Principles of a Living Organization


October 13, 2006.

Organisation, by definition, converts force into Power. Always this power is overwhelming.An idealist who founds an organisation always keeps this Power alive by constant creativity.

Even he often find the weight of the structure of the organisation too much. A living ORGANISATION is one which has a structure that can absorb the ever increasing creative energy created as POWER to produce constantly newer and higher results.

All organisations the society has so far created have successfully enslaved humanity. The characteristic of an organisation is to unleash Power that is always in excess. It is best seen in MONEY. Any organisation automatically dies as soon as it is created as the illusion of the Present. There really is no Present. It dies before its creation is complete. We hear of dynamic organisations. It really means higher efficiency by drive. Efficiency is partial. Energy, if not released automatically, will be of a lower order. The energy released by drive may be enough to be efficient or productive and will not serve the purposes of creativity. For the purposes of higher profit this is more than enough.

An organisation comprises of people, structure, systems, rules, values, strategies, policies, relation with the external environment, Time, Space, energy, force, power, raw materials, processes of production, methods of inventory, accounting, inter relationship between people, (people and material, people and events, etc. etc.) These can be taken summarily under twenty or thirty heads or in detail under two hundred or three hundred heads if each is sub divided into say ten. E.G. Time can be split into Time needed for each type of activity or each activity, its value of punctuality, regularity, rhythm, Time's relation to Space, people, money, etc. To expand the company ten fold it is enough we resort to a summary outline. A detailed consideration is indispensable only when the aim is The Living Organisation.

Attention given to the first set will release energy proportionate. Full attention will release a prodigious amount of energy that can't be handled as a Rs.3 crore company receiving orders of varying description for Rs.30 crores. Attention releases energy. Decision converts it into force. Creating appropriate organisation yields power. To use all the power and get all the results the skills must traverse several generations.

To increase the efficiency of an organisation that is extremely efficient, always a new approach is needed. It expresses through a new value through a higher skill. This must suffice if the aim is to double the profit. Profit alone need not be the goal.


  • Profit is the most common goal.
  • Market share aimed at can either raise the profit or be at the expense of profitability.
  • Popularity of the Brand can go with or counter to other goals. This, of course, is of the greatest value for a company.
  • Smooth labour relation.
  • Coordination between departments.
  • Pollution free production.
  • Compliance with government rules.
  • Harmony among the staff.
  • Being a leader of technology.
  • Growth of assets.

More goals can be listed and any one can be achieved by exclusive concentration. Achievement of one goal generally raises other goals somewhat while it can go counter to some. One goal aimed at helping all other goals and NOT countering ANY other goal, is the best strategy. But we must, in the most ideal conditions be able to raise one goal which will raise all other goals to their maximum reach. Then the company is integrated. A far better way is to do what one can do or needs to do and keep quiet. If that pushes the company most on all sides, the company is ideally organised at the level of maximum possible integration. Each of these topics needs an elaboration till we reach the infinitesimal and it reveals the infinity.

I do not propose a comprehensive or exhaustive coverage of issues, but hope to discuss all the major essentials in their central significance.


The rule is any efficiency can be raised to its utmost limit as we heard in ship building that the building of a ship was reduced to 4½ days from one month. Working on one isolated item, the maximum one can reach is only 75% of the real maximum as the weight of other undeveloped areas will hold this back. In ideal conditions a work can be done in the minimum period its physical work needs. What is most efficient in one set up, will be the least efficient, when the level is raised one step.

Our aim should be to raise the company to the highest possible level in the existing circumstances. Efficiency at the cost of inefficiency of another type is never permissible. Efficiency is by discipline. That efficiency which the organisation compels is better. Efficiency by self-discipline is the best. Even that can be organised. Efficiency is productive. Creative efficiency is the next best. Organisation instead of imposing discipline can compel higher efficiency. Efficiency can be individual or collective and each can influence the other. Efficiency is skill organised into results. Organising capacity into results is far greater. One is like memory and the other understanding. One is of the individual; the other is by the collective. Raising one skill to its maximum compels all the other skills rise substantially. There is no skill that cannot be given by training. Learning the skill depends ONLY on the seriousness of one's interest. There are graded skills occasionally. They can be learnt only in succession. Sheldrake on learning skills. No skill can be learned without the requisite energy.

Cost accountancy

Develop figures for expenses as a percentage of the total. Carnegie's experience. Drip irrigation results cannot be achieved by any amount of flood irrigation. Drip not only knows the quantity of water, but can give in the periodicity in which the plant needs. The more minute the figure you have, the greater will be the results. Excess feeding compromises quality.

Cost accountancy is attention to precise quantity. Maximum utilisation raises the tone of the company. As cost accountancy calculates MONEY, Time, Space, material, energy used can be calculated. It is the secret of miniaturisation. Indian muslin of yore yearned that name. In a production process take one unit out, if possible, and produce by this standard. Even if the outer packet is the same, by virtue of the inner quality content, this batch will sell fast.

One reason why the Brahmins are on top is this: They know how to make small quantities go a long way. Economy apart, the capacity to accomplish with the least material, demands perfection. Perfection attained in any field qualifies one to reach ANY peak or pinnacle. Cost accountancy demands exact accurate accounts written in classified form. Classification is analysis. Analysis of a work offers raw material for organising it or reorganising it according to the demands of Perfection. Accounts make one see the course events take in production, sales, etc. Accounts is attention to Money. Cost accountancy is classified analytical attention to Money. Analysis of Money makes the operations of the Company transparent with respect to efficiency and perfection.


People are the live centres of a company. Recognise their talents, they will perform best. Recognise their weakness, they will perform worst. Organise so that their talents can find expression. Once this is recognised, they will readily learn any skill quickest in the best possible way. People respond most to attention, especially to recognition of the real talents. Such recognition must be impersonal, rather than personal. Personal recognition must be implicit not explicit. To recognise one's talents and not allow that to be a source of assertion is an art. Usually it is done by egoistic assertion. It is best done by understanding with sympathy. Offer him more scope for the talents to rise. If possible lead him to help others similarly.

No man is there without an exceptional skill. Recognise it and give it scope. Put him in a position that grows by his growing talents. Knowing all about one is an asset. Not knowing anything about him is another asset. Help him solve his personal problems. He will be a slave to you. It can have opposite effect too. Create working conditions where he forgets his problems. Encourage people to take a further degree. Every year train them for fifty hours and give ONE new skill.

Work skill raises productivity. Psychological skill raises the company's level of general efficiency. Coordinate through you or a system clashing persons. Directly coordinate cooperative people. Anyone's work can be done in half the time. Everyone's work can be done in half the time. The efficiency will not be double, but five fold because of the resulting excess energy, exuberant cooperation.

Examine at all points how a computer can be used. Computer does not allow secrets. It never permits waste or delay. Teach each person how to use the computer at home and in the company. See that the level of the Voice comes down to 25%. Implicitly demonstrate the power of Silent will. To receptive people teach Silent will gathering them in a class. Capacity to reconcile two different characters in work is Management capacity. Should they be opposite characters, reconciling them one gets political power. If they two are woman, one gets the ultimate power.

Our scope is production and its progress. There are a lot of non-company human problems. Many are tragedies. Some are rare exceptions. Occasionally there are human greatness in values. No company can or should take notice of them. As an exception, should some be handled, they will recoil on the owner. Should deep human values be discovered there it is a reflection of the owner. Should it emerge as a pattern he can know what psychological values are due to him from the world. Whatever he discovers, whether from outside or inside is true to be his own reflection EXACTLY In handling people the entire world can enter. It is true even of raw materials. As long as one SEES what is to be seen, his experience is over. The most perceptive need no more than one encounter.


Company values are general. Individual values are particular. One will foster general welfare. The other will nourish particular intensities. Company has needs, potentials, possibilities, problems, opportunities. Each of them has a corresponding value.

When a company has removed all its problems or has no problems whatsoever, it can turn its attention to these. It is true this tabular column can be used as a practical guide. Its success depends upon the total self-control one has. A slight mischance can land him in a very big abyss even as a slight right move can open up an opportunity to become a leader in the trade.




As is the atmosphere with the people, so will be the company is the rule.


As is the atmosphere with the people, so will be the company is the rule.


Wants to grow

Employees skill, capacity should grow.


Wants to be in surplus

Devise non-company schemes inside the

the company for them to be in surplus

Desires smooth market relationships

Iron out the angularities of the employees

in work.

Looks for fresh opportunities

Discover to them opportunities in their own


Wants to rise in the market

Help one or many to rise on their own strength.

Higher price for the product

Higher wages to men.

Brand name

Stamp of MCC on the employee.

Rise from one to infinity

See whether anyone can rise like A[PõÍß. *

Political power

Power over men in their lives.

Trust of the public

Our trust in men

Raising public deposits

Create a similar scheme.


*His own rise indicates to us the opportunity for MCC.

Values contain all the powers of the physical, vital, mental energies. One Value, especially if it is representative, by one SINGLE exertion can accomplish at once what others have laboured for decades, even centuries.

To know the power of values is spiritual knowledge. To render those values powerful one must make spirit REAL in his work. If so, that expression of that value will give him a rare joy. The American feels it in his work. The European is exhilarated so in his honour. One thin shade of general value in the company is equal to all one's debts changing into assets. One VALUE entrenched in work is like having the Chief Minister as your personal friend. One VALUE enshrined in yourself will transform you into a person who is constantly offered the leadership of the nation. Values, Values in work, Values in men, Values in the company, Values in YOU, Mother's Values are the gradation.

Price, cost, expenses.

No raw material attentively used will ever be scarce. Its price will constantly go down. At least once, some quantity will come free. (Oppositely, the price can go up. In that case you can see the profits will go up out of all proportions.) Handled with care, cost will come down as in the phone bill. Our attention can be seen reflected in rock bottom prices, abundant supply, and quality rising to superlative levels or rarely the opposite. Either way our benefit will remain.

The finest theme is higher profits than the turnover. Advertisements make it possible. We see all these in the internet. If you want a superior quality of a raw material, give it superior attention.

Out standings, loans are grave diggers. If you have GREAT goal and are willing to do your honest best with dedication, liquidate your loans. When the last rupee is returned the goal will be realised. A real deep decision has the same power of returning the loan. A thought DOES what an act alone can do. Decision is decisiveness.


No attention is thrown away. Whether it is a person or an object you receive as much attention from them as you give. It is our experience that attention to electric power raised four hour supply to fourteen hour supply. Pay attention to the market, it will come to you.

Constant thinking of market will be expectation not attention. To understand what the market wants in terms of quality, various changes in its contents, packaging, price, and real utility of the product is attention to market sachet is a real need. It made the market explode. Mineral water, cell-phone, hire purchase are a few among the myriad needs of the market. There is a difference between the psychological attention and functional attention especially to people. One is satisfying and it alone appears to be attention. Functional attention evokes fifty times or five hundred times greater response. Ramesh Kumar, who wrote the story of ‘Token Act' in three years he rose from three thousand to ten thousand salary. He is offered 2,20,000 rupees bonus and directorship. This is functional attention. He can settle down as an employee of Rs.200,000 salary. Personal attention is pleasing. It is misleading. Pay that attention to Money. Evaluate that attention in terms of its end use, for its money value.

Try this on 1) a person, 2) a function, 3) a raw material, 4) Time, 5) Space, 6) Money, 7) a relationship, 8) customer, 9) packaging and 10) shipment, etc. You will discover full attention alone can raise a company to several hundred crores. Attention to systems is best done by using the computer FULLY. Turn attention as a problem solving instrument. Make attention to open new opportunities. Study the responses discriminating which are for the attention.


In India systems are absent. 30% of systems will revolutionise the company. In the West at least 20% will be left uncovered by systems. It is a great point where SYSTEMS clash and become an obstacle. Perfecting the existing system alone will be a boost. Upgrade the systems. There will be a wonder. Work the existing systems MORE fully. Systems are cash cows. Systems are parts of organisation. Take ONE level of the company and COMPLETE the systems at that level. It is great work.

A Living Organisation.

By this we mean spiritually living. To act is to be physically living. To be vitally living one evinces interest. To let mind act afresh is to be mentally living.

To permit the Spirit to emerge through mind, vital and body is to be Spiritually living. In that condition the more one acts the greater will be his energy. His actions will find newer interest in newer objects. Mind originally will create ideas for work. Such physical energy we saw in the USA. Such vitality founded empires. Such a mental curiosity created Science. The Spirit has not emerged so far. It will be a company where everyone will be acting as the Founder and CEO. The Money in the market will be at your disposal. The market will endeavour to put your product in every home. Its every part will initiate a revolution. Profits will exceed the sales. A finite company will achieve infinite results. The company will become the Society.

WORK will carry on itself by its own momentum.