Ruki Ambar Arum
Universitas Pepabri Makassar

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The Role of Financial Management in Business Sustainability: A Global Systematic Literature Review Ruki Ambar Arum; Sirna
Journal JEKAMI Vol. 6 No. 1 (2026): January 2026
Publisher : Pustaka Digital Indonesia

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Abstract

In the contemporary business landscape, achieving sustainability has become a strategic imperative, necessitating the integration of financial management practices into corporate decision-making. This study presents a Global Systematic Literature Review examining the role of financial management in promoting business sustainability, synthesizing findings from 95 peer-reviewed articles published between 2021 and 2025. The review identifies key mechanisms through which financial management influences sustainable outcomes, including strategic financial planning, ESG (Environmental, Social, Governance) integration, sustainability reporting, green accounting, and adoption of FinTech innovations. Evidence indicates that effective financial management enhances resource allocation, mitigates risks, and fosters long-term profitability while aligning with social and environmental responsibilities. Furthermore, sustainability reporting and ESG-focused financial strategies are found to increase investor confidence, lower financing costs, and improve firm valuation. Contextual factors such as firm size, industry characteristics, governance structures, and regional regulatory environments were also observed to moderate these relationships. Despite significant advancements, the literature exhibits gaps in cross-industry generalizability, measurement consistency, and integration of behavioral dimensions in financial decision-making. The study contributes to theory by linking Stakeholder Theory, Signaling Theory, and the Resource-Based View to sustainable financial practices. Practically, it provides managerial guidance on embedding ESG criteria, implementing high-quality sustainability reporting, and leveraging digital financial tools to achieve long-term sustainability. The findings underscore the centrality of strategic financial management in bridging corporate strategy and sustainable business performance, offering a comprehensive framework for both scholars and practitioners navigating the evolving global economic landscape
Corporate Governance in Islamic Financial Institutions: Challenges and Opportunities Ruki Ambar Arum; Abdul Azis; Afrianto; Hasrul Wijaya; Andi Aswani
Invoice : Jurnal Ilmu Akuntansi Vol. 7 No. 2 (2025): September 2025
Publisher : Universitas Muhammadiyah Makassar

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.26618/w3w8ws90

Abstract

This study investigates the challenges and opportunities of corporate governance in Islamic Financial Institutions (IFIs) by employing a Systematic Literature Review (SLR) approach. Corporate governance in IFIs is distinct from conventional institutions due to the dual requirement of complying with international governance standards and Shariah principles. The review synthesizes findings from peer-reviewed articles published between 2019 and 2024 to provide a comprehensive understanding of the governance landscape in IFIs. The results highlight several persistent challenges, including the lack of standardization in Shariah Supervisory Board (SSB) practices, regulatory fragmentation across jurisdictions, and limited expertise among governance professionals. These challenges create inconsistencies in the effectiveness of Shariah governance and may undermine institutional credibility. However, the study also identifies considerable opportunities. Strengthening corporate governance enhances stakeholder trust, increases investor confidence, and positions IFIs as leaders in ethical and sustainable finance. Furthermore, the adoption of digital governance tools, such as blockchain and artificial intelligence, offers innovative solutions to improve transparency, accountability, and compliance monitoring. This study contributes to the literature by consolidating recent insights and proposing recommendations for harmonization, capacity building, and sustainability integration. It concludes that robust governance frameworks are critical for the long-term stability of IFIs and their role in advancing ethical finance aligned with the United Nations Sustainable Development Goals (SDGs).