Principles of management

corporate chanakya

Prof. Mrs. Vinima Sharma

Details of group members

DFM BatchName Roll No. Mitisha Hemani 166Mansi Pasad 154Gulnaz Ansari 141Rohinee Nivalkar 135Pradip Shinde 136

introduction Born in 4th Century B.C. in India, Chanakya was also known as Vishnugupta

and Kautilya.

Chanakya was responsible for bringing down the Nanda dynasty and establishing his able student Chandragupta Maurya on the throne as the Emperor. Hence he is called as the “Kingmaker”.

Chanakya had also played the role of a strategic leader to ensure defeat of Alexander when the latter had attacked India.

Chanakya has shared his knowledge and philosophies through his huge literatures which mainly include the books popularly known as “Chanakya Niti” and “Kautilya’s Arthashastra”.

As a political thinker, he was the first to visualize the concept of a “Nation” for the first time in human history.

Some of chanakya’s sutras Before you start some work, always ask yourself 3 questions : why I am

doing it, what might be the results, and will I be successful. Only when you think deeply, and find satisfactory answers to these questions go ahead.

Once you start a work on something don’t be afraid of failure and don’t abandon it. Keep working sincerely.

The biggest guru mantra is : never share secrets with anybody, it will destroy you.

If a person is an expert in a particular field, he should be employed in doing work in that area only.

Take all decisions on the basis of acquired knowledge and past experience.

Be vigilant about your competitors’ efforts and progress.

Power

Intellectual power, man power, financial power, power of enthusiasm and morale.

For the king, there is danger in the interior or in the outer regions.

The king severe with rod (punishment) becomes a terror. A king with a mild rod is despised. The king just with the rod is honoured.

Control over the senses, which are motivated by training in the sciences, should be secured by giving up lust, anger, greed, pride, arrogance and overexcitement.

When all laws are perishing, the king here is the promulgator of laws, by virtue of his guarding the right conduct of the world.

The king should cause the treasury and the army to be collected in one place in the fortified city, in charge of trustworthy men.

If the king is energetic, his subjects will be equally energetic. If he is slack, his subjects will also be lazy, thereby eating into his wealth.

Continued…… If the leader communicates a secret to as many persons; to so many does he

become subservient, being helpless by that act.

The king, the minister, the country, the fortified city, the treasury, the army, and the ally are the constituent elements of the state – Seven Pillars of Business.

Success is threefold- that attainable by the power of counsel is success by counsel, that attainable by power of might is success of might, that attainable by power of energy is success by energy.

Every king is given a code of conduct and duties and responsibilities that have to be borne. If he follows this code, he becomes a good leader and not fear hell.

In case of inherited territory the king should cover up the father’s defects and display his virtues.

In the happiness of his subjects, lies the benefit of the king, and in what is beneficial for his subjects, is his own benefit.

Qualities of a leader

The leader should constantly hold an inspection of their works, men being inconstant in their minds.

Wealth will slip away from the foolish person, who continuously consults the stars. Capable men will certainly secure wealth at least after a hundred trials.

Because of the simultaneity of undertakings, their manifoldness and being carried over at different places, the leader should cause them to be carried by ministers, unperceived, so that there is no loss of place and time.

The leader should allow unrestricted entrance to those wishing to see him in connection with their affairs.

Philosophy is ever thought of as the lamp of all sciences, as the means of all actions and as the support of all laws and duties.

Continued…….

Having found a matter for consideration, the leader should not allow time to pass.

Just as an elephant, blinded by intoxication and mounted by an intoxicated driver, crushes whatever it finds, so the king not possessed of the eye of science, and blind has risen to destroy the citizens and the country people.

He should hear every urgent matter, not put it off. An affair postponed becomes difficult to settle or even impossible to settle.

Carrying out his own duty, the king, who protects the subjects according to law, leads to heaven; one who does not protect or inflicts an unjust punishment, his condition would be reverse of this.

Bravery, resentment, quickness and dexterity – these are the qualities of energy.

Continued………

The administrator and the magistrates should first keep in check the heads of departments and their subordinates.

Internal (hindrance) is hindrance by the chiefs, external is the hindrance caused by enemies or forest-tribes.

The king should move away with effort from a dangerous situation, after removing the womenfolk.

When grown in strength, the king should bring about the liberation of the hostage.

The kingdom continues in the succession of his sons and grandsons, free from dangers caused by men.

competition

After ascertaining the relative strength or weakness of powers, place, time, revolts in rear, losses, expenses, gains and troubles, of himself and of the enemy, the conqueror should march ahead.

The king brings under his sway his own party as well as the party of the enemies, by the (use of the) treasury and the army.

The enemies should not come to know of his secrets; he should, however, find out the weakness of the enemy. He should conceal, as a tortoise does his limbs, any limb of his own that may have become exposed.

Time comes but once to a man waiting for an opportunity; that time is difficult for that man to get again when he wants to do his work.

Continued….

In a work that can be achieved with the help of an associate, he should resort to a dual policy.

Others should not know about any work sought to be done by him. Only those who undertake it should know (about it) when it is begun, or even when it is actually completed.

He should seek shelter with one whose strength is superior to the strength of the enemy.

In war there are losses, expenses, marches away from home and hindrances.

Continued…. In case of secret associations, those concluded in secret shall succeed –

Key to Success.

If near him (enemy), he should strike in his weak point.

He should win over those of them who are friendly with conciliation and gifts, those hostile through dissensions and force.

He should enter the enemy’s residence with permission.

Strife among subjects can be averted by winning over the leaders among the subjects, or by removal of the cause of strife.

If there is equal advancement in peace or war, he should resort to peace.

Continued….

Knowledge and information, technology, people and inspiration are the weapons that leaders of an organization should have before they step into a battle.

An equal should over reach or help an equal. This concept of equal is that of Mitra i.e. a friend.

In the absence of help-mates, he should find shelter in a fort where the enemy even with a large army, would not cut off his food, fodder, fuel and water, and would himself meet with losses and expenses.

The conqueror, desirous of capturing the enemy’s fortified town, should fill his own side with enthusiasm.

Continued…. Acquisition is of 3 kinds – new, formerly possessed, and inherited.

As between a small proximate land and a big land that is distant, the small proximate land is preferable. For it is easy to obtain, to protect and to get rescue (oneself). The distant one is the opposite of this.

When the gain is equal there should be peace, but when unequal war is considered desirable.

To tackle terrorism a strong policy should be made, studies should be done, an action plan should be prepared from the studies and then those plans must be executed. More senior judges should come together as they will offer different viewpoints and perspectives.

PEOPLE

Growing under a Mentor

Motivating Employees The application of his theory of motivation are :-

• Consultation

• Reward

• Punishment

• Split

Bidding Good Bye to Employees “Master may bear testimony for servants, priests and preceptors for disciples, and

parents for sons’’

Continued…….

Managers to Leaders “When he (prince) is ready for it knowledge, experts should train him’’

Protecting Old Employees “He (leader) should grant safety to the countryside as it may have been settled” But how we deal with the older employees in an organisation?

• Benefit from their experience.• Change them, but slowly.

TO AVOID

What A Leader Should Not Do – 1 “Reason for dissatisfaction of subjects: By starting unrighteous injuries not

current before, by indulgence in impiety and suppression of piety, by doing acts that ought not to be done.”

How does the leader know if his behaviour and actions are right? Here are some tips:-• Do not start new punishment.• Be a person of character.• Differentiate between wrong and right.

Continued…. What A Leader Should Not Do – 2 “Reason for dissatisfaction of subjects: discarding the good and favouring the

Wicked.”

Here are some tips :-• Listen to both together and separately.• announce the verdict unemotionally.

What A Leader Should Not Do – 3 “Reason for dissatisfaction of subjects: by ruining rightful acts, by not giving What ought to be given and securing what ought not to be given him.”

Here are some tips :-• Encourage new ideas.• Honour and respect them.• Never misuse power.

Continued…..

What A Leader Should Not Do – 4 “Reason for dissatisfaction of subjects: By not punishing those

deserving to be punished.”

Here are some tips on managing fear:-• Be fearless yourself.• Never misuse fear.• Punish fairly.

EMPLOYEES

For the guard not reporting to the city – superintendent an offence committed during the night whether by the animate or the inanimate, the punishment shall be in conformity with the offence also in case of negligence.

A special focus has to be given to corporate security personnel in the following manner :-

• Extra training• Support the security guards• Work as a team

SELECTION OF MANAGEMENT TRAINEES

Desire TO Learn

Effective Listening Ability

Ability To Reflect

Ability To Reject False Views

Intent On Truth , Not on person

SELECTION OF EXPERIENCED MANAGERS

Technical Competence

Intelligence

Eloquence , Boldness And Presence Of Mind

Ability To Bear Troubles During Emergencies

Friendliness

Strength Of Character

Continued…..

From the capacity for doing work is the ability of the person judged.

And in accordance with the ability, by suitably distributing rank among ministers and assigning place ,time and work to them.

He should appoint all the ministers.

He should favor those contented , with additional wealth and honour.

Continued…..

He should propitiate with gifts and conciliation those , who are discontented , in order to make them contented.

One who is conversant with the ways of the world, should seek service with a king , endowed with personal excellence.

Know Your Strengths

Tap The Right Person

Be Clear About The Financials

Continued…..

Of those dying while on duty , the cons wives shall receive the food and wages.

And their minor children, old and sick person should be helped.

And he should grant them money and do honour on occasions of death , illness and birth ceremonials.

Not being rooted among the subjects, he becomes easy to uproot.

Continued…..

Even for a large sum of money, no one would desire the loss of his life.

He (king) should make those his ministers who, when appointed to tasks, the income from which is calculated, would bring in the income as directed or more, since their qualities are proved.

He should not follow that policy by resorting to which he were to see the ruin of his own undertakings, not of the other party.

Continued…..

Welcoming Back Ex- Workers

He should establish (each) department with many heads and without permanency.

For perishable goods , a retraction may be allowed with the restriction.

It shall not be sold elsewhere.

In case of transgression of that, the fine is twenty – four panas or one – tenth of the goods.

FINANCE

When assigned work, he should show income cleared of expenses.

Top Line (Sales)

Expenses

Bottom Line (Profits)

The (king) without a treasury should collect a treasury when difficulties concerning money have arisen.

If he is incapable due to ill health or due to a calamity, he shall get an extension.

Continued…..

In case of non payment of the wage, the fine is twelve panas or five times the wage.

A wage is for work done , not for what is not done.

All undertakings are dependent first on the treasury. Therefore, he(the leader) should look to the treasury first.

He should check the accounts for each day, group of five days, four months and a year.

In addition to reporting in detail as well as aggregate, there is also an individual accountability for the revenues and the expenditures.

Continued…..

He should secure an undertaking requiring little expenditure and yielding large profit and get a special advantage.

All experts shall fix revocation in such a way that neither donor nor the receiver is barmed.

For one calling another, who is not a thief, the punishment shall be that for a thief, also for one hiding a thief.

The objective of any king(leader) or state (organisation) is to create, expand, protect and enjoy wealth.

Wealth and power comes from the countryside, which is the source of all activities.

TEAM WORK

He should declare without loss of time what is in the king’s interest.

Establish contacts with forest chieftains, frontier-chiefs and chief officials in the cities and the countryside.

Men are to be honoured on account of excellence in learning, intellect, noble birth and deeds.

He should fight with the mobilization of all troops.

Strife among subjects can be averted by winning over the leaders among the subjects, or by removal of the cause of strife.

STRATEGY Coming to now what is know definite strengthening of what has become

know, removal of doubt in case of two possible alternative, finding out the rest in a matter that is partly known - this can be achieved with the help of ministers.

The best manager is the one who not only takes up a project gives by his boss but instead ‘creates’ projects on his own

‘‘He should despise none, (but) should listen to the opinion of every one. A wish man should make use of the sensible words of even a child.’’

“ They should bring about the commencement of what is not done, the carrying out of what is commenced, the improvement of what is being carried out and the excellence of (the execution of ) orders, in the case of works.”

Continued……

“A king who has not learnt the teaching of the science of politics is unfit to listen to

counsel.”

“During the remaining parts of the day an night, he should learn new things and familiarize himself with those already learnt, an listen repeatedly to things not learnt.”

A calamity of a constituent, of a divine or human origin, spring from ill luck or wrong policy.

The time of catching (elephants) is in summer.

Those who are without relations have to be necessarily maintained.

Continued……

The policy, following which he were to see either the advancement not the decline of his own undertakings, constitutes stable condition.

He should provide one making a new settlement with grains, cattle, money and other things.

Arthashastra can be said to be a book on ‘Intelligence Management’. Once this ability sharpens your intelligence, you will be able to handle higher responsibilities.

The royal year, the month, the paksha, the day , the dawn (vyushta), the third an seventh pakshas of (seasons such as) the rainy season, the winter season, and the summer short of their days, the rest complete, and a separate intercalary month are ( the divisions of time).

Continued……

This single treatise (Kautilya’s Arthashatra) on the science of politics bas been prepare mostly by bringing together the teaching of as many treatise on the science of politics as have been composed be ancient teachers for the acquisition and protection of the earth.

Thus he (superintendent of cattle) should be cognizant of the number of animals.

There is no country without people, and no kingdom without a country.

Of the excellence of land, affording shelter is best.

He who cause anther to commit an act of force saying, ‘I shall accept responsibility’, shall be punished double.

TRAINEES

Kautilya advises “For, the piece of wood eaten by worms, the royal family, with its princes undisciplined, would break the moment it is attacked.

He should not effect the corruption of the uncorrupted as of water by poison; for, it may well happen that a cure may not be found for one corrupted.

One conversant with the science, but not experienced in practical affairs, would come to grief in carrying out undertakings.

As between a newly arrived (army) an one that has come after a long march, the newly arrived would fight after learning about the region from others and being mixed with old troops.

Continued…… He should turn away from frightful (words by the king), and should not

himself use frightful words to another, and should tolerate (such words) addressed to himself, being full of forbearance like the earth.

Let us taken an example of Learning Something New “Between the eighth day after the full moon day of the Asadha and that

of Kartika, ferrying (shall be provided). The workman should give a surety and should bring in the regular daily earning.

All undertaking have their origins in the ministers.

Activity is that which bring about the accomplishment of works undertaken.

Continued……

Being constant – this is an excellence of an ally.

• First thing – You do not need an expert around to consult, since even friends will do.

• Second thing – You need friends who are a constant part of your life.

Under the supervision of the officer, he should carry out the task assigned with special zest.

Boss

Just as a serpent, lying in hiding, emits poison at the place from which it expects danger, so this king, having become apprehensive of harm (from you), will ere long emit the poison of anger at you.

He (king) should strive to give training to the prince.

He should gratify, according to his power to help, one who has helped him.

In case of two alternate routes, he should march in a region suitable to himself.

They shall obey the orders of one who proposes what is beneficial to all.

Continued……

He should ask money of the rich according to their wealth, or according to benefits (conferred on them), or whatever they may offer of their own will.

Fire, when it reaches another, may burn a part or (at most) the whole body, but a king might kill one along with sons and wife, or might cause one to prosper.

Touching, menacing, and striking constitute physical injury.

ORGANISATION

Self-discipline.

“ One doing whatever pleases him dose not achieve anything”.

Plan your Day in advance.

Do not be impulsive.

Be proactive.

KNOWING WHERE TO GO FOR SHELTER

“He to whom he may be dear, or be who may be dear to him- which one among these two should he approach for shelter? (he reply) He should go to him he may be dear. This is the best course of seeking shelter”.

When You are Dear To a person.

When a Person Is Dear To You.

It’s Not Easy To Be Dear To Everyone.

CLEANLINESS AT WORK

“For one causing damage to the wall of another’s house the fine is twelve panes, double that in case of spoiling it with urine or dung”.

But How Does It Affect us?

How Do We Starts Cleaning up?

Educated Others Too.

HIDDEN WEALTH

“What is lost, forgotten and so on is income from other sources.”

Open Old Files.

Follow Up On Old Payments.

Talk To Elders.

SETTING UP SYSTEMS

“He should institute a righteous custom, not initiated before continue one initiated by others; and he should not institute an unrighteous custom, and should stop any initiated by others.”

Starts a Good System.

Continue Existing Good System.

Don’t Starts Anything Destructive.

MIGRATE IF YOU HAVE TO

“Settlement of people should be done by bringing in people from foreign lands.”

Don’t Lose This Chance.

Make An Impact.

Learn And Come Back.

LOST YOUR JOB?

“He (leader) should make new men well-versed in the knowledge of his ministers.”

Be Ready For Change.

Try Smaller Companies.

Think Long-Term.

To BE OR NOT TO BE?

“The affairs of a king (leader) are of three kinds, viz., directly perceived, unperceived and inferred.”

Directly Perceived.

Unperceived.

Inferred.

MIGRATION: TO ACCEPT JOB SEEKERS?

“And be should not allow in city ‘outsider’ who cause harm to the country. He should cast them out in the countryside or make them pay all the taxes.”

Cheek Your Requirement.

Check Their Requirement.

Win-Win, or ‘No Deal’

ADVICE

“All undertakings should be preceded by consultation. Holding a consultation with only one, be may not be able to reach a decision in difficult maters . With more councilors it is difficult to reach decisions and maintain secrecy.”

Choose The Right Consultant.

Sit And Listen To Him.

From Advice To Application.

POWER BEHIND THE KINGS

“He who sees policies as being interdependent plays as he pleases, with kings tied by the chains of their intellect.”

Advisors.

Gurus, Or Teachers.

Friends.

THE GREAT OPPORTUNITY

“Being devoted to the training of the troops, he should arrange signals for the arrays be means of musical instruments, banners and flags, when halting, marching, or attacking.”

Study Past Successes.

‘Observe’ Demands

Now Create The Future

APPLYING THE KNOWLEDGE

“In this way, the kingdom continues in the succession of his sons and grandsons, free from the danger caused by men..”

Stay in Touch.

Teach it to Others.