The Golden Circle (Gold Ring)

Concept summary...

The Golden Circle (Gold Ring)

From Simon Sinek's book Start with Why.

The gold ring is like a tool to explain why some leaders or organizations can be motivated and successful in a sustainable way, while others can't. The key of this idea is to say, "People don't buy what you do, but they buy the reason why you do it."

The composition of The Golden Circle will have three parts:

♦ WHAT (WHAT): Is the outermost circle. Every organization knows exactly what it does (sells what goods, or serves what). This is the most tangible and easy to explain.

♦ HOW (HOW): is the middle class circle. Some organizations know how they do things, which can be a unique process, corporate culture, or selling point. This is used to describe how a good or service is better than its competitors.

♦ WHY (WHY): This is the innermost and most important circle, but there are very few organizations that can answer clearly. "Why" is not a profit (that's the result), but a belief, a purpose, or a cause, about what your organization exists for, why you wake up in the morning, and why people care about your organization or business.

Most people, or general organizations, often communicate from the "outside in" (Outside-In), that is, starting with what they have, what they are good at, and then hoping that people will make a purchase decision, but inspiring leaders will communicate from the "inside out" (Inside-Out), that is, starting with the belief (Why) first.

In addition, Sinek explained, adding that the concept is consistent with human brain function.

- Neocortex: Match what part is responsible for reason, analysis, language, and numbers, but this part does not control behavior or decision-making.

- Limbic Brain: Match the Why and How parts that are responsible for feelings such as trust, loyalty and, importantly, responsibility for human decision-making, but this part of the brain has no language ability.

So when we communicate with "Why," we talk to the part of the brain that directly controls the decision, causing a sense of "yes" or "pleasing," and then reasoning to support the decision later.

To be successful in a sustainable and inspiring way, you need to start by first finding and communicating your "Why" and then following it with how and what results, because this will attract people or customers who have the same beliefs as you, which is the foundation of trust and success in the long run.

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