DRIVING SUCCESS IN ISLAMIC COOPERATIVES: THE ROLES OF STRATEGIC FOCUS, ORGANISATIONAL COMPETENCE, SHARED VALUES, AND SHARIAH GOVERNANCE IN THAILAND’S SOUTHERN BORDER PROVINCES
DOI:
https://doi.org/10.22452/Keywords:
management success, cooperatives management, Shariah governance, Islamic cooperatives, Thailand’s Southern Border ProvincesAbstract
Islamic cooperatives play a vital role in promoting community self-reliance, financial inclusion, and socio-economic resilience among Muslim communities in Thailand’s Southern Border Provinces. Operating within a politically sensitive environment characterised by a Muslim-majority population, socio-economic marginalisation, and limited access to Shariah-compliant financial services, these cooperatives serve as important community-based institutions that support both economic development and social cohesion. This study investigated the causal factors influencing management success in Islamic cooperatives and examined the relationships among strategy focus, organisational shared values, organisational competence, cooperative management, and management success. Data were collected from 350 cooperative committee members and analysed using Structural Equation Modelling (SEM). The findings revealed that the proposed model demonstrated a strong fit with the empirical data (χ²/df = 1.629, GFI = 0.946, RMSEA = 0.047), indicating that the identified factors provide a reliable explanation of organisational effectiveness and resilience. Strategy focus emerged as the strongest predictor of cooperative management, while organisational shared values exerted the greatest overall influence on management success. The findings provide evidence-based guidance to strengthen Shariah governance, enhance organisational resilience, reduce regulatory ambiguities, and support the formal integration of Shariah-compliant cooperative systems within Thailand’s national legal and financial frameworks.
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