The importance of why in strategy
Starting any business or project with a clearly defined “why” is not just practical advice, it is a fundamental component of building solid foundations. Simon Sinek, with his “Golden Circle” model, perfectly illustrates this approach by highlighting the idea that inspiring organizations act and communicate by always starting with the why. But why is this approach so important?
Psychological foundations of why
Emotional Connection:
Delving into human psychology offers an enlightening perspective on the matter. Human beings are not only motivated by logic and functioning: emotions play a major role in decision-making. The why touches directly on the emotional sphere, thus allowing a deeper connection with the audience.
Intrinsic Motivation:
Additionally, a well-grounded understanding of personal and organizational why fuels intrinsic motivation. The latter proves to be the source of commitment and lasting passion, key elements for overcoming obstacles and achieving long-term success.
Strategic impact of why
Consistency and alignment
When an organization’s actions and decisions stem from a solid and clear why, coherence is naturally established in its strategies. This allows the different stakeholders in the company to remain aligned on a common vision, thus facilitating collaboration and strengthening corporate culture.
Improved Decision Making:
A well-defined why also guides strategic decision-making. This helps filter opportunities and options that truly align with the organization’s values and mission. The direct consequence: a more fluid strategic path and less prone to costly detours.
Differentiation and positioning
Unique Selling Proposition (USP):
The why of a company can also become its Unique Selling Proposition, allowing it to stand out in a saturated market. By choosing to focus on the why, an organization can create a value proposition that transcends the product or service it offers.
Connecting with Customers:
With a strategy that starts with the why, it is possible to build authentic connections with customers. The latter not only buys a product or service, but also adheres to the ideology and values of the company, thus strengthening customer loyalty.
Practical application of why
Definition of why
Introspection Process:
The first step for any entity wanting to adopt this philosophy is to begin a process of introspection to define their own why. This involves an in-depth analysis of the organization’s purpose and long-term vision.
Stakeholder Involvement:
Active stakeholder involvement is crucial to ensure that the why is fully integrated and shared at all levels of the organization. Clarity and open communication are the key words so that each employee can understand the why and translate it into their daily work.
Communicating the why
Inspirational Speech:
The way the why is communicated internally and externally should be inspiring and engaging. Having powerful storytelling turns the why into a compelling story that employees and customers can rally around.
Consistency and Repetition:
Persistence is the key to anchoring the why in the collective consciousness of the organization and its stakeholders. This means it must be reiterated everywhere – from the company vision to every marketing campaign and customer interaction.
Measurement of results and adjustments
Kpis and returns
Key Performance Indicators (KPIs):
Establishing key performance indicators is essential to assess the extent to which the why truly guides the company’s efforts and contributes to its success.
Continuous Feedback:
Collecting feedback from internal and external stakeholders provides valuable insights to adjust and refine the why, as well as its execution, in the organization’s strategies.
Adaptability and evolution
Strategic Watch:
As the market and external conditions are constantly changing, the ability to adapt while remaining faithful to the original why is essential. Constant strategic monitoring makes it possible to align the why with current reality while preserving its essence.
Innovation Process:
Innovation is the engine of competitiveness and the why can serve as a catalyst in this process. By focusing on the why, organizations can innovate coherently, staying focused on their ultimate goal.
Starting with the why therefore offers a robust framework for developing a strategy that is both resilient and engaging, which resonates with the deep aspirations of individuals. It is a prism through which each element of the company must be considered, so that each choice is one step closer to achieving an inspired and shared vision.
Placing the why at the heart of the organization is more than just a management technique. It is a philosophy that plants the roots of relevance and authenticity in the fertile soil of human potential, spreading the wings of passion and innovation for a sustained trajectory towards success.