Kautilya Arthashastra: 15 Case Studies of his Management Principles

By Prof. ShrikantPrasoon

In this book, the author has tried to explain whether a pre-modern state policy strategist and author, Kautilya, who addressed statecraft in a scholarly fashion, might bear a meaning for contemporary management Studies. Kautilya, a near-contemporary of Aristotle and Alexander the Great, viewed administration as a central feature of statecraft. Kautilya's Arthashastra can be translated as 'Textbook of Statecraft and Political Economy'. It has in its core, diplomacy, and strategy and is an example of non-Western literature that should be read as part of the “realist” state administration. Its prescriptions are especially relevant for foreign policy today. The knowledge provided in it offers indispensable means for maintaining and expanding the security and power of the state. Through 15 case studies, this book explores Kautilya's doctrine of management, state intelligence and statecraft, as well as its contemporary relevance, in a 'scale-model' approach, as to demonstrate the validity and meaningfulness of pursuing research today on a broader scale, as well as with greater depth for management studies.
A strong foundation is the key to any successful business - Your vision, your commitment, your purpose – all form the basis for an organisation. They are the all-important pillars, the most essential part of any building.

• Language: English
• Publisher: V&S Publishers
• Release date: Jan 9, 2017
• ISBN: 9789350578179

Book preview

First Case – Courtesy

Nama Shukra Brihaspatibhyam. Chanakya began writing the book on arthashastra after praying to Brihaspati- the teacher of the Gods and Shukracharya – the teacher of the demons. He wrote in the book, the various ways one can reign control over the Earth and the wealth of the Earth, how to gain profit over it, how to keep it well established and safe so that there is good administration, so that comfort is provided, so that peace reigns, so that there is prosperity, so that for generations together people live happily, so that respect and prestige is prevalent and salvation can be attained in the end.

Knowledge is very essential to gain all the above things. An ignorant person cannot do anything while the mighty person can get destructed through arrogance. It is only the enlightened person who can ponder calmly, stabilize the thoughts and successfully attain that which he wants to attain. Chanakya has written all that is required to attain all the above.

Discussion on Education

Meditative, Trio, Information and Ethics of government – these four are required for the rule, administration and for acquisition of wealth which is useful for the humanity. It keeps the mind steady through joy-sorrow, and makes us adept in thinking-deciding-speaking-doing. The meditative education is the light among all these learning, is a means to achieve all goals and is a solace to all faiths.

Statistics, Yoga and atheist views come in this part.

Trio contains virtue-vice, news-fortune-misfortune and the ethics of the government contains able administration and bad administration.

Virtue and Deed

One has to gain complete knowledge of Rig, Yajur, Sama and Atharva vedas, history, education, medical treatment, grammar, etymology, metre, astrology, Ayurveda, archery, economics, law, code of hindu law, puranas, Upanishads, Forestry. This is useful for all in the world because it contains in itself the complete knowledge.

1. A Brahmin is one who is a learner-teacher, who performs yagas, sacrifices, who donates and counsels.

2. A Kshatriya is one who practices, performs yagas, donates, finds his means of livelihood through his physical strength and valour.

3. A Vysya is one who practices, performs yagas, donates, who does agriculture, animal husbandry and business.

4. A shudra is one who doesn’t specialize in any work, but works as a servant, tends to animals, does business, carves statues, works in factories, sings, plays music, is a bard and a minstrel.

Everyone should perform one’s tasks correctly, earn for one’s livelihood, marry within and outside one’s lineage, mature and lead their lives with the wealth remaining after donating to Gods, forefathers, guests and workers.

The duty of a brahmachari is to perform regulated rituals, keep the environment pure by performing penances, acquire and spread the knowledge.

The duty of a vanaprashthi is to live on fruits and herbs, not to amass wealth, to acquire knowledge and serve the society.

A sanyasi should subdue his senses, not perform any worldly task, be away from greed and desire and be pure in thought, word and action.

The rule of every varna and every ashrama is such that one should not indulge in violence, utter only the truth, be pure, be compassionate and forgive others. One should lead the life with only what is acquired and only then will everyone be healthy and happy.

Victory over Senses

Self control or self discipline is required for success. Only when a man has self discipline, can he discipline his people and the others. This self-control or the self-discipline is nothing but control over one’s senses. One must not become immersed in the auditory, tactile, visual, sensual and olfactory senses. One should live with self control and keep away from the enemies like lust, anger, greed, desire and jealousy so that these emotions do not rule over the man but the man rules over them.

Information or Work and Punishment or Administration

Agriculture, animal husbandry and business fall under work. It makes use of the available resources on the earth. These are highly uselful because the livelihood of all is dependent on these.

In order that work is completed usefully and correctly, administration and punishment is required. If there is no administration or punishment, then people will veer away from virtue.

People who commit mistakes have to face punishment accordingly. Sever punishment will only result in hatred and discontent where as good good administration is dependent on pity and compassion.

The Work of Rule – Administrator

One has to let go of six enemies like lust, anger etc and gain victory over the senses, maintain equilibrium that one remains a follower and not an enemy, keep working without hindering virtue or wealth.

Gain knowledge by being in the company of learned men.

Know the news about one’s country and other’s country through the secret agents.

Maintain good health of the country through honest labour.

Keep a control on workers and related people through the laws of governance. 

Make everyone educated through the publicity and propaganda of education. 

As far as possible, maintain popularity among the people by donating wealth and maintaining good health.

Be eager to help others.

Always give up the relationship with other women, needing the wealth of others, indulging in violence.

Never sleep at the wrong time of the day, never be inconsistent, never utter lies, never do unethical work.

Maintain equilibrium as inequilibrium will drown us.

Decide on the manner the great scholars and personalities have to be treated and respectly and follow the same implicitly.

Neither a small nor a large organization can run on one wheel. It requires co-operation. In order to get the co-operation from others, be co-operative first. 

Commissions/Appointments

The rules, administrator, director and president should appoint their close friends in important posts or appoint those whose antecedents have been verified, who are trustworthy and who have the ability of managing their posts. While appointing a person, his lineage, ability, experience, knowledge, courage, character, mistakes, roles and trustworthiness should be taken into consideration over the personal relationship. A stranger or an incapable person should never be appointed thoughtlessly.

While appointing a person, the following characteristics should be given priority :

More than half of the people appointed should have these above characteristics. Never appoint less than half the number. They should be verified overtly and covertly and any doubts should be clarified. The administrator should not do the verification himself nor appoint his family member for the same.

The following things have to be found