Indian Ethos:

History and Relevance

Dr. Bhakta Bandhu Dash

Asian School of Business Management
 Indian Ethos
 Ethos is a set of beliefs, ideas, etc., about social
behaviour and relationship of a person or group.

 Indian Ethos is all about what can be termed as

“national ethos”. Indian ethos refers to the
principles of self-management and governance of
society, entity or a system by wisdom as revealed
and brought-forth by great scriptures like Veda,
Upanishads, Gita, Mahabharata, Bible and Quran.
 Features
 Divinity of Human Being:
 Balance or Equilibrium:
 Balance of Personal and Work Life
 Cosmic or Pure Consciousness:
 Importance to Character:
 Whole-Man Approach relating from Shruties to Smruties
 Work in Worship:
 Duty and Responsibility:
 Knowledge include Knowledge of creation & Knowledge of
creator
 Excellence at Work through total quality management and
self-motivation
Need and Relevance of Indian Ethos
 Maintain Holistic Universe: All minds and
matters are interconnected at a deeper level.
 Elucidate Motivation: Motivation is internal not
external and involves the inner beauty and
without any greed.
 Welfare: Atmano Mokharth Jagat Hitay Cha”
 Unique Work Culture: Sadhana which has no
difference between Karma(work) and
Dharma(religion).
Need and Relevance of Indian Ethos
 Evenness of Mind: Means are equally important as
the ends.
 Self-development: Integrated human personality of
self-developed manager can assure best and
competent management of any enterprise, involving
collective works and efforts.
 Provides Concentration: Vedanta provides the ways
and means of controlling the mind which helps to
concentrate, increase efficiency, productivity and
prosperity.
 Establishes Value System: Imbibing the Sanatan
values of honesty, integrity, compassion, care and
cooperation like ‘sarva-dharm-sambhav’; and
‘Vasudhaiv Kutumbakam’.
 History
 Atmano Mokshartham Jagat Hitaya Cha: All work is
an opportunity for doing well to the world and thus
gaining materially and spiritually in our lives.
 Archet Dana Manabhyam: Worship people not only
with material things but also by showing respect to their
enterprising divinity within.
 Atmana Vindyate Viryam: Strength and inspiration for
excelling in work comes from the Divine, God within,
through prayer, spiritual reading and unselfish work.
 Yogah Karmashu Kaushalam, Samatvam Yoga
Uchyate: He who works with calm and even mind
achieves the most.
 History
 Yadishi Bhavana Yasya Siddhi Bhavati Tadrishi: As we
think, so we succeed, so we become. Attention to means,
ensure the end.
 Parasparam Bhavatantah Shreyah Param
Bhavapsyathah: By mutual cooperation, respect and
fellow felling, all of us enjoy the highest good both
material and spiritual.
 Tesham Sukhm Tesham Shanti Shaswati: Infinite
happiness and infinite peace come to them who see the
Divine in all beings.
 Paraspar Devo Bhava: Regard the other person as a
divine being. All of us have the same consciousness
though our packages and containers are different.
 Ethical Principles Practiced by
Indian Companies
 Immense potential, energy and talents for perfection,
 Holistic approach integrating between Divine and
Individual Self and Universe.
 Developing one’s third eye, i.e. Jnana Chakshu, the
eye of wisdom.
 Promoting inner resources (Divine Virtues) than
outer resources (Capital, Materials and Machinery).
 Yogah Karmasu Kaushalam: Imbibing Karma Yoga
(selfless work)
 Inspiring Cooperation for team work and success in
enterprise.
 Requisites for Indian Ethos in
Organisation
 Management Attitude by promoting belief in value-
oriented holistic management; value-based stakeholder and
fulfillment of social responsibility for neighbourhood
communities.

 Humanizing the Organisation through inter personal

relations, man-machine equation and mental & spiritual
growth of individuals.
 Interiorizing Management by self management or
management by higher consciousness/ Chetana
(integrating mind, intellect and heart).

 Self-Introspection which is embarking upon self-study, self

analysis and self-criticism to locate areas of friction and
disharmony.
 Requisites for Indian Ethos in
Organisation
 Brain-Stilling for rational and enduring decisions,
silent mind is a necessity. A perfect Mounum(calm
mind enjoying tranquillity) is necessary.

 Stepping-back (for a While): By not deciding

anything, never speaking a word and never throwing
yourself into action without stepping-back.

 Self-Dynamising Meditation: Practicing dynamic

meditation to reach at a higher level of consciousness
with a silent and calm mind, which offers guidance in
the form of intuitions to tackle a multitude of
problems.
 Elements of Indian Ethos

Focus on the permanent: In real life fashions

change, concepts change, situations change,
environments change, however, certain things do
not change. These are the values of the good,
truth and beautiful.
 Elements of Indian Ethos
Quest for Perfection: It has been immortalised in
the shloka:

“Om poornamada poornamidam poornathpurana

mudachyate poornasya poornamadaya
poornameva vashistate”

Out of perfection comes perfection. This quest for

perfection ultimately, is the quest for quality.
When it comes to quality, the concepts like total
quality management.
 Elements of Indian Ethos
“Adharam madhuram Vadhanam madhuram
Nayanam madhuram Hasitam madhuram
Hridayam madhuram Gamanam madhuram
Madhurathipathe Akhilam madhuram”

All pervasive sense of sweetness and elegance is

not only the reflection of quality but also of
excellence. In any management today, this
ultimate focus on excellence can never be lost.
 Joy in Performing One’s Function

If one is enjoying what one is doing, automatically,

he is bound to do extremely well; and while
excellence becomes a by-product or a spin of the
benefit of happiness, it also leads to success
 Role of Indian Ethos in
Managerial Practices
 Creates strong relation
 Inward considerations
 Avoids unethical aspects
 Balanced values
 Improves performance
 Improves quality
 Helps in problem solving
 Develops self-reliability
 Management Lessons from Vedas,
Mahabharata, Bible, Quran, and Kautilya’s
Arthasastra
 Values Based Management:
An Overview from Indian Ethos
Management is a concept that is centuries old and has
developed with the civilizations of the world. India is
treasured as a civilization that has been shaping the world
for thousands of years. The concept ‘management’ is not
new to India. Contrary to the popular belief that the topic
‘management’, the way it is being known and practiced
today, originated in the west and progressed to the east;
the subject management has always been preached and
practiced in India since the time of the puranas.
 Indian Management reflects the ethos, beliefs and intellect
of ancient Indian culture.
 The tradition of Indian ethos goes back to more than 3500
years.
 The fundamentals of management were observed in the
ancient period, Mauryan rule - Mughal period - British
empire etc…
 Values Based Management
Term Modern Management Indian Ethos in Management
Management Getting things done Helping other people to produce
extraordinary results
Productivity Output centric People centric
Planning Management by results Management by strategy
Effective Concern for task and not Produce performers. Help the
Supervision for people subordinates to develop leadership
quality
Motivation of Maslow’s Theory of Needs Emphasis on self-motivation,
people with some modifications subordinates encouraged to be
creative and given autonomy
Resource Reliance almost on eternal Reliance almost on internal resources
resources
Health of the Balance sheet, Profit and People oriented performance,
company Loss Account, money environment friendly Private –
oriented Public benefit
 Values Based Management
Profitability In terms of money, social In terms of good public image, social
costs not included in Balance costs internalized. Trust of the
Sheet customers and society.
Hygiene Attention only on job Primary emphasis on mind enrichment
factor enrichment
Rights and Emphasis on taking not on Emphasis on giving not on taking.
duties giving. Rights become Duties given great importance and
primary. Duties become Rights assume secondary value.
subsidiary
Marketing Keen competition to capture Through cooperation by playing
and retain demand, market complementary role. Social awareness
driven economy in marketing
System Set of inter-related elements Pattern of particular response
working as a whole. More expressed through organisational
emphasis on quantity and functioning.
objective aspect Equal emphasis on quality/ quantity
with emphasis on subjective aspect
Structure Hierarchical Organic evolution, autonomous
 Values Based Management
Growth Ultimately dependent on Coordinating private and public
turnover of goods benefit
Job Hygiene factor. Creativity Through innovation, uniqueness,
satisfaction ignored extraordinary result, trouble shooting

Training Functional skills, not value Value oriented, holistic approach and
oriented and holistic equal emphasis on both (skills /
values)
Man - Machine dominates man as Man behind the machine given due
machine human being receives lip regard. Healthy philosophy of life.
equation sympathy Emotional stability

Man As per qualifications and More stress on natural inclination and

Placement experiences character
Quality Product quality by ISO, Human quality, values, character,
TQM, QC. Human value, mind enrichment, whole man
quality plays minor role approach.
Understanding Value-based Management
Practices from an Indian Perspective Covering

 Kautilya’s Arthashastra
 Management lessons from Bhagavad Gita
 Management lessons from Jainism
 Management lessons from Buddhism
 Management by values – Mahatma Gandhi
 Indian Ethos in Management
Management Lessons from Kautilya’s
Arthashastra
 Kautilya’s Arthashastra
 Chanakya, traditionally known as Kautilya or Vishnu
Gupta was an Indian teacher, philosopher, and royal
advisor.
 He was a professor of economics and political science at
the ancient Takshashila University.
 Chanakya is considered as the pioneer of the field of
economics and political science in India.
 Chanakya authored the ancient Indian political treatise
called Arthashastra – which is considered as an important
landmark in classical economics.
 Chanakya is often called the ‘Indian Machiavelli,
although his works predate Machiavelli’s by about 1,800
years.
 Kautilya’s Arthashastra
Arthashastra literally means ‘the science of wealth’
or ‘economics’ as we know about it in modern
parlance. However, as one studies Arthashastra,
one gets a feeling that it is not meant to throw
light just on the topic of dealing with materialistic
riches, but also on the wealth that is intangible
and cannot be measured. The meaning of ‘wealth’
takes a completely new paradigm in Arthashastra.
 Kautilya’s Arthashastra
 The means of starting undertakings (assignments/ projects): The
excellence of men and materials , Deciding suitable place and time,
Provision against failure, Accomplishment of the work
 Wealth Creation: Wealth will slip away from the foolish person,
who continuously consults the stars; for wealth is the star of wealth;
what will the stars do? Capable men will certainly secure wealth at
least after a hundred trails
 Corporate Governance: In the happiness of the subjects lies the
benefit of the king and in what is beneficial to the subjects is his own
benefit
 Selection of Employees and Appointment of trainees: A trainable
person is the one who has the following qualities (1)Desire to learn
(2) Effective listening ability (3) Ability to reflect think (4) Ability to
reject false views and (5) Intentness on truth not on any person
 Kautilya’s Arthashastra
 Handling Employees: Theory of Motivation Sama
(counseling)Dana (offering of gifts) Danda (Punishments)
Bheda (creating a split)
 Role of a Consultant: Consultation All undertakings should be
preceded by consultation. Holding a consultation with only
one, he may not be able to reach a decision in difficult matters.
With more councilors it is difficult to reach decisions and
maintain secrecy. Therefore sit and counsel with those who are
matured in intellect.
 Required Information: To know what is not known, Finding
out the rest in a matter which is partly knownDefinite
strengthening of what has become known.
 SWOT Analysis: 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
 Allies
Mohabharat happened around 950 BC, at Krukhetra for 18 days.
Kauravas :
 Centralized power system.
 The greatest empire of the time. But not many powerful allies, except
from old relations from far off places like Gandhara (Shakuni), Sindhu
(Jayadrath) and Kambodia (Camboja - Bhagadutt)
Pandavas :
No wealth. No power of their own. But powerful allies all over India.
 Panchala through Marriage with Darupadi.
 Dwaraka through marriage with Arjuna and Subhadra.
 Magadha through marriage of Shadeva and Vijaya.
 Chedi through marriage of Nakula and Karenmayi.
 Kasi through marriage of Bhima and Balandhara.
 Kekaya through marriage of Yudhisthira and Devika.
 Matsya through marriage of Abhimanyu and Uttara.
 The Rakshasas through marriage of Bhima and Hidimba.
 The Nagas through marriage of Arjuna and Uloopi.
 Make Powerful Allies.
 Leadership
Kauravas :
Centralized leadership. One Head of Army at a time, who has supreme
authority of 11 akshouhini of army. Bhishma (10 days) , Drona (5 days)
, Karna (2 days) , Shalya (1 day) and Ashwathama (Afetr Duryodhana
losses the match with Bhima) .
Pandavas :
Distributed leadership. Seven commanders for the seven divisons.(1 man
command 1 akshouhini each).
 Virat (King of Matsya).
 Drupad (King of Pancala).
 Sahadeva (King of Magadha).
 Dhrshtaketu (King of Chedi).
 Satyaki (Only warrior from Dwaraka).
 Shikhandi (Prince of Panchala).
 Dhrshtadhyuma – Commander in Chief.
 Arjuna –Supreme Commander.
 Krishna – Arjuna’s charioteer and counselor.
 Share your responsibilities.
 Team Spirit
Kauravas :
No team spirit. They all fought their individual wars.
 Bhishma : For his Vow to protect the throne Hastinapur.
 Drona and Kripa : They owed commitment to the throne.
 Shalya : Simply cheated by Duriyodhana to be there. Was originally
a Pandava ally.
 Karna : To prove his mantle against Arjuna. Friendship for
Duriyodhana.
They didn’t get well with each other. Bhishma and Karna. Bhishma
and Shakuni. Karna and Shakuni. Karna and Shalya. Shalya and
Bhishma.
Pandavas :
One team. One Goal. As men, they all had huge respect for
Krishna and Yudhishtira. While as warriors they were in
complete awe of Bhima and Arjuna. Most of them were close
relatives – cousins, brother-in-laws, father-in-laws. More than
that they all were part of the decision-making process. It was
their “common” war.
 Teamwork succeeds where Individual effort fails.
 Individual Motives
Kauravas :
Except for Duriyodhana nobody wanted the War. All the 4 main generals
had strong ties with the Pandavas.
Bhishma (grand children) – Wont kill the pandavas. Will kill a thousand
soldiers each day; Drona (students) – Wont kill the Pandavas. Will
capture them only; Shalya (Nakula- Shadeva’s maternal uncle) : Loved
the Pandavas and covertly helped them by humiliating Karna; Karna
(brother to the Pandavas) : Promised not to kill any of the other
Pandavas save Arjuna.
A Team of Collaborator.
Pandavas :
Common goal. But the individuals had their individual targets. Their own
agenda, which just became one with the teams’ agenda.
Dhratadyuman : Drona; Shikhandi : Bhishma; Satayaki – Bhurisravas;
Arjuna – Karna; Bhima – Duriyodhana and his brothers; Sahadeva –
Shakuni and his sons; Nakula –Karna’s sons.
 The Right team is made by selecting the Right Individuals.
 Get the right man for the right job.
 Commitment
Kauravas :
Already said the Big 4 had big emotional attachment with the 5 Pandavas. Looking
further on their commitment.
 Bhishma himself gave away the secret of killing him to the Pandavas. He prolonged
the War by killing only inconsequential soldiers. He did not fight a warrior like
Shikhandi because of his personal bias.
 Drona too indirectly gave away his secret, by saying he was invulnerable as long as he
held a weapon. Moreover he abandoned weapons as soon as he knew his son had
died.
 Karna did not kill Yudhistira and Bhima when he got the chance. He gave away his
“Kavacha” and “Kundalas” prior to his War. Karna fled innumerous times from the
War when he was hurt. He didn’t save Duhsasana when Bhima was killing him.
 Shalya kept on insulting Karna while in Battle.
Pandavas :
 Abhimanyu , a 16 year old kid. Ventured beyond enemy lines alone. This was
suicide mission but he still went in and took a great part of the army down
with him. It took the combined effort of 7 Maharathis to take him down.
 Ghatotkach even in death, took with him almost half the army.
 Yudhishtira, he knew he couldn’t face Karna in War, but still went in to set an
example. Yudhishtira didn't hesitate to tell a lie or a twisted truth when faced
with the decision of whether to stick to his personal integrity or welfare of the
team.
 Krishna took up arms twice and almost entered the War, in spite of his
promise, only to be stopped by Arjuna.
 The interests of the Individual should never exceed the Team interest.
 The best man for a Job is not the one with the best capabilities but one with the
greatest commitment.
 Right Managers
Krishna :
The Greatest Crisis Manager the world has ever seen.!!!
Yudhishtira :
Low-key strategist.
 On the first day of the War, he played a Master game. Went over to the
Enemy side to seek blessings from Elders. In reality he made a covert deal
with them, wherein all of them agreed to help him and unfolded the
secrets of defeating them.
 While coming back, he took a calculated risk. He made an offer to all the
assembled people to change sides if they wanted to. He knew well of the
lack of cohesiveness among the Kauravas. Yuyutsu, son of Dhritharashtra
crossed over to the Pandavas. This exposed the weakness of the Kauravas
for all to see.
 Know your enemies weaknesses and exploit them.
 Take Calculated risks.
 Inspire, invigorate, counsel your own team in moments of need.
 The Roots
Kauravas :
 Princes brought up in the comfort of the Royal Palace, matured on
romanticized ideals of Power, Fame, Courage and Velour. No
experience of ground reality.
Pandavas :
 Spent the greater part of their lives in Poverty. Childhood in the
Himalayan foothills among Rishis. One year exile among the poor
people of Kuru-Panchala. 12 years of Vanvas and 1 year of Agyatvas.
 Experienced with the ground reality. Contact with people from
various strata of the society. Sannyasis (celebrate monks), Achariya’s
(Householders, teachers), poor Brahmanas, lower class Potter.
 Different races of people. Rakshasas, Gandharavas, Apsaras, Nagas.
People from different regions Uttarkuru, Bengal etc.
 A Sense of Sharing. A sense of Brotherhood.
 Know ground realities.
 Know different ideologies.
 Sharing.
Management Lessons from Bible
 Management Lessons from Bible
 Management" is another word for "stewardship.”
"Stewards,” or "managers,” are responsible over
something entrusted to them by someone else.
Management is the process of accomplishing God's
purposes and plans through proper use of human,
material, and spiritual resources. Management is
evaluated by whether or not these plans and
purposes are accomplished. Rules, examples,
observations, or wisdom found in the Bible to
maximize performance of a business or department
for greater productivity, purpose, and peace.
 Management Lessons from Bible
Principles
 General rules or truths that help govern a system.
 They are seldom black and white laws for any issue.
 They must be applied wisely to unique situations.
 Wisdom selects and applies the correct principles.
 Rather than memorization, they need assimilation.
Principles of Management
 The principles are for managers ... not employees.
 Leading and supervising others is the objective.
 The rules will benefit marriage, family, church, etc.
 How to manage people for optimal performance.
 Both managing a business ... a manager in business.
The First Message On Management
The First Message on Management God told Adam
and Eve: “ Be fruitful, and multiply, and
replenish the earth, and subdue it...and have
dominion over...every living thing that move
upon the earth.” Three important tasks of
Managers are contained in this (Genesis 1:28)
verse:
1. Maximize recourses by “multiplying” to
accomplish God’s purpose and plans.
2. Minimize disorder by “subduing.”
3. Maintaining order by “ruling.”
The Greatest Example of Leadership
 The greatest example of leadership is Lord Jesus
Christ.
 “Servant” is a strange word for a leader but
Leading Like A Servant Lord Jesus made it clear
He had come to serve;“And whosoever of you
will be the most important, shall be servant of all”
_ (Mark 10:42-44 )Leading like a servant is what
sets Christian Leadership apart from worldly
leadership style that is uniquely Christian.
 Special Leadership Position
The Bible identifies five Special Leadership Position set in
the church by God: “And he gave some apostles, and some
prophets, and some evangelists, and some pastors, and
teachers.” (Ephesians 4:11)
 The Apostle extends the Gospel to new regions to HOW
THEY WORK TOGETHER raise up new
 The Evangelist communicates the Gospel in such churches-
a way that the unbelievers respond and are added to the
Church.
 Prophet gives special messages from God to the Church.
 Pastors assume long-term leadership and care for the
Church
 Teachers provide instruction which goes inspiration of the
Holy Spirit
 Noah: Leaders do what’s right even
if they are alone

In Genesis 6, God is despairing over the

wickedness that has overtaken humanity.
Reluctantly, he decides to wipe out the human
race and start from scratch. Noah, however, is the
only one who has not been corrupted.
Abraham: Leaders Embrace the
Unknown
 God approaches Abraham in Genesis 12 and tells
him to “Go forth from your country, and from
your relatives and from your father’s house, to
the land which I will show you.” In other words,
Abraham is instructed to leave his comfort zone
and march onward into uncertainty. As business
leaders, that’s a hot topic: managing risk and
uncertainty. Great leaders embrace that
uncertainty, because they know the truth: the
promised land awaits them on the other side.
Joseph: Leaders endure in spite of
circumstances
The story of Joseph beginning in Genesis 37 is powerful.
The guy had a pretty tough life. He was sold into
slavery by his jealous brothers. His father was told
that he was killed by a wild animal. He was framed
by his boss’s wife because he refused to sleep with her
and was thrown into prison. He interpreted the
dream of a prisoner who was released and restored to
his position, but the guy forgot about him. In the end,
though, Joseph became the leader of all Egypt–second
only to the Pharaoh himself. When there is a famine,
he is then able to save his family from starvation.
Leaders have a vision that sustains them through
difficult times.
Moses: Leaders Stick up for their
People

 Yes, it’s true. God has to be very convincing in

order to get Moses to take action in Exodus 3. He
at first gives excuse after excuse as to why he isn’t
the right guy for the job. When he finally does
answer his calling, “Let my people go.” The
Israelites, Moses’ native people, had been
enslaved by Egypt and Moses was the one
enlisted to lead them to freedom. When the time
came, Moses was willing to step up and lead.
Joshua: Leaders Rule by Example rather
than Command

 In Joshua 24, after leading his people into a new

land, Joshua offers the Israelites the option to
either A) serve the God who they had always
served, the one who had brought them into the
land or B) serve the gods of the surrounding
lands.
David: Leaders are not Afraid of Giants
Everybody knows this story. In 1 Samuel 17, the
Israelites are being defeated by the Philistines
and their 9-foot tall giant–Goliath. Goliath taunts
the Israelites and challenges them to send him
one man and, if that man should defeat him, the
Philistines would become their servants. David, a
small shepherd boy who will not even fit into the
armor he is provided, volunteers. You can face
any challenge as long as you have conviction and
strength of resolve on your side.
Isaiah: Leaders Rise to the Occasion

In a vision Isaiah has in Isaiah 6, God asks who he

should send as a prophet to His people. Isaiah
responds, “Here am I. Send me!” Leaders don’t
wait to see if anyone else is going to step up
when something needs done. They take initiative.
 Daniel: Leaders Maintain their Resolve
without Regard for Consequences
 Many of us know the story of Daniel in the lion’s
den. Daniel, in Daniel 6, is a highly esteemed
government official whose colleagues become
jealous. Seeking to get rid of him and knowing that
he is a religious man, his colleagues convince the
king to enact a decree saying that prayer can be made
to no god except for the king. Once the decree is
made, Daniel continues on praying and giving
thanks to his God just like he always did. Great
leaders follow this example and maintain steadfast in
their convictions regardless of what happens.
 John the Baptist: Leaders aren’t Afraid to
Call out the Phonies
 John the Baptist, in Matthew 3, is baptizing
people and preaching about the coming of Jesus.
When a pretentious, self-righteous group of
religious officials comes for baptism, he calls
them out for what they are: “a brood of vipers.”
Leaders aren’t afraid to call it like it is. Whether
they are suppliers, employees, or even customers,
leaders have what it takes to be brutally honest
with the people they come in contact with.
 Principles of Management
 The principles are for managers ... not employees.
 Leading and supervising others is the objective.
 The rules will benefit marriage, family, church, etc.
 How to manage people for optimal performance.
 Both managing a business ... a manager in business.
 Business Ethics and Bible
 Caring for the Environment
 Caring for the Poor
 Fair Treatment of One’s Employees
 Paying Wages and Rents on Time
 Fringe Benefits for Employees
 Maintaining Honest and Stable Prices
 Avoiding Deceptive Acts and Practices
 Honesty in Negotiations
 Honest Weights and Measures
 Honesty in Selling
 Management Lessons from Quran
Management today is defined as “Getting things done through
others.” Following this concept, A Manager is now understood
as the person who works through others. A good manager,
therefore, is a person who not only knows what is to be done
but exactly how to get it done. The Holy Qur'an confirms:
“…We raise some of them above others in ranks, so that some
may command work from others...” [43:32]
 1400 years back the Holy Qur'an has also laid down the
institutional framework for putting this golden rule into
practice:
a) Efficiency & Effectiveness
b) Obedience and Respect for Authority;
c) Principles of Equal Opportunities; and
d) Motivation and Commitment

“Management is coordinating work activities so that

they are completed effectively and efficiently with
and through other people...”
 Efficiency & Effectiveness
 If we look at the word “Efficiently” it means that
proper usage of resources and less wastage of
them. This is one of very important aspect of
management. Wastage—either in terms of:
material, human capital, energy, machine
utilization, or processing time, creates
inefficiencies resulting in the increase of costs
and consequent decrease in profits.
 “And render to the kindred their due rights, as
(also) to those in want, and to the wayfarer. But
waste not (your wealth, time, health, Talents,
opportunities etc) in the manner of a spendthrift.”
[17:26]
 “For the wasteful are the brothers of Satan; and
Satan is ungrateful to his Lord.” [17:27]
 Optimum Capacity Utilization
 The following Ayat from the Holy Qur'an
reveals another golden rule for Businessman
 “… No soul shall have a burden laid on it
greater than it can bear…” [2:33]
 “On no soul doth Allah place a burden
greater than it can bear… (Pray) Our Lord!
Lay not on us a burden greater than we have
strength to bear.” [2:286]
 Obedience, Respect and Authority
Obedience and respect for authority is the basic
fundamental requisite for taking work from others
and getting it done. Working through people
actually presupposes the willingness of people to
obey.
Obey Allah and His Messenger and those in
position of authority among you.” [4:59]
 Work Efficiency through Joint
Consultation and Team Work
The modern world realized the importance of
joint consultation (Shura) and teamwork.

The Holy Qur'an advocates for this concept:

“...And those who do their work through

mutual consultation.” [42:83]
“…Pass over (their faults), and ask for (God's)
forgiveness for them; and consult them in
affairs (of moment). Then, when you have
taken a decision put your trust in God, for
God loves those who put their trust (in
Him).” [3:159]
Principles of Equal Opportunities
The principle of equal opportunities postulate
that all members of an organization shall have
equal and fair chances to grow, contribute, and
be rewarded accordingly.

The Holy Qur'an emphasizes this golden rule:

“O people We created you from a single male

and female couple and then divided you in
nations and tribes so that you may recognize
one another.” [49:13)
 Motivation and Commitment
Making people what they are supposed to do
requires a certain degree of commitment, which
can only be, achieve through motivation.

The Holy Qur'an too speaks about this golden

rule :

“(Telling the Prophet) If you had been stern and

fierce of heart they (the companions and
followers) would have disappeared from
around you. So pardon them and ask
forgiveness for them and consult them in the
conduct of affairs” [3:159)
 Management in Islam
Islamic management means conducting activities depending
upon the guidence of Allah and following his prophet with an
accountable mentality, integrity and skill to achieve a
predetermined objective
• According to Syed M. Athar, Islamic Management does have
the following salient features:
 Follwoing rules and regulations of Islam
 Emphasis on group efforts and group co-operation
 Recognizing human as the most important and valuable
resource
 Ultimate aim and objective to have blessings and
salisfaction of Allah, the Al-Mighty
In fine, Management in the light of the Qur'an and Hadith or
Islamic Management is the process of planning, organizing,
leading, controlling the efforts of organizational members,
and of using all other organizational resources depending
upon the guidance of Allah his Prophet with an accountable
mentality, integrity and skill to achieve the predetermined
objective.
 Contrasts of Islamic Management with
Conventional Management
Points of Islamic Management Conventional Management
Contrasts
1. Definition Achieving organizational Achieving organizational
objectives through halal objectives through any
methods & procedures in al means suitable to achieving
aspects. that…
2. Nature Follows Islamic ethics & Follows rules &
principles philosophies of secularism
and capitalism
3. Basis Its bases are the Qur’an & Man-made theories &
Sunnah secular ethics
4. Objectives To satisfy Allah To satisfy the owner by
profit-maximization
5. Root and Deep linkage & root with Only liked & rooted in
Linkage Akhirah worldly-gains
 Contrasts of Islamic Management
with Conventional Management
6. Recognition It is recognized as ibadah in It is not recognized as such
Islam
7. Philosophy It balances between this It does not make such
world & After-World balance
8. Both technical (Managerial) Only technical (Managerial)
Qualification & Religious skills are skills are required.
essential.
9. Decision- Is based on majority Not based necessarily on
Making consensus (shura) through majority consensus (shura)
halal procedures and halal (lawful)
procedures
10. Controlling is simple as Controlling is complex and
Controlling people are self-motivated has to use many methods
under ethics & principles for controlling people
Ethos vs. Ethics
 Ethos Vs. Ethics
 Ethics and ethos are historically and conceptual
linked.
 The word “ethics” comes from the Greek word
“ethos” which means “character” or “custom.”
 In fact, Plato and Aristotle first used the phrase
“ta ethika” means values and ideals.
 Ethos mainly refers to that core set of attitudes,
beliefs, and values that gives coherence, vitality,
and identity to a community of people which
indicates the way of life.
 Ethos Vs. Ethics
 Ethics is both the participation in and the understanding
of an ethos.
 We participate in an ethos by our involvement with the
practices, institutions, and laws that embody the core
attitudes, beliefs, and values of our community, culture,
or society.
 We achieve an ethical understanding of our ethos by
reflecting on those attitudes, beliefs, and values that
shape the judgments we make, the actions we take, and
the rules we follow.
 We thereby achieve reflective distance from the
commitments of our ethos to subject them to critical
scrutiny.
 Relationship between
Ethics and Ethos
This relation between ethics and ethos has two
implications.
 Reflective inquiry, ethics presupposes an ethos;
that is, we reflect upon the attitudes, beliefs, and
values that have already played a role in shaping
our own moral outlook.
 Ethics also transcends ethos; that is, reflection
upon our attitudes, beliefs, and values can help
us to clarify, justify, and even criticize aspects of
the ethos we have inherited.
 Research Questions
 Whether there are any moral values that transcend
the mores and customs of a particular society.
 Are there moral principles which express values that
are objectively valid and universally applicable?
 Are all judgments of right and wrong relative to some
particular set of attitudes, beliefs, and values
embodied in the practices, institutions, and laws of a
society or culture?
 Is ethics bound by an ethos? In other words, is
morality relative?
Indian vs. Western Management
 Management concept is developed as a result of
evolutionary process, based on the changing values
systems of the people - the social, political, and
economic environment as well as educational and
cultural milieu.
 In Indian context we never evolved our own
concepts, keeping the Indian scenario in view.
 We found it convenient to transfer management
technology, trust as scientific technology.
 As a result, this grafting process of management
created more confusion in management thinking.
 Universal and Unique Features of Indian
and Western Models of Management
 Issue lies with the universality and uniqueness of the Indian
and Western models of management, the concept of a national
model of governance and general characteristics of Western
and Indian civilizations should be considered.
 Actually right model of management ensures success. A
national model of governance is a complex phenomenon that
includes organizational, cultural and social aspects.
 There are universal management functions without which a
single company or organization can exist, such as: planning,
organization, motivation and control.
 The connecting links of management functions are:
communications, management decision making and above all
the national model of governance.
Western Management Indian Management
Is more open, direct and Puts greater value on seniority,
confrontational relationships and family ties
Is more flexible and creative Is likely to be paternalistic
Encourages empowerment of line Supports lifetime employment and
workers opposes hire-and-fire
Favors databases and statistics and Places more emphasis on corporate
resists intuition loyalty
Is more productivity-oriented than Is more resistant to women
people-oriented assuming positions of management
Is characterized more by individual Is more likely to stress quantity
initiative than by group consensus, than quality
Puts greater importance on short-
term profits
 West and East

Individualistic VS. Collaborative

 Self
 West and East

Individualistic VS. Collaborative

Lifestyle
 West and East

Individualistic VS. Collaborative

 West and East

Individualistic VS. Collaborative

Low Power Distance High Power Distance
 Persons must earn  Parents teach children to
respect obey
 Collaborative classrooms  Children respect parents
& those in authority
 Teachers facilitate  Teachers take initiative in
learning class
 Persons direct  Teachers are to transfer
themselves wisdom
 Students respect teachers
 Persons expect direction