Golden Circle

Golden Circle by Simon sinek is a concept advocated by Simon Sinek, an expert in leadership. The objective of this methodology is to improve the performance of companies in their segments .

Thus, Golden Circle proposes to develop the value of a new idea, business or campaign, through the way of thinking, acting and communicating. For this, Sinek’s method is guided by three questions: what? , how? and why? We will see better how these questions are applied in practice, starting from the Golden Circle concept.

Who was Simon Sinek?

In addition to being a leadership expert, Simon Sinek is a writer and motivational speaker. The creator of the Golden Circle concept is known worldwide for helping leaders and organizations inspire people . In addition, it has become a reference for entrepreneurs who want to create impact businesses.

He is also the author of the book Start with Why – How Great Leaders Inspire People (Editora Sextante, 2018). In this publication, Sinek introduces the Golden Circle concept and shows how some leaders are able to influence people, while others are not. Furthermore, he also wrote Why? How great leaders inspire action (Editora Saraiva, 2017), among others.

Finally, Sinek also published works on entrepreneurship and developed his professional career in advertising agencies. With the professional experience he gained, he founded his own venture, Sinek Partners. In addition, of course, to being recognized as the creator of the Golden Circle methodology.

How did Simon Sinek develop the Golden Circle methodology?

To develop his theory, the leadership expert researched the history of companies such as Apple and personalities such as Martin Luther King. In his studies, Sinek managed to prove that great brands and leaders inspire people for three reasons: they never give up, they remain firm and have well-defined purposes.

In this way, these characteristics of great leaders guided Simon Sinek’s research. For him, people don’t buy what you do, they buy because you do a certain action.

Another conclusion of Sinek is that the motivations of great leaders are responsible for this feeling that inspires the so-called “ordinary” people. Still, this inspiration results from the capacity that leaders have to plan , think , act and communicate , always in the same way.

Another point verified by Sinek concerns the relationship of these characters with money, fame and power. Here, he noted that leaders and entrepreneurs don’t just work for profit, they are dedicated to what they believe in and the motivation is personal. Therefore, money is the result of a job well done and with a purpose.

How important is the Golden Circle?

The Golden Circle, with its three spheres of work, is important to guide the company to extract its maximum potential and, thus, achieve a prominent place in front of the competition . This is a very useful method in helping entrepreneurs to make an impact and have some purpose.

In this sense, Golden Circle acts as a guide capable of assisting the manager in conducting the company and business . Therefore, their actions will be guided by the three basic questions of the method: why, how and what. The answers obtained will provide focus and inspiration for the entrepreneur to make the right decisions.

In practice, the Golden Circle methodology is important because:

• develops communication with employees and suppliers;
• engages customers;
• inspires people;
• improves the company’s image in the market;
• makes it stand out from the competition.

Next, we’ll see how the three golden questions of the method can be applied in the company to reach the objectives.

What is the application of Golden Circle?

Many companies invest large sums in marketing campaigns to promote their product or service. In this context, they forget to emphasize the mission of their business and fail to bring inspiration to their audience.

There is no problem with that, but there is an alternative way to show what you produce as the best option on the market. Understand that to have a successful business, you need to show that your product or service makes a difference in the world .

A purpose-driven enterprise knows that it’s not enough just to sell, but to sell to people who truly believe in the company’s mission and organizational culture .

To achieve these results, the manager must apply the method in practice. Follow up!

Why (why do we do)? — The central part of the Golden Circle

Define the purpose of your business, entrepreneurship , initiatives, projects and campaigns related to it. A company grows and becomes prosperous when it clearly defines the reason for its existence . From there, it manages to develop quality campaigns, products and services, capable of attracting the attention of its target audience.

Therefore, your business needs to have a clear purpose . And that’s the starting point for the Golden Circle. By asking “why?”, the entrepreneur is able to define the path to follow.

Therefore, ask yourself: why does the business exist or will it be created? What is its purpose? What will be my motivation to put into practice projects, actions and campaigns?

How (how do we do)? — The middle part of the Golden Circle

How the company will achieve its goals is the second sphere of the Golden Circle. The question “how?” must be answered showing the practices that the entrepreneur will adopt to achieve their goals. Therefore, it is necessary to clarify the company’s business plan , that is, define its strategic plan .

At this stage, the organization’s purposes , values and mission must be present. And it is precisely these characteristics that will stand out from the competition, making your business an inspiring and solid company.

What (what do we do)? — The outer sphere of the Golden Circle

The third and final step of the Golden Circle is the simplest. However, it is essential. It’s time to define what you make or sell. To have growth in a business it is necessary to know everything about the product or service it offers. So, answering the question “What do we do?” allows you to expand your business core and, if possible, diversify your portfolio of products or services .

In this step, reflect on what you actually deliver to the consumer. Competitiveness in the market is great, new products are launched daily, innovation is constant, the public has many options for the same product.

Therefore, it is necessary to be different from the competition . In this way, purposeful companies are one step ahead of the rest. Remember: Golden Circle’s role is to inspire people and motivate them to make the purchase decision.

So look to build relationships. But not based only on product consumption. Thus, sell causes and you will succeed .

How to do or what is the reasoning behind the Golden Circle?

The difference between inspirational leaders and everyday people is the way they follow the Golden Circle. Truly inspiring leaders apply the method from the inside out , not the other way around.

Following this line of reasoning, first, it is possible for the entrepreneur to focus on what he defends and believes. In this way, he defines his goals clearly and can see what actions he needs to take to achieve his goals .

Finally, companies that adopt this model seek professionals with the same values. Together, they strive for mutual growth and are dedicated to being more productive.