Essence of Honesty in Ishida Baigan and Virtue of Integrity in Organizational Ethics

Kansei Engineering International Vol.4 No.2 pp.1-8 (2004)

ORIGINAL ARTICLES

ESSENCE OF HONESTY IN ISHIDA BAIGAN AND VIRTUE OF INTEGRITY IN ORGANIZATIONAL ETHICS

Yuko KOBAYASHI

TokyoInstitute of Technology, 2-12-1 Ohokayama, Meguro-ku, Tokyo, 152-8550, Japan

Abstract: This study illuminates Ishida Baigan's honesty that has popularly been respected as one of the typical features in his lessons. While the Japanese have respected honesty described as makoto in having absorbed Confucianism , their notion of honesty has been criticized by some researchers that it holds truthfulness as one behaves unselfishly and focuses sincerely on the subject he/she just faces, in practice, and it would tend to lack •ereason' to justify his/her behavior in taking social good into account . However, in this paper, I present his idea that the transparency in the spirit of his notion of honesty leads to the modern understanding

of a virtue of integrity, which is a central topic of business ethics, by examining Baigan's thoughts seeking harmony (or wago) among

people from all walks of life in pursuing their honest behavior, particularly based on the way he considered the honest figure of merchants. The background that the concept of his honesty included transparency is related to the fact that he never forgot to be conscious of societal harmony. Then I argue that Baigan's honesty reflects •ereason' to meet public interests, and, it holds the essence to consider in what ways a corporation should establish business ethics especially in considering stakeholders. Baigan's lessons indicate that , attaining transparency may become a moral principle relevant to integrity, which requires one to demonstrate his/her action. Keyword: Honesty, Integrity, Transparency, Information, Business Ethics

1. INTRODUCTION influenced people from all walks of life and was familiar In this paper, I discuss the essence of honesty as •ethe philosophy of the common people'. conceived by Ishida Baigan, and the relationship I will take up Baigan among a number of notable between individual honest behavior and social good theorists including Confucians in Japan for the following deriving from business ethics that he taught. reason: he has been the icon for businesspeople in the Today, in every field of business, information country and kept on inspiring many people since the Edo disclosure has been sought and viewed as strategic era. To date, moral principles such as being competency and contributing to meeting the interests of hardworking, honest and frugal have conventionally stakeholders, and information management is regarded been labeled to Baigan's lessons. As an example, his as a critical issue that may construct or destroy social lessons have helped develop fundamental ideas in trust of business organizations. business organizations and the above moral principles In organization, what is the motive power to have been respected as absolute values for sustaining a encourage one to inform inconvenient or negative news traditional merchant house. Baigan's disciplinary scope to his/her stakeholders? It may be to establish an observed from his typical lessons are extensive. As R. evaluation system to buy in his/her behavior deriving Bellah[1] suggested, it is noticeable that high respect from honesty. In order to attain the objective of the toward authority and class recognition by individuals system, he/she needs not only the honesty signifying coexisted in the realm of Baigan. loyalty or devotion but also having integrity in terms of While the classic researches of Baigan's lessons having strong moral principles. looking into honesty and frugality have been popular and As long as honesty is regarded as behaving just indeed, those researches are meaningful to position the according to what he/she perceives, a •ereason' may be moral principles in the path to professional success, the lost from his/her honesty. To take a deep insight into interest in transparency that is relevant to honesty as this phenomenon deriving from one's honesty, I explore moral principle for a businessperson has scarcely been the essence of honesty addressed by Ishida Baigan, one noticed. I will focus on transparency as a virtue of of the popular theorists in the mid-Edo era of Japan and Baigan's honesty and explore how transparency would the founder of "sekimon shingaku" (or shingaku), which add value to Baigan's honesty.

Received October 10, 2003 Accepted December 18, 2003 1 Kansei Engineering International 014

Due to the inclusion of transparency, Baigan's honesty the second son of a farming family to leave home and be is beyond loyalty (or chushin) leaning towards a subject apprenticed to a merchant, Baigan did this. For some or a concern. In order to discuss Baigan's honesty, I reason, he returned home in the midst of his would apply the term 'integrity'. Honesty is the apprenticeship and sometime later, he again left home to concept that is included in integrity. In other words, work for another merchant. Such a vocational history, integrity has, in a moral sense, something else beyond job-hopping, meant that one would fail in becoming a honesty. It signifies complete honesty, wholeness, and candidate for manager and abandon career promotion in strong moral principles. To get the essence of Baigan's a merchant house. honesty and justify the cause of honest behavior, we While Baigan was working for a merchant house, he need to review integrity in one's mind. decided to become a philosopher. It is known that I anticipate verifying the essence of Baigan's honesty Baigan had not belonged to any school but studied with a by examining his own words, specifically looking into mentor before he opened his own lecture house in Kyoto, the Confucian terms such as honesty (or shojiki), 1729 (14thyear of kyoho period). It was free of charge, integrity (or seijitsu), and truthfulness (or makoto). and he welcomed everyone including women. After introducing Ishida Baigan's personal history to Especially, at that time, it was surprising that the door present what he taught to his disciples, based on his was open for women, and that the lecturer had not notable books titled Tohimondo (Conversation between studied at any school, but had been a peasant and a Town and Countryside) and Seikaron (Managing Home) merchant. Baigan actually admitted to the criticism as in the next section, I discuss honesty commencing with he noted, "It was 15 years ago that I put up a notice to the mechanism of mind that consists of nature and announce that I would begin lecturing and welcome feelings under the Zhu Xi school of Neo-Confucianism everyone. Then, some people said it was admirable which partly influenced Baigan in developing his while others asked what on earth that uneducated man thoughts. Before coming to a conclusion, I present an could teach. Or, some praised me officially, but sneered issue on the view concerning the value of honesty, that is, at me privately. I heard they were divided in their that Japanese honesty is emotional and lacks the opinions."[3] consideration of an end of matters in terms of moral The references drawn for Baigan's lessons were principle. When we review Baigan's honesty reflecting extensive. They included Confucian, Buddhist, and his moral thoughts, we find that he wished to make Japanese books. As Shibata[4] and Bellah[5] argued, things meet with societal interests, and emphasized among many kinds of intelligent resources Baigan used societal harmony as an end of honest behavior. while forming his thoughts, Confucian books had been most influential for Baigan's thoughts (especially the 2. THE ESSENCE OF BAIGAN'S LESSONS Zhu Xi School of Neo-Confucianism). In fact, according to Shibata's survey about Tohimondo In this section, primarily, I describe the personal (Conversation between Town and Countryside), the history of Ishida Baigan (1685-1744), based on the origins of Baigan's thoughts were, in order of frequency, classic study led by Shibata Minoru[2], in order to the Analects of Confucius, Mencius, the Doctrine of the explore how Baigan developed his ideas. I outline Mean, the Great Learning, the Elementary Learning and Baigan's lessons by drawing his keynotes related to the so on. In the top 10 list, nine out of ten books were concept of honesty or shojiki. Confucian. It was not an atypical finding because it Ishida Baigan was a popular philosopher who lived in was all too common for philosophers to base their the mid-Edo era. He was born in 1685 (second year of academic ideas on Confucianism at that time. Hence jokyo period, ruled by Shogun Tokugawa Tsunayoshi). the important thing is that Baigan did not intend to His hometown was Kuwata County, Tamba District in follow the ideas in these books to develop his ideas. Kyoto, Japan. He was the second son of a farming Instead, he applied these academic resources and picked family and his formal name was Okinaga and nickname up words in order to evidence his theories that had been was Kanpei. Since, in those days, it was customary for formed by his experiences[6] .

2 ESSENCE OF HONESTY IN ISHIDA BAIGAN AND VIRTUE OF INTEGRITY IN ORGANIZATIONAL ETHICS

It is assumed that Baigan's humbleness and strength harmony is accomplished and brotherhood helped him carry out his works, while remaining single among all the people is enhanced. What I for life, changing jobs, running a seminar house, being wish is to lead people to this level.[10]

an independent philosopher and enduring criticism. A

typical history that before winning popularity, Baigan At a glance, above, it appears that Baigan's words once lectured for one participant tells us his earnestness. show us the way of frugality. Rather, I raise a concern The open house policy Baigan applied in running his over the motivation underlying his frugality. His words seminar house reflected his strong belief. He believed in Seikaron help understand that Baigan viewed frugality that one develops his/her potential by education and inevitable to practice honesty. In Baigan, the objective becomes a good person. In addition to his nature, his of being frugal is to make one honest. Hence the background working as peasant and merchant developed reciprocal relationship, that is, honesty to lead to his concerns towards minorities in the society and the frugality is nonsense. Toru Sagara, Confucianism- need of education to be a good person [7]. researcher, suggests that (in Baigan) the ability to The following two books written by Baigan show measure a concrete standard of frugality rests on what Baigan emphasized in his lessons. One is called honesty[11]. Sagara views Baigan's frugality as Tohimondo and the other is Seikaron (Frugality: justifiable by honesty. Also, Seiichi Takenaka argues Discussion of Household Management). The former that Baigan extended the range of virtue covering

was written based on Baigan's lecture notes and frugality[12]. While exploring frugality along with

compiled by his major disciples[8]. The latter was honesty, we get to the domain of societal harmony based on the prospectus of frugality discussed among his (wago) Baigan sought. We directly obtain the purpose disciples [9]. After Baigan's death, one of his major of his frugality by the next words.

disciples named Tejima Toan contributed to propagating

Baigan's lessons more extensively over the country and Nothing more than self-interest is harmful to his lessons have been developed as shingaku (meaning the public. Without knowing the taste, one is learning of mind'). •e not able to practice frugality but he is just Here, we look into frugality to learn the essence of stingy. Since frugality I mean is laid in honesty in Baigan's thoughts and the correlation of these honesty, it would help people. [13] two items, honesty and frugality. For we need some

examples to give insight to his frugality, I present Again, Baigan taught people to be frugal in order to Baigan's view as follows; practice honesty. He respected the motivation of saving things. The concept Baigan applied to conflict with Therefore, even though each person engages honesty is clear. That is self-interest (shiyoku). He

in different duty, people from all walks of life viewed any practices to save resources upon self-interest

share the common reason. Thus, the way of as stinginess or rinshoku. samurai warrior gets through to the one of Baigan respected one's given and fixed position in farmer, artisan, and merchant. Likewise, the society. He aimed to pursue societal harmony (wago) way of farmer, artisan, and merchant gets among people from all walks of life, samurai and through to one for samurai warrior. Why on common people as farmers, artisans, and merchants. In earth do they need different teachings on order to pursue this goal, he believed that everyone in frugality? The reason I tell frugality is just I each class needed to do his/her duty (bungen). make him return to the original position of It is known that Baigan stressed the importance of the honesty.... roles of merchants in society and he challenged the Therefore, mine is mine, yours is yours. I traditional, pervasive notion that a merchant was

receive what I lend and return what I borrow. disrespectable just because he/she engaged in buying and

Honesty lies where self-interest does not exist selling without producing. Baigan notes, "Without

at all. When honesty is in practice, societal buying and selling, buyers cannot buy anything, and

3 Kansei Engineering International 014 sellers cannot sell anything. Therefore, a merchant in Jinno-shoto-ki, classic Japanese books, presented next. loses his job and he is forced to be a farmer or an artisan. It is clear that the honesty holds unselfishness that

Then if the merchant becomes a farmer or an artisan, no pushes one to spontaneously obey his/her mind. one is engaged in business transactions and lacking circulation of goods in the society, every person will be When the mirror stores nothing, excludes in trouble" (Tohimondo)[14]. Likewise, he presented selfishness, and flashes over every the virtues of other occupations. For Baigan, finding phenomenon, it does not occur that the figure value in every occupation is connected to the of right and wrong does not appear as it is. consideration of bungen. He found each profession Corresponding to the figure is regarded as valuable for the sake of forming society and regarded it virtue. This is the origin of honesty[19]. necessary to peacefully maintain the social order.

Baigan said, "Everyone should know one's What justifies an event whether it is right or wrong place...how richly he/she dresses up, a farmer is a farmer, depends on the situation[20]. To understand the a merchant is a merchant"[15]. While reinforcing the background of this •efluidity' in considering honesty, we value of each occupation to bring societal harmony, he examine the history of honesty in Confucianism. promoted bungen, which may help one to behave most Honesty as makoto was brought into Japan from China, appropriately, according to his/her given position, along with Confucianism. Although the makoto without destroying social order. honesty' in Confucianism and Japanese classic honesty

are morally related, they cannot be defined as the same.

3. THE ESSENCE OF HONESTY Sagara[21] argues that the Japanese had contributed to

drawing honesty (makoto) out of the other important

In this section, first, I make an historical review moral principles in Confucianism and regarded it as the concerning the concept of honesty, in order to clarify the most fundamental concept. For instance, Ito Jinsai, a root of Baigan's honesty as a moral principle. Then, I kogigaku-founder, denying the Zhu Xi School of move on to the analysis of the structure of Baigan's Neo-Confucianism supremely respected choku or honesty. straightness that is held in the concept of honesty of

Honesty can be translated into Japanese as shojiki (or Confucianism. Miyake[22] states, "harmony (wa) and seichoku in kango classic reading), makoto. In English, straightness (choku) are most important features in honesty is defined as the quality of being honest, human nature discussed by Jinsai." truthfulness[16]. If we find universality in honesty As I discussed earlier, to some extent, we can get between Japanese and Western societies, we need to Baigan's theoretical base from Confucianism and it carefully examine Japanese honesty described as Makoto rather illuminates the academic features of the period. or Seijitsu that may respond spontaneously to one's mind. We cannot ignore the influence of such as the Analects of

As Sagara suggested, in Japan, the concept of honesty Confucius and Mencius that are frequently referred to in had changed over time, and in each period of time, his books. To discuss Baigan's honesty and learn the honesty has been somewhat differently understood[17]. mechanism of emergence of honesty in one's mind, we

He points out that, in ancient times, honesty was recall the expression I referred to in the previous section, "return to honesty" by Baigan described as pure/clean, bright mind, then, in the . Because the expression medieval period as honest mind, later in modern times, indicates that he viewed honesty as a part of nature in viewed as makoto, or seijitsu. Entailing pureness since human beings. ancient times, the honesty in the medieval period was In the concept of Baigan's honesty, there exists sokuin, approached the modern sense of honesty that is a humane feeling expressing compassion or sympathy straightforwardly loyal to one's own mind and for the poor or the desperate. The feeling is quite situational[18]. important in examining the foundation of his honesty.

We learn how honesty was viewed in the medieval Because, while determining whether behavior is period quite directly from Kitabatake Chikafusa's words honest-based in Baigan's thoughts, we will notice that

4 ESSENCE OF HONESTY IN ISHIDA BAIGAN AND VIRTUE OF INTEGRITY IN ORGANIZATIONAL ETHICS sokuin is an absolute value as determinant of honesty. public, it would not be the honesty he encouraged. Then, how can one tell if honesty is combined with We remember that there are some requisites to be sokuin? It is apparent that Baigan respected the qualified with Baigan's honesty. One is simply mechanism signifying nature and feelings in mind, which fact-based honesty. The other is honesty that signifies a is embedded in Confucianism. To recognize the inner pure response upon one's feeling called sokuin originated mechanism is necessary to determine the essence of from nature called jin. These two are not the same, but Baigan's honesty. fundamentally connected by unselfishness. In Baigan's As I noted earlier, Confucianism, Buddhism and books and the collection of his words, here and there, we Japanese resources influenced Baigan's thoughts and he find the words emphasizing frugality for the public, or taught them to people. Sokuin is a term from Mencius the world (seken). too, and it is considered as a feeling deriving from jin (or For example, in Ishida-sensei goroku, Baigan said, "Under frugality humaneness, benevolence), that is one of four moral , even when one needs three things, basics called tan in Confucianism. (The other three he/she manages with just two of them and contributes the basics are gi or justice, rei or gift, and chi or wisdom. other to the public."[25]. By excluding self-interest but Each of these moral parts reflects a feeling just as sokuin adhering to honesty, Baigan lifted frugality to the moral corresponds to jin. Then, gi, rei, chi respectively reflect principle to support coexistence of the public. shuaku or shame of evil, jijo or humbleness, and zehi or To date many researchers have studied Baigan's judgment of right or wrong.) According to Mencius, thoughts and pointed out their uniqueness [26]. That is,

anyone who encounters a child who is about to drown in in Baigan, honesty and frugality are his supreme a well must have a feeling of sokuin and runs to help[23]. principles. For instance, Imai[27] points out Baigan Baigan drew this example from Mencius and put, "what I not only told people the virtue of frugality in a

view as honesty is one's behavior responding to sokuin merchant's economic life, but also consolidated it to the

feelings."[24] universal virtue of honesty for human beings. We

Thus, at this point, I assume that sokuin is easily understand that Baigan intended to propagate his studies

understood as a joint connecting a moral part (jin) to to all types of people, from peasant to samurai in his

honesty by learning the feelings sokuin carries, such as society. As I introduced his words earlier, he said the

compassion, benevolence or sympathy towards the poor, Way to follow is only one. Baigan's attitude in urging the handicapped or the desperate. However, meanwhile, people to pursue the Way was irrespective of one's social we may want to suppose some other situation leading to status. While Baigan showed respect for one's position

the elusive nature of his honesty. In Baigan's thoughts, in society, or bungen, he was so progressive as to intend

it is not considered honest that a son tells on his criminal to make his principles practical in a commoner's life.

father. Baigan does not regard the son's behavior as

honest. The reason is that his behavior in making the 4. DEVELOPLED HONESTY AS BUSINESS

fact public originates from his self-interest. He ETHICS

probably does not want to be accused of hiding a criminal while his true feelings lean towards the opposite, It can be assumed that the background to Baigan's keeping it secret in being sorry about his father. In this theoretical uniqueness may relate to his background. sense, Baigan's honesty does not always appreciate As an example, Minamoto[28] infers that Baigan might

fact-based truthfulness. In other words, his honesty is have suffered a lot while being engaged as peasant and

mindful of one's real feelings (jitsujo) but it does not later merchant, due to the difference of the values of

always respond to what one perceives. Hence, at a these occupations. Even though some critics point out

glance, it appears that Baigan's honesty lacks •ereason', or the inconsistency in Baigan's thoughts, many a principle of matter. To review the value of honesty, businesspeople have constantly appreciated his thoughts

we may go back to the motivation of his honesty. If, and considered them quite important. We find that

under Baigan's honesty, one was allowed to pursue businesspeople may not want to seek consistency as

honesty and consequently ignored the welfare of the business moral principle from Baigan but rather learn

5 Kansei Engineering International 014 honesty and frugality in business practices for themselves. That is the uniqueness of the way that the We see Baigan thought making business profits was

Japanese have respected Baigan's ideas. justified because the information of the business

Baigan's honesty and frugality have been the most transaction is clear, transparent through one's perception. popular topics for philosophical research as well as for What he respected along with straightforwardness is business basics. For example, Minamoto[29] argues transparency. In Baigan's thoughts straightforwardness that Baigan's words[30], "A real merchant wishes both is a virtue of honesty. Straightforwardness would mean customer and (merchant) himself succeed", signify the being direct, not being bent. He put, "the mirror core of Baigan's thoughts about business. In the reflects the object, it is just like form accompanying its original language, it is said, "makoto no shonin wa saki shadow, quick as a flash, you cannot tell if it is right or mo tachi, ware mo tatsu koto o omou nari". This wrong[33]". His honesty is the phenomenon you cannot expression seems quite valuable since it sounds effective lie about. That is, being honest for a merchant is to review today's business practices, not only business to demonstrated by disclosure of profit information. business (e.g. supplier), or business to customer, but also In sum, making a profit is really the Way of the business to community or to other stakeholders related to merchant on condition that he straightforwardly makes a the business. Furthermore, it is Baigan's job that the profit. Hence making a profit makes a merchant. On making profits' by business is a value. Because •eas the other hand he stresses a merchant must receive fair noted earlier, before Baigan, no one had hinted that value for his services. Baigan applied the mirror to tell making a profit would be the Way of merchants and, if one does not have any evil in mind and he has nothing generally, merchants were looked down on in society. to hide, he is not afraid of the mirror.

Sagara[31] regarded this idea as sufficiently worthy of He suggests the honesty of the merchant is to secure note in the history of Japanese modern philosophy. transparency in business profits. R. C. Solomon

Then, one may get tired of the redundancy in the emphasizes, "Integrity includes both one's sense of analysis of the virtues of Baigan's honesty. Baigan membership and loyalty and one's sense of moral demonstrated many moral principles to be good for autonomy" [34]. Baigan regards •eaction' to disclose common people and for merchants. When we focus on information as a means of demonstrating merchants' the business morality of merchants, we recall some of his integrity. popular words, such as directness or straightness. His moral thought exceeds individual loyalty and may

Indeed, it would consist of Baigan's moral thoughts be viewed as a virtue of integrity. Transparency may be regarding business practices, however, I attempt to regarded as a standard to attain moral autonomy . explore some other moral essence out of his works. Loyalty alone does not always convey transparency .

Below, I, present Baigan's description that indicates That is because disclosed information might include what Baigan viewed as the figure of an honest merchant. negative information to the concerned so that any loyal

person may wish to hide it in order to be good for the A merchant engaged in commercial direct recipient of his/her loyalty. In the meantime , intermediation is called a broker. When a Baigan's honest person who does things transparently is

broker puts a list of brokerage fee rate on the proactive and he/she would not allow him/herself to

board, his customer takes a glance at it. It is ignore the concern with an end of matter.

just like the reflection in the mirror. He hides In Japanese Confucianism makoto or truthfulness has

nothing and the list is straightforwardly the been the most respected moral principle. Yoshio

evidence of his profit. A merchant is fit for Takeuchi notes that the critical difference between

his duty by making profit straightforwardly Chinese and Japanese Confucianism is the priority of ko

(suguni). Making profit straightforwardly is (filial affection) and chu (loyalty), and he concludes that

the honesty of merchant. He cannot pursue the Japanese had prioritized chu over ko while the

the right Way of business without getting Chinese, in contrast, had respected ko based on the

profit[32]. family system.[35] Also, Masao Maruyama who found

6 ESSENCE OF HONESTY IN ISHIDA BAIGAN AND VIRTUE OF INTEGRITY IN ORGANIZATIONAL ETHICS

selflessness out of Japanese moral theories, points out businesspeople may behave honestly and what makes that the significance of the social effects rather than that integrity in business practices. Transparency may be

of individual motivation had emerged among Japanese the symbol of •ebusiness ethics for businesspeople in theories after having absorbed Confucianism from China order to justify integrity in which he/she would respect (e.g. in Ito Jinsai and Ogyu Sorai)[36]. not only his /her sole subject but also social interests We find that disclosing information and keeping including stakeholders'. transparency as a business principle were attentive to

social interests that are good enough to promote social I would like to thank the anonymous referees of JSKE

harmony. It appears that Baigan's moral thought finding for their helpful criticism and comments on earlier

the value of disclosure of information went along with version of this article. the above and aimed to make people attain more than loyalty-oriented honesty. REFERENCES 1. R.N.Bellah, Shingaku and Twenty-First Century

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