Chanakya on Management (Set of 3 Books)

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Chanakya on Management
Canakya On Management	Chanakya's 7 Secrets of Leadership	Corporate Chanakya on Management

Chanakya, who lived in India in the 4th Century BC, was a leadership guru par excellence. The treasure of his teachings can be found in his treatise, Arthashashtra, which deals with good governance based on ideal leadership.

The concept of the ideal nation in the Arthashashtra, called saptanga, holds that there are seven pillars of a kingdom: swami, amatya, janpada, durg, kosha, dand, mitra. for centuries, Indian rules have used this concept as a model of successful government.

In this path-breaking book, Chanakya’s 7 Secrets of Leadership, author Radhakrishnan Pillai delves into Chanakya’s saptanga, with the real-life example of D. Sivanandhan. Former Director General of Police, Maharashtra, and the archetype of an able administrator, Sivanandhan shares his guidelines for effective management, highlighting those that make a dynamic leader.

In Chanakya’s 7 Secrets of Leadership, theory meets practice, academic research meets vast experience in police supervision and an age-old formula is revealed in a modern-day success story. Together, Pillai and Sivanandhan bring Chanakya’s model to life.

Anyone can use the seven secrets of leadership to run a kingdom effectively. Apply them in your life, and the magic of Chanakya’s wisdom will transform you into the ideal leader.

Dr Radhakrishnan Pillai is from the University of Mumbai. He is a trainer researcher, author and teacher on leadership. His first book, Corporate Chanakya, created record in the management books category. Apart from begin a popular bestseller, the book has also been considered for academic research in educational institutions across the globe. Having trained and mentored thousands of leaders, Dr Pillai is well-known for making Chanakya popular as a managements and leadership guru.

D Sivanandhan former Commissioner of Police, Mumbai and Director General of Police, Maharashtra, is one of India’s most highly regarded IPS officers. He has been instrumental in rebuilding the defenses of Mumbai after attacks in November 2008, and has served as member of the special task force in the National Security Council Secretariat. Currently, he serves on the board of several companies and is Founder and Chairman of Securus First India Pvt. Ltd.

Some people get lucky. And some get very lucky.

But people like me call it the Grace of God or Guru Kripa.

My first book, Corporate Chanakya published by Jaico turned out to be a bestseller. It broke my records in sales in the field of management books. It was in the bestseller list ever since its release. It got translated into ten regional languages – Hindi, Marathi, Gujarati, Assamese, Oriya, Bengali, Tamil, Malayalam, Telugu and Kannada.

It was brought out as an audio book, again turning out to be a bestseller in the audio book category. The book inspired the world’s first management film based on Chanakya’s teachings, Chanakya Speaks (www.chanakyaspeaks.in). Within a month of its release, the film received the Award of Merit at the Indie Fest (California).

Owing to the success of the book, I was invited to speak and lecture in over hundred institutes, colleges and universities across ten countries in less than two years. It also helped me set up our institute, Chanakya Institute of Public Leadership (www.ciplmumbai.in) in the Department of Philosophy at the University of Mumbai. It is the First institute of its kind in the world, which teaches the Arthashastra. The journey has just begun and there is a lot to be done in years to come. I feel the hand of God behind all this success.

Success bring problems with it. Can I repeat this success? The first book set a benchmark, and ever since its release people have been asking me, “When is your next book coming?”

For me the question was different..... Instead of 'when' my next book would come the question was, 'what' will my next book be about.

I struggled with this question for many days and months, which rolled into years. I knew clearly that the subject would be Chanakya, yet I did not want to write Corporate Chanakya - part 2. The first book was complete in itself, yet continuity was needed for my old readers.

Chanakya was a man of action. What he said was not just theory, but what could be practiced and applied. What worked in the past can work in the present too. I wanted to bring back Chanakya in our generation.

How I would deal with such a great legend in my next book was a question that I was deliberating on for a long time. I knew all the theories of leadership given in the Arthashastra. Yet, there are chances of them just being theories, without any practical value to you and me.

I got my answer the day I met D Sivanandhan....

He was the Director-General of Maharashtra Police at that time, a few months away from retirement from the topmost police rank. I had heard about him and the work he had done. We were sharing a dais for a leadership program for ophthalmology doctors. That day, I spoke on the theory of leadership and Sivanandhan sir spoke on the 'practical' aspects of leadership. He spoke about situational leadership, transformational leadership and what goes into the making of a leader!

As I was listening, a quiet bell rang in my mind. "Here stands a man of action. He has delivered against all odds. I talk about it, whereas he has done it!"

For me, Sivanandhan sir became a person who was a real-life leader, who had practiced all that Chanakya had said. The next week I met Sivanandhan sir in his office with my students from Mumbai University. We were supposed to be with him for half an hour but in spite of his busy schedule, he gave us two-and-a-half hours. The students could ask him any questions and he gave them quick and detailed answers. I came to know that before joining the police force, he was also a professor of economics. The teacher in me - met the teacher in him.

From there, a relationship developed, where we kept meeting each other again and again. I knew he was someone whom the police force, the government and our nation was proud of. He was a man of achievement, yet there were many aspects about him that very few people knew. He was always in the limelight, yet very few had seen the complete picture of his life. Many more meetings followed and I came to know him well. There were wonderful incidents and stories that he narrated, which many did not know about.

And then, a meeting between Sivanandhan sir and my publishers, Jaico finally brought clarity to the book you are holding.

The theme of this book is surely on Chanakya; yet it is different from the first. I have written on leadership, but taking Sivanandhan sir as a case study, as an example of great and transformational leadership.

In this book, you will find a leadership model of Chanakya, You will also find that leadership model being brought alive by Sivanandhan and what he did during his days in the police force as a leader. He set high standards for others, becoming a role model.

This book is about theory meeting practice, leadership concepts meeting application, age old formulae meeting modern-day success stories.

Chanakya's leadership ideas, comes alive with Sivanandhan sir.

leadership - the Concept

IN THE ARTHASHASTR A, Chanakya refers to the leader as Vijigishu, meaning one who wants to be victorious and conquer in spite of the challenges. Even today, a leader has to think like a conqueror and succeed, irrespective of the circumstances.

Leadership as a concept has been evolving over the centuries. "Leader" initially referred to the king of a country or nation. Today, we have leaders in every field - politics, business, science, academics, administration, armed forces, society, community, various unions, sports teams and even spirituality. Some leaders may have a large following; others may not. Some leaders are great orators and public speakers, while others sit quietly at their desks or laboratories and become "thought leaders". They give a new direction and perspective to the way people think.

Some leaders are immensely popular when they are alive; their work attains speed and recognition in that generation. Other leaders are celebrated after they are dead, because they were much ahead of their times and their generation could not understand their greatness. Some leaders, such as Lokmanya Tilak, Rabindranath Tagore or Thiruvalluvar are known in their particular regions, in a village, a community or a nation. Others like Mahatma Gandhi, Napoleon, Albert Einstein or Abraham Lincoln gain worldwide recognition.

Yet, all these leaders have something in common, some factors that earned them respect and appreciation, which we also call attributes of leadership.

So what exactly is leadership?

Across the globe, leadership has become a subject of serious discussion, study and research. Universities now have centers of leadership. The number of books written on leadership has been growing rapidly.

In India, leadership has been taken very seriously. Today, all eyes are on India, as it is among the fastest growing economies of the world. India is new, yet old. A young nation which got independence in 1947 has a history, culture and tradition of over 10,000 years. As in any other nation, India and Indians draw inspiration from the heroes and leaders of the past. As a country of over a billion people, we are proud of the achievements of our past leaders. Our leaders such as Gandhi and Emperor Ashoka inspired and created more leaders across the globe. Others like Shivaji, Subhash Chandra Bose, Sardar Patel, Jawaharlal Nehru, Rajendra Prasad, Lal Bahadur Shastri and other freedom fighters inspire our present generation and inject patriotism in the youth.

When we go back further in time, we find leadership lessons from superheroes like Krishna, Rama and Buddha in epics like the Ramayana and Mahabharata. For Indians, these lessons are part of their thinking, a part of daily living and discussions. However, a unique factor about India is that we also learn from the person who created the leader, the "leadership guru". The leader is important, but the creator of the leader is more important, because a leadership guru can create more leaders. Swami Ramdas guided Shivaji to become a successful king. Ramakrishna inspired Vivekananda to become a giant spiritual leader.

Some people like to study leaders; people like us love to study leadership gurus. And among the leadership gurus, one person stands out as the epitome of leader hip teachings - Chanakya.

Chanakya was the guru of Chandragupta Maurya, the first king of the Maurya dynasty and the grandfather of Emperor Ashoka who spread the golden teachings of Buddhism across the globe. Chanakya has been credited by many historical scholars as the first person in world history to create the concept of a nation or rashtra. Aspects of his teachings have been documented in his work The Kautilya Arthashastra, written in the 4th century BC.

Over the last several years, I have been a student and teacher of the Arthashastra. Having learnt the Arthashastra under Dr Gangadharan Nair at the Chinmaya International Foundation (www.chinfo.org). I have discovered many ancient Indian models of leadership. I am amazed how Chanakya's leadership models are relevant even today. They are not just ancient; they are eternal.

One of the leadership models given in the Arthashastra is "Chanakya's Saptangah" - the seven pillars of a kingdom. These pillars of old, forgotten over the years, can be interpreted as the "seven secrets of leadership" in the modern-day context. A training module on this was developed and we have been conducting leadership development programs across the globe. We have trained leaders in corporations and business groups, in the armed forces and the police, as well as scientists, academicians, social organizations, spiritual institutions, government departments and many others. It was inspiring to see that this leadership model was relevant to all the sectors of society, in India and abroad.

Chanakya, the most powerful strategist of 4th Century BC, documented his ideas on management, in the Arthashastra. In the present book, the author simplifies these age-old formulae for success in today’s corporate world.

Corporate Chanakya on Management applies Chanakya’s wisdom across a host of areas including recruitment and employee management, finance and accounting, time management, the role of team work and organizational strategy. Gain from this guide and discover the Chanakya in you…

Radhakrishnan Pillai, formally educated in management and consultancy, has an MA in Sanskrit and a doctorate in Arthashastra. He studied the ancient text, the Arthashastra, at Chinmaya International Foundation, Kerala, under the guidance of Dr. Gangadharan Nair.

Director of SPM Foundation and part of the University of Mumbai team, he designs various leadership programs. He is the founder-director of Chanakya Institute of Public Leadership, Pillai is the recipient of the Sardar Patel International award 2009.

Tom Alter is best known for his work in Bollywood, but has also been a theatre and television actor. He was awarded the Padma Shri in 2008.

The journey of Corporate Chanakya has been encouraging beyond belief. For a debut author, writing the first book itself was a challenge. But seeing it grow into a national bestseller has been more than a dream come true! The team at Jaico did a fantastic job of publishing and distributing the book.

As a leadership trainer, I have been travelling across the globe teaching at various universities, business schools, corporates and government organisations. The media consistently carried fantastic reviews for the book. It has been heartening to always see it on the 'Most Recommended' or 'Best Sellers' shelves in bookshops.

Inspired by the book, Shemaroo, the entertainment company made Chanakya Speaks, an 'edutainment' film now ready for launch. It is the world's first business management film on Chanakya. During the making of the film, Shemaroo came up with the idea - an audio book on Corporate Chanakya.

Tom Alter, the veteran Bollywood actor and theatre and television artist, agreed to do the voice over. I am personally thankful to him for taking the book to another level altogether.

The book Corporate Chanakya had 3 sections - Leadership, Management and Training. During one of my training programmes, the Chairman of the company who was attending the program said, "Your book has 3 books within it!" I discussed the possibilities with Jaico, of bringing out Corporate Chanakyla as 3 individual books on Leadership, Management and Training. And about giving voice to each of them!

So here you have in your hands Corporate Chanakya on Management, a single volume containing 70 chapters. And it comes along with an audio CD book that you can listen to, as you read! I highly recommend both, because revision only makes a student perfect. But do not forget to apply what you have learnt! Practise the theory. Act on the ideas. Implement your plan...

the King (male gender) as the leader, the pronoun 'he' is used. Leadership and management skills are not gender- based but they are qualities which can be developed as a 'mind-set'.

• In this book, I have referred to verses or sutras from KautiIya's Arthashastra. For those who would like to read the verse in the original text, the verse number 'is written in brackets. The first digit is the book number. The second is the chapter number and the third digit is the verse number. For example,
"He (leader) should constantly hold an inspection of their works, men being inconstant in their minds.” (2.9.3)

So, this verse is from Kautilya's Arthashastra Book 2, Chapter 9 and Verse 3. The same format has been followed in all chapters.

• The book that readers can refer to for the verses quoted, is the English translation of KautiIya's Arthashastra by R.P. Kangle of Mumbai University, published by Motilal Banarasidas. The explanations given are the interpretation of the author. Various other translations and commentaries of Arthashastra other than this book are available.

Let Me Tell you a story…

There was once a young man in Mumbai who wanted nothing more than to succeed in the world of business. He had studied management in colleges that extolled the, virtues of the western ways of understanding this subject. Soon enough, he worked his way up the corporate ladder, but finally decided to set out on his own. After all, who wants to be bossed over by someone else?

His first venture was in the realm of spiritual tourism. Since no one in his family had ever been an entrepreneur, he had to learn everything about setting up a business on his own. By the grace of God, and the support of his business partner, the business began to do well. From being a manager in someone else's company, he had become the leader of his own business.

His next step? Creating a well-known corporate entity. He met people and discussed his ideas and plans with them, learning from people, making copious notes, reading books, attending seminars, and training programmes. And yet, nothing helped. Something vital was missing in his pursuit for knowledge. He was not able to figure out what this missing piece was, for a long time.

The answer was right within him.

Since his childhood, he had found guidance in a spiritual organisation and had been blessed by many spiritual masters. During a spiritual discourse a Mahatma said, "India, our motherland, has great history and legacy. Our Rishis were no ordinary men - they have studied and perfected every science ill this world. Only if we were to look back into our glorious past we would find solutions to all our modern problems."

This was the divine message he had been waiting for. Management has been recognised as a science since the 1950s. One of the fathers of modern management is Peter Drucker. But didn't 'management' exist in India even before the 1950s and the Drucker era? As a nation we have over 5000 years to our credit. Did we not have management scientists in our country before the 20th century?

In the ancient Indian scriptures - Ramayana, Mahabharata, the various Upanishads - he found brilliant discussions of management strategies. Why was it that we Indians, always look at what is wrong with India and never appreciate what is great about our country? As a nation we have survived the test of time. Even though we are still a growing economy, we are not a failed nation. In the past, our country had achieved the peak of success for thousands of years. How many nations can boast of such a heritage?

He now realised that the missing piece which would help his business grow was to look 'within' rather than outside. The western principles of management are undoubtedly good, but even his own ancestors were extremely good at management.

Thus, one day, while looking for Indian books on management, he stumbled upon Kautilya's Arthashastra, written by the kingmaker, Chanakya. Who has not heard about this book? Even he had. But hardly anyone from his generation had studied it. He bought a copy.

A few pages into the book, he was upset! He could not understand anything! He read the pages over and over again, but the message of the book was out of reach. The subject itself seemed dry and boring. He felt the author had made everything seem more complicated than necessary.

He said to one of his mentors, "I do not understand anything in the Arthashastra, even though I am trying my best to learn from it." His mentor told him, "In India, we consider the scriptures to be mirrors. They reflect who you are. So if you do not understand Arthashastra, do not blame the mirror. As you grow and experience life, you will understand the book better."

That year, he went on a pilgrimage to Kailash Mansarovar, the holy abode of Lord Shiva. One evening, a voice seemed to speak to him, 'Make Kautilya's Arthashastra your lifelong pursuit. Don't just study it, but apply it in your life. Live the Arthashastra!' He could not believe that he was listening to his own thoughts, this had to be divine intervention!

He had heard about an ashram in Kerala, dedicated to the research of ancient Indian scriptures. He declared to the Acharya (teacher) in charge of the ashram, "I want to study the Arthashastra." The Acharya was happy to see the young man's interest, but said, "You will have to come here and learn it under the Guru-Shishya Parampara." This meant taking a break from the business and staying in the ashram and studying under a Sanskrit scholar.

This was not an easy decision for a businessman from Mumbai. But, with the help of his partner, he took time off from the business, and studied the wisdom of the Rishis. The time he spent in the ashram changed his life forever.

He realised that each modern management theory had already been explored thousands of years ago in the Arthashastra.

With a deeper knowledge of management he now returned to his urban life to apply what he had learned. Immediately, he experienced success! His business grew and people were impressed with his new skills. When they asked him how he had achieved success, he said, "Two things helped me - the grace of my Guru and the knowledge of Kautilya's Arthashastra."

Friends, this is my story. Every word is true. But, the story does not end here. In fact, this is where the story begins ....

After I returned from Kerala I applied Kautilya's practical and perfect theories to my own business. Even though Atma Darshan brought me success, something else began to happen. My friends from the corporate world urged me to share this knowledge I had gained.

I was invited to speak at various seminars, conferences, and training programmes in India and all over the world. Businessmen consulted me on several matters. Well- known publishing houses and newspapers asked me to write about how Kautilya's wisdom could be applied to modern businesses. I was also asked to host a radio show.

I met so many people who are interested in Indian management and Indian wisdom. Despite the differences between them with regard to age, nationalities, designations, and industries, all those who participated in my workshops and chose to attend my seminars felt a deep respect for Chanakya's genius.

And then came the support of the SPM Group of companies which allowed me to delve deeper into Arthashastra. I am now fully devoted to the cause of the promotion and application of Indian management ideas. Today, I am the Director of the SPM Foundation which aims to 'make India strong and self-sufficient' in the ancient Guru-Sishya Parampara method.

This book is a documentation of all my ideas that I have shared with millions of people from the corporate world, all across the globe, about how to apply Chanakya's practical solutions to solve day-to-day problems in modern businesses.

Corporate Chanakya on Management is not just about me. It's about you and everyone else who wants to practise the principles of Indian Management in their work and wants to be successful.

About the Book

Canakya's Arthasastra deals with the different aspect of managing a kindgdom, including management of men. The principles contained in Canakya's work have the unique distinction of being used successfully in practice to achieve good result on a sustainable basis.

The management principles used in the USA or in Japan are derived from their own cultural background. There exists enough evidence to show these system, even when meticulously and earstly adopted in India, rarerly take roots or produce the desired results. We need to look for those principles that make sense in our own social and work culture and which whould hopefully deliver better results for all concerned the customer the investors, the employees and the society. This book on the management philosophy and practice of canakya is the author's earnest attempt to help Indian readership to become familiar with the great work of the First Total Management Guru of the world

About the Author

After obtatinig a degree in textile technology from the University of Bombay Ashok Raghunath Garde joined ATIRA (Ahmedabad Textile Industry Research Association), where he served for over 3 decades. In 1990 he was appointed CEO of ATIRA. Mr. Garde has been awarded the Fellowship of the Textile Institute, UK, the Honorary Felloship of the Textile Association. India, and the Fellowship of the Gujarat Sciece Academy

Foreword

It is nearly 30 months since I first read Prof. Ashok Garde's illuminating text titled "Canakya's Aphorisms on Management". Many will know Canakya as Chanakya, who was the mentor of the great Emperor Chandragupta Mourya of the 4th Century BC.

I then thought that the Business Schools should have it in their Library. Business School teachers are sure to find materials in it to support some presentation or the other on whatever subject is their prime concern.

I shall not comment on the contents except exhorting that whoever comes across this book should quickly read the "Introduction" because it succinctly describes its value to the reader. It may often result in that person wanting to own a copy for a serious reading.

I am glad that "Jaico Publishing House" is undertaking to popularize these Aphorisms amongst people all over India and abroad. Hopefully they shall aggressively promote its readership by encouraging the prestigious Business Schools such as the IIMs of India and the Ivy League B-Schools of USA and top Schools of Europe to order more than one copy for their library, because it is likely to be simultaneously used by several Professors and students.

In his introduction, the author has repeatedly referred to the book's utility to the CEO. I believe it will be useful for Managers at all levels and also the aspiring Managers. HR Managers should seriously consider procuring copies for study by their various functional heads. They can extract what appeals most to them for application in their area and having a "discussion" meeting with their peers or their reportees.

Mr. Ashok Garde was interviewed and selected by Dr. Vikram Sarabhai for the A TIRA job as a Scientist. But he soon learnt the art of management just as Dr. Vikram Sarabhai, a Scientist himself, became a highly successful Management Professional, who left his impact not only in the Private and Public Corporate organizations he served but also motivated people like Mr. Garde to become a great supporter of the Management movement in Ahmedabad. When AMA (Ahmedabad Management Association), founded by Dr. Vikram Sarabhai, proposed that ATIRA provide AMA a part of its spare land for housing the AMA Training and Development Center for the Working Managers and shared AMA's vision of making it the role model for various Local Management Associations (LMAs), who were members of the All India Management Association, Mr. Garde helped to work out a Win-Win situation for ATIRA, (whose Director he was), AMA and the people of Ahmedabad. Jaico may find the LMAs a useful means of popularizing the very valuable Management insights provided in this book.

Foreign Executives doing business with or in India do like to read about Indian culture and ethos. They will find. this book interesting and will readily buy it but (and it is a big 'but') the question is that how will they know about the book and how can they easily get it. I do hope Jaico will work on seeing that it is available on the internet.

The author has written the sutras in the Sanskrit Devanagari Script and also in phonetic English script. If a reader pursues the book frequently he may find himself understanding several Sanskrit words. He or she may then read Panchatantra and Hitopadesa looking for morals for use In today's world of Management situation.

Today, as never before, more and more businessmen and Management gurus are talking about the importance of ethics, which, since time immemorial, the Indian thinkers and businessmen have highlighted as a must to be practiced in business and everyday conduct calling it "the arthashastra dharma" This "Dharma" has nothing to do with "religion" as is generally understood. Chanakya has a lot to say about the ethics and good governance In India, the legendary Chanakya invokes respect bordering on awe. To scholars outside India, he is better known as Kautilya. He is the author of a full treatise on Governance. He practiced what he taught nearly 2400 years ago. He trained Chandragupta Mourya to be a fair, just and efficient Chief Executive Officer of a kingdom. His dynasty succeeded in making India attain great heights in all fields, with the Greek Commander in Chief of Alexander, the Great, getting his daughter married to Chandragupt Mourya.

Mr Garde has painstakingly brought out the manifold implications of each sutra. Experienced managers will note that many a sutras succinctly state a principle underlying their own experiences, but which they did not 'see' in that light before! The philosophical underpinning of managerial actions any action as propounded by Chanakya have been well brought out by the author. Consequently, those managers who work towards internalizing use-worthy sutras can become high achievers without being highly stressed by work.

With over 45 years of experience in top management and entrepreneurship, I feel that the ideas of Chanakya are worth following today, especially when adhering to the ethical path is the only 'mantra' to ensure long term survival and growth of an enterprise in a fiercely competitive globalised market. I hope that this book reaches a large number of managers in India and abroad' and they benefit from it.

Preface

Some management thinkers in India were looking for an Indian ethos in management, since neither the American nor the Japanese styles seemed to fit well into the Indian culture. I made a small attempt to look at Pancatantra, the world's first documented training programme for top management. Thereafter, I came across several popular Hindi versions of Canakya Sutras. Many appeared to be incorrectly interpreted, but quite a few were startlingly insightful and usable for guiding managerial actions.

By 1994, in the 4th year as the CEO of ATIRA, I started picking up a few sutras and. using them as guide rules. Not all sutras are principles of management. Many are like 'laws of behaviour at work', indicating 'what will happen when' with a high probability. The flow of ideas is very different from the management thoughts of 1950s. In some ways, the total thought process is akin to the management thinking in the late 20th century, which includes 'what managers should be, rather than only 'what managers should do'. The idea that the manager should manage himself well on the emotional front has been seeping in gradually in the recent past.

The Indian ethos is visible all along in Canakya Sutras, and most concepts are meaningful in our current cultural context. This realisation led me to think of writing a commentary on Canakya Sutras from the management point of view. This desire was consistently reinforced by Shri KK Nair, Executive Director, AMA and Dr. Balabhaskaran, Dean, ICFAIAN Business School, Ahmedabad.

I am grateful to Shri Rajesh Mehta, President, AMA, and to Shri KK Nair for their decision to publish this work as an AMA publication. If the management personnel in India -the 'would be managers' and those practicing management professions at different levels -who read this book do just TWO things, the efforts of the author and of AMA will stand justified:

One: Discover a rather different way of looking at management. Two: Check out which of these 216 aphorisms fit their experience.

If few of the readers do a Third -i.e. use selected sutras for guiding their actions -that would be great.

Introduction

Management of people and of resources, whether for manufacturing products, or for providing services, or for administering a state, is a rather complicated task. Not surprisingly, therefore, we find that a plethora of sets of generalisations have been developed on "How to Manage Well to Achieve Excellent Results on a Sustainable Basis." Only a few of these have been total systems covering all the aspects of managing a business. Many have been applied to real life situations and used, but not necessarily well documented. The real test of a treatise on management is not just its completeness or just the beauty of its logic, but also the demonstration of its practical application in real life situations, with enduring success.

The well educated Indian, like his counterpart in the Western and now also in the Eastern world, is under the implicit impression that such systematic thinking on management started only in the 20th century. However, given the complexity of managing a kingdom or a country, it would not be surprising if treatises on management were written in the ancient past also. In fact, a search for such management literature in India and in the world yields fruitful results. Some of the well known works that deserve our attention are the following, listed in chronological order.'

Management: The Indian Ethos

The Pancatantra consists essentially of 69 case studies compiled by the Guru to teach "management of people" to three grown up sons of a king in a six-month residential training programme. Hitopadesa is a similar treatise, that borrows heavily from Pancatantra, and has an identical narrative style. But unlike Arthasastra, these two deal only with one aspect of management -managing people. Canakya's Arthasastra deals with all the different aspects of managing a kingdom, including management of mer., Arthasastra is the earliest known and available treatise of this kind in the history of the world. The Canakya Sutras are an abstraction of the principles of management on which the treatise is based. In Arthasastra, Canakya deals with all aspects of administering a state -from training and establishing a governing hierarchy, selecting people, and levying taxes, to laying down laws, to deciding punishments for breaking the law, etc. Incidentally, Canakya -also known as Kautilya -refers to views of several earlier (over 600 years) Indian authorities on management. He then states his own view, giving reasons for differing from the earlier views. One presumes that he wrote the Sutras with a view to make it easy for his students of management to remember the principles of management, in a manner that will prove useful in actual practice.

The Canakya Sutras have the unique distinction of being the principles which have been demonstrated to have been used successfully in practice to achieve good results on a sustainable basis. Canakya taught these principles to a group of youths, including Candragupta, and used this well trained group to overthrow the unjust and oppressive dynasty of the Nanda kings of Pataliputra, the capital of the country of Magadha. Candragupta established the Mourya dynasty, which ruled well for about 136 years, and produced a king like Samrat Asok (samrtit = great emporor). The successful installation of Candragupta, whose regime was fair and just, as opposed to the tyranny and partiality of the Nanda kings, is an eloquent testimony of the prowess of the management principles propounded by Canakya, These principles, the Canakya Suiras, therefore, deserve a careful study in the present context, when we are on the lookout for an Indian ethos in management. The management principles used in the USA or in Japan are obviously derived from their own cultural background. There exists enough evidence already to show that these systems, even when meticulously and earnestly adopted in India, rarely take roots or produce the desired results on a sustainable basis. We do need to look for those principles that are likely to make sense in our own social and work culture. These would hopefully deliver better results for all concerned -the customers, the investors, the employees, the vendors, and the society.

Several of the current attempts at developing an Indian ethos in management turn to our philosophical or religious texts. Such efforts, though commendable, suffer from three disadvantages. Firstly, the philosophical religious texts were written primarily in the context of doing one's ordained duties as an individual. Secondly, these do not address the many different aspects of managing an enterprise. Thirdly, when we choose the scriptures of anyone religion in India, the managers belonging to other religions find it really difficult to accept the concepts which are not to be found in the same form in their own religion. The basis for good management principles has to be secular and rational for universal acceptability. There exists no doubt that the principles propounded in Gita are useful for individual managers to mould their own character, and to strengthen it for dealing effectively with problems faced by the managers. These are so rational that these can be accepted secularly without attributing God-ness to Krsna. However, it is better to look at specifically management-oriented treatises like those cited above. From amongst these, the one complete system of looking at all aspects of management is the Canakya-Sutras.

The Sutra System

The Sutras system of teaching or dealing with any body of knowledge is a unique system developed and used since about 7000 BC in India. A Sutra is a short, pithy statement or an aphorism about a concept: it is easy to memorise, and to recall whenever required in practice. From Patanjali's Yogasutras" to Vatsyayana's Kamasutras, we see that the entire territory of the four purusariha has been covered by the sutras system: these are dharma, artha, kama, and moksa -duties/morals, resources/money, desires/sex, and salvation, respectively. The practicable knowledge and skills in each have been enunciated in the sutra form also, besides in the textbook form. Each word in any sutra is very carefully chosen.

Contenta

Chanakya, who lived in India in the 4th Century BC, was a leadership guru par excellence. The treasure of his teachings can be found in his treatise, Arthashashtra, which deals with good governance based on ideal leadership.

The concept of the ideal nation in the Arthashashtra, called saptanga, holds that there are seven pillars of a kingdom: swami, amatya, janpada, durg, kosha, dand, mitra. for centuries, Indian rules have used this concept as a model of successful government.

In this path-breaking book, Chanakya’s 7 Secrets of Leadership, author Radhakrishnan Pillai delves into Chanakya’s saptanga, with the real-life example of D. Sivanandhan. Former Director General of Police, Maharashtra, and the archetype of an able administrator, Sivanandhan shares his guidelines for effective management, highlighting those that make a dynamic leader.

In Chanakya’s 7 Secrets of Leadership, theory meets practice, academic research meets vast experience in police supervision and an age-old formula is revealed in a modern-day success story. Together, Pillai and Sivanandhan bring Chanakya’s model to life.

Anyone can use the seven secrets of leadership to run a kingdom effectively. Apply them in your life, and the magic of Chanakya’s wisdom will transform you into the ideal leader.

Dr Radhakrishnan Pillai is from the University of Mumbai. He is a trainer researcher, author and teacher on leadership. His first book, Corporate Chanakya, created record in the management books category. Apart from begin a popular bestseller, the book has also been considered for academic research in educational institutions across the globe. Having trained and mentored thousands of leaders, Dr Pillai is well-known for making Chanakya popular as a managements and leadership guru.

D Sivanandhan former Commissioner of Police, Mumbai and Director General of Police, Maharashtra, is one of India’s most highly regarded IPS officers. He has been instrumental in rebuilding the defenses of Mumbai after attacks in November 2008, and has served as member of the special task force in the National Security Council Secretariat. Currently, he serves on the board of several companies and is Founder and Chairman of Securus First India Pvt. Ltd.

Some people get lucky. And some get very lucky.

But people like me call it the Grace of God or Guru Kripa.

My first book, Corporate Chanakya published by Jaico turned out to be a bestseller. It broke my records in sales in the field of management books. It was in the bestseller list ever since its release. It got translated into ten regional languages – Hindi, Marathi, Gujarati, Assamese, Oriya, Bengali, Tamil, Malayalam, Telugu and Kannada.

It was brought out as an audio book, again turning out to be a bestseller in the audio book category. The book inspired the world’s first management film based on Chanakya’s teachings, Chanakya Speaks (www.chanakyaspeaks.in). Within a month of its release, the film received the Award of Merit at the Indie Fest (California).

Owing to the success of the book, I was invited to speak and lecture in over hundred institutes, colleges and universities across ten countries in less than two years. It also helped me set up our institute, Chanakya Institute of Public Leadership (www.ciplmumbai.in) in the Department of Philosophy at the University of Mumbai. It is the First institute of its kind in the world, which teaches the Arthashastra. The journey has just begun and there is a lot to be done in years to come. I feel the hand of God behind all this success.

Success bring problems with it. Can I repeat this success? The first book set a benchmark, and ever since its release people have been asking me, “When is your next book coming?”

For me the question was different..... Instead of 'when' my next book would come the question was, 'what' will my next book be about.

I struggled with this question for many days and months, which rolled into years. I knew clearly that the subject would be Chanakya, yet I did not want to write Corporate Chanakya - part 2. The first book was complete in itself, yet continuity was needed for my old readers.

Chanakya was a man of action. What he said was not just theory, but what could be practiced and applied. What worked in the past can work in the present too. I wanted to bring back Chanakya in our generation.

How I would deal with such a great legend in my next book was a question that I was deliberating on for a long time. I knew all the theories of leadership given in the Arthashastra. Yet, there are chances of them just being theories, without any practical value to you and me.

I got my answer the day I met D Sivanandhan....

He was the Director-General of Maharashtra Police at that time, a few months away from retirement from the topmost police rank. I had heard about him and the work he had done. We were sharing a dais for a leadership program for ophthalmology doctors. That day, I spoke on the theory of leadership and Sivanandhan sir spoke on the 'practical' aspects of leadership. He spoke about situational leadership, transformational leadership and what goes into the making of a leader!

As I was listening, a quiet bell rang in my mind. "Here stands a man of action. He has delivered against all odds. I talk about it, whereas he has done it!"

For me, Sivanandhan sir became a person who was a real-life leader, who had practiced all that Chanakya had said. The next week I met Sivanandhan sir in his office with my students from Mumbai University. We were supposed to be with him for half an hour but in spite of his busy schedule, he gave us two-and-a-half hours. The students could ask him any questions and he gave them quick and detailed answers. I came to know that before joining the police force, he was also a professor of economics. The teacher in me - met the teacher in him.

From there, a relationship developed, where we kept meeting each other again and again. I knew he was someone whom the police force, the government and our nation was proud of. He was a man of achievement, yet there were many aspects about him that very few people knew. He was always in the limelight, yet very few had seen the complete picture of his life. Many more meetings followed and I came to know him well. There were wonderful incidents and stories that he narrated, which many did not know about.

And then, a meeting between Sivanandhan sir and my publishers, Jaico finally brought clarity to the book you are holding.

The theme of this book is surely on Chanakya; yet it is different from the first. I have written on leadership, but taking Sivanandhan sir as a case study, as an example of great and transformational leadership.

In this book, you will find a leadership model of Chanakya, You will also find that leadership model being brought alive by Sivanandhan and what he did during his days in the police force as a leader. He set high standards for others, becoming a role model.

This book is about theory meeting practice, leadership concepts meeting application, age old formulae meeting modern-day success stories.

Chanakya's leadership ideas, comes alive with Sivanandhan sir.

leadership - the Concept

IN THE ARTHASHASTR A, Chanakya refers to the leader as Vijigishu, meaning one who wants to be victorious and conquer in spite of the challenges. Even today, a leader has to think like a conqueror and succeed, irrespective of the circumstances.

Leadership as a concept has been evolving over the centuries. "Leader" initially referred to the king of a country or nation. Today, we have leaders in every field - politics, business, science, academics, administration, armed forces, society, community, various unions, sports teams and even spirituality. Some leaders may have a large following; others may not. Some leaders are great orators and public speakers, while others sit quietly at their desks or laboratories and become "thought leaders". They give a new direction and perspective to the way people think.

Some leaders are immensely popular when they are alive; their work attains speed and recognition in that generation. Other leaders are celebrated after they are dead, because they were much ahead of their times and their generation could not understand their greatness. Some leaders, such as Lokmanya Tilak, Rabindranath Tagore or Thiruvalluvar are known in their particular regions, in a village, a community or a nation. Others like Mahatma Gandhi, Napoleon, Albert Einstein or Abraham Lincoln gain worldwide recognition.

Yet, all these leaders have something in common, some factors that earned them respect and appreciation, which we also call attributes of leadership.

So what exactly is leadership?

Across the globe, leadership has become a subject of serious discussion, study and research. Universities now have centers of leadership. The number of books written on leadership has been growing rapidly.

In India, leadership has been taken very seriously. Today, all eyes are on India, as it is among the fastest growing economies of the world. India is new, yet old. A young nation which got independence in 1947 has a history, culture and tradition of over 10,000 years. As in any other nation, India and Indians draw inspiration from the heroes and leaders of the past. As a country of over a billion people, we are proud of the achievements of our past leaders. Our leaders such as Gandhi and Emperor Ashoka inspired and created more leaders across the globe. Others like Shivaji, Subhash Chandra Bose, Sardar Patel, Jawaharlal Nehru, Rajendra Prasad, Lal Bahadur Shastri and other freedom fighters inspire our present generation and inject patriotism in the youth.

When we go back further in time, we find leadership lessons from superheroes like Krishna, Rama and Buddha in epics like the Ramayana and Mahabharata. For Indians, these lessons are part of their thinking, a part of daily living and discussions. However, a unique factor about India is that we also learn from the person who created the leader, the "leadership guru". The leader is important, but the creator of the leader is more important, because a leadership guru can create more leaders. Swami Ramdas guided Shivaji to become a successful king. Ramakrishna inspired Vivekananda to become a giant spiritual leader.

Some people like to study leaders; people like us love to study leadership gurus. And among the leadership gurus, one person stands out as the epitome of leader hip teachings - Chanakya.

Chanakya was the guru of Chandragupta Maurya, the first king of the Maurya dynasty and the grandfather of Emperor Ashoka who spread the golden teachings of Buddhism across the globe. Chanakya has been credited by many historical scholars as the first person in world history to create the concept of a nation or rashtra. Aspects of his teachings have been documented in his work The Kautilya Arthashastra, written in the 4th century BC.

Over the last several years, I have been a student and teacher of the Arthashastra. Having learnt the Arthashastra under Dr Gangadharan Nair at the Chinmaya International Foundation (www.chinfo.org). I have discovered many ancient Indian models of leadership. I am amazed how Chanakya's leadership models are relevant even today. They are not just ancient; they are eternal.

One of the leadership models given in the Arthashastra is "Chanakya's Saptangah" - the seven pillars of a kingdom. These pillars of old, forgotten over the years, can be interpreted as the "seven secrets of leadership" in the modern-day context. A training module on this was developed and we have been conducting leadership development programs across the globe. We have trained leaders in corporations and business groups, in the armed forces and the police, as well as scientists, academicians, social organizations, spiritual institutions, government departments and many others. It was inspiring to see that this leadership model was relevant to all the sectors of society, in India and abroad.

Chanakya, the most powerful strategist of 4th Century BC, documented his ideas on management, in the Arthashastra. In the present book, the author simplifies these age-old formulae for success in today’s corporate world.

Corporate Chanakya on Management applies Chanakya’s wisdom across a host of areas including recruitment and employee management, finance and accounting, time management, the role of team work and organizational strategy. Gain from this guide and discover the Chanakya in you…

Radhakrishnan Pillai, formally educated in management and consultancy, has an MA in Sanskrit and a doctorate in Arthashastra. He studied the ancient text, the Arthashastra, at Chinmaya International Foundation, Kerala, under the guidance of Dr. Gangadharan Nair.

Director of SPM Foundation and part of the University of Mumbai team, he designs various leadership programs. He is the founder-director of Chanakya Institute of Public Leadership, Pillai is the recipient of the Sardar Patel International award 2009.

Tom Alter is best known for his work in Bollywood, but has also been a theatre and television actor. He was awarded the Padma Shri in 2008.

The journey of Corporate Chanakya has been encouraging beyond belief. For a debut author, writing the first book itself was a challenge. But seeing it grow into a national bestseller has been more than a dream come true! The team at Jaico did a fantastic job of publishing and distributing the book.

As a leadership trainer, I have been travelling across the globe teaching at various universities, business schools, corporates and government organisations. The media consistently carried fantastic reviews for the book. It has been heartening to always see it on the 'Most Recommended' or 'Best Sellers' shelves in bookshops.

Inspired by the book, Shemaroo, the entertainment company made Chanakya Speaks, an 'edutainment' film now ready for launch. It is the world's first business management film on Chanakya. During the making of the film, Shemaroo came up with the idea - an audio book on Corporate Chanakya.

Tom Alter, the veteran Bollywood actor and theatre and television artist, agreed to do the voice over. I am personally thankful to him for taking the book to another level altogether.

The book Corporate Chanakya had 3 sections - Leadership, Management and Training. During one of my training programmes, the Chairman of the company who was attending the program said, "Your book has 3 books within it!" I discussed the possibilities with Jaico, of bringing out Corporate Chanakyla as 3 individual books on Leadership, Management and Training. And about giving voice to each of them!

So here you have in your hands Corporate Chanakya on Management, a single volume containing 70 chapters. And it comes along with an audio CD book that you can listen to, as you read! I highly recommend both, because revision only makes a student perfect. But do not forget to apply what you have learnt! Practise the theory. Act on the ideas. Implement your plan...

the King (male gender) as the leader, the pronoun 'he' is used. Leadership and management skills are not gender- based but they are qualities which can be developed as a 'mind-set'.

• In this book, I have referred to verses or sutras from KautiIya's Arthashastra. For those who would like to read the verse in the original text, the verse number 'is written in brackets. The first digit is the book number. The second is the chapter number and the third digit is the verse number. For example,
"He (leader) should constantly hold an inspection of their works, men being inconstant in their minds.” (2.9.3)

So, this verse is from Kautilya's Arthashastra Book 2, Chapter 9 and Verse 3. The same format has been followed in all chapters.

• The book that readers can refer to for the verses quoted, is the English translation of KautiIya's Arthashastra by R.P. Kangle of Mumbai University, published by Motilal Banarasidas. The explanations given are the interpretation of the author. Various other translations and commentaries of Arthashastra other than this book are available.

Let Me Tell you a story…

There was once a young man in Mumbai who wanted nothing more than to succeed in the world of business. He had studied management in colleges that extolled the, virtues of the western ways of understanding this subject. Soon enough, he worked his way up the corporate ladder, but finally decided to set out on his own. After all, who wants to be bossed over by someone else?

His first venture was in the realm of spiritual tourism. Since no one in his family had ever been an entrepreneur, he had to learn everything about setting up a business on his own. By the grace of God, and the support of his business partner, the business began to do well. From being a manager in someone else's company, he had become the leader of his own business.

His next step? Creating a well-known corporate entity. He met people and discussed his ideas and plans with them, learning from people, making copious notes, reading books, attending seminars, and training programmes. And yet, nothing helped. Something vital was missing in his pursuit for knowledge. He was not able to figure out what this missing piece was, for a long time.

The answer was right within him.

Since his childhood, he had found guidance in a spiritual organisation and had been blessed by many spiritual masters. During a spiritual discourse a Mahatma said, "India, our motherland, has great history and legacy. Our Rishis were no ordinary men - they have studied and perfected every science ill this world. Only if we were to look back into our glorious past we would find solutions to all our modern problems."

This was the divine message he had been waiting for. Management has been recognised as a science since the 1950s. One of the fathers of modern management is Peter Drucker. But didn't 'management' exist in India even before the 1950s and the Drucker era? As a nation we have over 5000 years to our credit. Did we not have management scientists in our country before the 20th century?

In the ancient Indian scriptures - Ramayana, Mahabharata, the various Upanishads - he found brilliant discussions of management strategies. Why was it that we Indians, always look at what is wrong with India and never appreciate what is great about our country? As a nation we have survived the test of time. Even though we are still a growing economy, we are not a failed nation. In the past, our country had achieved the peak of success for thousands of years. How many nations can boast of such a heritage?

He now realised that the missing piece which would help his business grow was to look 'within' rather than outside. The western principles of management are undoubtedly good, but even his own ancestors were extremely good at management.

Thus, one day, while looking for Indian books on management, he stumbled upon Kautilya's Arthashastra, written by the kingmaker, Chanakya. Who has not heard about this book? Even he had. But hardly anyone from his generation had studied it. He bought a copy.

A few pages into the book, he was upset! He could not understand anything! He read the pages over and over again, but the message of the book was out of reach. The subject itself seemed dry and boring. He felt the author had made everything seem more complicated than necessary.

He said to one of his mentors, "I do not understand anything in the Arthashastra, even though I am trying my best to learn from it." His mentor told him, "In India, we consider the scriptures to be mirrors. They reflect who you are. So if you do not understand Arthashastra, do not blame the mirror. As you grow and experience life, you will understand the book better."

That year, he went on a pilgrimage to Kailash Mansarovar, the holy abode of Lord Shiva. One evening, a voice seemed to speak to him, 'Make Kautilya's Arthashastra your lifelong pursuit. Don't just study it, but apply it in your life. Live the Arthashastra!' He could not believe that he was listening to his own thoughts, this had to be divine intervention!

He had heard about an ashram in Kerala, dedicated to the research of ancient Indian scriptures. He declared to the Acharya (teacher) in charge of the ashram, "I want to study the Arthashastra." The Acharya was happy to see the young man's interest, but said, "You will have to come here and learn it under the Guru-Shishya Parampara." This meant taking a break from the business and staying in the ashram and studying under a Sanskrit scholar.

This was not an easy decision for a businessman from Mumbai. But, with the help of his partner, he took time off from the business, and studied the wisdom of the Rishis. The time he spent in the ashram changed his life forever.

He realised that each modern management theory had already been explored thousands of years ago in the Arthashastra.

With a deeper knowledge of management he now returned to his urban life to apply what he had learned. Immediately, he experienced success! His business grew and people were impressed with his new skills. When they asked him how he had achieved success, he said, "Two things helped me - the grace of my Guru and the knowledge of Kautilya's Arthashastra."

Friends, this is my story. Every word is true. But, the story does not end here. In fact, this is where the story begins ....

After I returned from Kerala I applied Kautilya's practical and perfect theories to my own business. Even though Atma Darshan brought me success, something else began to happen. My friends from the corporate world urged me to share this knowledge I had gained.

I was invited to speak at various seminars, conferences, and training programmes in India and all over the world. Businessmen consulted me on several matters. Well- known publishing houses and newspapers asked me to write about how Kautilya's wisdom could be applied to modern businesses. I was also asked to host a radio show.

I met so many people who are interested in Indian management and Indian wisdom. Despite the differences between them with regard to age, nationalities, designations, and industries, all those who participated in my workshops and chose to attend my seminars felt a deep respect for Chanakya's genius.

And then came the support of the SPM Group of companies which allowed me to delve deeper into Arthashastra. I am now fully devoted to the cause of the promotion and application of Indian management ideas. Today, I am the Director of the SPM Foundation which aims to 'make India strong and self-sufficient' in the ancient Guru-Sishya Parampara method.

This book is a documentation of all my ideas that I have shared with millions of people from the corporate world, all across the globe, about how to apply Chanakya's practical solutions to solve day-to-day problems in modern businesses.

Corporate Chanakya on Management is not just about me. It's about you and everyone else who wants to practise the principles of Indian Management in their work and wants to be successful.

About the Book

Canakya's Arthasastra deals with the different aspect of managing a kindgdom, including management of men. The principles contained in Canakya's work have the unique distinction of being used successfully in practice to achieve good result on a sustainable basis.

The management principles used in the USA or in Japan are derived from their own cultural background. There exists enough evidence to show these system, even when meticulously and earstly adopted in India, rarerly take roots or produce the desired results. We need to look for those principles that make sense in our own social and work culture and which whould hopefully deliver better results for all concerned the customer the investors, the employees and the society. This book on the management philosophy and practice of canakya is the author's earnest attempt to help Indian readership to become familiar with the great work of the First Total Management Guru of the world

About the Author

After obtatinig a degree in textile technology from the University of Bombay Ashok Raghunath Garde joined ATIRA (Ahmedabad Textile Industry Research Association), where he served for over 3 decades. In 1990 he was appointed CEO of ATIRA. Mr. Garde has been awarded the Fellowship of the Textile Institute, UK, the Honorary Felloship of the Textile Association. India, and the Fellowship of the Gujarat Sciece Academy

Foreword

It is nearly 30 months since I first read Prof. Ashok Garde's illuminating text titled "Canakya's Aphorisms on Management". Many will know Canakya as Chanakya, who was the mentor of the great Emperor Chandragupta Mourya of the 4th Century BC.

I then thought that the Business Schools should have it in their Library. Business School teachers are sure to find materials in it to support some presentation or the other on whatever subject is their prime concern.

I shall not comment on the contents except exhorting that whoever comes across this book should quickly read the "Introduction" because it succinctly describes its value to the reader. It may often result in that person wanting to own a copy for a serious reading.

I am glad that "Jaico Publishing House" is undertaking to popularize these Aphorisms amongst people all over India and abroad. Hopefully they shall aggressively promote its readership by encouraging the prestigious Business Schools such as the IIMs of India and the Ivy League B-Schools of USA and top Schools of Europe to order more than one copy for their library, because it is likely to be simultaneously used by several Professors and students.

In his introduction, the author has repeatedly referred to the book's utility to the CEO. I believe it will be useful for Managers at all levels and also the aspiring Managers. HR Managers should seriously consider procuring copies for study by their various functional heads. They can extract what appeals most to them for application in their area and having a "discussion" meeting with their peers or their reportees.

Mr. Ashok Garde was interviewed and selected by Dr. Vikram Sarabhai for the A TIRA job as a Scientist. But he soon learnt the art of management just as Dr. Vikram Sarabhai, a Scientist himself, became a highly successful Management Professional, who left his impact not only in the Private and Public Corporate organizations he served but also motivated people like Mr. Garde to become a great supporter of the Management movement in Ahmedabad. When AMA (Ahmedabad Management Association), founded by Dr. Vikram Sarabhai, proposed that ATIRA provide AMA a part of its spare land for housing the AMA Training and Development Center for the Working Managers and shared AMA's vision of making it the role model for various Local Management Associations (LMAs), who were members of the All India Management Association, Mr. Garde helped to work out a Win-Win situation for ATIRA, (whose Director he was), AMA and the people of Ahmedabad. Jaico may find the LMAs a useful means of popularizing the very valuable Management insights provided in this book.

Foreign Executives doing business with or in India do like to read about Indian culture and ethos. They will find. this book interesting and will readily buy it but (and it is a big 'but') the question is that how will they know about the book and how can they easily get it. I do hope Jaico will work on seeing that it is available on the internet.

The author has written the sutras in the Sanskrit Devanagari Script and also in phonetic English script. If a reader pursues the book frequently he may find himself understanding several Sanskrit words. He or she may then read Panchatantra and Hitopadesa looking for morals for use In today's world of Management situation.

Today, as never before, more and more businessmen and Management gurus are talking about the importance of ethics, which, since time immemorial, the Indian thinkers and businessmen have highlighted as a must to be practiced in business and everyday conduct calling it "the arthashastra dharma" This "Dharma" has nothing to do with "religion" as is generally understood. Chanakya has a lot to say about the ethics and good governance In India, the legendary Chanakya invokes respect bordering on awe. To scholars outside India, he is better known as Kautilya. He is the author of a full treatise on Governance. He practiced what he taught nearly 2400 years ago. He trained Chandragupta Mourya to be a fair, just and efficient Chief Executive Officer of a kingdom. His dynasty succeeded in making India attain great heights in all fields, with the Greek Commander in Chief of Alexander, the Great, getting his daughter married to Chandragupt Mourya.

Mr Garde has painstakingly brought out the manifold implications of each sutra. Experienced managers will note that many a sutras succinctly state a principle underlying their own experiences, but which they did not 'see' in that light before! The philosophical underpinning of managerial actions any action as propounded by Chanakya have been well brought out by the author. Consequently, those managers who work towards internalizing use-worthy sutras can become high achievers without being highly stressed by work.

With over 45 years of experience in top management and entrepreneurship, I feel that the ideas of Chanakya are worth following today, especially when adhering to the ethical path is the only 'mantra' to ensure long term survival and growth of an enterprise in a fiercely competitive globalised market. I hope that this book reaches a large number of managers in India and abroad' and they benefit from it.

Preface

Some management thinkers in India were looking for an Indian ethos in management, since neither the American nor the Japanese styles seemed to fit well into the Indian culture. I made a small attempt to look at Pancatantra, the world's first documented training programme for top management. Thereafter, I came across several popular Hindi versions of Canakya Sutras. Many appeared to be incorrectly interpreted, but quite a few were startlingly insightful and usable for guiding managerial actions.

By 1994, in the 4th year as the CEO of ATIRA, I started picking up a few sutras and. using them as guide rules. Not all sutras are principles of management. Many are like 'laws of behaviour at work', indicating 'what will happen when' with a high probability. The flow of ideas is very different from the management thoughts of 1950s. In some ways, the total thought process is akin to the management thinking in the late 20th century, which includes 'what managers should be, rather than only 'what managers should do'. The idea that the manager should manage himself well on the emotional front has been seeping in gradually in the recent past.

The Indian ethos is visible all along in Canakya Sutras, and most concepts are meaningful in our current cultural context. This realisation led me to think of writing a commentary on Canakya Sutras from the management point of view. This desire was consistently reinforced by Shri KK Nair, Executive Director, AMA and Dr. Balabhaskaran, Dean, ICFAIAN Business School, Ahmedabad.

I am grateful to Shri Rajesh Mehta, President, AMA, and to Shri KK Nair for their decision to publish this work as an AMA publication. If the management personnel in India -the 'would be managers' and those practicing management professions at different levels -who read this book do just TWO things, the efforts of the author and of AMA will stand justified:

One: Discover a rather different way of looking at management. Two: Check out which of these 216 aphorisms fit their experience.

If few of the readers do a Third -i.e. use selected sutras for guiding their actions -that would be great.

Introduction

Management of people and of resources, whether for manufacturing products, or for providing services, or for administering a state, is a rather complicated task. Not surprisingly, therefore, we find that a plethora of sets of generalisations have been developed on "How to Manage Well to Achieve Excellent Results on a Sustainable Basis." Only a few of these have been total systems covering all the aspects of managing a business. Many have been applied to real life situations and used, but not necessarily well documented. The real test of a treatise on management is not just its completeness or just the beauty of its logic, but also the demonstration of its practical application in real life situations, with enduring success.

The well educated Indian, like his counterpart in the Western and now also in the Eastern world, is under the implicit impression that such systematic thinking on management started only in the 20th century. However, given the complexity of managing a kingdom or a country, it would not be surprising if treatises on management were written in the ancient past also. In fact, a search for such management literature in India and in the world yields fruitful results. Some of the well known works that deserve our attention are the following, listed in chronological order.'

Management: The Indian Ethos

The Pancatantra consists essentially of 69 case studies compiled by the Guru to teach "management of people" to three grown up sons of a king in a six-month residential training programme. Hitopadesa is a similar treatise, that borrows heavily from Pancatantra, and has an identical narrative style. But unlike Arthasastra, these two deal only with one aspect of management -managing people. Canakya's Arthasastra deals with all the different aspects of managing a kingdom, including management of mer., Arthasastra is the earliest known and available treatise of this kind in the history of the world. The Canakya Sutras are an abstraction of the principles of management on which the treatise is based. In Arthasastra, Canakya deals with all aspects of administering a state -from training and establishing a governing hierarchy, selecting people, and levying taxes, to laying down laws, to deciding punishments for breaking the law, etc. Incidentally, Canakya -also known as Kautilya -refers to views of several earlier (over 600 years) Indian authorities on management. He then states his own view, giving reasons for differing from the earlier views. One presumes that he wrote the Sutras with a view to make it easy for his students of management to remember the principles of management, in a manner that will prove useful in actual practice.

The Canakya Sutras have the unique distinction of being the principles which have been demonstrated to have been used successfully in practice to achieve good results on a sustainable basis. Canakya taught these principles to a group of youths, including Candragupta, and used this well trained group to overthrow the unjust and oppressive dynasty of the Nanda kings of Pataliputra, the capital of the country of Magadha. Candragupta established the Mourya dynasty, which ruled well for about 136 years, and produced a king like Samrat Asok (samrtit = great emporor). The successful installation of Candragupta, whose regime was fair and just, as opposed to the tyranny and partiality of the Nanda kings, is an eloquent testimony of the prowess of the management principles propounded by Canakya, These principles, the Canakya Suiras, therefore, deserve a careful study in the present context, when we are on the lookout for an Indian ethos in management. The management principles used in the USA or in Japan are obviously derived from their own cultural background. There exists enough evidence already to show that these systems, even when meticulously and earnestly adopted in India, rarely take roots or produce the desired results on a sustainable basis. We do need to look for those principles that are likely to make sense in our own social and work culture. These would hopefully deliver better results for all concerned -the customers, the investors, the employees, the vendors, and the society.

Several of the current attempts at developing an Indian ethos in management turn to our philosophical or religious texts. Such efforts, though commendable, suffer from three disadvantages. Firstly, the philosophical religious texts were written primarily in the context of doing one's ordained duties as an individual. Secondly, these do not address the many different aspects of managing an enterprise. Thirdly, when we choose the scriptures of anyone religion in India, the managers belonging to other religions find it really difficult to accept the concepts which are not to be found in the same form in their own religion. The basis for good management principles has to be secular and rational for universal acceptability. There exists no doubt that the principles propounded in Gita are useful for individual managers to mould their own character, and to strengthen it for dealing effectively with problems faced by the managers. These are so rational that these can be accepted secularly without attributing God-ness to Krsna. However, it is better to look at specifically management-oriented treatises like those cited above. From amongst these, the one complete system of looking at all aspects of management is the Canakya-Sutras.

The Sutra System

The Sutras system of teaching or dealing with any body of knowledge is a unique system developed and used since about 7000 BC in India. A Sutra is a short, pithy statement or an aphorism about a concept: it is easy to memorise, and to recall whenever required in practice. From Patanjali's Yogasutras" to Vatsyayana's Kamasutras, we see that the entire territory of the four purusariha has been covered by the sutras system: these are dharma, artha, kama, and moksa -duties/morals, resources/money, desires/sex, and salvation, respectively. The practicable knowledge and skills in each have been enunciated in the sutra form also, besides in the textbook form. Each word in any sutra is very carefully chosen.

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