Dakshinamurthy is an aspect of Shiva as a guru (teacher) of all types of knowledge and bestower of jnana. This aspect of Shiva is his personification as the supreme or the ultimate awareness, understanding and knowledge. This form represents Shiva in his aspect as a teacher of yoga, music, and wisdom, and giving exposition on the shastras. He is worshipped as the god of wisdom, complete and rewarding meditation.
The Story of Silence
One story is that he sat with four disciples in front of him. They were all learned people; they had read all the Vedas and Upanishads and heard all that was to be heard, but they still couldn’t realize the truth. So they came to Dakshinamurthy and requested him to explain the highest Brahman (the unmanifested God). He just sat there in silence. After a while they got up, bowed down and said, “Swamiji, we have understood.” And they went away, because only in silence can God be explained.