This Company Has Existed Since the Time of Prophet Muhammad, Located Near Indonesia
Entrepreneurship is not a new phenomenon, as it has been practised since ancient times. Although companies are now the primary drivers of the modern economy, business practices have actually existed since the era of the prophets.
It is well known that Japan is renowned for having many companies aged hundreds of years. One of the oldest business entities in the world is not found in the Arab region but is located in Osaka, Japan.
That company is Kongo Gumi, a construction business unit. With an operational history spanning more than 14 centuries, Kongo Gumi is recorded as one of the oldest companies to have ever existed in the world.
For more than 1,400 years, Kongō Gumi has weathered storms, navigated changing tides, and remained a beacon and testament to the enduring strength of tradition and innovation.
Initially founded as a construction company specialising in building Buddhist temples, Kongō Gumi began to expand into a full construction firm.
Numerous magnificent temples have been built, including the temple complex at Hōryū-ji (607 AD) and Koyasan (816 AD), as well as Osaka Castle (1583 AD).
Kongo Gumi was founded by a family of Korean wood craftsmen who came to Japan to assist in building Shitenno-ji, one of Japan’s oldest Buddhist temples. The company was established in 578 AD, or more than 1,448 years ago.
The origins of Kongō Gumi can be traced back to 578 AD when Prince Shōtoku of the Japanese Imperial Court.
Marking the Dominance of Buddhism
The founding of Kongō Gumi coincided with the establishment of Buddhism as the dominant religion in Japan during the Asuka period (592-710 AD). This period increased demand for temple construction.
During this time, in Mecca, Saudi Arabia, a future Prophet named Muhammad was estimated to be around eight years old. It is believed that Kongo Gumi began operations when Prophet Muhammad was seven or eight years old. Thus, Kongo Gumi started its business concurrently with the childhood of Prophet Muhammad (peace be upon him).
It should be noted that Kongo Gumi positioned its business as a specialist in constructing religious buildings.
This business model endured for centuries, until Prophet Muhammad (peace be upon him) received revelation, migrated to Medina, passed away, and Islam became one of the world’s largest religions. The business also witnessed the feudal era, the Meiji Restoration, world wars, and the modern economy.
Enduring for 14 Centuries
Kongo Gumi’s longevity for over 14 centuries is no accident. There is a combination of cultural, business, and institutional factors that enabled this Japanese temple construction company to survive various changes in time.
The main foundation of this business’s sustainability lies in the preserved values of cultural heritage, trust, and reputation. The sector driven by this business holds high spiritual value and historical identity in Japan. Demand for the maintenance of religious buildings remains relatively stable due to its connection to societal traditions and cultural identity.
In addition, Kongo Gumi has maintained quality and credibility in its execution. Kongo Gumi preserves woodworking techniques from generation to generation using joinery methods without nails.
Like most other old businesses in Japan, Kongo Gumi also relies on family business strength. The company is passed down with a long-term orientation and tends to make cautious business decisions. Although run by the family, leaders are selected based on competence to maintain leadership quality.
Besides internal factors, Kongo Gumi’s continuity is also supported by external support and adaptability. The Japanese government is known to actively preserve cultural buildings such as temples and historical sites, which indirectly sustains demand for traditional construction.
On the other hand, when facing financial pressures in the early 2000s, Kongo Gumi received support from Takamatsu Corp., an Osaka-based construction conglomerate, which stepped in to help sustain the historic company.
In 2006, Kongo Gumi officially became a fully owned subsidiary of Takamatsu, but it continues to retain its name, craftsmanship traditions, and specialisation in temple construction. Currently, the company employs around 100 miyadaiku (traditional temple carpenters) and still involves one member of the Kongo family as a symbol of family heritage continuity.
The Ups and Downs of Kongo Gumi
The company faced various challenges during its periods of establishment. The Heian period (794-1185) brought political turmoil and power struggles that disrupted stability in Japan and affected the construction industry.
Additionally, during the Kamakura period (1185-1333), Japan experienced social and economic changes, including the rise of the samurai class, which required Kongō Gumi to adjust its services to meet the evolving needs of society.
Natural disasters, such as earthquakes and fires, were common events that threatened project existence and company infrastructure. These challenges not only required immediate recovery efforts but also demanded the development of innovative techniques to address future disasters.
Furthermore, economic fluctuations and changes in market demand posed additional obstacles for Kongō Gumi, forcing the company to adjust strategies to maintain a steady flow of projects.
The company also continued to innovate, including adopting new materials and techniques during the Meiji period (1868-1912).
This era marked a turning point for Japan becoming an advanced nation. Japan underwent rapid modernisation and westernisation. Recognising the need to integrate new technology, Kongō Gumi began utilising modern construction materials such as bricks, tiles, and steel frames, alongside traditional carpentry methods.