HEXAGRAM 32: ORIGINAL, INTERPRETATION AND CASES

HEXAGRAM 32 – Heng - Duration

Above CHEN THE AROUSING, THUNDER

Below SUN THE GENTLE, WIND

· The strong trigram Chen is above,

· the weak trigram Sun below.

This hexagram is the inverse of the preceding one.

· In the latter we have influence,

· here we have union as an enduring condition.

The two images are thunder and wind,

which are likewise constantly paired phenomena.

· The lower trigram indicates gentleness within;

· the upper, movement without.

In the sphere of social relationships,

the hexagram represents the institution of marriage

as the enduring union of the sexes.

· During courtship

o the young man subordinates himself to the girl,

· but in marriage, which is represented by the coming together of

the eldest son and the eldest daughter,

o the husband is the directing and moving force outside,

o while the wife, inside, is gentle and submissive.

THE JUDGMENT

DURATION. Success. No blame.

Perseverance furthers.

It furthers one to have somewhere to go.

Duration

· is a state whose movement is not worn down by hindrances.

· It is not a state of rest, for mere standstill is regression.

Duration

· is rather the self-contained and therefore self-renewing movement of

an organized, firmly integrated whole,

o taking place in accordance with immutable laws and

o beginning anew at every ending.

The end is reached by an inward movement,

by inhalation, systole, contraction, and

this movement turns into a new beginning, in which

the movement is directed outward,

in exhalation, diastole, expansion.

Heavenly bodies exemplify duration.

They move in their fixed orbits, and

because of this their light-giving power endures.

The seasons of the year

· follow a fixed law of change and transformation, hence

· can produce effects that endure.

So likewise

the dedicated man

· embodies an enduring meaning in his way of life, and thereby

· the world is formed.

In that which gives things their duration,

we can come to understand the nature of all beings

· in heaven and

· on earth.

THE IMAGE

Thunder and wind: the image of DURATION.

Thus the superior man

· stands firm And

· does not change his direction.

· Thunder rolls, and

· the wind blows;

both

· are examples of extreme mobility and so

· are seemingly the very opposite of duration,

but the laws governing their appearance and subsidence,

their coming and going, endure.

In the same way

the independence of the superior man is not based on

· rigidity and

· immobility of character.

He always

· keeps abreast of the time and

· changes with it.

What endures is

· the unswerving directive,

· the inner law of his being,

which determines all his actions.

THE LINES

Six at the beginning means:

Seeking duration too hastily brings misfortune persistently

Nothing that would further.

Whatever endures can be created only gradually by

· long continued work and

· careful reflection.

In the same sense Lao-tse says :

"If we wish to compress something,

we must first let it fully expand."

He who demands too much at once

is acting precipitately,

and

because he attempts too much,

he ends by succeeding in nothing.

0 Nine in the second place means:

Remorse disappears.

The situation is abnormal.

A man's force of character is greater than the available material power.

Thus

he might be afraid of allowing himself to attempt something beyond his strength.

However, since it is the time of DURATION,

it is possible for him

· to control his inner strength and so

· to avoid excess.

Cause for remorse then disappears.

Nine in the third place means:

He who does not give duration to his character

Meets with disgrace.

Persistent humiliation.

If a man remains at the mercy of moods of hope or fear aroused by the outer world,

he loses his inner consistency of character.

Such inconsistency invariably leads to distressing experiences.

These humiliations often come from an unforeseen quarter.

Such experiences are not merely effects produced by the external world,

but logical consequences evoked by his own nature.

Nine in the fourth place means:

No game in the field.

· If we are in pursuit of game and want to get a shot at a quarry,

· we must set about it in the right way.

A man who

· persists in stalking game in a place where there is none

· may wait forever without finding any.

· Persistence in search is not enough.

· What is not sought in the right way is not found.

Six in the fifth place means:

Giving duration to one's character through perseverance.

This is

· good fortune for a woman,

· misfortune for a man.

· A woman should follow a man her whole life long, but

· a man should at all times hold to what is his duty at the given moment.

Should he persistently seek to conform to the woman,

it would be a mistake for him.

Accordingly it is altogether right for

· a woman to hold conservatively to tradition,

· but a man must always

o be flexible and adaptable and

o allow himself to be guided solely by what his duty requires of him at the moment.

Six at the top means:

Restlessness as an enduring condition brings misfortune.

There are people who live in a state of perpetual hurry

without ever attaining inner composure.

Restlessness

· not only prevents all thoroughness

· but actually becomes a danger if it is dominant in places of authority.

32 DURATION

MANAGERIAL ISSUE:

The CEO – managing relationships (with employees, customers, shareholders) to endure.

The Duration Time Space (Hexagram 32) is the inverse of the previous one and helps the CEO understand that one thing is to Influence, Woo or court the employees, customers or shareholders but another is to make the relationship last, such as in a marriage. While in the previous Hexagram (31) the CEO manages to Influence, Woo or courts the employees, customers, or shareholders, Hexagram 32 is about managing the lasting (Duration) relationship and how each part should behave once the courtship has ended and the union has been established. First comes the sell (Wooing) but then comes the servicing (Duration).

The I Ching:

1) Compares this Duration (a lasting union) with marriage, which is the symbol of this Hexagram, or the essence of duration. While in courting it is the man (CEO) who should take a subordinate position, in marriage it is the wife who should take a subordinate position. The CEO, as the husband, should lead while the employees, as the wife, should follow. As long as there is harmony or unity between the CEO and the employees, the relationship will last and the corporation will endure. That is, there will be Duration. Thus maintaining the unity is the main ingredient to make marriage or the client relation last or endure (Duration).

2) Describes the essence of what makes a union last as motion rather than stillness. This union will exist provided three elements are present: order, unity and the never ending cycles. These cycles start with an outward motion and end with an inward motion. This is amazingly similar to the breathing cycle of the Buddha in which the Universe expands when the Buddha exhales and then contracts when the Buddha inhales. In the case of the Buddha or the Universe, this period lasts billions of years. In the case of the CEO’s mandate or the corporation it may last just a few years but they are still part of an expanding and contracting cycle.

MANAGERIAL LESSON:

During the Duration Time-Space, the Superior CEO:

1) Meditates on the meaning of the law (and compliance) and the principles and realizes:

o The law (principles) is his best friends.

o The law (principles) is what really matters.

o The law (principles) is everlasting.

o The law (principles) will not change even though the circumstances might change,

o To know the law, to meditate over the law, to execute the law should not be seen as being inflexible.

o To reward good and to punish evil is a basic law and the Superior CEO is inflexible in its implementation; yet to create a wide variety of both rewards and punishments is a true mark of flexibility.

2) Combines the eternal or that which never changes with the temporary or that which always change. In the case of Google for instance, the technology might be changing all the time, but the principle to make its employees produce the best software and continue to improve it all the time is very much dependent on the incentives Google provides its employees. The principle of rewarding merit and effort as the way to improve performance is as eternal as the universe itself and it is evident in the law of the survival of the fittest; however, the idea of compensating merit with specifics, such as stock option plans, is relatively new and subject to change. The I Ching’s recommendation to the CEO to combine the eternal principles (laws) with the temporary is a wonderful piece of advice.

3) Is balanced. The Superior CEO unites (to create Duration) the same long lasting qualities within with the ones he wants to project without - that is, he has unity of body and spirit. He recognizes he must be one within (himself) if he wants to be one without (the corporation). A house divided cannot stand. A CEO who is not in harmony with his own self because he lacks emotional intelligence is bound to hesitate and make mistakes. But the greatest law the CEO must obey is to be true to his own self, to conquer himself. If he cannot conquer his own self (his fears, doubts, weaknesses), how can he conquer or lead others? Only if the CEO conquers himself will he be firm in his purpose. What kind of direction will he give his corporation if he changes his mind all the time?

INVESTMENT ADVICE:

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

By itself (no lines) it points to success because the CEO has a good opportunity to create Duration.

DURATION. Success. No blame.

Perseverance furthers.

It furthers one to have somewhere to go.

Duration is a state whose movement is not worn down by hindrances. It is not a state of rest, for mere standstill is regression. Duration is rather the self-contained and therefore self-renewing movement of an organized, firmly integrated whole, taking place in accordance with immutable laws and beginning anew at every ending. The end is reached by an inward movement, by inhalation, systole, contraction, and this movement turns into a new beginning, in which the movement is directed outward, in exhalation, diastole, expansion.

Heavenly bodies exemplify duration. They move in their fixed orbits, and because of this their light-giving power endures. The seasons of the year follow a fixed law of change and transformation, hence can produce effects that endure.

So likewise the dedicated man embodies an enduring meaning in his way of life, and thereby the world is formed. In that which gives things their duration, we can come to understand the nature of all beings in heaven and on earth.

Unfortunately, if there are any lines present, the investment becomes a poor alternative because in none of the lines the CEO is able to create Duration.

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

· Maxim Integrated Products Inc. MXIM under CEO Tunc Doluca

(Read at end of the Hexagram).

THE LINES

SIX IN THE FIRST PLACE

Managerial Issue: The CEO – managing relationships (with employees, customers, shareholders) to endure – failing to create Duration by rushing to create it.

Managerial Lesson: Be patient.

Managerial Warning: At the first stage of the Duration Time-Space, the CEO pushes too hard to bring about too many changes in the corporation.

Managerial Advice: The Superior CEO’s greatest virtues are his patience and moderation. There are no shortcuts to success. He knows that: “Whatever endures can be created only gradually by long continued work and careful reflection.“

Investment Advice: Do not invest.

NINE IN THE SECOND PLACE

Managerial Issue: The CEO – managing relationships (with employees, customers, shareholders) to endure – failing to create Duration by overstretching his resources.

Managerial Lesson: Be self-controlled.

Managerial Warning: At the second stage of the Duration Time-Space, the CEO’s faces “an abnormal situation where his force of character is greater than the available material power which holds him back when attempting something beyond his strength”. That is, his drive might be too strong for the corporation’s employees. Or at least that is how the CEO might perceive the situation.

Managerial Advice: The Superior CEO is fearless in the execution of his plans. In this particular case and in this particular moment, fate has ordained that it is proper to push for his plans. To be resolute is a must when the CEO has the Mandate of Heaven.

Investment Advice: Do not invest. It might be possible to invest, but it is best to look for better alternatives.

NINE IN THE THIRD PLACE

Managerial Issue: The CEO – managing relationships (with employees, customers, shareholders) to endure – failing to create Duration by losing his inner sense of balance.

Managerial Advice: Be consistent.

Managerial Warning: At the third stage of the Duration Time-Space, the CEO allows the external conditions (turmoil of the economy or the industry) to affect him.

Managerial Advice: The Superior CEO has the inner strength and harmony to cope with the outer turmoil. This inner strength enables him to successfully lead his corporation. The Superior CEO knows that to conquer others he must conquer himself first. Here the I Ching leaves open the possibility that there might be an inherent weakness in the CEO.

Investment Advice: Do not invest.

NINE IN THE FOURTH PLACE

Managerial Issue: The CEO – managing relationships (with employees, customers, shareholders) to endure – failing to create Duration by uniting with the wrong market, product, employees or partners.

Managerial Lesson: Be thorough.

Managerial Warning: At the fourth stage of the Duration Time-Space, the CEO is barking up the wrong tree. He is looking for a corporation to take over or an industry to get into or even a product to launch. Yet he is at the wrong place at the wrong time.

Managerial Advice: The Superior CEO knows that to go after something for the sake of it is not enough. There has to be unity or compatibility between the nature of the corporation and the nature of what they are trying to buy or produce. Unfortunately, most CEOs tend to make this mistake. There have been so many cases of CEOs buying out the wrong corporations knowing full well there was neither harmony nor a sense of unity between them.

Investment Advice: Do not invest.

SIX IN THE FIFTH PLACE

Managerial Issue: The CEO – managing relationships (with employees, customers, shareholders) to endure – failing to create Duration by pleasing rather than doing his duty.

Managerial Lesson: Be dutiful.

Managerial Warning: At the fifth stage of the Duration Time-Space, the CEO fails to do his duty because he is more interested in pleasing (employees, customers) rather than in doing his job.

Managerial Advice: The Superior CEO, as the husband, leads based on principles and a sense of duty, while the employees, as the wife, follow. His main job is to do his duty, to keep the corporation safe, to create Duration (make it endure or last) - if necessary the Superior CEO will fire thousands of employees or even lower their salaries. His duty is not to please the employees or the public opinion. When the CEO only aims to please the employees, the employees will do well but the CEO and the corporation will lose. Sometimes this is also the case of a corporate buy-out where the corporation taken over will do well but the corporation taking it over will do poorly.

Investment Advice: Do not invest.

SIX IN THE SIXTH PLACE

Managerial Issue: The CEO – managing relationships (with employees, customers, shareholders) to endure – failing to create Duration by jumping from market to market, from product to product, and from employees to employees.

Managerial Lesson: Be calm.

Managerial Warning: At the sixth stage of the Duration Time-Space, the CEO “lives in a state of perpetual hurry without ever attaining inner composure.” Under such conditions, he cannot create anything that might endure in time.

Managerial Advice: The Superior CEO is thorough in his analysis and patient in waiting for the end results. This thoroughness and patience enables him to successfully take over companies with lasting (duration) effects. He knows patience and an eye for detail are some of the key traits of a successful CEO. To lose his focus is to lose his job.

Investment Advice: Do not invest.

MANAGERIAL CASES

Maxim Integrated Products Inc. MXIM under CEO Tunc Doluca

Tunc Doluca’s Performance: ROI= (25.20%) Annualized Return= (6.17%)

SPY’s Performance: ROI= ( 4.77%) Annualized Return= (1.07%)

Tunc Doluca has been CEO since January 2007. His performance has been very poor compared with the SPY’s which underlines the fact he does not possess the qualities which the I Ching would require from someone whose mandate is to manage the Union Time-Space. A restless CEO can neither bring Union nor deal successfully with the Nuclear Time-Space of the Splitting Apart.

His original Hexagram was the Union which requires we ask the Oracle once again if he has the necessary qualities to bring about this Union. The Oracle answer was the Duration.

We will review both.

Points the investor should consider:

1) THE HEXAGRAM

HEXAGRAM 08 – Pi - Holding Together [Union]

The waters on the surface of the earth flow together wherever they can, as for example in the ocean, where all the rivers come together. Symbolically this connotes holding together and the laws that regulate it. The same idea is suggested by the fact that all the lines of the hexagram except the fifth, the place of the ruler, are yielding. The yielding lines hold together because they are influenced by a man of strong will in the leading position, a man who is their center of union. Moreover, this strong and guiding personality in turn holds together with the others, finding in them the complement of his own nature.

THE JUDGMENT

HOLDING TOGETHER brings good fortune.

Inquire of the Oracle once again

Whether you possess sublimity, constancy, and perseverance;

Then there is no blame.

Those who are uncertain gradually join.

Whoever comes too late

Meets with misfortune.

What is required is that we unite with others, in order that all may complement and aid one another through holding together. But such holding together calls for a central figure around whom other persons may unite. To become a center of influence holding people together is a grave matter and fraught with great responsibility. It requires greatness of spirit, consistency, and strength. Therefore let him who wishes to gather others about him ask himself whether he is equal to the undertaking, for anyone attempting the task without a real calling for it only makes confusion worse than if no union at all had taken place.

But when there is a real rallying point, those who at first are hesitant or uncertain gradually come in of their own accord. Late-comers must suffer the consequences, for in holding together the question of the right time is also important. Relationships are formed and firmly established according to definite inner laws. Common experiences strengthen these ties, and he who comes too late to share in these basic experiences must suffer for it if, as a straggler, he finds the door locked.

If a man has recognized the necessity for union and does not feel strong enough to function as the center, it is his duty to become a member of some other organic fellowship.

2) THE ADVICE

On the earth is water: The image Of HOLDING TOGETHER.

Thus the kings of antiquity

Bestowed the different states as fiefs

And cultivated friendly relations

With the feudal lords.

Water fills up all the empty places on the earth and clings fast to it. The social organization of ancient China was based on this principle of the holding together of dependents and rulers. Water flows to unite with water, because all parts of it are subject to the same laws. So too should human society hold together through a community of interests that allows each individual to feel himself a member of a whole. The central power of a social organization must see to it that every member finds that his true interest lies in holding together with it, as was the case in the paternal relationship between king and vassals in ancient China.

3) THE LINES:

There are no moving lines.

4) THE MOVING HEXAGRAM

There is no moving Hexagram because there are no moving lines. The Judgment becomes the focusing point.

However, we will underline the fact his Nuclear hexagram is Splitting Apart, a very negative Time-Space.

NUCLEAR HEXAGRAM

HEXAGRAM 23 – Po - Splitting Apart

The dark lines are about to mount upward and overthrow the last firm, light line by exerting a disintegrating influence on it. The inferior, dark forces overcome what is superior and strong, not by direct means, but by undermining it gradually and imperceptibly, so that it finally collapses.

The lines of the hexagram present the image of a house, the top line being tile roof, and because the roof is being shattered the house collapses. The hexagram belongs to the ninth month (October-November). The yin power pushes up ever more powerfully and is about to supplant the yang power altogether.

THE JUDGMENT

SPLITTING APART.

It does not further one

To go anywhere.

This pictures a time when inferior people are pushing forward and are about to crowd out the few remaining strong and superior men. Under these circumstances, which are due to the time, it is not favorable for the superior man to undertake anything.

The right behavior in such adverse times is to be deduced from the images and their attributes. The lower trigram stands for the earth, whose attributes are docility and devotion. The upper trigram stands for the mountain, whose attribute is stillness. This suggests that one should submit to the bad time and remain quiet. For it is a question not of man's doing but of time conditions, which, according to the laws of heaven, show an alternation of increase and decrease, fullness and emptiness. It is impossible to counteract these conditions of the time. Hence it is not cowardice but wisdom to submit and avoid action.

THE IMAGE

The mountain rests on the earth: The image of SPLITTING APART.

Thus those above can ensure their position

Only by giving generously to those below.

The mountain rests on the earth. When it is steep and narrow, lacking a broad base, it must topple over. Its position is strong only when it rises out of the earth broad and great, not proud and steep. So likewise those who rule rest on the broad foundation of the people. They too should be generous and benevolent, like the earth that carries all. Then they will make their position as secure as a mountain is in its tranquility.

Tunc Doluca’s Union Time-Space required that we inquire of the Oracle once again whether you possess sublimity, constancy, and perseverance;

When we inquire the Oracle once again, the result is Duration and two negative lines which point to his poor performance in time.

Maxim Integrated Products Inc. MXIM CEO Tunc Doluca - does he possess sublimity, constancy and perseverance?

Points the investor should consider:

1) THE HEXAGRAM

HEXAGRAM 32 – Heng - Duration

The strong trigram Chen is above, the weak trigram Sun below. This hexagram is the inverse of the preceding one. In the latter we have influence, here we have union as an enduring condition. The two images are thunder and wind, which are likewise constantly paired phenomena. The lower trigram indicates gentleness within; the upper, movement without.

In the sphere of social relationships, the hexagram represents the institution of marriage as the enduring union of the sexes. During courtship the young man subordinates himself to the girl, but in marriage, which is represented by the coming together of the eldest son and the eldest daughter, the husband is the directing and moving force outside, while the wife, inside, is gentle and submissive.

THE JUDGMENT

DURATION. Success. No blame.

Perseverance furthers.

It furthers one to have somewhere to go.

2) THE ADVICE

Thunder and wind: the image of DURATION.

Thus the superior man stands firm

And does not change his direction.

Thunder rolls, and the wind blows; both are examples of extreme mobility and so are seemingly the very opposite of duration, but the laws governing their appearance and subsidence, their coming and going, endure. In the same way the independence of the superior man is not based on rigidity and immobility of character. He always keeps abreast of the time and changes with it. What endures is the unswerving directive, the inner law of his being, which determines all his actions.

3) THE LINES:

0 Nine in the second place means:

Remorse disappears.

The situation is abnormal. A man's force of character is greater than the available material power. Thus he might be afraid of allowing himself to attempt something beyond his strength. However, since it is the time of DURATION, it is possible for him to control his inner strength and so to avoid excess. Cause for remorse then disappears.

Six at the top means:

Restlessness as an enduring condition brings misfortune.

There are people who live in a state of perpetual hurry without ever attaining inner composure. Restlessness not only prevents all thoroughness but actually becomes a danger if it is dominant in places of authority.

4) THE MOVING HEXAGRAM

HEXAGRAM 56 - Lu - The Wanderer

The mountain, Ken, stands still; above it fire, Li, flames up and does not tarry. Therefore the two trigrams do not stay together. Strange lands and separation are the wanderer's lot.

THE JUDGMENT

THE WANDERER.

Success through smallness.

Perseverance brings good fortune

To the wanderer.

When a man is a wanderer and stranger, he should not be gruff nor overbearing. He has no large circle of acquaintances therefore he should not give himself airs. He must be cautious and reserved; in this way he protects himself from evil. If he is obliging toward others, he wins success.

A wanderer has no fixed abode; his home is the road. Therefore he must take care to remain upright and steadfast, so that he sojourns only in the proper places, associating only with good people. Then he has good fortune and can go his way unmolested.

THE IMAGE

Fire on the mountain: The image of THE WANDERER.

Thus the superior man

Is clear-minded and cautious

In imposing penalties,

And protracts no lawsuits.

When grass on a mountain takes fire, there is bright light. However, the fire does not linger in one place, but travels on to new fuel. It is a phenomenon of short duration. This is what penalties and lawsuits should be like. They should be a quickly passing matter, and must not be dragged out indefinitely. Prisons ought to be places where people are lodged only temporarily, as guests are. They must not become dwelling places.