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54 QRCA VIEWS SPRING 2 0 15 www.qrca.org 54 QRCA VIEWS SPRING 2 0 15 www.qrca.org n BOOK REVIEWS n Start with Why How Great Leaders Inspire Action Simon Sinek, 2011, Portfolio/Penguin Reviewed by George Sloan Customer Strategy International n Los Angeles, CA n gdsloan@yourcustomer.com I recently watched a TED Talk by Simon Sinek about his Golden Circle theory of WHY, HOW, WHAT, and I wanted to learn more. Sinek's book, Start with Why – How Great Leaders Inspire Action, goes into the concept in- depth. Sinek's theory is that companies lose track of their WHY. He does an excellent job of using examples to explain his theo- ry, and cites how most companies have lost leadership because they lost sight of their WHY. Companies are excellent at explaining WHAT they do, some are good at explaining HOW they do it, but very few know the reason WHY they do what they do. Even though Microsoft did not manufacture computers, founder Bill Gates wanted a computer in every home and on every desk. That was his WHY. The WHY for Steve Jobs and Steve Wosniak was to challenge the status quo. The WHY for Wal-Mart was "to serve the average-Joe," a focus that was lost when Sam Walton passed away. Some companies manage to keep the original WHY intact. Sinek often quotes Southwest Airlines whose WHY was to be the Champion for the Common Man – "cheap, fun and simple" – in a time when air travel was viewed as elitist and expensive. Sinek points out that Southwest leadership's "ability to find people who embody their cause makes it much easier for them to provide great service." Herb Kelleher, Southwest co- founder and former CEO, said, "You don't hire for skills, you hire for attitude. You can always teach skills." Sinek compares his principle of The Golden Circle of WHY, HOW and WHAT to biology and the evolution of human behavior. He believes the levels of The Golden Circle correspond to the human brain; the neocortex corresponds to the WHAT level, generating rational and analytical thought and language; the HOW and WHY levels correspond to the limbic brain, generating feelings rather than language. Sinek theorizes that com- panies that fail to explain their WHY force consumers to make decisions based only on empirical evidence. In Chapter 7, "How a Tipping Point Tips," Sinek explains that when a compa- ny loses sight of its WHY, it is very easy for them to end up in a price and features cycle. This cycle drags a company into a commodity status – a definite exclusion from a leadership position. Although Sinek quotes an interesting anthropological study (that discovered consumers smell their clothes when pull- ing them out of the washer, rather than holding them up to see how white or clean they are), he does not exactly praise market research. Why a company does what it does is the focus of Sinek's theory, which is something a consumer cannot guide. He believes the reason is out of the hands of market research. Only a compa- ny's leadership can guide the WHY. "The WHY for Wal-Mart was "to serve the average-Joe," a focus that was lost when Sam Walton passed away."

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