management from islamic perspective

8/10/2019 Management From Islamic Perspective

1/11

MME 4272MANAGEMENT FROM ISLAMIC

PERSPECTIVE

Khondaker Sazzadul KarimDepartment of Manufacturing and

Materials Engineering


2/11

General Principles of Ethics in Islam

Abdallah A Hanafy and Hamid Salamclassified some major ethical principlesin Islam into six (6) categories:

Truthfulness

Trust TTSSBJ

Sincerity

Science and Knowledge

Brotherhood

Justice


3/11

Specific Principles of Business

Ethics in Islam

1. Hoarding and profiteering

2. Accuracy in measurement and weight

3. Adherence to contracts

4. False Advertising and Misrepresentation

5. Destruction of Surplus Produce

6. Interest (Riba) and Unlawful Trade7. Fair Recruitment Practices

8. Fair Treatment to Workers

9. Protection of Environment

HAAFDIFFP


4/11

Specific Principles of Business

Ethics in Islam

1. Hoarding and profiteering Prophet (PBUH) reminded: The one who brings to

the market, Allah will help him, provide well for hisfamily; and the one who hoards is cursed by Allah.

[ Ibnu Majah, Kitab Al-Baya]

2. Accuracy in measurement and weight Defrauding in weights is a very old type of

exploitation. The Holy Quran has emphasized theethical responsibility of business regarding weight andmeasurement.

Give full measure when ye measure and weight withbalance that is straight ( Al Isra, 17:35)


5/11

Specific Principles of Business Ethics in Islam3. Adherence to contracts

The Holy Quran reminds: O ye believers! Fulfill yourcontract. (Al Maidah, 5:1)

Whosoever is making such contracts let it be in a welldefined measure and well defined price and welldefined time table. (Muslim: Kitab al-Bayan)

It is clear from the above quotations that a Muslimbusinessman has to fulfill his promises and

commitments to his employees, customers, suppliers,governments, and general public in all respects. Heshould not indulge in cheating, violation of promisesor arbitrary actions.


6/11

Specific Principles of Business Ethics in Islam

4. False Advertising and Misrepresentation

And do not withhold from people the things that are

their due and commit not evil in land with intent tospread disorder... (Hud, 11:85)

It is not lawful for a Muslim to sell such a commodity

that has a defect, except that the defect is shown to

buyer. (Bukhari)


7/11


5. Destruction of Surplus Produce

and when he turns, his back, his aimeverywhere is to spread mischief through theearth and destroys crops and cattle. But Allahloveth-not disorder on earth. (Al-Baqara,2:205)

Prophet PBUH said, I dislike three things foryou: useless argumentation, wasting goods,and excessive questioning. (Bukhari, Kitab al-Zakah)


8/11


6. Interest (Riba) and Unlawful Trade

Islam declares that interest (riba)is the rootcause of all economic evils. Instead of interest-based trade, Islam offers an interest-free tradebased on the Islamic principles of mudharabahand shirkah.

Those who devour interest will not stand,except as one has been driven mad by the

touch of the evil one. This is because they say:Trade is like usury. But Allah has permittedtrade and forbidden interest. (Al-Baqara,2:275)


9/11

Specific Principles of Business Ethics in

Islam

7. Fair Recruitment PracticesAccording to Islam, an office or a post is a divine

trust, and therefore, it should be offered to thedeserving persons and responsibility should begiven only to that person who is able to shoulder itand who has the capability to do justice to the trustplaced in him.

Allah commands you to render back your trust to

those to whom they are due and when ye judgebetween man and man, that ye judge with justice.(Al-Nisa, 4:58)


10/11


Islam

8. Fair Treatment to Workers It is the moral responsibility of business organizations

to take care of the overall welfare and betterment of theiremployees. They should not treat workers as machinesor tools, but as human beings. Fair wages, goodworking conditions, suitable work, and excellentbrotherly treatment should be provided to the workers.

Give the laborer wages before his perspiration be dry.(Ibne Maja)

Whosoever engages a worker on work should mention

the wages in advance. (Bukhari)


11/11


Islam

9. Protection of Environment According to Islam, no individual or organization has the right to

utilize its resources in such a way that damage or inconvenience iscaused to his people or the society in general. The Prophet PBUHhas said:

There is no scope for causing damage in Islam neither in the caseof an independent action nor as a reaction. (Kitab al Kharaj)

The utilization of natural resources for business purposes shouldbe socially responsible. Islam urges upon its followers to use.

It is Allah who made your homes as places of rest and quiet, andmade for you out of skin of animals (tents for ) dwellings.And outof their wool and their soft fiber and their hair, rich stuff and articlesof convenienceout of the things He created, some things to giveyou shade, and of the hills He made some for your shelter. He madeyour garments to protect you from heat, and coats of mail toprotect you from (your) mutual violence. Thus, does He completeHis favours on you, that ye may bow to His will (Al Nahl, 16:80-81)

management from islamic perspective

Documents