Start with Why: How Great Leaders Inspire Everyone to Take Action

Just about every person or organization needs to motivate others to act for some reason or another. Some want to motivate a purchase decision. Others are looking for support or a vote. Still others are keen to motivate the people around them to work harder or smarter or just follow the rules. The ability to motivate people is not, in itself, difficult. It is usually tied to some external factor. Tempting incentives or the threat of punishment will often elicit the behavior we desire.

Great leaders, in contrast, are able to inspire people to act. Those who are able to inspire give people a sense of purpose or belonging that has little to do with any external incentive or benefit to be gained. Those who truly lead are able to create a following of people who act not because they were swayed, but because they were inspired. For those who are inspired, the motivation to act is deeply personal. They are less likely to be swayed by incentives. Those who are inspired are willing to pay a premium or endure inconvenience, even personal suffering. Those who are able to inspire will create a following of people — supporters, voters, customers, workers - who act for the good of the whole not because they have to, but because they want to.

What if we could all learn to think, act and communicate like those who inspire? I imagine a world in which the ability to inspire is practiced not just by a chosen few, but by the majority. Studies show that over 80 percent of Americans do not have their dream job.

If more knew how to build organizations that inspire, we could live in a world in which that statistic was the reverse—a world in which over 80 percent of people loved their jobs. People who love going to work are more productive and more creative. They go home happier and have happier families. They treat their colleagues and clients and customers better. Inspired employees make for stronger companies and stronger economies. That is why I wrote this book. I hope to inspire others to do the things that inspire them so that together we may build the companies, the economy and a world in which trust and loyalty are the norm and not the exception. This book is not designed to tell you what to do or how to do it. Its goal is not to give you a course of action. Its goal is to offer you the cause of action

Regardless of the process or the goals, we all want to make educated decisions. More importantly, we all want to make the right decisions. As we all know, however, not all decisions work out to be the right ones, regardless of the amount of data we collect. Sometimes the impact of those wrong decisions is minor, and sometimes it can be catastrophic. Whatever the result, we make decisions based on a perception of the world that may not, in fact, be completely accurate

If you truly have a first-mover's advantage, it's probably lost in a matter of months. If you offer something truly novel, someone else will soon come up with something similar and maybe even better.

But if you ask most businesses why their customers are their customers, most will tell you it's because of superior quality, features, price or service. In other words, most companies have no clue why their customers are their customers. This is a fascinating realization

From business to politics, manipulations run rampant in all forms of sales and marketing. Typical manipulations include: dropping the price; running a promotion; using fear, peer pressure or aspirational messages; and promising innovation to influence behavior—be it a purchase, a vote or support. When companies or organizations do not have a clear sense of why their customers are their customers, they tend to rely on a disproportionate number of manipulations to get what they need. And for good reason. Manipulations work.

Rebates typically require the customer to send in a copy of a receipt, cut out a bar code from the packaging and painstakingly fill out a rebate form with details about the product and how it was purchased. Sending in the wrong part of the box or leaving out a detail on the application can delay the rebate for weeks, months, or void it altogether. The rebate industry also has a name for the number of customers who just don't bother to apply for the rebate, or who never cash the rebate check they receive. That's called slippage.

Though positive in nature, aspirational messages are most effective with those who lack discipline or have a nagging fear or insecurity that they don't have the ability to achieve their dreams on their own (which, at various times for various reasons, is everyone).

What companies cleverly disguise as"innovation" is in fact novelty. And it's not only packaged goods that rely on novelty to lure customers

Does a politician want your vote, for example, or does he or she want a lifetime of support and loyalty from you? (Judging by how elections are run these days, it seems all they want is to win elections. Ads discredit-ing opponents, a focus on single issues, and an uncomfortable reliance on fear or aspirational desires are all indicators. Those tactics win elections, but they do not seed loyalties among the voters.)

WHAT: Every single company and organization on the planet knows WHAT they do. This is true no matter how big or small, no matter what industry. Everyone is easily able to describe the products or services a company sells or the job function they have within that system. WHATs are easy to identify.

HOW: Some companies and people know HOW they do WHAT they do. Whether you call them a"differentiating value proposition,""proprietary process" or"unique selling proposition," HOWs are often given to explain how something is different or better. Not as obvious as WHATs, many think these are the differentiating or motivating factors in a decision. It would be false to assume that's all that is required. There is one missing detail

WHY: Very few people or companies can clearly articulate WHY they do WHAT they do. When I say WHY, I don't mean to make money—that's a result. By WHY I mean what is your purpose, cause or belief? WHY does your company exist? WHY do you get out of bed every morning? And WHY should anyone care?

If Apple were like most other companies, a marketing message from them would move from the outside in of The Golden Circle. It would start with some statement of WHAT the company does or makes, followed by HOW they think they are different or better than the competition, followed by some call to action. With that, the company would expect some behavior in return, in this case a purchase. A marketing message from Apple, if they were like everyone else, might sound like this:

We make great computers. They're beautifully designed, simple to use and user-friendly. Wanna buy one?

Everything we do, we believe in challenging the status quo. We believe in thinking differently.

The way we challenge the status quo is by making our products beautifully designed, simple to use and user-friendly.

And we happen to make great computers.

Wanna buy one?

It's worth repeating: people don't buy WHAT you do, they buy WHY you do it

When communicating from the inside out, however, the WHY is offered as the reason to buy and the WHATs serve as the tangible proof of that belief. The things we can point to rationalize or explain the reasons we're drawn to one product, company or idea over another.

Given their history in digital sound, Creative was more qualified than Apple to introduce a digital music product. The problem was, they advertised their product as a"5GB mp3 player." It is exactly the same message as Apple's"1,000 songs in your pocket." The difference is Creative told us WHAT their product was and Apple told us WHY we needed it.

Only later, once we decided we had to have an iPod, did the WHAT matter—and we chose the 5GB version, 10GB version, and so on, the tangible details that proved we could get the 1,000 songs in our pocket. Our decision started with WHY, and so did Apple's offering.

The newest area of the brain, our Homo sapien brain, is the neocortex, which corresponds with the WHAT level. The neocortex is responsible for rational and analytical thought and language.

The middle two sections comprise the limbic brain. The limbic brain is responsible for all of our feelings, such as trust and loyalty.

It is also responsible for all human behavior and all our decision-making, but it has no capacity for language.

When we communicate from the outside in, when we communicate WHAT we do first, yes, people can understand vast amounts of complicated information, like facts and features, but it does not drive behavior. But when we communicate from the inside out, we're talking directly to the part of the brain that controls decision making, and our language part of the brain allows us to rationalize those decisions.

The reason gut decisions feel right is because the part of the brain that controls them also controls our feelings.

The power of the limbic brain is astounding. It not only controls our gut decisions, but it can influence us to do things that seem illogical or irrational. Leaving the safety of home to explore faraway places. Crossing oceans to see what's on the other side. Leaving a stable job to start a business out of your basement with no money in the bank. Many of us look at these decisions and say,"That's stupid, you're crazy. You could lose everything. You could get yourself killed. What are you thinking?" It is not logic or facts but our hopes and dreams, our hearts and our guts, that drive us to try new things.

If we were all rational, there would be no small businesses, there would be no exploration, there would be very little innovation and there would be no great leaders to inspire all those things. It is the undying belief in something bigger and better that drives that kind of behavior. But it can also control behavior born out of other emotions, like hate or fear. Why else would someone plot to hurt someone they had never met?

We all know someone who is a die-hard Mac lover. Ask them WHY they love their Mac. They won't tell you,"Well, I see myself as someone who likes to challenge the status quo, and it's important for me to surround myself with the people, products and brands that prove to the outside world who I believe I am." Biologically, that's what happened. But that decision was made in the part of the brain that controls behavior but not language. So they will provide a rationalization:"It's the user interface. It's the simplicity. It's the design. It's the high quality. They're the best computers. I'm a creative person." In reality, their purchase decision and their loyalty are deeply personal. They don't really care about Apple; it's all about them.

For values or guiding principles to be truly effective they have to be verbs. It's not"integrity," it's"always do the right thing." It's not"innovation," it's"look at the problem from a different angle."

A WHY is just a belief. That's all it is. HOWs are the actions you take to realize that belief. And WHATs are the results of those actions—everything you say and do: your products, services, marketing, PR, culture and whom you hire. If people don't buy WHAT you do but WHY you do it, then all these things must be consistent. With consistency people will see and hear, without a shadow of a doubt, what you believe. After all, we live in a tangible world. The only way people will know what you believe is by the things you say and do, and if you're not consistent in the things you say and do, no one will know what you believe

What authenticity means is that your Golden Circle is in balance.

It means that everything you say and everything you do you actually believe.

Ask the best salesmen what it takes to be a great salesman. They will always tell you that it helps when you really believe in the product you're selling. What does belief have to do with a sales job?

Simple. When salesmen actually believe in the thing they are selling, then the words that come out of their mouths are authentic. When belief enters the equation, passion exudes from the salesman. It is this authenticity that produces the relationships upon which all the best sales organizations are based. Relationships also build trust.

And with trust comes loyalty. Absent a balanced Golden Circle means no authenticity, which means no strong relationships, which means no trust. And you're back at square one selling on price, service, quality or features. You are back to being like everyone else.

Worse, without that authenticity, companies resort to manipulation: pricing, promotions, peer pressure, fear, take your pick. Effective?

Of course, but only for the short term.

Being authentic is not a requirement for success, but it is if you want that success to be a lasting success. Again, it goes back to WHY. Authenticity is when you say and do the things you actually believe. But if you don't know WHY the organization or the products exist on a level beyond WHAT you do, then it is impossible to know if the things you say or do are consistent with your WHY. Without WHY, any attempt at authenticity will almost always be inauthentic.

Three Degrees of Certainty

When we can only provide a rational basis for a decision, when we can only point to tangible elements or rational measurements, the highest level of confidence we can give is,"I think this is the right decision." That would be biologically accurate because we're activating the neocortex, the"thinking" part of our brain.

When we make gut decisions, the highest level of confidence we can offer is,"The decision feels right," even if it flies in the face of all the facts and figures. Again, this is biologically accurate, because gut decisions happen in the part of the brain that controls our emotions, not language. Ask the most successful entrepreneurs and leaders what their secret is and invariably they all say the same thing:"I trust my gut."

Howard understood from a very young age the very human desire to win. No one likes to lose, and most healthy people live their life to win. The only variation is the score we use. For some it's money, for others it's fame or awards. For some it's power, love, a family or spiritual fulfillment. The metric is relative, but the desire is the same. A billionaire doesn't need to work. Money becomes a way to keep score—a relative account of how things are going. Even a billionaire who loses millions due to poor decisions can get depressed. Although the money may have zero impact on his lifestyle, no one likes to lose.

The drive to win is not, per se, a bad thing. Problems arise, however, when the metric becomes the only measure of success, when what you achieve is no longer tied to WHY you set out to achieve it in the first place.

That's what a WHY does. When it is clearly understood, it attracts people who believe the same thing. And assuming they are good fits for what Americans believe and how they do things, those immigrants will say of America,"I love it here," or"I love this country." This visceral reaction has less to do with America and more to do with them. It's how they feel about their own opportunity and their own ability to thrive in a culture in which they feel like they belong versus the one they came from.

What all great leaders have in common is the ability to find good fits to join their organizations—those who believe what they believe.

WHAT these two stonemasons are doing is exactly the same; the difference is, one has a sense of purpose. He feels like he belongs.

He comes to work to be a part of something bigger than the job he's doing. Simply having a sense of WHY changes his entire view of his job. It makes him more productive and certainly more loyal.

Whereas the first stonemason would probably take another job for more pay, the inspired stonemason works longer hours and would probably turn down an easier, higher-paying job to stay and be a part of the higher cause. The second stonemason does not see himself as any more or less important than the guy making the stained glass windows or even the architect. They are all working together to build the cathedral. It is this bond that creates camaraderie. And that camaraderie and trust is what brings success. People working together for a common cause.

When a journalist asked Kelleher who comes first to him, his shareholders or his employees, his response was heresy at the time (and to a large degree still is)."Well, that's easy," he said,"employees come first and if employees are treated right, they treat the outside world right, the outside world uses the company's product again, and that makes the shareholders happy. That really is the way that it works and it's not a conundrum at all."

In his 1962 book Diffusion of Innovations, Everett M. Rogers was the first to formally describe how innovations spread through society. Thirty years later, in his book Crossing the Chasm, Geoffrey Moore expanded on Rogers's ideas to apply the principle to high-tech product marketing. But the Law of Diffusion of Innovations explains much more than just the spread of innovation or technology. It explains the spread of ideas.

If you don't know the law, you're likely already familiar with some of its terminology. Our population is broken into five seg-ments that fall across a bell curve: innovators, early adoptors, early majority, late majority and laggards.

The entire act of incentivizing an influencer is manipulative. It renders the influencer completely inauthentic to his or her group. It won't take long for the group to find out that a recommendation wasn't made with the group's best interest in mind, but rather because of one person's self-interest. Trust erodes and the value of the influencer is rendered useless.

Energy motivates but charisma inspires. Energy is easy to see, easy to measure and easy to copy Charisma is hard to define, nearly impossible to measure and too elusive to copy. All great leaders have charisma because all great leaders have clarity of WHY; and an undying belief in a purpose or cause bigger than themselves.

To reach the billion-dollar status, to alter the course of an industry, requires a very special and rare partnership between one who knows WHY and those who know HOW.

In nearly every case of a person or an organization that has gone on to inspire people and do great things, there exists this special partnership between WHY and HOW. Bill Gates, for example, may have been the visionary who imagined a world with a PC on every desk, but Paul Allen built the company. Herb Kelleher was able to personify and preach the cause of freedom, but it was Rollin King who came up with the idea for Southwest Airlines. Steve Jobs is the rebel's evangelist, but Steve Wozniak is the engineer who made the Apple work. Jobs had the vision, Woz had the goods. It is the partnership of a vision of the future and the talent to get it done that makes an organization great.

With a WHY clearly stated in an organization, anyone within the organization can make a decision as clearly and as accurately as the founder. A WHY provides the clear filter for decision-making. Any decisions—hiring, partnerships, strategies and tactics—should all pass the Celery Test

Achievement vs. Success

For some people, there is an irony to success. Many people who achieve great success don't always feel it. Some who achieve fame talk about the loneliness that often goes with it. That's because success and achievement are not the same thing, yet too often we mistake one for the other. Achievement is something you reach or attain, like a goal. It is something tangible, clearly defined and measurable. Success, in contrast, is a feeling or a state of being."She feels successful. She is successful," we say, using the verb to be to suggest this state of being. While we can easily lay down a path to reach a goal, laying down a path to reach that intangible feeling of success is more elusive. In my vernacular, achievement comes when you pursue and attain WHAT you want. Success comes when you are clear in pursuit of WHY you want it. The former is motivated by tangible factors while the latter by something deeper in the brain, where we lack the capacity to put those feelings into words.

For all organizations that go through the split, they are no longer inspired by a cause greater than themselves. They simply come to work, manage systems and work to reach certain preset goals. There is no longer a cathedral to build. The passion is gone and inspiration is at a minimum. At that point, for most who show up every day what they do is just a job. If this is how the people on the inside feel, imagine how those on the outside feel. It is no wonder that manipulations start to dominate not only how the company sells its wares, but even how they retain employees. Bonuses, promotions and other enticements, even instilling fear in people, become the only way to hold on to talent. That's hardly inspiring.

On a strictly rational scale, the generic rackets offered better value. But again, value is a perception, not a calculation, which is the reason companies make such a big deal about investing in their brand. But a strong brand, like all other intangible factors that contribute to the perception of value, starts with a clear sense of WHY.

When they are unclear about your WHY, WHAT you do has no context. Even though the things you do or decisions you make may be good, they won't make sense to others without a clear understanding of WHY.

Every company, organization or group with the ability to inspire starts with a person or small group of people who were inspired to do something bigger than themselves. Gaining clarity of WHY, ironically, is not the hard part. It is the discipline to trust one's gut, to stay true to one's purpose, cause or beliefs. Remaining completely in balance and authentic is the most difficult part. The few that are able to build a megaphone, and not just a company, around their cause are the ones who earn the ability to inspire. In doing so, they harness a power to move people that few can even imagine.

To Inspire People to Do the Things That Inspire Them Henry Ford said,"If you think you can or you think you can't, you're right."

everyone else, no one wants to help you. But when you compete against yourself, everyone wants to help you. Olympic athletes don't help each other. They're competitors. Ben starts every race with a very clear sense of WHY he's running. He's not there to beat anyone but himself. Ben never loses sight of that. His sense of WHY he's running gives him the strength to keep going. To keep pushing. To keep getting up. To keep going. And to do it again and again and again. And every day he runs, the only time Ben sets out to beat is his own.