Risk Management Innovation of Islamic Financial Institutions

The early of the millennium witnesses fast development in Islamic Financial Institutions. Professional practise and Islamic Financial specialist academics have been breathlessly racing to invent new Islamic Financial Institutions innovation in a rushing attempt to fill in all gaps and satisfy every need that may be thought of.  The present paper aims at studying the risk management innovation arrangement in Islamic finance as may be derived from the axioms and rulings, especially in relation to the managing the risk. This is necessary to investigate the means and processes of risk management based on the Islamic financial paradigm. Even though, on average the Islamic Financial Institutions have good risk management practices, there is still enough room for Islamic Financial Institutions to improve their risk management system. The introduction of an effective risk management culture in Islamic Financial Institutions will ensure their competitiveness in the financial industry and financial crises

Zakah for Asnaf Al-Gharimun in Brunei Darussalam: Concepts and Practices

This research paper discusses the concepts of debt in Islam in relation to the category of al-gharimun that entitle for receive zakah. The data from the authority department has shown an alarming increase in number of applicant for zakah under the category of asnaf Al-Gharimun. Why was the number increased and who are actually eligible to receive zakah under the category of Al-Gharimun? This paper tries to answer these questions. The concept of debt in al-Qur\u27an will be discussed and various discussions by Islamic scholars and researchers will be analysed. Data gathered from several officers of Islamic Religious Council of Brunei Darussalam through personal interviews. The phenomenon was due to misunderstanding and ignorant among the public with regards to what kind of debts that are eligible under the category of Al-Gharimun to receive zakahDOI: 10.15408/aiq.v9i2.509

Parenting style and empathy in children: The mediating role of family communication patterns

Behavior problems among children in Indonesia are still high. The number of children involved in legal problems shows that there are existing moral problems. A crucial component in morals is empathy. Family, as the primary system in a child's life, has a significant influence on the development of empathy in children. This research was conducted to analyze the effect of parenting style on empathy in children through family communication patterns in early childhood in Indonesia. As many as 233 parents of 6 – 8 years old children participated in this study. The Parental Authority Questionnaire-Revised (PAQ-R), Basic Empathy Scale - Parent Report (BES-PR) and Family Communication Patterns-Revised (FCP-R) were used to collect the data. The results of this study indicate that family communication patterns mediate the relationship between parenting style and empathy in children. Conversational communication pattern mediate the effect of both authoritative parenting and permissive parenting on child's empathy independently. Conformity communication pattern only mediate the influence of authoritarian parenting on empathy in children. The current findings add information about the understanding about parenting strategies and interactions as well as the role of the family in the development of empathy in children

Fintech and Its Potential Impact on Islamic Banking and Finance Industry: A Case Study of Brunei Darussalam and Malaysia

Fintech is growing at an exponential rate which leads to the emergence of innovative business models. Advanced technologies like Blockchain, internet of things (IoT’s), artificial intelligence (AI), and robotics have become mature enough to create disruption in banking and finance industry both conventional and Islamic finance industry. Brunei Darussalam and Malaysia, both, offer wide range of Shari'a compliant services. The main purpose of this study is to investigate the potential impact of Fintech on the Islamic banking and finance industry in Brunei and Malaysia. Accordingly, this research deals with the qualitative method to accomplish and fulfill the research objectives. Content analysis and Semi-structured interview approach were employed throughout the research. The results clearly show that Fintech has  great potential impact on both conventional and Islamic finance industry. This potential impact is in both ways i.e. positive and negative. And, the response and reaction of Islamic finance industry towards the emergence of Fintech and its potential impact seems very slow as compared to their conventional counterparts. This study has indicated important points which include the necessity for the Islamic financial institution to cope with the growth of Fintech

Halal Industry Development in Brunei Darussalam: Realities and Challenges

The global halal market is witnessing significant growth, estimated at USD 2.41 trillion, and this upward trend is expected to continue due to increasing worldwide demand. In response to this lucrative opportunity, Brunei is actively supporting Micro, Small, and Medium Enterprises (MSMEs) and providing necessary facilities to foster the development of the halal industry in the country. This article aims to explore the current realities of Brunei’s halal sector by examining the factors that contribute to the rising demand for halal products and the opportunities presented by recent market developments. The research employed a method of assessing secondary data from various sources to achieve its objectives. The results highlight several factors influencing the development of the halal industry in Brunei. It is evident that the future growth of this sector hinges on industry players’ ability to expand their understanding of product sales and effective promotion strategies. The findings from this study can serve as a valuable resource for future researchers, academics, and policymakers when making informed decisions about the halal industry in Brunei. Keywords: Brunei, challenges, development, halal industry, realitie

The relationship between organisational competitive advantage and performance moderated by the age and size of firms

It has been argued that achieving a position of competitive advantage is a necessary precursor to a firm's significant performance. This paper will empirically examine the potential moderating variables that could affect the relationship between a firm's competitive advantage and performance, namely the firms' age and size. By examining the relative moderating effects of these variables, this paper delivers valuable information to firms, specifically with regard to strategic management directed toward performance and attaining a competitive advantage. This research was conducted among 127 manufacturers listed in the 2008 Federation of Malaysian Manufacturers Directory. A cross-sectional study was conducted using a structured questionnaire to obtain responses from the manufacturers. A two-way ANOVA shows that only the age of firms is a significant moderator in the relationship between competitive advantage and performance, and that this relationship is stronger for older firms. The size of firms does not significantly moderate the relationship between competitive advantage and performance. Despite the non-significant moderating effect of firms' size, overall, this study provides empirical support for the Resource-Based View (RBV) of Malaysian manufacturers regarding the issue of competitive advantage

Effects of inter-firm technology transfer characteristics on degree of inter-firm technology transfer in International Joint Ventures

The inter-firm technology transfers (TT) in collaborative joint ventures (JVs) often involve tradeoffs between the willingness of technology supplier to transfer a considerable amount of technologies to technology recipient and degree of protection of the proprietary technology, knowledge and competencies as the source of the supplier’s competitive advantage. Thus, technology transfers through JVs, although have been acknowledged in many studies as the most efficient mechanism in internalizing the partner’s technology,knowledge and skill, have frequently involved various facilitators, actors and complicated relationship between partners that have direct impact on the degree or amount of technology transferred in JVs. Building on the integrated knowledge-based view and organizational learning perspectives, and previous TT models, this study proposes a holistic TT model in providing explanations on the relative and simultaneous effects of technology transfer characteristics (TTCHARS) on degree of technology transfer (TTDEG). Subsequently, the holistic TT model also conceptualizes the effect of TTDEG on local firms’ performance dimensions namely corporate and human resource performance, and the moderating effects of MNCs’ firm size, age of JV, MNCs’ country of origin, and types of industries in the TTCHARS-TTDEG relationship

The development of knowledge management system for public higher learning in collaborative environment using Lotus Notes software

In higher learning institution sectors,collaboration tools of Knowledge Management Systems (KMS) explore the opportunity to create, gather, access, organize, distribute and disseminate the knowledge to their community of practice for many purposes such as learning process, R & D and others.This paper describes the theoretical concept and approach of knowledge management system (KMS) that could be implemented in Public Higher Learning Institution (PHLI) by showing how the framework of knowledge management system model is developed using Lotus Notes software.The achievement of this KMS framework is an added value for any PHLI that needs to implement the KMS, which can help them to achieve their aims and objectives.The emphasis also will be given to the activities that may be of concern for each stage in the KM life cycle by including the critical success factors (CSF) to ensure that KMS initiatives will deliver competitive advantages to the organization

Distributed knowledge management portal for Learning Organizations with collaborative environment

A knowledge management system (KMS) is a concept that can be used for creating knowledge repositories, improving knowledge access, sharing and communicating through collaboration, enhancing the knowledge environment and managing knowledge as an asset for an organization as well as inter-organization especially in Learning Organization (LO). In this paper, we will discuss and propose a distributed KMS portal for LOs with collaborative environment, a model and its components of KMS portal in LOs that will help the organizations to increase its productivity and quality as well as to gain return on investment (ROI). The component of KMS portal consists of its functionality, architecture, taxonomy, psychological, sociocultural and audit

A review on the technology transfer models, knowledge-based and organizational Learning Models on Technology Transfer

The main objective of this paper is to contribute to the existing Technology Transfer (TT)literature by reviewing the evolution and development of the previous TT models which include the traditional TT model, models developed after 1990s, other related theoretical foundations underlying TT models, and the current TT models which have strong influence of knowledge-based view (KBV) and organizational learning (OL) perspectives. Since the current management researchers have a strong focus on TT within strategic alliance and other collaborative ventures, this review highlights the significant influence of KBV and OL perspectives on inter-firm TT models. This review attempts to help stimulate the direction of both future theoretical and empirical studies on inter-firm technology transfer specifically 1) on how KBV and OL perspectives could play significant role in explaining the complex relationships between the supplier and recipient in inter-firm technology transfer 2) the tradeoffs that involve between properties of technology, protecting proprietary technologies, competitiveness of the supplier, willingness to transfer technology, and learning attitudes of the recipient in strategic alliances and JVs, and 3) on how KVB and OL perspectives could be integrated in a holistic model to explain the relationships between knowledge transferred, the recipient, the supplier, relationship characteristics and degree of technology transfer