The Effect of Sop Compliance As Mediating For Competencies And Policy On Financing Decisions

Usama Usama; Aam Bastaman

doi:10.36908/isbank.v12i1.1982

Authors

Usama Usama Universitas Trilogi
Aam Bastaman Universitas Trilogi

DOI: https://doi.org/10.36908/isbank.v12i1.1982

Keywords:

Reviewer Competence, Internal Bank Policy, Sharia Compliance, Financing Decisions, Islamic Banking

Abstract

This study examines the effects of Reviewer Competence and Internal Bank Policy on Sharia Financing Assessment Decisions, with Sharia-Based SOP Compliance as a mediating variable at PT Bank Syariah Indonesia. This issue is critical, as the quality of sharia financing decisions depends not only on reviewers' individual capacity and organizational policy clarity, but also on the consistent implementation of procedures grounded in sharia principles. A quantitative survey approach was employed, from 151 questionnaires collected, 17 responses excluded due to not meeting the criteria, so only 134 respondents valid. The valid data were analyzed using Partial Least Squares-Structural Equation Modeling (PLS-SEM) via SmartPLS 4. Results show that Reviewer Competence and Internal Bank Policy have no significant direct effect on Sharia Financing Assessment Decisions. Instead, both variables significantly and positively affect Sharia-Based SOP Compliance, which in turn significantly and positively affects Sharia Financing Assessment Decisions. Mediation testing confirms that SOP Compliance is statistically significant on the relationships between both exogenous variables and financing decisions. These findings indicate that improving the quality of sharia financing decisions depends primarily on the consistent implementation of sharia-based SOPs, rather than on individual competence or organizational policy alone.

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