Topic 7

1. Topic 7 Practices of Islamic Management Operations

2. Leaders • The major attributes of leader is the sense of responsibility and empathy. • Besides, the major role of a leader is the motivation of his/her followers – workers satisfaction. • Moral bases of Leadership • Iman, Islamand Taqwa • justice, trust, righteousness, the struggle towards self-improvement and keeping promises.

3. Authority • Authority is the power which is legitimized within specific social context. • Is the power that allows certain people to exert influence by virtue of their position in the hierarchy of an organization. • The Qur`an further teaches that legitimate human power and authority exists for one and only one function: to "establish regular prayers and practice regular charity and enjoin the right and forbid the wrong..." (22:41).

4. It is significant that the words for right and wrong (ma`ruf and munkar) refer in the first place to what is universally approved or disproved by human nature when it has not been perverted. • Religion itself is viewed in the Qur`an as the religion of the true (uncorrupted) nature (fitrah) of man, a knowledge of which is ingrained in human beings (30:30-31, 91:7-10, 95:4-8). • If, however, a person knows that there is no one else qualified to do a particular job except himself, and that if he does not come forward to take it, public interests will be damaged, he should come forward.

5. Authority in Islam… • Authority in Islam is limited within framework of Muslim and the interest of the organization. • Limited by the culture of participative decision making,includes better quality and better productivity. • Is balanced by the process of enjoining what is right and forbidding what is wrong.

6. Responsibility • Responsibility is an obligation to do something with the expectation of a certain result. • Everyone is responsible for what is under his authority. • Manager responsible for accomplishing certain rules must have power to use resources to achieve those results.

7. Delegation of power • Delegation is the act of giving a subordinate the authority to complete a certain task or project. • Authority is necessary for the completion of any activity,making delegation an inevitable act. • Accountability is also delegated together with authority,while the person delegated has the obligation to finish job the job within the specific time, quality,andcost,that is while he/she is responsible for completing the job with certain specific standards, the manager is not spared from the responsibilty.

8. Advantage of delegation • The main advantage of delegation is efficiency. • Save time • Improve the quality of the performance– closer the job, and thus know it better, are allowed to make decision. • Give the subordinates a leadership training that he/she need – making new leaders. • Learn to trust capabilities.

9. Chain of command • Organizational structure is the formal arrangement of task, responsibilities and authority. • It provides the configuration of pattern of jobs and groups of job. • This is the way to make chain of command. • The most common structures are territorial, functional, project/project structures, in addition to matrix structure.