Communicated Accountability by Faith-Based Charity Organisations

Journal of Business Ethics 122 (1):1-21 (2014)

Abstract
The issue of communicated accountability is particularly important in Faith-Based Charity Organisations as the donated funds and use of those funds are often meant to fulfil religious obligations for the well-being of society. Integrating Stewart’s (1984) ladder of accountability with the Statement of Recommended Practice guidance for charities, this paper examines communicated accountability practices of Muslim and Christian Charity Organisations in England and Wales. Our content analysis results indicate communicated accountability to be generally limited, focusing on providing basic descriptive information rather than judgement-based information. Our interviews with trustees and preparers of Trustee Annual Reports in Muslim Charity Organisations identified the reasons being due to high donor trust and consequently weak demand by stakeholders for the latter type of information, as well as internal organisational issues related to the organisational structure and culture, lack of internal professional expertise and high accountability cost
Keywords Accountability  Christian charities  Faith-based charity  Religious-based charities  Muslim charities  Non-profit organisations  SORP  Transparency  Trustees report
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Reprint years 2014
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DOI 10.1007/s10551-013-1759-2
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