A New Dimension Of Islamic Work Ethics In Improving The Quality Of Sharia Financial Reporting

Abstract

This study aims to (1) examine how Islamic corporate governance and work ethics affect the quality of financial reporting, and (2) examine how fraud prevention and accounting confirmation systems moderate the effects of Islamic corporate governance and work ethics on financial reporting quality. Confidentiality and high morality are two new aspects of Islamic work ethics that are introduced in this study. Primary data is used in quantitative research. The study's population consists of 208 Islamic financial institutions, including banking, insurance, and Islamic multifinance, that are registered with the Financial Services Authority. Data processing uses Partial Least Square (PLS) software with Moderated Regression Analysis. The study's findings demonstrate that Islamic corporate governance and work ethics greatly raise the caliber of financial reporting. While Accounting Information Systems, as a moderator homologist, has little effect on the caliber of reporting, Fraud Prevention serves as a pure moderator that enhances this relationship. The study's innovative variable, the alteration of Islamic work ethics, produced better outcomes than the model without any novelties.