The Golden Circle model, developed by Simon Sinek and popularized through his book Start With Why: How Great Leaders Inspire Everyone to Take Action, is a framework for understanding and communicating the deeper purpose and motivation behind organizations, products, or movements. The model is centered around three core layers—Why, How, and What—which are visualized as concentric circles. It is designed to help leaders and organizations articulate their purpose, differentiate themselves, and inspire action by connecting with emotions and values rather than just focusing on products or services.
tl;dr with Simon Sinek himself
A short explanation about how Simon Sinek figured about the Golden Circle model.
A short explanation about how Simon Sinek figured about the Golden Circle model.
The longer, original TED Talk in which Simon Sinek disclosed the Golden Circle model.
The longer, original TED Talk in which Simon Sinek disclosed the Golden Circle model.
Core Concepts of the Golden Circle Model
The Golden Circle consists of three layers that describe different levels of purpose and strategy within an organization:
- Why (Innermost Circle) – Purpose, Cause, or Belief
- The Why represents the core reason for the organization’s existence. It answers the fundamental question, “Why does this organization or product exist?” or “Why do we do what we do?”
- It is not about profit or outputs, but rather the underlying cause, belief, or value that drives the organization. This layer captures the organization's purpose, motivation, and vision.
- In many successful organizations, the Why is centered on an aspirational goal or a mission that resonates deeply with both internal and external stakeholders.
- Examples:
- Apple’s “Why”: “We believe in challenging the status quo and thinking differently.”
- Tesla’s “Why”: “To accelerate the world’s transition to sustainable energy.”
- How (Middle Circle) – Process, Unique Selling Proposition
- The How describes the specific ways in which the organization delivers on its Why. It outlines the unique approach, processes, or differentiators that set the organization apart from others.
- This layer often covers the internal strategies, guiding principles, and values that enable the organization to bring its Why to life.
- The How can include methodologies, unique strengths, or proprietary processes that explain how the organization fulfills its purpose.
- Examples:
- Apple’s “How”: “We create beautifully designed products that are easy to use and integrate seamlessly.”
- Tesla’s “How”: “By designing electric cars that are high-performance, energy-efficient, and aesthetically pleasing.”
- What (Outer Circle) – Products, Services, or Results
- The What refers to the tangible outputs of the organization: the products, services, or deliverables that it offers to customers.
- It answers the question, “What does the organization do?” and is the most visible aspect of the company’s identity.
- While the What is important, it is typically not what drives customer loyalty or emotional connection; it is simply the result of the Why and How.
- Examples:
- Apple’s “What”: “We produce innovative personal computers, smartphones, and tablets.”
- Tesla’s “What”: “We manufacture electric vehicles, energy storage systems, and solar products.”
Key Insights of the Golden Circle Model
- Start With Why
- Simon Sinek argues that most organizations start from the outside (the What) and work their way inward. They define themselves by what they do and how they do it but often neglect why they do it.
- By starting from the inside out—Why → How → What—organizations can connect with customers, employees, and stakeholders on a deeper level, creating a more compelling narrative and fostering loyalty.
- This approach creates an emotional resonance that influences decision-making, as people are often driven by emotion and values before rationality.
- People Don’t Buy What You Do, They Buy Why You Do It
- A core premise of the model is that customers are more likely to be loyal to companies that share their beliefs and values, rather than those that simply offer the best product or service.
- Organizations that lead with their Why attract customers who believe in the same cause, creating a tribe of supporters who are more willing to advocate for the brand and remain loyal even in the face of competition.
- Inspiring Action Through Authenticity
- Organizations that communicate their Why authentically inspire trust and foster a strong organizational culture. This authenticity is critical for building long-term relationships and creating a sense of purpose that extends beyond profit.
- Guiding Leadership and Decision-Making
- The Golden Circle model also serves as a leadership tool. Leaders who can clearly articulate their organization’s Why are better positioned to inspire their teams, align internal strategies, and make decisions that are consistent with the organization’s purpose.
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More details at Golden Circle’s Proposals in FOAM
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Practical Implementation of the Golden Circle Model
Implementing the Golden Circle model involves several key steps:
- Define Your “Why”: Identify the core purpose, belief, or cause that drives your organization. This can often be challenging but is critical for building a foundation that guides everything else. Consider:
- What problem are you solving?
- Why do you feel compelled to solve this problem?
- What difference are you trying to make in the world?
- Communicate Your “Why” Internally and Externally: Ensure that everyone in the organization, from leadership to frontline employees, understands and believes in the Why. Externally, communicate your Why in marketing, branding, and customer engagement efforts.
- Align Your “How” with Your “Why”: Define the unique processes, values, and guiding principles that will help you deliver on your Why. Make sure that these align with your purpose and are clearly differentiated from competitors.