Management Analysis through the I Ching

All phenomena in this world, before we recognize them, are chaotic, indiscriminate, meaningless, colorless, infinite, boundless, and empty. In the I Ching, this chaotic origin is called the Taiji. It has no position, no movement, no relationships. There is no past, present, or future. Therefore, meaning and change cannot be understood. There is no distinction between self and others. Living in this world would be difficult under such conditions. Thus, distinctions arise. The first distinctions are relative. With oneself, others arise. With above, there is below. With right, there is left. With high, there is low. With increase, there is decrease. With strong, there is weak. With out, there is in. With selling, there is buying. With lending, there is borrowing. With warm, there is cold. With front, there is back. With order, there is reverse. With positive, there is negative. With good, there is evil. With truth, there is falsehood. With beauty, there is ugliness. With surface, there is back. With light, there is dark. With yang, there is yin.

In the I Ching, there is Taiji, and from Taiji arises the two forms.

The two forms are yin and yang.

The principles of yin and yang are as follows:

  • Yin and yang are opposites. Yin and yang have a relationship of action and reaction.
  • Yin and yang are symmetrical. Yin and yang are symmetrical.
  • Yin and yang are always present. Yin and yang always exist.
  • Yin and yang are interdependent. Yin and yang depend on each other. Yin exists because yang exists, and yang exists because yin exists.
  • Yin and yang are independent. Although yin and yang depend on each other, their functions are independent. Selling and buying are interdependent, but the functions of selling and buying are independent.
  • Yin and yang wax and wane. When yin increases, yang decreases, and when yang increases, yin decreases.
  • Yin and yang transform. Yin transforms into yang, and yang transforms into yin. This means that the origin of yin is Taiji, and the origin of yang is Taiji. In other words, yin and yang arise from the one Taiji.

There is no need to understand yin and yang in a dictionary or conceptual way. It is enough to think of yin and yang as functions or states. They are opposing forces that work in opposite directions. They have a relationship of action and reaction.

This also applies to the action and reaction of recognition. External actions are accompanied by internal actions. Speaking implies that someone is listening. Selling implies that there is a buyer. Seeing implies that there is an object to be seen. Selling and buying are the same actions recognized from different perspectives.

The I Ching explains that this world is made up of change, that is, movement. The basic form of change is cyclical movement. The root of change is divided into two opposing forces, and the cause of change is explained by their functions. When one force weakens, the other force strengthens by the same amount, and when the force reaches its peak, the direction of change reverses. In other words, there is a relationship of action and reaction. This repetitive movement is thought to cause all phenomena to rotate. This is also the principle of periodic movement.

The two directions are forward and backward, increase and decrease, strong and weak, high and low, hot and cold. When the cold weakens, the heat gradually strengthens, and when the heat reaches its peak, the cold strengthens. The interaction of heat and cold creates the four seasons.

Yin and yang can also be understood as + and -.

Combining + and -, IN and OUT, and incorporating object-oriented thinking allows for consistent responses tailored to the counterpart.

Selling and buying, lending and borrowing are relational. It is a difference in recognition of where the subject is placed.

The market is established through transactions. All transactions are equivalent exchanges. Many people misunderstand this point. They think that transactions include profit and that goods are sold at a higher price than their value. Therefore, they consider transactions to be fraudulent or exploitative. They believe that discounting is justice. This is a misunderstanding. Transactions are always equivalent exchanges, and they are established because they are equivalent exchanges. Profit is just a part of the added value. Profit-making activities are different from fraud.

Understanding that transactions are equivalent exchanges helps to realize that providing added value is important for making a profit, not just selling at a high price. Equivalent exchanges make transactions beneficial for both parties and build sustainable business relationships. The origin of transactions is one. Selling and buying, lending and borrowing arise to recognize and establish transactions.

In the market, there is Taiji. From Taiji, transactions arise.

If there is a seller, there is a buyer. If there is a lender, there is a borrower. If there is an income, there is an expenditure. If a claim arises, an equivalent debt arises. In other words, the same thing becomes two actions when viewed from different perspectives, which is yin and yang. From there, the functions in the relationship of front and back are repeated and classified. In a sense, it is dialectical.

The I Ching analyzes change through six stages and processes.

First, clarify the situation and preconditions as a hexagram. Express the outline and the policy to be taken as the hexagram statement, and interpret the line statements according to the counterpart’s situation and conditions. This procedure is important. First, grasp the whole picture, then confirm the counterpart’s situation, and formulate countermeasures according to the counterpart’s position.

Feeling arises from touching. Feeling and touching have a relationship of action and reaction. Writing allows seeing. Writing and seeing have a relationship of action and reaction.

In the I Ching, there are three meanings: unchanging, changing, and simple. Things are composed of universal and changing factors, and their principles are simple and clear. Nature has fluctuating factors and universal factors, and their relationships can be simplified by mathematical formulas.

In the world of the I Ching, the meaning of words is not the issue, but the function is. It is about the function of increasing or decreasing. It is not about the meaning of good or evil, true or false. Therefore, it is not about opposing words, but about functions.

In other words, from one’s own perspective, there are symmetrical and relative functions. If there is right, there is left. If there is front, there is back. Such correlations are key.

If there is a seller, there is a buyer. If there is a lender, there is a borrower. If there is an income, there is an expenditure. If a claim arises, an equivalent debt arises. In other words, the same thing becomes two actions when viewed from different perspectives, which is yin and yang. The origin is one. One becomes two. From there, the functions in the relationship of front and back are repeated and classified. In a sense, it is dialectical.

For example, in-out, yes-no, moving away and approaching, selling and buying, lending and borrowing, inside and outside, advancing and retreating, attacking and defending, giving and receiving, pushing and pulling, stillness and movement, winning and losing.


Stillness and Movement

Stillness and movement have a relationship where a moving point stops and becomes still, and a still point starts to move.

In this way, we consider the actions and states that are in a relationship of action and reaction and add the antinomies to them.

For example, rise and fall, strong and weak, front and back, dispersion and convergence, exhale and inhale, increase and decrease, light and dark, name and reality, dense and sparse.

When rise and fall are linked, we also calculate that.

From the two forms arise the four images.

The four images are old yang, young yin, young yang, and old yin. Old yang and old yin can also be written as taiyang and taiyin. Young yin is when yin enters yang, and young yang is when yang enters yin. Young yang changes to old yang, old yang changes to young yin, young yin changes to old yin, and old yin changes to young yang. In terms of the four seasons, young yang is spring, old yang is summer, young yin is autumn, and old yin is winter.

From the four images arise the eight trigrams.

From old yang arise Qian and Dui. From young yin arise Li and Zhen. From young yang arise Xun and Kan. From old yin arise Gen and Kun.

In the beginning, there were only the two forms of yin and yang. These developed into the eight trigrams, which were further subdivided into the sixty-four hexagrams.

The eight trigrams are the fundamental elements of the I Ching. In ancient China, it was believed that these eight elements (heaven, lake, fire, thunder, wind, water, mountain, earth) constituted the world.

Therefore, hardness and softness interact, and the eight trigrams move each other.

Qian governs the great beginning, and Kun creates things. Qian governs with ease, and Kun accomplishes with simplicity.

The eight trigrams each consist of three lines. This is called a small trigram. The meanings of each of the eight trigrams are likened to natural phenomena, which are called the true images. The basic properties and characteristics of each of the eight trigrams are called the virtues of the trigrams.

The sixty-four hexagrams are composed of the combination of two of the eight trigrams. The sixty-four hexagrams consist of six lines, which are twice the number of the eight trigrams.

The foundation of the I Ching is the sixty-four hexagrams.

Another name for the sixty-four hexagrams is the original hexagrams. The original hexagrams are considered to most prominently represent the current state or oneself.

The names given to each of the sixty-four hexagrams are called hexagram names. The interpretive words explaining each of the sixty-four hexagrams are called hexagram statements.

The inner trigram is considered close, and the outer trigram is considered distant. The inner trigram can represent oneself, and the outer trigram can represent the other. The inner trigram can be the inside, and the outer trigram can be the outside. The inner trigram can be the lower, and the outer trigram can be the upper.

The lines used to express the hexagrams in the I Ching are called yao. They are represented by a straight horizontal line (─) and a broken horizontal line (- -). The yao are divided into yang and yin, with ─ representing yang and – – representing yin, and they are called yang yao and yin yao, respectively. Furthermore, odd numbers are considered yang, and even numbers are considered yin, with yang yao represented by the number nine and yin yao represented by the number six. When three yao are combined, they form a trigram, and when two trigrams are combined, they form a hexagram with six yao.

The yao have positions of heaven, earth, and human, which are called the three talents. In a small trigram, the bottom yao is the position of earth, the second yao is the position of human, and the top yao is the position of heaven. Both the small trigram and the original hexagram consist of these two elements of heaven, earth, and human.

Another name for the sixty-four hexagrams is the original hexagrams.

A large hexagram is a hexagram in which the yin and yang of specific yao in the original hexagram are reversed.

The interpretive words for the yao are also provided.

The eight trigrams convey images, and the yao and hexagram statements convey emotions. The combination of hardness and softness allows us to see fortune and misfortune. Changes are expressed through benefits, and fortune and misfortune are conveyed through emotions. Therefore, love and hate attack each other, creating fortune and misfortune, and near and far take each other, creating regret and distress. Emotions and falsehoods interact, creating benefits and harms. In general, the emotions of the I Ching are close, and if they do not interact, it is considered misfortune, or it may cause harm, regret, and distress.

The eight trigrams are the fundamental elements of the I Ching. In ancient China, it was believed that these eight elements (heaven, lake, fire, thunder, wind, water, mountain, earth) constituted the world.

The four images of heaven are the sun (taiyang), moon (taiyin), stars (shaoyang), and constellations (shaoyin), created by the interaction of yin and yang. The four images of earth are water (taiyin), fire (taiyang), soil (shaoyin), and stone (shaoyang), created by the interaction of hardness and softness. Instead of the five elements theory, the interaction of these sun, moon, stars, constellations, water, fire, soil, and stone explains the creation and change of all things in the universe.

The eight trigrams are Qian, Dui, Li, Zhen, Xun, Kan, Gen, and Kun. Each trigram is given an image that represents phenomena in this world, called the true image, and is expressed using natural elements.

True Images

Qian represents heaven. Dui represents the lake. Li represents fire. Zhen represents thunder. Xun represents wind. Kan represents water. Gen represents the mountain. Kun represents the earth.

Virtues of the Trigrams The function of Qian is strength. The function of Dui is joy. The function of Li is attachment and brightness. The function of Zhen is movement. The function of Xun is entering. The function of Kan is falling. The function of Gen is stopping. The function of Kun is following.

Heaven and earth establish positions, mountains and lakes communicate, thunder and wind interact, water and fire do not interfere, and the eight trigrams interlock. Those who count the past follow the order, and those who know the future reverse it. Therefore, the I Ching is a reverse count.

The divine is the subtle force that acts on all things. Nothing moves all things faster than thunder. Nothing bends all things faster than wind. Nothing dries all things faster than fire. Nothing pleases all things faster than the lake. Nothing moistens all things faster than water. Nothing ends and begins all things more vigorously than Gen. Therefore, water and fire reach each other, thunder and wind do not oppose each other, mountains and lakes communicate, and then change can occur, completing all things.

Establishing the way of heaven is called yin and yang, establishing the way of earth is called hardness and softness, and establishing the way of humans is called benevolence and righteousness. It is also said that by seeking the beginning and returning to the end, one can understand life and death.

The eight trigrams each consist of three yao. The meanings of each of the eight trigrams are likened to natural phenomena, which are called the true images. The basic properties and characteristics of each of the eight trigrams are called the virtues of the trigrams.

Qian is strength. Kun is following. Zhen is movement. Xun is entering. Kan is falling. Li is attachment. Gen is stopping. Dui is joy. Qian is the head, Kun is the abdomen, Zhen is the feet, Xun is the thighs, Kan is the ears, Li is the eyes, Gen is the hands, and Dui is the mouth.

The sixty-four hexagrams are composed of the combination of two of the eight trigrams. The sixty-four hexagrams consist of six yao, which are twice the number of the eight trigrams.

The first, second, and third yao from the bottom are the inner trigram, and the fourth, fifth, and top yao are the outer trigram.

In ancient times, when the sages created the I Ching, they intended to follow the principles of life and destiny. Therefore, they established the way of heaven as yin and yang, the way of earth as hardness and softness, and the way of humans as benevolence and righteousness, combining the three talents into two. Therefore, the I Ching forms hexagrams with six lines. It separates yin and yang and alternately uses hardness and softness. Therefore, the I Ching forms chapters with six positions.

The names given to each of the sixty-four hexagrams are called hexagram names. The interpretive words explaining each of the sixty-four hexagrams are called hexagram statements.

Composition of the Hexagrams The bottom yao is the first yao. The first yao represents younger siblings, regular employees, villages, feet, and the months of January to February.

The second yao from the bottom is the second yao. The second yao represents oneself. In a company, it represents a section chief, towns, legs, and the months of March to April.

The third yao from the bottom is the third yao. The third yao represents older siblings, department heads, cities, hips, and the months of May to June.

The fourth yao from the bottom is the fourth yao. The fourth yao represents the mother, executives, metropolises, the abdomen, and the months of July to August.

The fifth yao from the bottom is the fifth yao. The fifth yao represents the father, company presidents, capitals, the chest and back, and the months of September to October.

The top yao is the top yao. The top yao represents grandparents, chairpersons, suburbs, the head and neck, and the months of November to December.

Interestingly, one places oneself in the second yao.

Yin and yang have correct and incorrect positions.

In the I Ching, odd numbers are considered yang, and even numbers are considered yin. There are fixed seats for yin and yang based on the position of the yao. The odd-numbered first, third, and fifth yao are yang seats, and having yang in these seats is auspicious. The even-numbered second, fourth, and top yao are yin seats, and having yin in these seats is considered correct and auspicious. The hexagram of water and fire already completed fits these conditions.

If the yao of the hexagram drawn matches the correct positions of yin and yang, having yang in a yang position is considered correct and auspicious. If not, it is considered incorrect, out of position, or incorrect, and it is seen as contrary to natural laws and the correct path. Having yin in a yang position tends to be passive, and having yang in a yin position tends to overdo things beyond one’s capacity.

However, this is just a principle, and the relationships of comparison, response, riding, and bearing do not necessarily determine fortune and misfortune.

The yao have middle and correct positions. The middle positions are the middle of the lower trigram and the middle of the upper trigram, which are the second and fifth yao. When these yao are in their correct positions, meaning the second yao is yin and the fifth yao is yang, it is called “middle and correct,” and it is considered very good. The I Ching values the virtue of the middle, and there is a saying, “the teaching of the middle of the time.”

Even if the second yao is yang and the fifth yao is yin, which is the opposite, it is still evaluated by people, though not as highly as when in the correct positions. If the second yao is yang, it is praised as “having action and being reliable,” and if the fifth yao is yin, it is praised as “being thoughtful and trustworthy.” Therefore, whether the second and fifth yao are in the correct positions or not, they are fundamentally stable and favorable positions.

In contrast, for the other yao, whether the position is correct or not is important. When the fifth yao has yang in the yang position, it is called “strong and correct in the middle,” and when the second yao has yin in the yin position, it is called “gentle and correct in the middle,” and these are considered the most fortunate. Even if the position is not correct, being strong in the middle or gentle in the middle is not blamed for being incorrect, while the other yao, even if in the correct position, are not necessarily fortunate. If incorrect, the meaning of misfortune is emphasized. This is particularly evident for the third yao (often said to be mostly misfortune), the fourth yao (often said to be mostly delay), and the top yao. Therefore, judgments of fortune, misfortune, regret, distress, and nothingness are made in relation to the middle, correct, not middle, and incorrect positions of the yao.

The types of hexagrams include the original hexagram, unexpected hexagram, inner hexagram, outer hexagram, single hexagram, reverse hexagram, (double hexagram), mutual hexagram, changing hexagram, opposite hexagram, composite hexagram, guest hexagram, (fragmented hexagram).


Inner Trigram and Outer Trigram

The inner trigram refers to the lower three lines of the six lines that make up the sixty-four hexagrams, specifically the first, second, and third lines. Because it is located at the bottom, it is also called the lower trigram. The outer trigram refers to the upper three lines of the six lines that make up the sixty-four hexagrams, specifically the fourth, fifth, and top lines. Because it is located at the top, it is also called the upper trigram.

The original hexagram (Honka) refers to the main large hexagram. The changing hexagram (Shika) broadly refers to the large hexagrams that change from the original hexagram, such as the mutual hexagram, the reverse hexagram, the composite hexagram, and the guest hexagram, indicating future possibilities. Narrowly, it refers to a large hexagram where only one line of the original hexagram is reversed in yin and yang. The changing hexagram (Henka) is the same as the Shika. The mutual hexagram (Goka) is a large hexagram where the second and third lines of the original hexagram form the inner trigram/lower trigram, and the third, fourth, and fifth lines form the outer trigram/upper trigram, suggesting hidden matters. The reverse hexagram (Satsuka) is a large hexagram where all six lines of the original hexagram are reversed in yin and yang, indicating the opposite situation. The reverse hexagram (Rika) is the same as the Satsuka. The composite hexagram (Soka) is a large hexagram where all six lines of the original hexagram are reversed in position, indicating the essence. The guest hexagram (Hinka) is the same as the Soka. The changing line (Henko) refers to a single line that will change.

Taking the hexagram “Tian Xia Tong Ren” as an example:

The changing hexagrams of “Tian Xia Tong Ren” are Ze Huo Ge, Li Wei Huo, Feng Huo Jia Ren, Tian Lei Wu Wang, Qian Wei Tian, and Tian Shan Dun. The mutual hexagram of “Tian Xia Tong Ren” is Tian Feng Gou. The reverse hexagram of “Tian Xia Tong Ren” is Di Shui Shi. The reverse hexagram and guest hexagram of “Tian Xia Tong Ren” are Huo Tian Da You.

The changing line seeks the line that changes in yin and yang.

The large hexagram obtained by reversing the yin and yang of the sought line is called the changing hexagram, indicating future possibilities. However, it is only a prediction and does not necessarily mean it will go in that direction. It is also used to explore hidden circumstances or concealed issues in detail.

The reverse hexagram is the one where the yin and yang of all the lines of the sixty-four hexagrams are reversed. It can be useful for understanding the hidden true intentions of oneself or others, or the underlying meaning of things or situations.

By the changing line, changes are predicted. The changing line seeks the line that changes in yin and yang.

The large hexagram obtained by reversing the yin and yang of the sought line is called the changing hexagram, indicating future possibilities. However, it is only a prediction and does not necessarily mean it will go in that direction. It is also used to explore hidden circumstances or concealed issues in detail.

The reverse hexagram is the one where the yin and yang of all the lines of the sixty-four hexagrams are reversed. It can be useful for understanding the hidden true intentions of oneself or others, or the underlying meaning of things or situations.

Responding lines and comparing lines, riding and bearing Responding lines refer to the relationship where each line of the inner trigram and outer trigram corresponds to each other in yin and yang, responding to each other. The relationship between the first and fourth lines, the second and fifth lines, and the third and top lines is called responding lines, and if they are of the same yin or yang, it is called non-responding, harmful responding, or enemy responding, meaning they do not respond.

What are responding lines? The relationship between the first and fourth lines is a responding line. The relationship between the second and fifth lines is a responding line. The relationship between the third and top lines is a responding line. These three types of relationships are called responding lines, and they do not change in any situation.

The important thing in responding is the response between the second and fifth lines, both of which are in the middle, and it is considered that their cooperation can accomplish great things. On the other hand, in the case of non-responding, that is, harmful responding, it is impossible to carry out important matters because support or cooperation cannot be obtained.

In other words, the relationship between costs and liabilities becomes important.

Comparing lines refer to the relationship where adjacent lines are in yin and yang. Comparing means being close, like men and women sitting next to each other, indicating an intimate relationship. Yin and yin, yang and yang are non-comparing and do not get close to each other. It is seen as a distant relationship between strangers. While the relationship of responding lines is support or cooperation from the public or business partners, the relationship of comparing lines refers to cooperation or assistance from close people such as friends, relatives, or neighbors. The scale is small, and the power is not as strong as responding lines. In the hexagram of water and fire already completed, all six lines are responding lines and comparing lines.

“Yin and yin” and “yang and yang” do not attract each other. In the case of “yin and yin,” they are both weak and do not have the power to attract each other. In the case of “yang and yang,” they are both strong and repel each other.

Riding refers to the relationship of comparing lines where the yin line is above the yang line. It is considered unfavorable. Bearing refers to the relationship of comparing lines where the yin line is below and supports the yang line. It is considered favorable.

When making various judgments, riding and bearing often look at whether the yang line comes to the comparing line based on the yin line.

In the I Ching, there are the aspects of heaven, earth, and human. Heaven’s time, human’s harmony, and earth’s advantage. Heaven’s time refers to stages, procedures, orders, etc. Human’s harmony refers to organization, position, etc. Earth’s advantage refers to society, environment, location, etc. The conditions of heaven, earth, and human of the person or object being observed by the I Ching are the premise.

Yin and yang are rotation, circulation, cycle, and wave motion.

The movements of rotation, circulation, cycle, and wave appear as front and back, up and down, left and right, cold and warm, inward and outward. Movements have position and direction. The functions of rotation, circulation, cycle, and wave have strength and weakness, increase and decrease, high and low, etc. Other functions include speed, etc.

These movements and functions resonate with heaven, earth, and human to produce hexagrams.

The position of reading the lines changes depending on the person observing the I Ching and the object.

Time has six stages in the lines. In the I Ching, the fifth line is considered the peak. Rather than order, it is better to think about where the focus is. In changes, the fifth line is the peak, and the top line is the end. From there, the first line is the starting point, and the second line can be said to be the departure point. Therefore, the second and third lines are the middle. Dividing the stages into four, the fifth line is the final destination, and the top line is considered the remaining life. This is heaven’s time. There are also stages in roles within an organization. The first line is a newcomer, the second line is an apprentice, the third line is in charge, the fourth line is a person in charge, the fifth line is a general manager, and the top line is an advisor. This is human’s harmony. There are also stages in earth’s advantage. The first line is one’s living area, the second line is the work area, the third line is the national area, the fourth line is allied countries, the fifth line is the world, and the top line is the universe.

Using such a structure of the I Ching, a platform for analysis is created. Instead of divination, some phenomena or numbers are applied to the lines. In other words, the structure of the I Ching is important.

It is binary and also applies to today’s computer language.

In terms of management analysis:

The I Ching can be considered a model that can diagram and simulate the actual state of management and the relationships between elements.

The starting point of management analysis is the analysis of financial statements.

The debit side is out and yang. The credit side is in and yin.

The problem lies in the combination of the hexagram images.

Consider several images. There is no absolute image.

First, construct the images of the inner trigram and outer trigram. One is to make the inner trigram profit and loss and the outer trigram debit and credit. One is to make the inner trigram debit and credit and the outer trigram profit and loss. In any case, they are mutually reverse hexagrams.

Next, the composition of the eight trigrams. One is to make the composition of profit and loss, with the first line as revenue, the second line as expenses, and the third line as profit, and the composition of debit and credit, with the first line as liabilities, the second line as assets, and the third line as capital. One is to make the first line profit, the second line expenses, and the third line revenue, and the composition of debit and credit, with the first line as liabilities, the second line as assets, and the third line as capital.

This time, I will make the first line revenue, the second line expenses, the third line profit, the fourth line liabilities, the fifth line assets, and the top line capital.

Consider the financial statement as Taiji, and then make the debit and credit the two forms.

Top line capital Fifth line liabilities Fourth line assets Third line sales Second line expenses First line profit

Yin and yang use the previous year.

Changing the order and combination can lead to various analyses.

Using the lines can visually appeal, and color-coding in five stages makes it more three-dimensional. Profit is shaded in blue, and loss is shaded in red. Using mapping techniques. Expenses are the difference from the previous year. Otherwise, plus and minus cannot be determined. Shading can visualize the degree. It can also be considered in terms of the increase and decrease of funds.

Also, dividing the eight trigrams into upper and lower parts can provide different perspectives. For example, dividing the images of capital, assets, and liabilities and the images of profit, expenses, and revenue, or swapping the upper and lower parts.

Partially reversing yin and yang and looking at the changing lines can lead to future predictions. For example, replacing a decrease in profit with an increase in profit.

Ultimately, making the user interface a dashboard can turn it into a cockpit.

For example, when expressing a financial statement as a hexagram:

First, derive the overall hexagram from the financial statement, and then derive separate hexagrams for debit and credit and compare them.

Create three tables with seven rows and two columns.

Consider the debit side as yang, operation, and out, and the credit side as yin, procurement, and in.

One is an integrated financial statement First line, sales. Second line, expenses. Third line, profit. Fourth line, liabilities. Fifth line, assets. Top line, capital

Make the first row the item row, the first column debit (yang, operation, out), and the second column credit (yin, procurement, in). Second row, increase and decrease in sales Third row, increase and decrease in expenses Fourth row, increase and decrease in profit Fifth row, increase and decrease in liabilities Sixth row, increase and decrease in assets First row, increase and decrease in capital

Debit side: first line, sales. Second line, expenses. Third line, variable costs. Fourth line, current assets. Fifth line, fixed assets. Top line, total assets

Make the first row the item row, the first column item, and the second column increase and decrease. Second row, increase and decrease in total assets. Third row, increase and decrease in fixed assets. Fourth row, increase and decrease in current assets. Fifth row, increase and decrease in expenses. Sixth row, increase and decrease in fixed costs. First row, increase and decrease in variable costs.

Credit side: first line, sales. Second line, gross profit. Third line, profit. Fourth line, current liabilities. Fifth line, fixed liabilities. Top line, capital

Make the first row the item row, the first column debit (yang, operation, out), and the second column credit (yin, procurement, in). Second row, increase and decrease in capital. Third row, increase and decrease in fixed liabilities. Fourth row, increase and decrease in current liabilities Fifth row, increase and decrease in profit. Sixth row, increase and decrease in gross profit First row, increase and decrease in sales.

Then, view the increase in blue shades and the decrease in red shades for each item compared to the previous period. Then read the hexagrams of debit and credit. Also compare and read the changing lines, reverse hexagrams, etc., and predict the future.

Yin and yang have correct and incorrect positions.

In the I Ching, odd numbers are considered yang, and even numbers are considered yin. There are fixed seats for yin and yang based on the position of the lines. The odd-numbered first, third, and fifth lines are yang seats, and having yang in these seats is auspicious. The even-numbered second, fourth, and top lines are yin seats, and having yin in these seats is considered correct and auspicious. The hexagram of water and fire already completed fits these conditions.

In terms of management hexagrams:

Top line capital in yin Fifth line liabilities in yang Fourth line assets in yin Third line profit in yang Second line expenses in yin First line sales in yang

If the lines of the drawn hexagram match the correct positions of yin and yang, having yang in a yang position is considered correct and auspicious. If not, it is considered incorrect, out of position, or incorrect, and it is seen as contrary to natural laws and the correct path. Having yin in a yang position tends to be passive, and having yang in a yin position tends to overdo things beyond one’s capacity.

Inner trigram, outer trigram, single hexagram, reverse hexagram, (double hexagram), mutual hexagram, changing hexagram, reverse hexagram, composite hexagram, guest hexagram, (fragmented hexagram).

The changing line produces six types. This can be developed into six to the power of three images in terms of profit and loss, revenue, and debit and credit.

Adding inner trigram, outer trigram, single hexagram, reverse hexagram, mutual hexagram, changing hexagram, reverse hexagram, composite hexagram, guest hexagram, how many simulations can be done?

Furthermore, there are six stages of reading the lines.

“Qian, Dui, Li, Zhen, Xun, Kan, Gen, Kun” Create the eight trigrams with three elements. The eight trigrams are modules. For example, combining sales, gross profit, and profit (revenue module) to create the eight trigrams.

Position the three elements with the functions of yin and yang. The typical function of yin and yang is in and out. Then position the first line as input, the second line as processing, and the third line as output.

Combine them to create a small hexagram. For example, expenses, fixed costs, variable costs (expense module). Total assets, fixed assets, current assets (total assets module). Capital, fixed liabilities, current liabilities (total capital module).

Then analyze the functions of the modules. Combine two modules.

The combinations are total assets and expenses. Total assets and revenue. Total capital and expenses. Revenue and expenses. Total capital and revenue.

Management is chaotic, and its essence is Taiji. There is Taiji in the I Ching. From management, profit and loss and debit and credit arise. Also, increase and decrease in profit arise. Increase and decrease in capital arise. From Taiji arise the two forms. Profit and loss are yang, debit and credit are yin. Increase in profit is yang, decrease in profit is yin. Increase in capital is yang, decrease in capital is yin.


From Management, Both Profit Increase and Decrease Arise

In terms of profit and loss, the first line represents sales, the second line represents expenses, and the third line represents profit.

For example, in profit and loss:

  • Qian represents an increase in sales, an increase in expenses, and an increase in profit, indicating health.
  • Dui represents a decrease in sales, an increase in expenses, and an increase in profit, indicating joy. Although sales have increased, expenses have increased even more, resulting in a decrease in profit.
  • Li represents an increase in sales, a decrease in expenses, and an increase in profit, indicating brightness. Expenses have decreased, and sales have increased, resulting in an increase in profit.
  • Zhen represents a decrease in sales, a decrease in expenses, and an increase in profit, indicating movement. Sales have decreased, but expenses have decreased even more, resulting in an increase in profit.
  • Xun represents an increase in sales, an increase in expenses, and a decrease in profit, indicating entry. Sales have increased, but expenses have increased even more, resulting in a decrease in profit.
  • Kan represents a decrease in sales, an increase in expenses, and a decrease in profit, indicating a fall. Sales have decreased, and expenses have increased, resulting in a decrease in profit.
  • Gen represents an increase in sales, a decrease in expenses, and a decrease in profit, indicating stopping. Sales have increased, and expenses have decreased, but profit has decreased.
  • Kun represents a decrease in sales, a decrease in expenses, and a decrease in profit, indicating following. Both sales and expenses have decreased, resulting in a decrease in profit.

In terms of debit and credit, the first line represents liabilities, the second line represents assets, and the top line represents capital:

  • Qian represents an increase in liabilities, an increase in assets, and an increase in capital, indicating health.
  • Dui represents a decrease in liabilities, an increase in assets, and an increase in capital, indicating joy. Both assets and capital have increased, and liabilities have decreased.
  • Li represents an increase in liabilities, a decrease in assets, and an increase in capital, indicating brightness. Liabilities have increased, but assets have decreased, resulting in an increase in capital.
  • Zhen represents a decrease in liabilities, a decrease in assets, and an increase in capital, indicating movement. Capital has increased, and both assets and liabilities have decreased.
  • Xun represents an increase in liabilities, an increase in assets, and a decrease in capital, indicating entry. Capital has decreased, and both assets and liabilities have increased.
  • Kan represents a decrease in liabilities, an increase in assets, and a decrease in capital, indicating a fall. Assets have increased, and both liabilities and capital have decreased.
  • Gen represents an increase in liabilities, a decrease in assets, and a decrease in capital, indicating stopping. Liabilities have increased, but both assets and capital have decreased.
  • Kun represents a decrease in capital, a decrease in assets, and a decrease in liabilities, indicating following. Both capital, liabilities, and assets have decreased.

Profit and loss are considered the inner trigram, and debit and credit are considered the outer trigram.

Instead of profit and loss, cash flow can also be used.

The first line represents operating cash flow, the second line represents investment cash flow, and the third line represents financial cash flow:

  • Qian represents an increase in operating cash flow, an increase in investment cash flow, and an increase in financial cash flow, indicating health. All cash flows have increased.
  • Dui represents a decrease in operating cash flow, an increase in investment cash flow, and an increase in financial cash flow, indicating joy. Investment cash flow has increased, and financial cash flow (borrowings) has increased, but operating cash flow has decreased.
  • Li represents an increase in operating cash flow, a decrease in investment cash flow, and an increase in financial cash flow, indicating brightness. Operating cash flow and financial cash flow have increased, but investment cash flow has decreased.
  • Zhen represents a decrease in operating cash flow, a decrease in investment cash flow, and an increase in financial cash flow, indicating movement. Financial cash flow has increased, but both operating cash flow and investment cash flow have decreased.
  • Xun represents an increase in operating cash flow, an increase in investment cash flow, and a decrease in financial cash flow, indicating entry. Both operating cash flow and investment cash flow have increased, but financial cash flow has decreased.
  • Kan represents a decrease in operating cash flow, an increase in investment cash flow, and a decrease in financial cash flow, indicating a fall. Only investment cash flow has increased, while both operating cash flow and financial cash flow have decreased.
  • Gen represents an increase in operating cash flow, a decrease in investment cash flow, and a decrease in financial cash flow, indicating stopping. Only operating cash flow has increased, while both investment cash flow and financial cash flow have decreased.
  • Kun represents a decrease in operating cash flow, a decrease in investment cash flow, and a decrease in financial cash flow, indicating following. All cash flows have decreased.

Next, let’s look at debit and credit separately. From the two forms arise the four images, and from the four images arise the eight trigrams.

From old yang arise Qian and Dui. From young yin arise Li and Zhen. From young yang arise Xun and Kan. From old yin arise Gen and Kun.

Debit consists of total assets and expenses. Credit consists of total capital and revenue.

Even with just the small hexagrams, various analyses can be performed. For example, in terms of revenue:

The small hexagram of revenue consists of the first line as sales, the second line as gross profit, and the third line as profit:

  • Qian represents an increase in sales, an increase in gross profit, and an increase in profit, indicating health.
  • Dui represents a decrease in sales, an increase in gross profit, and an increase in profit, indicating joy. Both gross profit and revenue have increased, but profit has decreased.
  • Li represents an increase in sales, a decrease in gross profit, and an increase in profit, indicating brightness. Gross profit has decreased, but sales have increased, resulting in an increase in profit.
  • Zhen represents a decrease in sales, a decrease in gross profit, and an increase in profit, indicating movement. Sales have increased, but gross profit has decreased, resulting in a decrease in profit.
  • Xun represents an increase in sales, an increase in gross profit, and a decrease in profit, indicating entry. Sales have decreased, but gross profit has increased, resulting in an increase in profit.
  • Kan represents a decrease in sales, an increase in gross profit, and a decrease in profit, indicating a fall. Gross profit has increased, but sales have decreased, resulting in a decrease in profit.
  • Gen represents an increase in sales, a decrease in gross profit, and a decrease in profit, indicating stopping. Both sales and gross profit have decreased, but profit has increased.
  • Kun represents a decrease in sales, a decrease in gross profit, and a decrease in profit, indicating following. Both sales and gross profit have decreased, resulting in a decrease in profit.

In terms of total capital:

The first line represents current liabilities, the second line represents fixed liabilities, and the third line represents capital:

  • Qian represents an increase in capital, an increase in fixed liabilities, and an increase in current liabilities, indicating health. Both capital, fixed liabilities, and current liabilities have increased.
  • Dui represents a decrease in capital, an increase in fixed liabilities, and an increase in current liabilities, indicating joy. Both fixed liabilities and current liabilities have increased, but capital has decreased.
  • Li represents an increase in capital, a decrease in fixed liabilities, and an increase in current liabilities, indicating brightness. Current liabilities have increased, fixed liabilities have decreased, and capital has increased.
  • Zhen represents a decrease in capital, a decrease in fixed liabilities, and an increase in current liabilities, indicating movement. Current liabilities have increased, but both fixed liabilities and capital have decreased.
  • Xun represents an increase in capital, an increase in fixed liabilities, and a decrease in current liabilities, indicating entry. Both fixed liabilities and current liabilities have increased, but capital has decreased.
  • Kan represents a decrease in capital, an increase in fixed liabilities, and a decrease in current liabilities, indicating a fall. Fixed liabilities have increased, but both current liabilities and capital have decreased.
  • Gen represents an increase in capital, a decrease in fixed liabilities, and a decrease in current liabilities, indicating stopping. Both fixed liabilities and current liabilities have decreased, but capital has increased.
  • Kun represents a decrease in capital, a decrease in fixed liabilities, and a decrease in current liabilities, indicating following. Both fixed liabilities, current liabilities, and capital have decreased.

In terms of total assets:

The first line represents current assets, the second line represents fixed assets, and the third line represents total assets:

  • Qian represents an increase in total assets, an increase in fixed assets, and an increase in current assets, indicating health. Both fixed assets and current assets have increased, resulting in an increase in total assets.
  • Dui represents a decrease in total assets, an increase in fixed assets, and an increase in current assets, indicating joy. Both fixed assets and current assets have increased, but total assets have decreased.
  • Li represents an increase in total assets, a decrease in fixed assets, and an increase in current assets, indicating brightness. Fixed assets have decreased, but current assets have increased, resulting in an increase in total assets.
  • Zhen represents a decrease in total assets, a decrease in fixed assets, and an increase in current assets, indicating movement. Current assets have increased, but fixed assets have decreased, resulting in a decrease in total assets.
  • Xun represents an increase in total assets, an increase in fixed assets, and a decrease in current assets, indicating entry. Current assets have decreased, but fixed assets have increased, resulting in an increase in total assets.
  • Kan represents a decrease in total assets, an increase in fixed assets, and a decrease in current assets, indicating a fall. Current assets have decreased, but fixed assets have increased, resulting in a decrease in total assets.
  • Gen represents an increase in total assets, a decrease in fixed assets, and a decrease in current assets, indicating stopping. Both fixed assets and current assets have decreased, but total assets have increased.
  • Kun represents a decrease in total assets, a decrease in fixed assets, and a decrease in current assets, indicating following. Both fixed assets and current assets have decreased, resulting in a decrease in total assets.

In terms of expenses:

The first line represents total expenses, the second line represents fixed costs, and the third line represents variable costs:

  • Qian represents an increase in total expenses, an increase in fixed costs, and an increase in variable costs, indicating health. Both fixed costs and variable costs have increased, resulting in an increase in total expenses.
  • Dui represents a decrease in total expenses, an increase in fixed costs, and an increase in variable costs, indicating joy. Both fixed costs and variable costs have increased, but total expenses have decreased.
  • Li represents an increase in total expenses, a decrease in fixed costs, and an increase in variable costs, indicating brightness. Fixed costs have decreased, but variable costs have increased, resulting in an increase in total expenses.
  • Zhen represents a decrease in total expenses, a decrease in fixed costs, and an increase in variable costs, indicating movement. Variable costs have increased, but fixed costs have decreased, resulting in a decrease in total expenses.
  • Xun represents an increase in total expenses, an increase in fixed costs, and a decrease in variable costs, indicating entry. Variable costs have decreased, but fixed costs have increased, resulting in an increase in total expenses.
  • Kan represents a decrease in total expenses, an increase in fixed costs, and a decrease in variable costs, indicating a fall. Variable costs have decreased, but fixed costs have increased, resulting in a decrease in total expenses.
  • Gen represents an increase in total expenses, a decrease in fixed costs, and a decrease in variable costs, indicating stopping. Both fixed costs and variable costs have decreased, but total expenses have increased.
  • Kun represents a decrease in total expenses, a decrease in fixed costs, and a decrease in variable costs, indicating following. Both fixed costs and variable costs have decreased, resulting in a decrease in total expenses.

Even seemingly impossible hexagrams like Dui can sometimes appear. This can be a sign of something. Expenses may arise in areas that are not regular expenses.

When creating a hexagram for profit:

  • The first line represents sales, the second line represents gross profit, the third line represents operating profit, the fourth line represents ordinary profit, the fifth line represents special profit, and the top line represents net profit.

For example, in the inner trigram of profit:

  • Qian represents an increase in sales, an increase in gross profit, and an increase in operating profit, indicating health.
  • Dui represents a decrease in sales, an increase in gross profit, and an increase in operating profit, indicating joy.
  • Li represents an increase in sales, a decrease in gross profit, and an increase in operating profit, indicating brightness.
  • Zhen represents a decrease in sales, a decrease in gross profit, and an increase in operating profit, indicating movement.
  • Xun represents an increase in sales, an increase in gross profit, and a decrease in operating profit, indicating entry.
  • Kan represents a decrease in sales, an increase in gross profit, and a decrease in operating profit, indicating a fall.
  • Gen represents an increase in sales, an increase in gross profit, and a decrease in operating profit, indicating stopping.
  • Kun represents a decrease in sales, a decrease in gross profit, and a decrease in operating profit, indicating following.

For example, in the outer trigram of profit:

  • Qian represents an increase in ordinary profit, an increase in special profit, and an increase in net profit, indicating health.
  • Dui represents a decrease in ordinary profit, an increase in special profit, and an increase in net profit, indicating joy.
  • Li represents an increase in ordinary profit, a decrease in special profit, and an increase in net profit, indicating brightness.
  • Zhen represents a decrease in ordinary profit, a decrease in special profit, and an increase in net profit, indicating movement.
  • Xun represents an increase in ordinary profit, an increase in special profit, and a decrease in net profit, indicating entry.
  • Kan represents a decrease in ordinary profit, an increase in special profit, and a decrease in net profit, indicating a fall.
  • Gen represents an increase in ordinary profit, a decrease in special profit, and a decrease in net profit, indicating stopping.
  • Kun represents a decrease in ordinary profit, a decrease in special profit, and a decrease in net profit, indicating following.

In terms of expenses related to profit:

  • The first line represents inventory, the second line represents personnel expenses, the third line represents general administrative expenses, the fourth line represents financial expenses, the fifth line represents special losses, and the top line represents dividends or tax amounts.

For example, in the inner trigram of expenses related to profit:

  • Qian represents an increase in inventory, an increase in personnel expenses, and an increase in general administrative expenses.
  • Dui represents an increase in inventory, an increase in personnel expenses, and an increase in general administrative expenses, indicating joy.
  • Li represents a decrease in inventory, a decrease in personnel expenses, and an increase in general administrative expenses, indicating brightness.
  • Zhen represents an increase in inventory, a decrease in personnel expenses, and an increase in general administrative expenses, indicating movement.
  • Xun represents a decrease in inventory, an increase in personnel expenses, and a decrease in general administrative expenses, indicating entry.
  • Kan represents an increase in inventory, an increase in personnel expenses, and a decrease in general administrative expenses, indicating a fall.
  • Gen represents a decrease in inventory, a decrease in personnel expenses, and a decrease in general administrative expenses, indicating stopping.
  • Kun represents an increase in inventory, a decrease in personnel expenses, and a decrease in general administrative expenses, indicating following.

For example, in the outer trigram of expenses related to profit:

  • Qian represents an increase in financial expenses, an increase in special losses, and an increase in dividends.
  • Dui represents a decrease in financial expenses, an increase in special losses, and an increase in dividends, indicating joy.
  • Li represents an increase in financial expenses, an increase in special losses, and an increase in dividends, indicating brightness.
  • Zhen represents a decrease in financial expenses, an increase in special losses, and an increase in dividends, indicating movement.
  • Xun represents an increase in financial expenses, a decrease in special losses, and a decrease in dividends, indicating entry.
  • Kan represents a decrease in financial expenses, a decrease in special losses, and a decrease in dividends, indicating a fall.
  • Gen represents an increase in financial expenses, a decrease in special losses, and a decrease in dividends, indicating stopping.
  • Kun represents a decrease in financial expenses, a decrease in special losses, and a decrease in dividends, indicating following.

Even with just the small hexagrams, various analyses can be performed.

For example, in the inner trigram of profit:

  • Li represents an increase in sales, a decrease in gross profit, and an increase in operating profit, indicating brightness.
  • Gen represents an increase in sales, an increase in gross profit, and a decrease in operating profit, indicating stopping.

Li and Gen are distinguished by brightness and darkness, which are influenced by expenses. Therefore, it is necessary to combine them with the inner trigram of expenses.

Furthermore, create a large hexagram for profit. The composition of the large hexagram for profit is: the first line represents sales, the second line represents gross profit, the third line represents operating profit, the fourth line represents ordinary profit, the fifth line represents special profit, and the top line represents net profit. For expenses, the first line represents inventory, the second line represents personnel expenses, the third line represents general administrative expenses, the fourth line represents financial expenses, the fifth line represents special losses, and the top line represents dividends.

Sales correspond to ordinary profit. Gross profit corresponds to special profit. Operating profit corresponds to net profit.

Sales are compared only to gross profit. Gross profit is compared to both sales and operating profit. Operating profit is compared to both gross profit and ordinary profit. Ordinary profit is compared to both operating profit and special profit. Special profit is compared to both ordinary profit and net profit.

In the large hexagram for expenses: Inventory corresponds to financial expenses. Personnel expenses correspond to special losses. General administrative expenses correspond to dividends.

Inventory is compared only to general administrative expenses. Personnel expenses are compared to both inventory and general administrative expenses. General administrative expenses are compared to both personnel expenses and financial expenses. Financial expenses are compared to both general administrative expenses and special losses. Special losses are compared to both financial expenses and dividends. Dividends are compared only to special losses.

In the I Ching, there are the aspects of heaven, earth, and human. Heaven’s time, human’s harmony, and earth’s advantage. Heaven’s time refers to stages, procedures, orders, etc. Human’s harmony refers to organization, position, etc. Earth’s advantage refers to society, environment, location, etc. The conditions of heaven, earth, and human of the person or object being observed by the I Ching are the premise.

Yin and yang are rotation, circulation, cycle, and wave motion.

The movements of rotation, circulation, cycle, and wave appear as front and back, up and down, left and right, cold and warm, inward and outward. Movements have position and direction. The functions of rotation


The world seen for the first time after birth is chaotic.
Although words can be heard, their meanings are not understood.
Even if things are visible, their true nature cannot be grasped.
Therefore, it is difficult to live in this world.
Thus, discernment arises.
The first discernment is relative.
The first discernment is intuitive.
Distinguishing between what moves and what does not.
Eventually, one becomes aware of the difference between self and others.
And begins to discern.

The image of Yi is a binomial distribution resulting from six Bernoulli trials. A “Bernoulli trial” refers to an experiment with only two possible outcomes, such as flipping a coin to get heads or tails.

Yin and Yang refer to mutually exclusive, symmetrical, and opposite actions or situations.

Typical examples of Yin and Yang actions are in and out.

Mutually exclusive events include the following: Movement: ascent and descent, fast and slow, increase and decrease, strong and weak, buying and selling, lending and borrowing, in and out, deposits and withdrawals, input and output, receipts and disbursements. Position: self and others, up and down, left and right, front and back, high and low, deep and shallow, inside and outside. State: light and dark, cold and warm, rich and poor, positive and negative. Criteria: evaluation: right and wrong, good and evil, true and false, yes and no, beautiful and ugly, like and dislike, noble and base, win and lose, forward and backward, name and reality, things and money.

The image of a small hexagram appears after three Bernoulli trials. Repeating three more Bernoulli trials combines two small hexagrams to form an image. This is the main hexagram.

By conducting six Bernoulli trials in six stages, the target is analyzed and classified. The main hexagram is constructed from the number of cases resulting from these trials. In Yi, odd numbers are considered Yang, and even numbers are considered Yin. Furthermore, there are fixed positions for Yin and Yang based on the line positions. The first, third, and fifth lines, which are odd numbers, are Yang positions, and having Yang in these positions is auspicious. The second, fourth, and top lines, which are even numbers, are Yin positions, and having Yin in these positions is considered proper and auspicious. The hexagram “Water and Fire Already Accomplished,” which signifies completion, fits these conditions.

There are eight possible outcomes from three Bernoulli trials. These eight forms are the eight trigrams. Each of these images is named Qian, Dui, Li, Zhen, Xun, Kan, Gen, and Kun.

The eight trigrams are created from three elements.

Three indicators are selected to form a small line. The eight forms, or eight trigrams, are constructed based on the increase and decrease of the indicators forming the small lines. The characteristics, functions, and features of each small line are analyzed. Two small lines are selected, connected vertically and horizontally, and changes are analyzed.

For example, economic indicators could include prices, exchange rates, stock prices, interest rates, unemployment rates, GDP, etc.

The eight trigrams are modules.

The functions of these modules are analyzed. Two modules are combined.

Three elements are positioned based on the functions of Yin and Yang.

The first line is positioned as input, the second line as processing, and the third line as output. These are combined to form a small hexagram.

The premises and characteristics of the small lines are summarized as hexagram statements. The functions of the first, second, and third (top) lines are understood.

In essence, it is the utilization of three elements.

The key points are the functions, positions, and relationships of the three elements. One is an arrangement, a correlation. For example, if the first line is sales, the second line is costs, and the third line is profit: Dui represents increased sales, increased costs, and decreased profit. Sales are steadily increasing, but costs are rising even more, leading to decreased profit. For now, rejoice. Li represents increased sales, decreased costs, and increased profit. Sales are decreasing, costs are decreasing, and profit is increasing. This is clear. Zhen represents increased sales, decreased costs, and decreased profit. Sales are increasing, costs are decreasing, but profit is decreasing. Something is moving.

By combining these small successes, the main hexagram is revealed. The main hexagram is read, and the decision-maker makes a decision. The person who interprets Yi and the person who makes decisions are different. You can interpret Yi yourself, but when making a decision, you change yourself.

The number three has significant meaning. One does not move or develop. Two divides. When it becomes three, movement occurs, and division is suppressed. This is called the three-way struggle.

In Yi, there is the Supreme Ultimate. From the Supreme Ultimate, the two forms arise. One becomes two, and two becomes three.

In Yi, there are three principles: Change, unchangeability, and simplicity.

Heaven, Earth, and Man. People, things, and money.

All things are in flux: production, distribution, and consumption. The basic movement is rotational motion. Rotation manifests as circular motion, periodic motion, and wave motion, appearing as forward and backward, up and down, left and right, cold and warm, inward and outward. Movement has position and direction. Movement has a cause. By knowing the cause, one understands the principle. The principle conceals the will of God. Science seeks to explore the principle. Rotation, circulation, periodicity, and wave functions have strengths and weaknesses, increases and decreases, highs and lows, etc. Other functions include speed.

Yi, economics, and management are based on rotational and circular motion.

The main hexagram consists of six stages. Therefore, six lines arise, creating order and position.

Additionally, there are six stages of reading the lines.

From the six stages, time is generated. Hitting the time. This is called “timing.”

Chronology.

For example, the first line is the early stage, the second line is the current stage, and the third line is the prediction. For example, from the movements from the first to the fourth line, the fifth line tells the present, and the top line predicts the future.

The hexagram “Qian” is a good example of chronology.

Let’s take the example of a mid-level executive in a company that has been in business for one or two years and is starting to get on track.

First, let’s look at the Yao Ci and Xiao Xiang Zhuan of the hexagram “Qian.”

Yao Ci: First line: Hidden dragon, do not use it. Second line: The dragon appears in the field, it is beneficial to see the great person. Third line: The noble person is diligent all day long. In the evening, they are cautious, but there is no fault. Fourth line: Sometimes leaping in the abyss, no fault. Fifth line: The flying dragon is in the sky. It is beneficial to see the great person. Top line: The arrogant dragon has regrets.

Xiao Xiang Zhuan: First line: Hidden dragon, do not use it, means it is under the yang. Second line: The dragon appears in the field, means the virtue is widespread. Third line: Diligent all day long, means the way of repetition. Fourth line: Sometimes leaping in the abyss, means advancing without fault. Fifth line: The flying dragon is in the sky, means the great person has achieved it. Top line: The arrogant dragon has regrets, means fullness cannot last long.

Where to look: The start of a business is referred to as the dragon appearing in the field in the second line. It is beneficial to see the great person. For a business that has been running for two or three years, it is either the third or fourth line. Third line: The noble person is diligent all day long. In the evening, they are cautious, but there is no fault. Fourth line: Sometimes leaping in the abyss, no fault. By reading the Yao Ci and Xiao Xiang Zhuan, and analyzing the current performance, one can determine the actions to be taken as a mid-level executive.

Incidentally, the Yao for mid-level executives is the fourth line.

Overall flow: Tuan Ci: Qian is beneficial in the beginning and in perseverance.

Tuan Zhuan: Great indeed is the Qian Yuan, all things receive their beginning from it. It governs the heavens. Clouds move and rain falls, all things take shape and flow. It greatly clarifies the beginning and the end, and the six positions are completed in time. Riding the six dragons, it governs the heavens. The way of Qian changes and transforms, each corrects their nature and destiny, and maintains great harmony. Thus, it is beneficial in perseverance. It leads all things, and all nations are at peace.

Xiang Zhuan: The movement of heaven is strong. The noble person strives constantly without rest.

For chronological analysis, one can use the fifth line as the center, and refer to the movements of the past four years to establish the Yao, and use the budget and actual performance of the current year to predict the next year.

In doing so, one can utilize methods such as Bayesian analysis, correlation analysis, multiple regression analysis, cluster analysis, tree analysis, time series analysis, and machine learning.

The important thing about Qian Wei Tian is that the upper line says ‘The flying dragon has regrets.’ In other words, the I Ching does not acknowledge the concept of perfection.


The Eight Virtues.

The Eight Virtues are benevolence, justice, courtesy, wisdom, loyalty, faith, filial piety, and hierarchy. From these, the Five Virtues are derived: benevolence, justice, courtesy, wisdom, and faith.

By incorporating the Five Virtues of benevolence, justice, courtesy, wisdom, and faith into the main hexagram, an ethical system can be structured.

Incorporating the five virtues of benevolence, justice, courtesy, wisdom, and faith can provide a well-structured framework. Involving loyalty, filial piety, and hierarchy complicates matters. Therefore, focusing on the five virtues is preferable.

Loyalty, filial piety, and hierarchy are important virtues, but enforcing specific interpretations of them can lead to a loss of freedom. This is because they pertain to the individual’s subjectivity, potentially conflicting with personal beliefs and principles.

It is crucial to accurately identify which aspects of benevolence, justice, courtesy, wisdom, and faith are being questioned and to prioritize them accordingly. In this context, involving loyalty, faith, and hierarchy can complicate matters (laughs). This is because each of these virtues involves relationships with specific individuals. For instance, to whom should one be loyal? Which is more important, filial piety or loyalty?

If virtues are to be linked to hexagrams, the unchanging aspects could be sought in the five virtues of benevolence, justice, courtesy, wisdom, and faith, while loyalty, filial piety, and hierarchy could be considered as changing aspects. In other words, it depends on what the current issue is, what one belongs to, and what position one holds. If one considers themselves a member of an organization or a nation, then loyalty is the virtue to uphold. If it is a family matter, then filial piety is important. For private gatherings or comrades, hierarchy should be added as a virtue.

In the context of reality, the roles of loyalty, filial piety, and hierarchy are key.

There is a common misconception about loyalty, and it is important to be aware of this. The true meaning of loyalty is truth and sincerity. In other words, it means to have a sincere heart and to serve faithfully. It does not mean total obedience. That would be servitude, which is shameful from the perspective of loyalty. For example, if the master (in a nation-state, the sovereign, that is, the people) is about to make a mistake, it is also loyalty to risk one’s life to admonish them. Those who cannot offer remonstrance are disloyal. Loyalty must be subjective and proud.

In other words, the essence of loyalty is benevolence. Benevolence is the foundation. From benevolence arises justice. From justice arises courtesy. Courtesy gives rise to wisdom and faith. Therefore, courtesy is important. Without benevolence and justice, courtesy cannot be established. That would be false courtesy. Hence, the concept of overcoming oneself and returning to courtesy.


Heaven, Earth, and Man.

In Yi, the relationship between Heaven, Earth, and Man is considered important.

While it is generally said that Heaven’s timing, Earth’s advantage, and Man’s harmony are crucial, what is more important is how to position the workings of Heaven, Man, and Earth.

Heaven is the source of mysterious forces beyond human understanding. Earth is like the laws of nature, visible and tangible, but limited by human capabilities. Man is a being that is subjective, possesses will, acts autonomously, and can communicate intentions.

In the main hexagram, the first line represents promises, the second line rules, the third line morality, the fourth line courtesy, the fifth line law, and the top line the laws of nature. The first and second lines are Earth. The third and fourth lines are Man. The fifth and top lines are Heaven.

The important thing is to judge not by rank or status, but by function.

If virtues are to be linked to hexagrams, the key is what to center on. It is about what one aims for or what one is directed towards.

Morality is important in terms of position, function, and relationship. Position concerns the distance to the target, function concerns direction and intensity, and relationship concerns the issue of order and opposition. In human relationships, there are opposing forces such as love and hate. There are multiple targets of love with different characteristics. Targets include mother and father, siblings, spouse, children (multiple), friends, lovers, mistresses, leaders, teachers, workplace superiors, politicians, police officers, and beyond people, humanity, nation, company, comrades, and material things like money, land, and treasures. The position, function, and relationship with these targets are determined by complex power dynamics. Here, moral standards come into play. Which to prioritize, which to choose, which force is stronger. For example, in marriage, whether the parent’s influence is stronger, the lover’s influence is stronger, or societal norms are stronger. Therefore, it is not decided solely between the parties involved. Moreover, if the underlying conditions, environment, and situation differ, the power dynamics change drastically. The underlying factors include race, nation, system, religion, economic status, educational background, appearance, parental views, personal values, and tendencies. Therefore, it is Yi. And this is not just a matter of marriage. It also applies to nations and work. The issue of patriotism is a typical example. There was once a great debate over whether to prioritize filial piety or loyalty. This is the difficulty of ethics, as it cannot be addressed one-on-one.

You cannot simply link a single virtue to a judgment, such as not lying or avoiding violence. Therefore, function becomes important. The functions of loving or protecting oneself are fundamentally influenced by the existence of the nation or God.

This is where the workings of Heaven, Earth, and Man come into play.