Sharia Supervisory Board Reconstruction Strategy in Islamic Banking Management Based on SWOT Analysis Approach

Mahipal

Sharia Supervisory Board Reconstruction Strategy in Islamic Banking Management Based on SWOT Analysis Approach

Keywords : SSB institutions, KeKePAn, strengths and weaknesses, opportunities and threats, strategic policies.


Abstract

The application of sharia principles in Islamic banking management has not run optimally. One of the problems is that the role and function of SSB (Sharia Supervisory Board) has not run optimally in supervising Islamic banking. The aim of this research is to formulate strategies and strategic policies for the reconstruction of SSB in the management of Islamic banking. The research method was carried out using a literature survey approach and the search results were analysed using a SWOT analysis approach. The results of the analysis show that the frequency of occurrence of organizational internal factors, namely weaknesses (1.00) and strengths (0.95) of SSB is the most dominant issue that can affect the presence of SSB in an organization and the management structure of Islamic banking, while the external environment, namely threats (0.24) and opportunities (0.56) are supporting issues that can affect the existence of SSB. In addition, four SSB reconstruction strategies were obtained which included: (i) reconstruction of the role and function of the SSB, (ii) institutional reconstruction of the SSB, (iii) optimizing the position and strategic position of the SSB, and (iv) legal reconstruction of the SSB in Indonesia. The four SSB construction strategies are expected to become a bridge in efforts to optimize supervision inherent in sharia principles in Islamic banking in Indonesia.

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