The Concept of Good Corporate Government (GCG) Amil Zakat Institution (LAZ) in the Sharia Perspective of Enterprise Theory (Set): Literature Review

Abstract

Zakat is one of the main acts of worship in Islam that can be the main pillar and tool to uphold justice in social life and can improve the well-being of the people. The noble purpose of zakat will be achieved when zakat management is done properly and professionally (good zakat governance), This means that zakat should be managed institutionally in accordance with Islamic law, trust, usefulness, justice, legal certainty, integration and accountability. This research is qualitative like a literature review that uses related literature. This research explores various literature related to Sharia Enterprise Theory which can be applied to zakat management. GCG (Good Corporate Governance) is a world-famous principle for maintaining commitment and honesty in a world organization. Almost all countries in the world adhere to this basis to form the principles of responsibility and openness. However, in practice, GCG lacks real implementation for relevant and interested stakeholders. This study aims to restore GCG (OECD version) and obtain a concept of sharia values ​​that is more easily accepted. Hopefully this will bring a solution to the problem. When analyzing the values ​​and character of SET, of course it further develops and grows new GCG based on Islamic sharia values. These values ​​include; First; deeper understanding of company stakeholders, second; several principles regarding stakeholder rights; third; equivalence of stakeholder attitudes; fourth; the principle of openness; and fifth; regarding corporate responsibility. The weak application of GCG in Indonesia is caused by the low quality of protection for investors, the quality of supporting the rule of law, the quality of openness of public company audit committees which are not aligned. This condition illustrates the need for effective and efficient global organizational governance. Islamic Company Management follows the Islamic Company Theory which has greater empathy for larger stakeholders which include Allah, Humans and the universe. The difference in conventional Corporate Governance goals and Sharia GCG is what drives the use of Sharia Enterprise Theory (SET). SET certainly will not differentiate between spiritual and material values. This proves that Sharia GCG is not just about gaining material benefits, but also Islamic or spiritual values. SET will not differentiate between egoistic values ​​in Islamic rules which are described in the form of worship. Sharia enterprise theory is an enterprise theory that has been internalized with Islamic values ​​to produce a theory that is transcendental and more humanistic. According to sharia enterprise theory, stakeholders include God, humans and nature. God is the highest party and is the only goal of human life, humans as Khalifatul fil Ardh carry the mission of creating and distributing prosperity for all humans and nature.