Ethics (business ethics) from the Thirukkural and its ...

Int. J. Indian Culture and Business Management, Vol. 4, No. 4, 2011

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Ethics (business ethics) from the Thirukkural and its relevance for contemporary business leadership in the Indian context Balakrishnan Muniapan* School of Business and Design, Swinburne University of Technology (Sarawak Campus), JalanSimpang Tiga, 93350 Kuching Sarawak, Malaysia Fax: +60 82 423594 E-mail: [email protected] *Corresponding author

M. Rajantheran Department of Indian Studies, Faculty of Arts and Social Science, University of Malaya, 50603 Kuala Lumpur, Malaysia Fax: +60 3 7957 1608 E-mail: [email protected] Abstract: This paper explores the dimension of business ethics from ancient Indian times and its contemporary relevance for business leadership. In the Indian context, during the past one decade we have witnessed an increase in number of literatures on applying ancient wisdoms especially from the Bhagavad-Gita (Mahabharata), Valmiki Ramayana and the Arthashastra in the business leadership context. However, very few works are found on business ethics from the Thirukkural and its relevance for contemporary business leadership. The Thirukkural is a well-known treatise on ethics which was authored by Thiruvallavar in the second century BC. It is considered to be the first work which covers ethics in Indian (Tamil) literature. In presenting the business ethics from the Thirukkural, the authors employed hermeneutics, a qualitative methodology which is the interpretation of ancient or classical literatures. The findings reveal that Thirukkural advocates a consciousness and a spirit-centered approach to the subject of business ethics based on eternal values and moral principles that should govern the conduct of business leaders. The prospect of highlighting the Thirukkural in other areas like leadership can be considered for the near future. Keywords: Indian ethics; business ethics; leadership; ancient wisdom; Thirukkural; Tamil literature. Reference to this paper should be made as follows: Muniapan, B. and Rajantheran, M. (2011) ‘Ethics (business ethics) from the Thirukkural and its relevance for contemporary business leadership in the Indian context’, Int. J. Indian Culture and Business Management, Vol. 4, No. 4, pp.453–471. Biographical notes: Balakrishnan Muniapan is a Senior Lecturer in Human Resource Management in the School of Business and Design at Swinburne

Copyright © 2011 Inderscience Enterprises Ltd.

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B. Muniapan and M. Rajantheran University of Technology (Sarawak Campus) in Kuching (Malaysia). He is also an active HRM and Industrial Law Consultant in Malaysia and within Asia. He has more than 50 publications in journals, books and conference proceedings. He has presented on HRM at several seminars and academic conferences within Asia, Australia and Europe. M. Rajantheran is a Professor in Indian Civilisation at Faculty of Arts and Social Science, University of Malaya (Malaysia). His area of expertise includes early cultural relations between India and Southeast Asia, the Ramayana, the Mahabharata and culture and life of the Malaysian Indians. He has published several books, journal articles, conference proceeding and has presented papers at several international conferences worldwide.

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Introduction

Over the years, business ethics have become one of the major topics for discussion around the world due to many of the business scandals that took place not only in the Indian context but also throughout the world. In academic literatures, research papers on various dimensions of business ethics have been written by several scholars. There are perhaps hundreds of research papers written on business ethics in the Indian context, and there is also an increasing number of literature on the Indian philosophy and organisational management from authors, such as Chakraborty (1993, 1995, 1999), Chakraborty and Chakraborty (2008), Sharma (1996, 1998, 1999, 2002, 2003), Krishnan (2001, 2003), Kejriwal and Krishnan (2004), Satpathy (2006, 2007), Muniapan (2006, 2007, 2009, 2010), Muniapan and Dass (2008, 2009), Muniapan and Satpathy (2010), Satpathy and Muniapan (2008), Roka (2006), Parashar (2008) and others. These scholars have made studies based on the Vedic literatures,1 Upanishads, Ramayana,2 the Bhagavad-Gita3 (a part of Mahabharata4) and the Arthashastra of Kautilya. However, hardly any papers are found on business ethics from the Thirukkural, an ancient Indian (Tamil) literature. Therefore, in this paper, the authors attempt to fill the literature gap by highlighting the business ethics from the Thirukkural and its relevance for contemporary business leadership in the Indian context. This paper outlines some of the ethical guidelines that should be manifested in an Indian (Tamilian) business leader like being trustful and honest with high level of integrity. This paper is likely to provide insights into Indian business ethics for Western managers and employees, enabling them to work more effectively with Indian leaders and business partners either in India or abroad. It also has some implications for leaders in the Indian context and employees who have to deal with ethical dilemmas (dharma sankatam) in making their daily business decision. This paper is also expected to reinforce Thirukkural ethics to Indian business leaders and make them more aware of the code of conduct in business. This paper starts with the understanding of the concept ethics and business ethics, which is a branch of ethics. These are followed by some of the contemporary issues in business ethics and the description of business ethics from the perspectives of Indian culture. In the following parts, the Thirukkural is introduced and its importance to the Indians (especially Tamilans) is highlighted. The final part of this paper explores the business ethics from the Thirukkural and its relevance for contemporary leadership.

Ethics from the Thirukkural

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Ethics

Ethics are considered as an age-old discipline and one of the four branches of philosophy, along with logic, metaphysics and epistemology (Holme, 2008). The word ‘ethics’ is derived from the Greek word ethos, which means good and bad, right and wrong and should and should not related concept (Grace and Cohen, 1998, p.3). Ethics are defined as the code of moral principles that sets standards of good or bad and right or wrong behaviour (Schemerhorn, 2008, p.32). It is a moral principle or set of moral values held by an individual. Morals are principles of behaviour in accordance with standards of right and wrong. It attempts to provide a systematic and logical reason or justification for what is right and virtuous and what is wrong and bad. Ethics also deal with values and principles relating to human conduct with respect to the rightness or wrongness of certain actions (Noor, 2008). Values are moral principles or accepted standards of a person or a group, while principles are a standard or rule of personal conduct (Holme, 2008). Samson and Daft (2009) argue that ethics can be understood as a social standard which involve a conflict between the needs of the part and the needs of the whole. Ethical behaviour is what is accepted as good and right as opposed to ‘bad’ or wrong in the context of the governing moral code. In the approach towards ethics, there are mainly four approaches, namely, utilitarian approach, individualism approach, moral rights approach and justice approach (Longenecker et al., 1988 cited in Samson and Daft, 2009; Wiley, 1995). The utilitarian approach holds that moral behaviour produces the greatest good for the greatest number. Under this approach, a leader is expected to consider the effect of each possible decision on all parties and select the best that optimises the satisfaction of great number of people. The individualism approach contends that acts are moral when they promote the individual’s best long-term interest. Individuals calculate the best long-term advantage to themselves as a measure of decision goodness. In theory, with everyone pursuing selfdirection, the greater good is ultimately achieved as people learn to accommodate each other in their long-term interest (Tulega, 1987). The third approach, the moral right asserts that human beings have fundamental rights and liberties that cannot be taken by an individual decision. Thus, ethically correct decision is one that best maintains the rights of those people affected by it. Finally, the justice approach holds that moral decisions must be based on standards of equity, fairness and impartiality. This approach further explores three types of justice, namely, distributive justice, procedural justice and compensatory justice. The distributive justice requires that different treatment of people not based on arbitrary characteristics; the procedural justice requires that rules to be administered fairly; while the compensatory justice argues that individuals should be compensated for any cost of their injuries by the responsible party and individuals should not be held responsible for the matter over which they have no control (Caroll, 1990).

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Business ethics

With globalisation and the growth of world economy, business organisations are becoming more dominant with less of governmental control; therefore, a greater need for ethical practices arises (Crane and Matten, 2007). The leaders in organisations are facing the problem of ethics, on the choice between good or bad, and do’s or don’ts in making

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decisions. A business leader is just one whose behaviour is considered to reflect all those ethical qualities. The principle objective of ethics has always been to produce morally upright individual leaders with good and acceptable behaviour (Abu-Tapanjeh, 2008). In business organisation and also in the political context, ethics involve the application of moral principles of the conduct in governance or good governance. The principles of ethics should be an integral part of the organisation for good governance and societal welfare. Business organisations are also increasingly concerned with ethical conduct of the duties and responsibilities, their relationship with the shareholders of the company and stakeholders’ groups (Pass, 2004 cited in Muniapan and Shaikh, 2007) with the ultimate aim to provide value to shareholders and stakeholders (Ismail, 2005). Business ethics are a part of general ethics. Ethical business values are part of the bigger topic of business values in general (Holme, 2008). Business ethics as a field of study examine the ethical principles and moral or ethical problems that arise in a business environment (Shea, 1988; Trevino, 1990). Business ethics are a set of moral principles for arriving at a decision within the values of the organisation. It covers to all aspects of business conduct and management functions, such as accounting, finance, purchasing, operation, marketing and human resources which are relevant to the conduct of business organisations as a whole. Business ethics are becoming increasingly necessary because, if unchecked due to lack of awareness, business can go unethical as there are plenty of evidences today on unethical business practices. Therefore, increasing number of organisations are trying to design and implement business ethics programmes to address the legal, ethical, social responsibility and environmental issues they face. Samson and Daft (2009) argue that by addressing these issues in a systematic way, organisations can improve their own business performances, expand opportunities for growth, and contribute to the development of social capital in their countries and realise specific business benefits, such as x

enhanced reputations and goodwill

x

reduced risks and costs

x

protection from their own employees and agents

x

stronger competitive positions

x

expanded access to capital, credit and foreign investment

x

increased profits

x

sustained long-term growth

x

international respect for enterprises and emerging markets.

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Contemporary issues in business ethics

No doubt that ethical business practices are crucial to overall society’s well-being and good ethical behaviour of the leaders must be encouraged and given emphasis by organisations. Poor ethical behaviour can lead to business losses and embarrassing scandals (Sardy et al., 2010). In the contemporary business environment, the business


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leaders throughout the world are faced daily with ethical issues at work, and sometimes they do not know how to deal with them. Some of the issues being faced by them include bribery, nepotism, stealing, lying, fraud and deceit, conflict of interest, quality control issues, discrimination, falsification of information, abuse of public funds and environmental pollution (Abuznaid, 2009). In several Asian countries, chronic disregard for transparency, ethics and democratic principles has been cited as the cause for organisational failures (Kanaga, 1999). In the American context, some results of public opinion studies indicate that 58% of American adults rate the ethical standards of business executives as only ‘fair’ or ‘poor’, 90% believe white-collar crime is ‘very common’ or ‘somewhat common’ and 76% say the lack of ethics in businesspeople contributes to plummeting societal moral standards (Krohe, 1997 cited in Luthy et al., 2009). One of the major assertions is that the American public does not view businesspeople as unethical or immoral, but instead, as being amoral due to the fact that ethical considerations are often seen as inappropriate in business situations. “Business is not structured to handle questions of values and ethics, and its managers have usually not been trained in business schools to do so” (DeGeorge, 1999, p.7 cited in Luthy et al., 2009). In the global context, a series of corporate scandals within the organisation for economic cooperation and development – Enron and WorldCom in the USA, Parmalat and Vivendi in Europe and Satyam scandal in India led to the public outrage. In Malaysia, cases such as the BMF scandal in the 1980s, Perwaja Steel in 1990s, Malaysian Airlines (MAS) in mid 2000 and the recent Port Klang Free Trade Zone scandal recently revealed the lack of business ethics (Muniapan, 2009). The gap between the society’s expectations of business ethics and the actual business ethics in practise has increased drastically as shown in diagram below. The public demands for answers, therefore there is a pressing need for organisations and leaders to be held accountable to the communities they serve (Muniapan, 2009).

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Unethical practices like corruption and fraud are some of the root causes of all the evil within societies. Millions of workers worldwide have also been hit by the consequences of unethical business practices. Falling stock markets, corporate failures, dubious accounting practices, abuses of corporate power, fraud, criminal investigations, mismanagement and the excessive executive compensation are all the outcome of unethical practices. In the face of such scandals and malpractices, emphasis on ethical principles is growing (Muniapan, 2009). Bribery and other forms of illegal or corrupt conduct increase costs for organisations not only because of the payments involved but also because it requires management time and effort to work with officials, maintain secret accounting books and address threats of extortion and blackmail. To reduce such obstacles, business leaders and government officials should work together to establish regulatory practices that reduce administrative discretion and promote transparency and efficiency. As a consequence, business ethics as a field of study are also increasing the relevance for business schools. In academic, over the years, we have witnessed several business schools offering courses in ‘Business Ethics’ and some of the schools classify the course as compulsory for every business student. The main purpose of business ethics course is to promote ethics through education, inculcation and nurturing of values such as honesty, fairness, integrity and self-regulation among business students. Other purposes may include, among others, to promote honesty and transparency in business, to create awareness on unethical practices in the marketplace and also to create an understanding on general accepted business norms, ethical percepts, human values and social expectations of society (BEIM, 2006). At postgraduate levels like MBAs, business ethics course helps leaders to improve their business performance, make profits and contribute to the economic progress of their communities by meeting the reasonable expectations of their stakeholders. It also aims to achieve specific expected course outcomes, such as increasing awareness of ethics issues, improving decision-making and reducing misconduct. Responsible management recognises that an effective business ethics courses are likely to touch every decision and activity of an organisation, it will guide patterns of thought, choice and action that subtly shapes the organisational culture of the enterprise. The business ethics courses should also be based on the core beliefs of the organisation and should reflect an approach or orientation that will resonate with employees and other stakeholders (Varner and Varner, 2004). Sardy et al. (2010) argue that there is diversity in the conceptualisation and practise of business ethics worldwide. In the international context for ethic studies, the literature suggests that ideologies and practices vary across countries (De Jong et al., 2007; Jackson et al., 2000). This diversity of ethical beliefs and practices would likely require an indepth understanding and customisation of practices in foreign locations. Even within a culture like the Indian culture, values and ideologies across regions and communities can vary. Therefore, management business ethics practices often require unique approaches which are culture specific. Aside from culture in general, philosophy, religion and other belief systems specifically can shape business ethics. According to Whitcomb et al. (1998), in his studies on business ethics in China, the Chinese business ethics are largely influenced by Confucianism and Taoism philosophy. Abuznaid (2009) on the other hand asserts that in Islam, the question of whether an act is ethical or otherwise is determined in the Qur’an (Islamic law) and Sunna, literally meaning the beaten track of the Prophet,


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and it is mostly derived from his sayings (Hadith) and actions; there is no two ways about it (Alhabshi, 1993, p.93). It is therefore important for leaders to decide what, why and how they would like to accomplish through ethical business conduct for their organisation, society and country before going forward. In the organisational context, an effective business ethics practices should have specific, action-oriented, relevant and timely performance measures. They must make sure that the organisational principles of business ethics 1

are aligned with an organisation’s core beliefs

2

fit well with organisation systems, policies and practices

3

addresses leadership priorities as well as employee expectations for ethics

4

are used by employees at all levels to guide decision-making and action

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become a central part of an organisation’s culture overtime.

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Indian culture and business ethics

Professor Arindam Chaudhuri (one of the Indian management guru) asserted that although India has some of the best management schools in the world, most Indian organisations have not been able to do well internationally. Among the reasons cited are the failure of Indian management to develop the indigenous business management style, which revolves around Indian cultural roots and upbringing. Professor Chaudhuri further asserted that an Indian grows up in a system, where family ties and sense of belongingness get top priority and with this type of background, he or she may not be able to adjust or fit into the job environment, practicing American philosophies of individualistic, direct, low power distance and contractual style of management (Chaudhuri, 2003). The same principles also apply to the education in business ethics as although ethical principles are universal, they are culture-bound. Sharma (2001), e.g. argues that for a management system (includes ethics) to be effective, it has to be rooted in the cultural soil of the country, where it is practised. Many communities and countries in Asia have created their own system of management and ethical principles. The success of Japanese, Chinese, Taiwanese and Korean system of management is largely attributed to Confucianism culture and ethics. In Malaysia, the fourth prime minister, Datuk Seri Abdullah Ahmad Badawi tried to promote an approach called Islam Hadhari or civilisation Islam, in which ethic was included (Swee-Hock and Kesavapany, 2006). The Islamic perspective of ethics in the context of Middle East has also been written extensively by scholars like Tayeb (1997) and Abuznaid (2005, 2009). In the Indian context, Chakraborty (1997) asserted that unethical business in India became a recognised phenomenon during the Second World War but the academic concern for business ethics became visible only during the 1990s. An online feedback received through the forum discussion and the analysis of business ethics curriculum by the authors in the Indian context reveals that many of the business ethics courses are based on western principles of ethics. Not many of the Indian business school curriculums explore the eternal ethical values as presented in some of the ancient Indian literature. The situation is also similar in Malaysia based on the authors’ experiences. Business ethics courses in both public and private universities (with an exception of few

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public universities which integrate the Islamic ethics in their curriculums) are based on western principles of ethics. This is due to the widespread use of English in many countries and the ready availability of literature on ethics in English language, while there is no harm in studying the literature on ethics from the west, it is important for Indians to not to forget their own literature on ethics. Looking at ethics from an Indian perspective, it is about time Indians regardless of whether they are Tamilians, Telugus, Malayalis, Kannadigas, Maharashtrians, Gujaratis, Punjabis, Sindhis, Bengalis, Oriyas, Manipuris, Kashmiris and others start to explore their own literature and contribute its knowledge to the world not only in the field of ethics and leadership but also in other fields. The Indian civilisation is more than 5,000 years and the contribution of India and Indians to this world is enormous in various fields of knowledge (Rosen, 2002 cited in Muniapan and Dass, 2008). There is abundance of Indian literature on ethics from numerous perspectives in contemporary business leadership. There are also several ancient wisdoms on ethics from ancient India in the Vedic literature written in Sanskrit and in various other Indian languages. The ancient Indian classics such as the Valmiki Ramayana (Muniapan, 2007), the Mahabharata , the Upanishads5 and also the Puranas6 offers several lessons on ethics, which are useful in contemporary business leadership, although many of these literatures were written in Sanskrit more than 50 centuries ago. From the Bhagavad-Gita, for example, we learn that lust or desire of the leaders as the root cause of unethical practices. Sri Krishna said that it is the lust or desire of the leaders, latter transformed into wrath, which compels them to commit such unethical practices (kama esa krodha esa, raja guna samudbhavah; mahasana maha-papma, viddhy enam iha varirinam: Bhagavad-Gita 3.37). As the fire is covered by smoke, as the mirror is covered by dust or as the embryo is covered by the womb, the leaders are covered by different degrees of lust or desire (dhumenavriyate vahnir, yathadarso malena ca; yatholbenavrto garbhas, tatha tenedam avrtam: Bhagavad-Gita 3.38). Therefore, anyone who takes up a leadership position must from the very beginning curb this great lust or desire by regulating their senses (tasmat tvam indriyanay adau, niyamya bharatarsabha; papmanam prajahi hy enam, jnam vijnana nasanam: Bhagavad-Gita 3.41). In the Indian context, besides Sanskrit, the Tamil language is also considered by many scholars to be one of the oldest languages, which has a rich literary tradition spanning more than 3,000 years, perhaps even earlier. Most of the ancient Tamil literature belongs to the Sangam7 period, considered by many as the golden age of Tamil civilisation. Many of these had been lost and the available literature currently is just a fraction of the material produced. One of the available literature and the greatest contributions of Tamils to the world is the Thirukkural; a book on ethics authored by Thiruvallavar in the second century BC. The book is considered to be a posterior to the Kautilya’s Arthashastra8 by some historians and to precede two other great Tamil literatures the Silapathikaram9 and Manimekalai.10 Another Tamil literature called the Tolkkappiam11 is said to be the oldest Tamil literature and is believed to be authored in eighth century BC, but not much is known about the author of Tolkkappiam. Of all the literatures in Tamil, Thirukkural is the most popular and the most quoted by many Tamils. Even today Tamil philosophers, sociologists, economists, political leaders, song writers, poets, teachers and others often quote verses from the Thirukkural. The current chief minister of Tamil Nadu, India, M. Karunanidhi12 is considered by many as a great scholar of Thirukkural. The popular Tamil poet Kannadasan13 also quoted


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extensively verses of Thirukkural in many of his works (Muniapan and Dass, 2009). Although the teachings of Thirukkural encompass all the aspects of life, limited literature is found on its principles of business ethics and application in business leadership. Although several Tamil scholars have written on various dimensions of Thirukkural in Tamil language, the studies on Thirukkural in the organisational context of leadership in English language is indeed limited. Among the authors who have done studies on the Thirukkural’s application in business leadership are Iraianbu (2005) on human resource management from the perspectives of Thirukkural, Srinivasan (2006) on management philosophy from the Thirukkural, Amaladass (2007) on leadership values from Thirukkural, Chendroyaperumal (2008) on management role modelling from Thirukkural and Loganathan (2008) on ethics from the Thirukkural. As business ethics are yet to be explored by scholars, the objective of this paper is to highlight the principles of business ethics from the Thirukkural and presents its relevance for contemporary business leadership. As the focus of this paper is on Thirukkural and Thiruvalluvar’s wisdom on business ethics, Section 6 will provide a brief overview of the Thirukkural.

6

Thirukkural

Like the great Vedic literature like the Valmiki Ramayana and the Vyasa Mahabharata, Thirukkural is also an epic. The word Thirukkural is a combination of two Tamil words ‘thiru’ and ‘kural’. Thiru means auspicious and ‘kural’ means short poem consisting of two lines, a couplet. Thirukkural consists of 1,330 couplets (kural) and divided into three parts. The first part deals with the ethical code of conduct (aram) and the second part deals with political governance, wealth and other topics of social and material interest (porul). The third part deals with romance and love (inbam). The author Thiruvalluvar was a Tamil saint and he was also a weaver and believed to have lived in Mylapore, a part of Chennai, the capital of Tamil Nadu. Thirukkural expounds various aspects of life also known as tamilmarai (Tamil Veda); poyyamozhi (speech that does not become false) and dheiva nool (divine text). It is said that at the time of its first presentation to the King’s court, the Pandyan King wanted to check its greatness. In the presence of all poets and the public, he put it to test by placing the palm leaves on which the Thirukkural was written along with those of other contemporary works on a golden lotus and allowed it to float in the temple tank at the famous temple of Madurai Meenakshi Temple in Tamil Nadu. The sanctified golden lotus that would recognise only masterpieces is said to have rejected all other works and retained only the Thirukkural (Ragunathan, 2007). Thirukkural has also been widely translated in many of the world languages apart from Indian languages. One of the reasons for its wide translation in different languages of the world is the undeniable fact that the ethics and the values it carries are applicable to all religions, all countries and all times. The following are few of the tributes in honour of Thirukkural from the world scholars of yesteryears (Krishnamurti, 2009): “I wanted to learn Tamil, only to enable me to study Valluvar’s Thirukkural through his mother tongue itself } Only a few of us know the name of Thiruvalluvar. The North Indians do not know the name of the great saint. There is no one who has given such treasure of wisdom like him.” } “It is a text-book of indispensable authority on moral life. The maxims of Valluvar have touched my soul.” – Mahathma Gandhi, the Father of Modern India.

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B. Muniapan and M. Rajantheran “In its essence, Thirukkural is a treatise par excellence on the art of living. Tiruvalluvar, the author, diagnoses the intricacies of human nature with such penetrating insight, perfect mastery and consummate skill absorbing the most subtle concepts of love and modern psychology, that one is left wondering at his sweep and depth. His prescriptions, leavened by godliness, ethics, morality and humanness are sagacious and practical to the core. They cut across castes, creeds, climes and ages and have freshness which makes one fuel as if they are meant for the present times.” – Dr K.M. Munshi (1887–1971), Indian Educationist and Freedom Fighter, Founder of Bhartiya Vidhya Bhavan. “Thiruvalluvar’s poem is thus by no means a long one; though in value it far outweighs the whole of the remaining Tamil literature, and is one of the select number of great work which have entered into the very soul of a whole people, and which can never die”. “}Complete in itself, the sole work of its author has come down the esteem of ages absolutely uninjured, hardly a single various reading of any importance being found.” – Rev. Dr G.U. Pope, Christian Missionary and Educationist, first to translate complete Thirukkural into English, 1886. “World and Life Negation are found in the thought of Jesus in so far as he did not assume that the Kingdom of God would be realized in this natural world. He expected that this natural world would very speedily come to an end and be superseded by a super-natural world in which all that is imperfect and evil would be overcome by the power of God”. On the contrary, Valluvar believed that in this very natural world, the liberated man can find his heaven and said that perfect bliss could be attained by an individual in this natural world itself and it is unnecessary to wait indefinitely for the transformation of the world in order to transform oneself. Thus he took life and world affirmation to a loftier plane than Christ did.” – Dr Albert Schweitzer, Nobel Laureate.

There are three most important features which make the Thirukkural unique, and they are: 1

It is secular in nature

2

It is universal and applicable to people living everywhere

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It is everlasting and its messages transcend time.

This secular, universal and immortal nature of Thirukkural, combined with its conciseness and literary charm, has been the pride of Tamil people for the past many centuries. Therefore, it is imperative for the Indians (Tamils) to dive into the ocean of Thirukkural to learn the principles of ethics for business leadership.

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Business ethics from the Thirukkural

Ancient literature is always a source of wisdom. It inspires those who are open to it all the time and it is never exhausted by any one generation of interpreters, no one has said the last word on it. Thirukkural is an example of one such ancient literature (Amaladass, 2007). The Thirukkural is pregnant with lessons in several fields related to wealth, economics, politics, duty, pleasure, etc., besides ethics. For some Indians it may look strange that an ancient literature like the Thirukkural can say some things about business ethics in the modern context of leadership, but it is expected that after reading this paper


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they will be convinced of the contribution made by Thiruvalluvar on ethical principles and its relevance today. Amaladass (2007) argues that the ethical tradition displayed and formulated in the wisdom literature like the Thirukkural is unfortunately overlooked by the present-day leaders in the Indian context, due to two main reasons: firstly, because the leaders are not even aware of their own tradition as most of them received western-based education, for example, from the authors’ experience, not many Indians in Malaysia have a good knowledge of the ancient texts, such as the Ramayana, Mahabharata (include the Bhagavad-Gita) and Thirukkural although many have came across or heard about these texts (Muniapan and Dass, 2009); secondly, these ethical texts do not offer any attractive suggestions to those who are involved or interested in the process of quick acquisition of wealth (Amaladass, 2007). After all, wisdom itself cannot be obtained by academic degrees alone, but rather, by practicing a patient and meaningful way of living. Even to appreciate this wisdom literature, one needs a certain level of maturity, which comes gradually as life experiences unfold themselves. But it is the task of the elders in every generation to transmit these values in an intelligible and easily accessible manner to the younger generation. The strength or maturity of a tradition depends on the continuity of such wisdom pointers at all times. Sometimes the ancient values of a particular culture may not appear to influence the current thinking of people, yet simultaneously they never are completely eroded (Amaladass, 2007). Therefore, it is imperative that the principles of ethics from ancient text like the Thirukkural need to be reinforced to the Indian business leaders to be aware of code of business and to deal effectively with ethical dilemmas (dharma sankatam) in making their daily business decision. This might look like a sermon but the lessons are likely to have a deep impact on business leadership and on those in the leadership position.

7.1 Ethics is the road to wealth and goodwill The Thirukkural considers ethics as a road to wealth and goodwill (Kural 31 – Thiruvalluvar highlighted Cirappu eenum celvamum eenum arattinuunku cakkam evano uyirkku). There is nothing in this world except ethics which would bring both reputation and wealth together; therefore, ethical principle in business is essential. The Bible, for example, also says that the righteous shall ‘flourish’ and be ‘filled’} They shall bring forth fruit in old age; they shall be fat and flourishing” (The Bible: Psalm 92:12–15). The implication is not merely earthly but heavenly fulfillment as well. In business, the leaders must work hard and make it successful by not diverting their effort and concentration. The leaders must be honest, truthful, abide by the law and respect others and their properties. They should also live harmoniously with others to have a long-lasting business. In their business, leaders are required to treat others information, drawings and properties and confidential agreements with total respect and care and protection. They should not even attempt a small and simple cheat and fraud in their business, as this will destroy their big reputation and huge wealth. They must also not attempt to steal others products, or properties, or patent rights or commit any illegality and fraud in your business operations. They must also honour all their commitments and confidential agreements in their business. The Thirukkural also highlights the importance of transparency and truthfulness in all business transactions as it will bring respectable position in business. The business leaders are required not to do anything in your business which is of health hazard, environmental hazard, highly toxin, causing pollution

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problem or affecting the nature and harmony or likely to cause temporary or permanent problems to others.

7.2 Ethical leadership by example Business leaders today are considered to be fortunate to obtain good education with many business leaders with at least a Bachelors Degree or with Masters Degree or PhDs, but what is the use of that learning if they are not ethical in their undertaking, and that learning does not lead to the blessed feet of pure intelligence (Kural 2 – karratana laa payanekol; valarivan narral tolaar rennin). The purpose of education is to develop the intellect to distinguish between what is right and what is wrong and cautioned by one’s own conscience. A leader needs to be well behaved and set good examples for their followers. The Thirukkural clearly highlighted that the leader can be a highly qualified person. But any of leader’s unethical practices will result in irreparable damage to their business. Therefore, they must do the right things first and continue to do the right things only. The leader’s glamour and showoff in business will not serve any purpose, unless they gain the faith and confidence in the market as the reliable business. As a leader of reliable and reputed business, they must be always truthful, honest and follow ethics in all their business transaction. Even for millions of dollars of profits, they should not attempt in doing anything unethical and illegal in their business, as this will destroy the hard-built reputation of their business. It is known that customers will throng to the business with your established high reputation, product and service reliability in the market. Therefore, leading with sound principles of ethics is essential for every leader. These leaders will be seen to ‘walk the talk’ and also ‘talk the walk’. Poet Kannadasan in Aandavan Kattalai had written that a leader who walks his talk and talks his walk will attain the happiness within (onre solvaar onre seivaar ullaththil ulladhu amaidhi) (Muniapan and Dass, 2009). It is often said that a man who is full of words, but not deeds is like a garden full of weeds. People will work ‘with’ leaders with ethical principles and not ‘for’ them. The leaders will be considered to be honest, trustworthy and have a very high level of integrity, and will deliver their promises to their people or subordinates. On principles of ethics, in Thirukkural, Thiruvalluvar guides not only the business leaders but also all humanity to live an ethical life and virtues. In the organisational context today, what was said by Thiruvalluvar for a king applies to business leaders in organisations. An organisational leader who is virtuous and acts according to the principles of ethics will not only bring good name and reputation but will also enrich one’s wealth. Therefore, good business ethical practices provide leaders, employees with the guidance and information they need for effective, efficient and responsible choices and actions. The goodness of a leader’s behaviour itself is the root cause of all other goodness. This is clearly asserted by Thiruvalluvar as the only goodness of the leader is that of their goodness; all other goodness is not to be included among any goodness (Kural 982 – Gunanalam saandroar nalanay piranalam yennalathu vullathoom andru). Sri Krishna in the Bhagavad-Gita (3.21) also asserts the following to Arjuna: whatever action the leader performs, common men follow; and whatever standards the leader sets by exemplary acts, all worlds pursue (yad yad acarati sresthas tat tad evetaro janah sa yat pramanam kurute lokas tad anuvartate).


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7.3 Ethical leadership from within (intrinsic) Being ethical should not only be just acting or setting examples but also the ethical conduct should originate from the heart, otherwise it cannot be considered ethical. Similar to the other Vedic literature, Thirukkural recommends intrinsic or inside out perspectives to ethical conduct. The propensity to behave ethically must come from heart and not by force or by any rules or regulations. Thirukkural says a blemishless mind is the basis of all virtue; everything else is just an empty show (Kural 34 – Manathukkan maacilan aadhal anaitharan aakula neera pira). The word ‘Maacil’ in Kural 34 refers to the impurity of the mind, which has to be eschewed if one is to progress in virtue. Jesus Christ also highlighted this concept of purity of heart, when he said that a man who entertained in his mind lustful thoughts with reference to another woman is already guilty of adultery (Matt. 5:28). Everyone of us needs to cultivate the principles of ethical living in whatever we do. Ethical living needs no time or place (Kural 33 – Ollum vakaiyan aravinai ovate cellum vayellan ceyal). Being ethical is nothing but realising the leadership task, responsibilities and accountabilities and act accordingly. If duty alone is to be considered while taking up any task, its fruits will follow suit. This is also consistent with Sri Krishna’s statement in the Bhagavad-Gita (3.19) that duty needs to be done without attachment and for those who do their duty without attachment will attain the supreme goal (tasmad asaktah satatam karyam karma samacara; asakto hy acaran karma param apnoti purusah). The leader should not postpone an ethical behaviour, it is now or never. They should not wait for a conducive or favourable time because there is no guarantee that such favourable and conducive time will ever occur. If they miss the opportunity, the opportunity may not come back. Therefore, leaders should not postpone ethical deeds as these alone will befriend them to the full, until they die and even afterwards (Kural 36 – Anrarivam ennatu aranceyaka; marratu ponrumkal ponrat tuani). The leader may die, but their name and honour remain as also mentioned in an old Malay proverb which when translated meant that, when a tiger dies, it leaves its stripes; but for leaders, it is their name and deeds that are left behind death.

7.4 Ethical leadership communication Thiruvalluvar had even mentioned about the need for leaders to communicate ethically. A leader should ascertain the capacity of the receiver before speaking to one as this is capable of bringing good results. While communicating, the leader should be clear about the effectiveness of the words used and also the ability of the receiver to understand. The choice of words must not be harsh even in disciplining others, as using harsh words instead of kind ones is like going in for raw fruits, when ripe ones are available (Kural 100 – Iniya ulavaaka innaatha kooral Kaniyiruppak kaaikavarn thattru). When leaders know that kind words bring joy and happiness to their people, why should they resort to harsh words? (Kural 99 – Insol initheenral kaanpaan evankolo vansol valanguvathu). Foul words will never come from lips of righteous men even by slip (Kural 139 – Ozhukkamudayavarkku ollaave theeya Vazhukkiyum vaayaar solal).

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7.5 Environmental influence on ethical practices According to Thiruvalluvar (Kural 455 – mananthooymai seyvinai thooymai irandum inanthooymai thoovaa varum), the level of being ethical by practice is also dependent on the environment or the society, as the purity of mind and purity of conduct depend upon the purity of a leader’s companions. It is imperative for leaders to be in the companion of pure and ethical people, as Thiruvalluvar beautifully described that as water changes according to the soil through which it flows, so a man assimilates the character of his associates (Kural 452 – Nilaththiyalpaal neerththirin tharraagum maandharkku inaththiyalpa thaagum arivu). Therefore, the selection of business partners, managers or when forming a strategic alliance, a careful consideration need to be made to ensure the partners, the managers or the allies have a good record and ethical practice.

7.6 Self-leadership and ethical principles On self-leadership and to live and practise ethical principles, Thiruvalluvar asserted that the leaders must avoid four unethical characters and behaviours, such as envy, greed, anger, harsh or violent words and flawless ethical life rests in avoiding the above-said four enemies (Kural 35 – Alukkaaru avaavekkuli innaccol naankum llukkaa iyanradhuu aram). The Tamil Poet Kannadasan also made the reference to the above said similar enemies in his Aandavan Kattalai when he wrote leaders who are possessed by lust, greed and anger are animals in human form, while men with love, mercy and compassion are gods in human forms (aasai kobam kalavu kolbavan pesa therindha mirugam; anbu nanri karunai kondavan manidha vadivil dheivam) (Muniapan and Dass, 2009). Anger is considered to be an enemy of leaders and it is just a letter short of ‘d’anger. Sri Krishna (Bhagavad-Gita 2.63) also asserted to Arjuna that from anger delusion arises and from delusion bewilderment of memory; when memory is bewildered, intelligence is lost and when intelligence is lost, one falls down again into the material pool (krodhad bhavati sammohah sammohat smrti-vibhramah, smrtibhramsad buddhi-naso buddhi-nasat pranasyati). For some business leaders who are inclined to amass wealth, ethical practices would appear unethical, and unethical practices would appear ethical (Kural 375 – Nallavai yellam theeyavaam; theevavum nallavaam selvam seyarkku). Therefore, they should be careful in segregating the good and bad in their business pursuit for profits. It is also essential for leaders to make right decision at right time, as perseverance and resolutions come to a leader when during good times, but laziness prevails when it disappears (Kural 371 – Aagoozhaal thorum asaivinmai; kaiporul pokoozhaal thorum madi). For Thiruvalluvar, leaders who acquire and store wealth through unethical means is like saving water in an unfired mud pot, which easily dissolves in water. Such practises would lead to not only the loss of the wealth but also the pot itself will be lost (Kural 660 – Salaththaal porulseidhu yemaarththal pasumann kalaththulneer peidhire yiyattru). Far more excellent is the extreme poverty of the wise than wealth obtained by heaping up of sinful deeds (Kural 657 – Pazhimalaindhu yeidhiya aakkaththin saanror kazhinal kurave thalai). To those business leaders whose actions have not desisted from doing deeds forbidden or unethical business practices will, even if they succeed, cause them sorrow (Kural 658 – Kadindha kadinthoraar seidhaarkku avaidhaam mudhindhaalum peezhai tharum).


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Thiruvalluvar in his Thirukkural insists on ethical living and good business practice for leaders to realise their duties and responsibilities in earning wealth in an ethical manner. All wealth that has been obtained with tears (to the victims by unethical practices) will depart with tears (to the business leader); but what has been by fair means, though with loss at first, will afterwards yield fruit (Kural 659 – Azhakkonda yellam azhappom; izhappinum pirpayakkum narpaa lavai). Leaders who administer their organisation based on sound principles of ethics will be considered divine by their people or subordinates (Murai saithu kapatrum mannavan makkalkku iraiyentru).

8

Conclusion

The Thirukkural by Thiruvalluvar is pregnant with several lessons for ethical business practices for effective business leadership in organisations. Although numerous studies on Thirukkural have made in Tamil language especially in Tamil Nadu, studies on Thirukkural in English and other languages (apart from direct translations) are limited. The teachings from the Thirukkural do not conflict with Vedanta and are of no difference to the teachings from the Bible, the Koran, the philosophy of Buddha, Confucius and other philosophical schools of thought. The Thirukkural is a treatise on ethical business leadership. Thirukkural advocates a consciousness and a spirit-centered approach to the subject of business ethics based on eternal values and moral principles that should govern the conduct of business leaders. The 1,330 couplets (Kural) of the Thirukkural are rich with several lessons on business ethics and leadership; however, it is beyond the scope of this paper to explore the couplets (Kural). This paper is significant for both academicians and practitioners in Indian management, as it is to provide insights into Indian (Tamil) business ethics from an ancient time and its modern relevance. The authors hope that this paper will reinforce Thirukkural ethics to Indian (Tamil) business leaders and make them more aware of the code of conduct on business. It is the hope of the authors that every Indian (Tamil) business leader will be able to incorporate and apply the principles of ethics taught by Thiruvalluvar in their daily business practice. It is the hope of the authors that this paper will provide the groundwork for many future Thirukkural studies on business ethics and leadership in the Indian context.

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Notes: 1

The Vedic literatures are vast and composed of many books. However, Sri Madhvacharya, one of the principal teachers of the Vedic philosophy, while commenting on the Vedanta-sutra (2.1.6), quotes from the Bhavishya Purana as follows: rg-yajuh-samartharvas ca bharatam pancaratrakam, mala-ramayanam caiva veda ity eva sabdita, puranani ca yaniha vaisnavani vido viduh –‘The Rig Veda, Yajur Veda, Sama Veda, Atharva Veda, Mahabharata, Pancarata and the original Ramayana are all considered Vedic literatures…. The supplements like the Puranas are also Vedic literatures’. We may also include the Upanishads and commentaries of great teachers who have guided the course of Vedic thought for centuries. 2 The Ramayana was written by Sri Valmiki Muni and contains 24,000 verses in seven Kandas (books). The Ramayana is about a Raghuvamsa prince, Rama of Ayodhya, whose wife, Sita, is abducted by demon Ravana. The Ramayana provides the essence of the Vedas. 3 The Bhagavad-Gita is a philosophical dialogue between Sri Krishna and Arjuna before the commencement of the war between the Pandavas and Kauravas in Kurukshetra, India more than 5,000 years ago. It is a part of Bhisma Parva of the Mahabharata. 4 The Mahabharata is one of the two major ancient Sanskrit epics of India, the other being the Ramayana. The Bhagavad-Gita contains in Bhisma Parva of the Mahabharata. The Mahabharata was composed by Sri Vyasa Muni and written by Sri Ganesa. The full version contains more than 100,000 verses, making it around four times longer than the Bible and seven times longer than the Illiad and the Odyssey combined. 5 The Upanishads are part of Vedic Shruti scriptures, which are philosophical. They are the commentaries on the Vedas. 6 The Puranas are old stories and histories written in the form related by one person to another. Sri Vyasa Muni is considered to be the compiler of the Puranas. There are 18 main Puranas. 7 Sangam Literature comprises some of the oldest extant Tamil literature, and deals with love, war, governance, trade and bereavement. However, many of the Tamil literature belonging to the Sangam period had been lost. 8 The Arthashastra here refers to Kautilya’s (also known as Chanakya or Visnugupta) the adviser of Chandragupta Maurya in the fourth century BC. Arthashastra is a compilation of almost everything that had been written in India up to his time on artha (property, economics or material success). 9 Silappatikaram is one of the five Tamil epics written by Ilango Adigal. The epic is a highly regarded literary work in Tamil. The nature of the epic is narrative and has a moralistic undertone. It contains three chapters and a total of 5,270 lines of poetry. The epic revolves around Kannagi, who having lost her husband, Kovalan, to a miscarriage of justice at the court of the Pandya King, wreaks her revenge on his kingdom. 10 Manimekalai was written by Seethalai Saathanar and is one of the masterpieces of Tamil literature, and is considered as one of the five epics of Tamil literature. Manimekalai is a sequel to Silapathikaram and tells the story of the daughter of Kovalan and Madhavi. 11 The Tolkkappiam is a work on the grammar of the Tamil language and the earliest known extant work of Tamil literature. It is written in the form of noorpaa or short formulaic compositions and comprises three books – the Ezhuttadikaram, the Solladikaram and the Poruladikaram. Each of these books is further divided into nine chapters each. There is also no firm evidence to assign the authorship of this treatise to any one author. It is a master treatise, also gives a wealth of information about the political, social and economic life of the ancient Tamil people. 12 Kalaignar Muthuvel Karunanidhi (generally referred to as M. Karunanidhi) is one of the founder members and the present leader of the DMK in Tamil Nadu, India. He is the president of the DMK party since 1969. He is the current chief minister of Tamil Nadu. He has also been the chief minister of Tamil Nadu four times (1969–1971, 1971–1976, 1989–1991 and 1996–2001). 13 Poet Kannadasan, who is also known as Kavi Arasu (translated as a king of poets). He had made great impact on the life of the Tamils worldwide. To the Tamils, Poet Kannadasan is a legendary poet, writer and lyricist. He is remembered as the lyricist who created several thousand songs for the Tamil films from 1944 till his death in 1981.