamic perspectives are described and discussed on

the basis of revealed sources of Islamic knowledge,

al-Qurn and Hadith, considering them as valid for the
purpose of research (Kazmi, 2003)

MANAGEMENT IN
ISLAMIC PERSPECTIVE

The concept of management in Islamic

perspective is to manage all things.

To know yourself: We as a man is a khalifah
of Allah (God vicegerent)
To believe in God
To manage & to administer everything on the

earth according to the will of Allah

to manage oneself, family, belonging, position
& so on

" Integrated activities of thinking, planning,

organizing, leading and controlling,
interconnected with decisions, involving the
use of resources - human, financial, time,
information, and physical, with the
objectives of attaining the goals of Maqasid
al-Shariah, by means of effective and
efficient methods
SHAYAA OTHMAN

Management today is defined as

Getting things done through others.
Following this concept, a manager is now

understood as the person who works

through others. A good manager,
therefore, is aperson who not only knows
what is to be done but exactly how to get
it done.
TheHoly Quran confirms:
We raise some of them above others in
ranks,so that some may command work
from others...(43:32)

 Management is coordinating work activities

so thatthey are completed effectively and

efficiently with and through other people.
Efficiently means that proper usage of
resources and less wastage of them. This is
one of very important aspect of
management.
Wastageeither in terms of: material,
human capital, energy, machine utilization,
or processing time, creates inefficiencies
resulting in the increase of costs and
consequent decrease in profits.

The holy Quran has spoken against wastage

and lavish expenditure in following words:

And render to the kindred their due rights,
as (also)to those in want, and to the
wayfarer. But waste not (your wealth,time,
health, talents, opportunities and etc) in the
manner of aspendthrift.[17:26]
For the wasteful are the brothers of Satan;
andSatan is ungrateful to his Lord.[17:27]

ISLAMIC MANAGEMENT
BASED TAWHIDIC
WORLDVIEW
The transformation of Islamic management

systems within the Tawhidic paradigm

harmonizes the spirit if Tawhid (Unity of God)
with planning, organization, leading and
controlling.
Management system will achieve the firms
mission and objectives by implementing
mutually reinforcing values- promotion of
goodness (amr maruf) and prevention of evil
(nahr al munkar)

Allah mentioned in surah al-Talaq: verse 3:

And He provides for him from (sources) he

never could imagine. And if anyone puts his
trust in Allah (SWT)sufficient is Allah for him,
for Allah SWT will surely accomplish His
purpose verily for all things has Allah SWT
appointed a due proportion.

ISLAMIC MANAGEMENT
BASED TAWHIDIC
WORLDVIEW

Fundamental principles of duniyawi-ukhrawi

view

ISLAMIC MANAGEMENT VERSUS

CONVENTIONAL MANAGEMENT
ISLAMIC MANAGEMENT

CONVENTIONAL
MANAGEMENT

All human activity can be Ibadah Human activity are separated

provided they are guided by religious aspect is a private
Allah's commandments.
matter of individuals, while work
is in the public domain.
The purpose of human existence
is to obey and fulfill Allahs
commandments and act as the
vicegerent of Allah on earth.

The purpose of human existence

is to utilize natural resources to
satisfy ones needs, wants and
desire and to remain happy.

Sources of ethic and values

governing:
the
revealed
knowledge
(al-Quran) and the
traditions of the Prophet ( SAW)
constitute the ultimate sources of
business ethics and personal
values.

Ethics is relative and values are

derives from multiple sources
such as upbringing, society,
experiences.

Organizational

control

has

to Organizational

control

has

to

FUNCTION OF MANAGEMENT

PLANNING
Principles of Planning
Forward thinking based on the past
Rational use of resources
Consultation before decision making decisionApply fairness to others

ORGANIZING
Authority: Given by Allah
Shura: Consultation or collective decision:

decision
Responsibility
Accountability

LEADING
Qualities of an Islamic Leadership
Knowledge and wisdom
Taqwa
Adl (justice)
Rahmah (compassion)
Forgiving
Courage and bravery
Shura (mutual consultation)
Sabr (patience)
Spirit of self secrifice

MOTIVATION
Motivating
The purpose of motivation in Islam is to have

a good worker and to produce an excellence

service
To understand that working is not only to get
the salary but to do virtuous deed
(amalamalsalihsalih)
Working is ibadah
To attain alal-Falah (true success)

MOTIVATION THROUGH REWARD AND

PUNISHMENT
Salary
Position
Incentive
Bonus
Reward- Jannah and Jahannam
Sense of losing face; shame for self and

family Sense family

CONTROLLING
Basic control Amar maruf Nahi mungkar
Job specification
Establish standard performance
Keep the performers informed prior to their

action
Caring sense
Simple language
Remedial action