A shared boundary object: Financial innovation and engineering in Islamic financial institutions. Issue 3 (May 2021)

• Record Type: Journal Article
• Authors: Alamad, Samir; Hidayah, Nunung Nurul; Lowe, Alan
• Is Part Of: British accounting review. Volume 53:Issue 3(2021)
• Publication Date: 2021-05
• Subjects: Islamic financial institutions -- Governing innovation -- Financial engineering -- Ethico-faith-based rules -- Boundary object plasticity; Accounting -- Periodicals; Accounting -- Great Britain -- Periodicals; Comptabilité -- Périodiques; Comptabilité -- Grande-Bretagne -- Périodiques; 657.05
• DOI: 10.1016/j.bar.2020.100958
• Languages: English
• ISSNs: 0890-8389

Abstract

Abstract: This paper explores the way in which ethico-faith-based rules act as a boundary object in constraining the process of financial innovation and engineering (FIE) in Islamic Financial Institutions (IFIs). The paper examines how this faith-based approach is enacted in the FIE process amid different social worlds and groups that cooperate without consensus within IFIs. We contribute to studies of governance in faith-based organizations, by identifying the plasticity of faith-based rules that act as boundary objects in the governance of the FIE process. The plasticity of ethico-faith based rules allows coordination among local and global actors with intersecting faith-based values, logics, and interests. IFIs ensure that the products of FIE become an integral part of and as compatible as possible with the logics of global financial markets.