HEXAGRAM 31: ORIGINAL, INTERPRETATION AND CASES

HEXAGRAM 31 – Hsien - Influence (Wooing)

Above TUI THE JOYOUS, LAKE

Below KEN KEEPING STILL, MOUNTAIN

The name of the hexagram means

· "universal,"

· "general,"

and in a figurative sense

· "to influence,"

· "to stimulate."

· The upper trigrams is Tui, the Joyous;

· the lower is Ken, Keeping Still.

By its persistent, quiet influence, the lower, rigid trigram

· stimulates the upper, weak trigram, which

· responds to this stimulation cheerfully and joyously.

· Ken, the lower trigram, is the youngest son;

· the upper, Tui, is the youngest daughter.

Thus the universal mutual attraction between the sexes is represented.

In courtship, the masculine principle must

· seize the initiative

and

· place itself below the feminine principle.

Just as

· the first part of book I begins with the hexagrams of

o heaven

and

o earth,

the foundations of all that exists,

· the second part begins with the hexagrams of

o courtship

and

o marriage,

the foundations of all social relationships.

THE JUDGMENT

Influence.

Success.

Perseverance furthers.

To take a maiden to wife brings good fortune.

· The weak element is above,

· the strong below;

hence

· their powers attract each other,

so that

· they unite.

This brings about success, for

all success depends on the effect of mutual attraction.

By keeping still within while experiencing joy without,

one can

· prevent the joy from going to excess

and

· hold it within proper bounds.

This is the meaning of the added admonition, "Perseverance furthers," for

it is perseverance that makes the difference between

· seduction

and

· courtship;

in the latter

the strong man

· takes a position inferior to that of the weak girl

and

· shows consideration for her.

This attraction between affinities is a general law of nature.

Heaven and earth

· attract each other

and thus

· all creatures come into being.

Through such attraction

· the sage influences men's hearts,

and thus

· the world attains peace.

From the attractions they exert

we can learn the nature of all beings

· in heaven

and

· on earth.

THE IMAGE

A lake on the mountain: The image of influence.

Thus

the superior man encourages people to approach him

By his readiness to receive them.

A mountain with a lake on its summit is stimulated by the moisture from the lake.

It has this advantage because its summit

· does not jut out as a peak

but

· is sunken.

The image counsels that the mind should be kept

· humble

and

· free,

so that

it may remain receptive to good advice.

People soon give up counseling a man who thinks

that

he knows everything better than anyone else.

THE LINES

Six at the beginning means:

The influence shows itself in the big toe.

A movement,

before it is actually carried out,

shows itself first in the toes.

The idea of an influence is already present,

but it is not immediately apparent to others.

As long as the intention has no visible effect,

· is of no importance to the outside world

and

· leads neither to good nor to evil.

Six in the second place means:

The influence shows itself in the calves of the legs.

Misfortune.

Tarrying brings good fortune.

In movement,

the calf of the leg follows the foot; by itself it can

· neither go forward

· nor stand still.

Since the movement is not self-governed, it bodes ill.

· One should wait quietly until one is impelled to action by a real influence.

Then

· one remains uninjured.

Nine in the third place means:

The influence shows itself in the thighs.

Holds to that which follows it.

To continue is humiliating.

Every mood of the heart influences us to movement.

What the heart desires,

· the thighs run after without a moment's hesitation;

· they hold to the heart, which they follow.

In the life of man, however,

acting on the spur of every caprice

· is wrong

and

· if continued leads to humiliation.

Three considerations suggest themselves here.

1. First, a man

· should not run precipitately after all the persons whom

he would like to influence,

but

· must be able to hold back under certain circumstances.

2. As little should he yield immediately

· to every whim of those in whose service he stands.

3. Finally, where the moods of his own heart are concerned,

· he should never ignore the possibility of inhibition,

for this is the basis of human freedom.

0 Nine in the fourth place means:

Perseverance brings good fortune.

Remorse disappears.

If a man

· is agitated in mind,

And

· his thoughts go hither and thither,

Only those friends On whom he fixes his conscious thoughts Will follow.

Here the place of the heart is reached.

The impulse that springs from this source is the most important of all.

It is of particular concern that this influence be

· constant

and

· good;

then, in spite of the danger arising from the great susceptibility of the human heart,

there will be no cause for remorse.

When the quiet power of a man's own character is at work,

the effects produced are right.

All those who are receptive to the vibrations of such a spirit will then be influenced.

Influence over others should not express itself

as a conscious and willed effort to manipulate them.

Through practicing such conscious incitement,

· one becomes wrought up and is exhausted

by the eternal stress and strain.

Moreover,

· the effects produced are then limited

to those on whom one's thoughts are consciously fixed.

0 Nine in the fifth place means:

The influence shows itself in the back of the neck.

No remorse.

The back of the neck is the most rigid part of the body.

When the influence shows itself there,

· the will remains firm

and

· the influence does not lead to confusion.

Hence

remorse does not enter into consideration here.

What takes place in the depths of one's being, in the unconscious, can

· neither be called forth

· nor prevented by the conscious mind.

It is true that if

· we cannot be influenced ourselves,

· we cannot influence the outside world.

Six at the top means:

The influence shows itself in the

· jaws,

· cheeks,

and

· tongue.

The most superficial way of trying to influence others is

through talk that has nothing real behind it.

The influence produced by such mere tongue wagging must necessarily

remain insignificant.

Hence no indication is added regarding good or bad fortune.

31 INFLUENCE (WOOING)

MANAGERIAL ISSUE:

The CEO – managing to influence (e.g. employees, customers, shareholders, investors, public opinion)

The Influence Time-Space is about how the Superior CEO must:

Behave to properly influence, inspire or lead the corporation at times of conflict, and
Conduct the proper relationships with his employees/customers.

During the INFLUENCE Time-Space, the Superior CEO must be subtle, quiet, constant, considerate, and above all, humble. That is, the Superior CEO must behave towards his employees/customers in a similar fashion as a man who wants to court his future wife. In effect, Hexagram 31 represents sexuality between the YIN and YANG, and the I Ching is very clear in its advice about courting.

The I Ching says: “in courtship, the masculine principle must seize the initiative and place itself below the feminine principle…The weak element is above, the strong below; hence their powers attract each other, so that they unite. This brings about success, for all success depends on the effect of mutual attraction. This hexagram is quite important for the I Ching, because “courtship and marriage, (are) the foundations of all social relationships.”

The Superior CEO must draw a comparison between the proper behavior for a successful courting and the proper behavior for a successful CEO-employees/customers relations. The employees/customers represent the YIN, while the Superior CEO represents the YANG. To court the employees/customers, the Superior CEO must not only be gentle, but he must be tenacious. Indeed, the weak heart never won the fair lady. He must also be considerate to the employees/customers just as to be considerate to a lady is a sure way to win her heart.

MANAGERIAL LESSON:

In terms of policies, during the INFLUENCE Time-Space, the Superior CEO must implement three policies above all things:

To have an open door policy. The Superior CEO properly influences the behavior of his employees/customers by being readily available to anyone who seeks his advice and support.

To be humble. This is the most important piece of advice the I Ching provides the CEO with, and it appears again and again. To be able to influence the employees/customers, the Superior CEO must be open-minded so as to be able to listen to others and to hire the most capable advisors as his assistants. On the other hand, if the CEO is not humble, and if he tries to always tell the others what to do without listening first, he will never receive the advice of anyone. No one is more deaf than a CEO who will not hear.

· The I Ching says: “the mind should be kept humble and free, so that it may remain receptive to good advice. People soon give up counseling a man who thinks that he knows everything better than anyone else”. Such a wonderful piece of advice.

Indeed, the I Ching uses two symbols to create a contrast between humility and arrogance: for humility it uses the symbol of a sunken cavity needed to be filled up and for arrogance it uses the symbol of the peak trying to show off to the world. By the Law of Seasonality, that which is empty will be filled and that which is full will be emptied.

To maintain the right attitude. The Superior CEO makes sure the right attitude is applicable to both: to himself, as the leader of the corporation, and to the employees. In this way, he and the employees, can focus on what really matters. Attitude is so important, the Superior CEO must fire without any hesitation any employee who has the wrong attitude. The CEO wants winners not whiners. The Superior CEO knows which one is which by the way each employee meets his challenges.

With the right attitude the Superior CEO INFLUENCES (Woos):

The employees:

To want to meet their goals,
To easily go through any period of hardship to reach their goals

The customers

To make them desire to want to buy its products.
To easily forgive mistakes on the part of the corporation.

INVESTMENT ADVICE:

For the investor, the INFLUENCE is a favorable Time-Space to invest.

By itself (no lines) it represents success provided there is mutual attraction.

Influence.

Success.

Perseverance furthers.

To take a maiden to wife brings good fortune.

The weak element is above, the strong below; hence their powers attract each other, so that they unite. This brings about success, for all success depends on the effect of mutual attraction. By keeping still within while experiencing joy without, one can prevent the joy from going to excess and hold it within proper bounds. This is the meaning of the added admonition, "Perseverance furthers," for it is perseverance that makes the difference between seduction and courtship; in the latter the strong man takes a position inferior to that of the weak girl and shows consideration for her. This attraction between affinities is a general law of nature. Heaven and earth attract each other and thus all creatures come into being. Through such attraction the sage influences men's hearts, and thus the world attains peace. From the attractions they exert we can learn the nature of all beings in heaven and on earth.

It has only one Good Fortune investment possibility in the 4^th line.

The following cases are those of corporations under the Influence Time-Space:

· DuPont (DD) under CEO Ellen Kullman

· 3M Co. MMM under CEO George W. Buckley

(Read at end of the Hexagram).

THE LINES

About the lines, the I Ching makes a wonderful analogy. The I Ching compares the corporation to a human body, and breaks it down into the toes, the calves of the legs, the thighs, the heart, the back of the neck, and finally the mouth - jaws, cheeks and tongue. The I Ching then relates the CEO’s success with his capacity to transmit his own personal attitude and character onto the corporation (employees, customers, etc.). Only by the CEO’s ability to transmit the right attitude properly will he be able to influence the above-mentioned parts of the corporate body.

SIX IN THE FIRST PLACE

Managerial Issue: The CEO – managing to influence (e.g. employees, customers, shareholders, investors, public opinion) - failing in the beginning.

Managerial Lesson: Be determined.

Managerial Warning: At the first stage of the Influence Time-Space, the CEO’s INFLUENE has no visible effects. He has the right attitude but manages to only partially generate INFLUENCE (e.g. to inspire the employees, customers etc.). That is, his attitude only inspires the “toes” of the corporate body, which are not sufficient to move it in the right direction. His error lies in that his attitude is not strong enough yet to influence the entire corporation as well as the general public. His attitude stays only within the small circle of his top executives but does not reach the rest of the corporate body.

Managerial Advice: The Superior CEO is determined. When he moves, his attitude is strong enough to influence everyone (employees/customers). Otherwise, he will not move at all.

Investment advice: Do not invest.

SIX IN THE SECOND PLACE

Managerial Issue: The CEO – managing to influence (e.g. employees, customers, shareholders, investors, public opinion) failing by creating the wrong attitude.

Managerial Lesson: Be patient.

Managerial Warning: At the second stage of the Influence Time-Space, the CEO’s INFLUENCE creates a corporate attitude when no corporate attitude is really needed, thus in effect creating the wrong attitude. This wrong attitude, in turn (and as expected), fails to inspire the employees/customers and only inspires the “calves of the legs” of the corporate body, which by themselves cannot move the rest of the body.

Managerial Advice: The Superior CEO generates a real INLFLUENCE only when he is affected by a real INFLUENCE himself. He recognize this is one of those cases in which it is best to wait and do nothing at all. He knows he must not jump the gun in creating a new attitude for the corporation because the corporation most probably already had the right attitude and only needed more time to show the proper results.

Investment advice: Do not invest.

NINE IN THE THIRD PLACE

Managerial Issue: The CEO – managing to influence (e.g. employees, customers, shareholders, investors, public opinion) - failing by acting whimsically.

Managerial Lesson: Be deliberate.

Managerial Warning: At the third stage of the Influence Time-Space, the CEO creates the corporate attitude out of a whim and without much thought. This INFLUENCE, in turn, manages to move only the corporate “thighs”. It obviously cannot have a long positive effect on the corporation.

Managerial Advice: The Superior CEO, to avoid acting on the “spur of every caprice”, must follow three basic rules:

The I Ching says (*):

· First, a man (CEO) should not run precipitately after all the persons (employees/customers) whom he would eke to influence, but must be able to hold back under certain circumstances.

· As little should he (CEO) yield immediately to every whim of those in whose service he stands (employees/customers/shareholders).

· Finally, where the moods of his own heart are concerned, he (CEO) should never ignore the possibility of inhibition (restraint), for this is the basis of human freedom. “

The Superior CEO understands the basis of human freedom lies in never ignoring the possibility of inhibition. He knows freedom demands he be watchful. To be free in the inside, as well as in the outside, the Superior CEO must: not to let the wrong attitude control his mind and not to let the wrong attitude control his body.

This is one of the I Ching’s most wonderful lessons and all CEOs should keep it close to their hearts if they want to be successful.

Investment advice: Do not invest.

NINE IN THE FOURTH PLACE

Managerial Issue: The CEO – managing to influence (e.g. employees, customers, shareholders, investors, public opinion) – wisely reaching their hearts.

The I Ching says (*): ““Here the place of the heart (the corporate heart) is reached. The impulse (the CEO’s) that springs from this source is the most important of all. It is of particular concern that this influence (the CEO’s) be constant and good; then, in spite of the danger arising from the great susceptibility of the human heart, there will be no cause for remorse.”

Managerial Lesson: Be inspirational.

Managerial Warning: At the fourth stage of the Influence Time-Space, the CEO develops the proper corporate attitude, and as such INFLUENCES the “Heart” of the corporate body. Even though doubts might assail him, if the CEO has the inner strength to endure, all doubts will eventually dissipate. His attitude will influence the corporation in a very profitable way, because it is the corporate “heart” which will move the CEO’s inner circle as well as the entire corporate body.

Managerial Advice: The Superior CEO has character and, therefore, his intentions are always good. It is almost as if the I Ching is talking about Lincoln.

The I Ching says: “When the quiet power of a man's (CEO’s) own character is at work, the effects produced are right. All those who are receptive to the vibrations of such a spirit -, will then be influenced. Influence over others should not express itself as a conscious and willed effort to manipulate them. Through practicing such conscious incitement, one becomes wrought up and is exhausted by the eternal stress and strain. Moreover, the effects produced are then limited to those on whom one's thoughts are consciously fixed.”

SUCH WONDERFUL ADVICE!!!!! . This is also a good lesson on how to influence your children: be a good father. Just be good, don’t say you are good. Be good, be decent, be honest, and be kind. Your children will learn from what you do, not from what you say.

Investment advice: Invest

NINE IN THE FIFTH PLACE

Managerial Issue: The CEO – managing to influence (e.g. employees, customers, shareholders, investors, public opinion) – failing due to lack of flexibility.

Managerial Lesson: Be flexible.

Managerial Warning: At the fifth stage of the Influence Time-Space, the CEO Influences “the back of the neck” where “the will remains firm and the influence does not lead to confusion”. There is a danger the CEO might lack the necessary flexibility to generate the necessary influence such as the influence on the Heart. This is because he can neither listen nor change once he has embarked the corporation upon the wrong course.

Managerial Advice: The Superior CEO knows that to conquer others he must first conquer himself, and that to Influence others he must be Influenced himself.

Investment advice: Do not invest.

NINE IN THE SIXTH PLACE

Managerial Issue: The CEO – managing to influence (e.g. employees, customers, shareholders, investors, public opinion) – failing due to lack of flexibility – failing by empty talk with no vision, no character and only B.S.

Managerial Lesson: Be substantial.

Managerial Warning: At the sixth stage of the Influence Time-Space, the CEO uses superficial methods to generate INFLUENCE and thus “the Influence shows itself in the jaws, cheeks, and tongue”. Such insignificant way of trying to influence the employees/customers has insignificant results.

Managerial Advice: The Superior CEO knows that to really generate any INFLUENCE and make a difference with the employees or customers, he must have something of real value to add to the corporation.

Investment advice: Do not invest.

MANAGERIAL CASES

DuPont (DD) under CEO Ellen Kullman

Ellen Kullman’s Performance: ROI= 62.53% Annualized Return= 22.00%

SPY performance ROI= 22.81% Annualized Return= 8.14%

Ellen Kullman became CEO of DuPont on 1/1/2009. Since then, she has been able to outperform the SPY. This performance is related to the beginning of her Time-Space; however, she unfortunately drew a negative line in the 3^rd place. The line in the 6^th place is neither positive nor negative. What is of concern is the Moving Hexagram Standstill (Stagnation).

Points the investor should consider:

1) THE HEXAGRAM

HEXAGRAM 31 – Hsien - Influence ( Wooing)

The name of the hexagram means "universal," "general," and in a figurative sense "to influence," "to stimulate." The upper trigrams is Tui, the Joyous; the lower is Ken, Keeping Still. By its persistent, quiet influence, the lower, rigid trigram stimulates the upper, weak trigram, which responds to this stimulation cheerfully and joyously. Ken, the lower trigram, is the youngest son; the upper, Tui, is the youngest daughter. Thus the universal mutual attraction between the sexes is represented. In courtship, the masculine principle must seize the initiative and place itself below the feminine principle.

Just as the first part of book I begins with the hexagrams of heaven and earth, the foundations of all that exists, the second part begins with the hexagrams of courtship and marriage, the foundations of all social relationships.

THE JUDGMENT

Influence.

Success.

Perseverance furthers.

To take a maiden to wife brings good fortune.

2) THE ADVICE

A lake on the mountain: The image of influence.

Thus the superior man encourages people to approach him

By his readiness to receive them.

A mountain with a lake on its summit is stimulated by the moisture from the lake. It has this advantage because its summit does not jut out as a peak but is sunken. The image counsels that the mind should be kept humble and free, so that it may remain receptive to good advice. People soon give up counseling a man who thinks that he knows everything better than anyone else.

3) THE LINES:

Nine in the third place means:

The influence shows itself in the thighs.

Holds to that which follows it.

To continue is humiliating.

Every mood of the heart influences us to movement. What the heart desires, the thighs run after without a moment's hesitation; they hold to the heart, which they follow. In the life of man, however, acting on the spur of every caprice is wrong and if continued leads to humiliation. Three considerations suggest themselves here. First, a man should not run precipitately after all the persons whom he would like to influence, but must be able to hold back under certain circumstances. As little should he yield immediately to every whim of those in whose service he stands. Finally, where the moods of his own heart are concerned, he should never ignore the possibility of inhibition, for this is the basis of human freedom.

Six at the top means:

The influence shows itself in the jaws, cheeks, and tongue.

The most superficial way of trying to influence others is through talk that has nothing real behind it. The influence produced by such mere tongue wagging must necessarily remain insignificant. Hence no indication is added regarding good or bad fortune.

4) THE MOVING HEXAGRAM

HEXAGRAM 12 - P’i - Standstill (Stagnation)

This hexagram is the opposite of the preceding one. Heaven is above, drawing farther and farther away, while the earth below sinks farther into the depths. The creative powers are not in relation. It is a time of standstill and decline. This hexagram is linked with the seventh month (August-September), when the year has passed its zenith and autumnal decay is setting in.

THE JUDGMENT

STANDSTILL.

Evil people do not further

The perseverance of the superior man.

The great departs the small approaches.

Heaven and earth are out of communion and all things are benumbed. What is above has no relation to what is below, and on earth confusion and disorder prevail. The dark power within, the light power is without. Weakness is within, harshness without. Within are the inferior, and without are the superior. The way of inferior people is in ascent; the way of superior people is on the decline. But the superior people do not allow themselves to be turned from their principles. If the possibility of exerting influence is closed to them, they nevertheless remain faithful to their principles and withdraw into seclusion.

THE IMAGE

Heaven and earth do not unite: The image Of STANDSTILL.

Thus the superior man falls back upon his inner worth In order to escape the difficulties.

He does not permit himself to be honored with revenue.

When, owing to the influence of inferior men, mutual mistrust prevails in public life, fruitful activity is rendered impossible, because the fundaments are wrong. Therefore the superior man knows what he must do under such circumstances; he does not allow himself to be tempted by dazzling offers to take part in public activities. This would only expose him to danger, since he cannot assent to the meanness of the others. He therefore hides his worth and withdraws into seclusion.

3M Co. MMM under CEO George W. Buckley

George Buckley’s Performance: ROI= (0.99%) Annualized Return= (0.17%)

SPY performance ROI= (9.78%) Annualized Return= (1.79%)

George Buckley became CEO of 3M on 12/1/2005. Since then, he has not been able to outperform the SPY. His flat returns practically represent a 7 year period of no positive returns for the investors. Unfortunately, he drew one negative line in the 3^rd place. The lines in the 1^st and the 6^th place are neither positive nor negative.

Points the investor should consider:

1) THE HEXAGRAM

(Same as Above).

2) THE ADVICE

(Same as Above).

3) THE LINES:

Six at the beginning means:

The influence shows itself in the big toe.

A movement, before it is actually carried out, shows itself first in the toes. The idea of an influence is already present, but it is not immediately apparent to others. As long as the intention has no visible effect, it is of no importance to the outside world and leads neither to good nor to evil.

Nine in the third place means:

The influence shows itself in the thighs.

Holds to that which follows it.

To continue is humiliating.

Six at the top means:

The influence shows itself in the jaws, cheeks, and tongue.

4) THE MOVING HEXAGRAM

HEXAGRAM 25 - Wu Wang - Innocence (The Unexpected)

Ch'ien, heaven, is above; Chen, movement, is below. The lower trigram Chen is under the influence of the strong line it has received from above, from heaven. When, in accord with this, movement follows the law of heaven, man is innocent and without guile. His mind is natural and true, unshadowed by reflection or ulterior designs. For wherever conscious purpose is to be seen, there the truth and innocence of nature have been lost. Nature that is not directed by the spirit is not true but degenerate nature. Starting out with the idea of the natural, the train of thought in part goes somewhat further and thus the hexagram includes also the idea of the unintentional or unexpected.

THE JUDGMENT

INNOCENCE. Supreme success.

Perseverance furthers.

If someone is not as he should be,

He has misfortune,

And it does not further him

To undertake anything.

Man has received from heaven a nature innately good, to guide him in all his movements. By devotion to this divine spirit within himself, he attains an unsullied innocence that leads him to do right with instinctive sureness and without any ulterior thought of reward and personal advantage. This instinctive certainty brings about supreme success and "furthers through perseverance." However, not everything instinctive is nature in this higher sense of the word, but only that which is right and in accord with the will of heaven. Without this quality of rightness, an unreflecting, instinctive way of acting brings only misfortune.

Confucius says about this:

"He who departs from innocence, what does he come to? Heaven's will and blessing do not go with his deeds."

THE IMAGE

Under heaven thunder rolls: All things attain the natural state of innocence.

Thus the kings of old, rich in virtue, and in harmony with the time,

Fostered and nourished all beings.

In springtime when thunder, life energy, begins to move again under the heavens, everything sprouts and grows, and all beings receive from the creative activity of nature the childlike innocence of their original state. So it is with the good rulers of mankind: drawing on the spiritual wealth at their command, they take care of all forms of life and all forms of culture and do everything to further them, and at the proper time.