Chapter 9 Page 388
Islamic organisations and Muslim users, they generally agree that conventionalaccounting is not suitable in terms of its objectives, the information it provides and itsbehavioural effects.In the next chapter, evidence from a survey of Muslim executives and employees ofboth Islamic and Non-Muslim companies in Malaysia, regarding the unIslamicbehavioural effects of conventional accounting are presented. Together with theevidence presented in this chapter, there is at least
evidence for thedevelopment of an Islamic accounting system, although further research is needed toelaborate on more practical ideas and obtaining evidence of wider consensus amongMuslim users and accountants in other Muslim countries.
The objectives and operations of Islamic and Muslim organisations should havesome unique characteristics, if there is to be a need for an alternate Islamicaccounting system for these organisations. These objectives and operations shouldbe different from non-Islamic organisations, as otherwise, it would be a case ofreinventing the wheel or adding cosmetics to conventional accounting. The firstresearch question therefore is:
Are the socio-economic principles under which Islamic business organisationsoperate different from those of non-Islamic business organisations?
The researcher has attempted to argue that arising from the different world-view ofIslam discussed in chapters 2, the objectives and operations of Islamic business andnon-business organisations are different. This was illustrated in detail in the case ofIslamic banks and to some extent Islamic business organisations, which wasdiscussed in chapter 5.Islamic organisations have to carry out their financing, investing and operatingactivities according to the Shari’ah. In addition, from the world-view of Islam, the