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JTW-JME-13 Justice, Trade & Work Justice & Market Ethics CORE Excellence v2.9.7

Consultation (Shura) in Organisational Practices

Assesses the integration of meaningful consultation (Shura) in decision-making, a core leadership duty (amānah). This ensures decisions reflect the public interest (maṣlaḥah) and uphold justice (ʿadl), building stakeholder trust and improving organizational effectiveness and accountability. Note: Shura is a consultative governance mechanism and does not override the legal decision-making rights of trustees/directors, but informs them; for membership bodies, it complements voting rights, while for service charities, it prioritises beneficiary voice.

KPI / Measure
MetricShura Effectiveness Dashboard
TargetCoverage ≥80%; Loop ≤30 days
FrequencyQuarterly
MethodComposite of: Coverage % (Consulted/Material Decisions), Loop-closure (Median Days), Diversity Index, Dissent Capture %, Impact Tracking (Decision Changed Y/N)
UnitDashboard
Maturity Levels
Level 1: Initial/Ad-hoc

Consultation (Shura) is informal and ad-hoc. It relies on the discretion of individual leaders rather than a structured organizational process.

Level 2: Developing

Basic consultation mechanisms are in place for some key decisions, but they are not consistently applied. There is awareness of Shura, but no formal policy or materiality matrix exists.

Level 3: Established

A formal Shura policy and Materiality Matrix are established. A named Shura Owner (e.g., Governance Lead) maintains the Key Decision Register. Policy defines 'ahl al-ra’y' selection, COI declarations, and data protection rules. SMT ensures consultation completion before submission to trustees for material decisions.

Level 4: Advanced

Shura effectiveness is measured via dashboard (coverage, diversity, loop-closure). Board packs include a Shura summary for material decisions; trustees minute how stakeholder input influenced the decision. Feedback loops are consistently closed within 45 days.

Level 5: Optimizing

Shura is a strategic tool for excellence (Ihsan). The organization actively seeks dissenting opinions and 'seldom-heard' voices. Externally benchmarked against AA1000SES. Documented learning influences risk registers. Loop closure ≤30 days. Recognized as an exemplar in consultative governance.

Applicability

Organisation Types

mosque-prayer-space islamic-center community-center charity-relief humanitarian-aid zakat-sadaqah-body islamic-school-madrasa educational-institution supplementary-school islamic-university-college youth-organization womens-organization student-islamic-society advocacy-campaign-group umbrella-organization representative-body media-publication islamic-broadcasting professional-association trade-body sports-recreation arts-culture healthcare-service counselling-mental-health elderly-care funeral-service bereavement-support certification-body standards-organization restaurant butcher-meat-supplier food-manufacturer catering-service bank finance-provider investment-fund insurance-provider accountancy-firm advisory-consultancy legal-practice bookstore-retail fashion-retail ecommerce-platform private-school training-provider private-healthcare-clinic counselling-practice general-enterprise social-enterprise community-interest-company

By Organisation Size

SizeApplicabilityNotes
Micro exempt Formal materiality matrices and decision registers are disproportionately burdensome for volunteer-led micro charities; informal consultation suffices.
Small partial Basic consultation principles apply, but formal matrices and extensive decision templates are too bureaucratic for this size.
Medium partial Requires a documented consultation policy, but the materiality matrix and decision registers can be simplified.
Large full
Major full

Applicable When

  • The organization has stakeholders (staff, volunteers, beneficiaries, etc.)
  • The organization makes decisions that affect its stakeholders
  • The organization aims to operate ethically and effectively

Not Applicable When

  • The organization is legally structured and operationally functions as a sole proprietorship with no employees, volunteers, or formal membership body.
  • The organization is a passive endowment (Waqf) or trust managed by a mandated third-party firm, with no operational staff or volunteers involved in its governance.
  • The entity is an informal, non-incorporated, and time-bound initiative (e.g., a one-off fundraising campaign) without a formal governance structure.

Discussion (1)

Administrator 2026-03-07 11:07:56.932308

📋 **Version updated: 1.0.0 → 2.9.7** **Changes:** Updated islamic_references from mizan-297.json

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