1. 1 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Network Management: Frameworks and Best Practice Innovation Network for Communities (www.in4c.net)

2. 2 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Purpose Share some basic network concepts Discuss different kinds of networks and how their requirements differ Reflect on some best practices from other networks

3. 3 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Some Networks We Have Worked With Urban Sustainability Directors Network Boston Green Ribbon Commission Manufacturing Networks in West Michigan Kellogg Foundation Rural Policy Network Re-AMP Massachusetts Homeless Network The Funders Network for Smart Growth Advanced Energy Economy

4. 4 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 1.Networks offer certain advantages—but are not a panacea. 2.Network building is a practice – with a growing body of know-how, tools, skills. Networks are built, not born; they can/should be designed and managed. 3.Not all networks are alike. Different types of networks fit different purposes and require different support/infrastructure. 4.The essential building block of every network is connectivity among network members. 5.Network performance can be measured and monitored. 6.Networks evolve. Some Network Basics

5. 5 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Challenges Specific to the C40 Network Design Differences of geography, time zones, language, climate and political context Lack of clarity on who is a member – cities vs. individuals Lack of a clear common identity around which the network is formed Tension between supporting member-driven connectivity vs. outcome-driven projects

6. 6 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Basic Network Concepts

7. 7 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Characteristics of Networks A network has less formal structure than an organization and it is more fluid Participation is voluntary and the agenda is driven by the members Network participants have a high degree of freedom to make choices Decision making is distributive in nature, not centralized Participation is as needed, not full time

8. 8 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Different Tools for Different Work Networks Are informal, organic, mutual, voluntary, distributed, open- ended, reciprocal, with relationships built on trust. Members are deliberate about building, strengthening, and maintaining ties so that they can be activated again and again. Other Coalitions: Can be more or less formal, but are formed at particular historical moments focused on specific objectives. Often dissolve when the job is over (win or loss). Franchises: Are formal, with a central hub establishing standards for “local” entities to use; some local flexibility permitted. Organization s Are formal, fixed and centralized with delegated chains of command and accountability to owners, directors, and bosses. … A Network is a base for many different types of activities over time.

9. 9 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. A Spectrum of Interdependence Formality of Structures Level of Interdependence HIGH LOW HIGH Organizations Networks Markets Supply Chains Coalition s

10. 10 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Making the Choice An Organization is Best If… A Network is Best If… The work is relatively predictable It requires concentrated expertise over time Producing value requires highly stable relationships between players Work involves a lot of proprietary information Resources allow you to pay full time for all of your talent The work is likely to change rapidly You need access to a very broad range of diverse relationships The work that is being done can be conducted by “episodic” interactions Much information can be shared freely The resources you need cannot be purchased on a full time basis

11. 11 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. What Networks Are Good At (Courtesy of Madeleine Taylor) “Small World” Reach – By bringing together novel combinations of people and reaching across bridges to other networks. More Rapid Growth – Networks can quickly add relationships and bridges to other networks. More Rapid Diffusion – Through these relationships and bridges. Greater Resilience – Nodes quickly reorganize around disruptions or bottlenecks. Greater Adaptability – Networks evolve and regroup with relative ease.

12. 12 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Anatomy of Network Relationships Link Node What Flows Through It (Sources of Value to Members) Connections Knowledge Competencies Resources What Makes It Work Trust Reciprocity Diversity Complementarity

13. 13 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. “Trust is the glue that holds networks together.” Trust is built by: –Increasing the bandwidth of information that flows between nodes –Experiencing reciprocity Trust is personal. Trust is the core network asset.

14. 14 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Different Types of Networks

15. 15 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Different Types of Networks Producing Aligning Connecting Allow easy flow of information and relationships Develop and spread a shared point of view Foster joint action for specialized outcomes

16. 16 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Different Types of Networks FeatureConnectingAligningProducing Value Proposition I can connect faster to many other people I can build a sense of shared identity and purpose I can produce desired outcomes more effectively Role of Network Builder Weaving— helping people meet each other, increase ease of sharing and searching for information Facilitating— helping people to explore potential shared identity and value propositions Coordinating— helping people plan and implement collaborative actions

17. 17 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Networks Can Focus On Many Different Outcomes Learning – Create and spread new knowledge Advocacy – Advocate for particular policies Innovation – Innovate to solve social problems Branding – Marketing, communications and shared branding

18. 18 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Key Enabling Infrastructure By Type of Network Type of Network ConnectingAligningProducing Members-only Web site with networking tools Meeting planning & facilitation Shared calendaring “Opt In” learning processes Member input systems Collaborative work processes + Web site Capacity to analyze, compare, and synthesize frameworks, definitions, etc. Formal decision- making processes to “endorse” alignment mechanisms (e.g., standards) Capacity to negotiate production agreements among members Project management and project budgeting capacity Formal governance of all producers Performance accountability mechanisms Pricing and marketing capacity Sales, fulfillment, & financial management

19. 19 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Typical Features of Successful Networks Identity. There is a clear and common “identity” associated with the network – the members share a common purpose. This identity creates a predisposition to trust other members of the network. Reciprocity. Network members engage in reciprocity – they both give and they get – and there are clear rules about member transactions. Member Leadership. The bulk of the work is done by the members. Nothing is done without it being led by network champions. Value. Members see the network as adding real value to the accomplishment of their aspirations. Facilitation. The network is facilitated by a low-ego, high performance “broker” or “facilitator” who the members personally trust. Infrastructure. There is a well-functioning network support infrastructure in place.

20. 20 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Network Management Overview

21. 21 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Functions of a Network Management System Network Design Purpose Type Connecting Aligning Producing Activities Members Staff Support Funding Organizations that are managing multiple networks and continuously developing new networks need to develop a network management system that carries out the following functions. Member Management Member recruitment Member on boarding Member-to-member relationship building Member communications Network Support Content framing Meeting design Meeting facilitation Connecting to experts Coordination of activities Project management Network Monitoring Member surveys Corrective action strategies Reporting to members Reporting to funders

22. 22 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Some Roles in Network Management OrganizingEstablishes purpose and value propositions of the network. Establishes first members of network and connects them to each other. Attracts initial resources for the network. WeavingWorks to increase connections among nodes, both the number of links and the bandwidth quality of links. Also may focus on growing the network by connecting to new nodes. FunderProvides initial and ongoing resources for organizing the network, supporting development of connections, alignment, and production, and coordination for the network. May play role of initial organizer of network FacilitatingHelps network members to establish collective value proposition and negotiate collective action plans for production. CoordinatingHelps nodes to undertake collective action for production, by ensuring the flow of necessary information and other resources, development and implementation of agreements among nodes. CoachingAdvises organizers, weavers, facilitators, and coordinators about how best to perform their roles in building networks. StewardshipInformally helps to build the network, but as a member of the network, not as a formal position-role within the network (The same person can play many of these roles.)

23. 23 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Typical Network Coordinator Functions Network Development Support network goal setting and the development of plans Monitor and promote progress with network plans Maintain Network member database Identify opportunities to create and strengthen network connections (network weaving) Orient new members (including coaching on healthy network practices) Internal Communication s Organize, convene, and schedule network meetings (develop agendas, assist with goal setting, minutes recorded and shared) Provide written updates and reports of all activities to Network members on a regular basis Maintain network online capacities (Directory, Web site, etc.) External Communication s Respond to all requests for updates and reports from funders Serve as liaison with other organizations and networks to promote coordination of efforts. Promote activities and goals of the Network and those of its members Network Research/Data Collection Facilitate data collection necessary for assessing and evaluating network health and effectiveness of network activities Support creation of white papers/ reports Network Finances Review and monitor budget Identify and pursue funding opportunities

24. 24 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Weaver Roles “Weavers” act like brokers – connecting players together; keeping their ears to the ground; fixing problems; helping members maximize the value they receive Weavers need to both know about network building, and have standing in the content area of the network

25. 25 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Weavers Increase & Manage Connectivity Who’s connected to whom? Who’s not connected but should be? Where are the hubs and brokers? How can we assist them? Where are the bottlenecks? Can we eliminate them? Are new connections forming? Clusters emerging? Collaborations advancing ? Where are the network’s resources? Are they effectively used? How is the network evolving and what are the implications?

26. 26 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Facilitation is a Key Skill The job of the facilitator is to make it easy for the members to make connections and get value out of the network. It requires a combination of “low ego” (let the members lead and decide) and “high expectations” (don’t let anyone waste other people’s time) It requires understanding the content area; asking and listening closely to member needs; and shaping opportunities for action that are easy to say “yes” or “no” to.

27. 27 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. A Few Facilitation Tips (from the wounded in action!) Know the members and get their trust Prep obsessively Always have an agenda and clear outcomes in mind Always end the meeting on time Whenever possible, force every participant to say something (roll call) Shape action propositions If no one leads, don’t push Line up champions in advance Write coherent and succinct notes Follow up promptly Check in often

28. 28 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Network Design

29. 29 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Network Design Questions 1.What kind of network do you want to build? 2.What is the “value proposition” that attracts people to participate? 3.What is the initial membership? 4.How should the network be governed? 5.What should the network structure be? 6.How will the network be funded? 7.What are the operating principles? 8.Who will build the network? 9.How will you evaluate the network?

30. 30 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 1 – What Kind of Network? Networks typically evolve through stages – from connecting to aligning to co-producing. This evolution takes time. You need to take time to really clarify what the purpose of the network is – especially to articulate the core hypotheses you want to test Match the type of network to the purpose

31. 31 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 2 – What is the Value Proposition? Funders often: Overestimate the power of their value proposition to attract members to a network. Rush development and skip necessary steps in network building (especially connectivity and alignment). Don’t recognize the full costs of network development. Become the controlling hub rather than an enabler. “Networks that are formed as the result of external, especially donor-driven, impetuses are less sustainable in the long run than networks that evolve organically out of existing partnerships.” Beware of funding as a core value proposition!

32. 32 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 2 – What Is the Value Proposition? The value proposition needs to be clearly focused on how the benefits from network participation outweigh the costs of participation The network builder needs to take the time to fully explore and vet the value proposition with potential members “If there’s no value, people will start to exit. It’s a self- regulating system.” (Bill Traynor, Lawrence Community Works)

33. 33 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Sources of Network Value Sharing connections Sharing knowledge Sharing competencies Sharing resources

34. 34 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 3 – Who are the Network Members? Networks can be “open” or “closed” –Production networks are typically “closed” Ultimately, a member is an individual, not an organization. Continuity of participation is important to build social capital. There can be different categories of members (core; affiliate; peripheral; etc.)

35. 35 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Some Criteria for Membership Shared commitment to the network purpose Expertise or competence in key content areas Connections that matter Capacity to collaborate Being a good “network citizen”

36. 36 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 4 – How Will the Network be Governed? Who decides? Steering group All members Elected members Other arrangements What is decided? Purpose Objectives/goals Values & beliefs Membership criteria Member responsibilities Plans and strategies Distribution of resources How is it decided? By outsiders By consensus By democratic vote By action (emergence)

37. 37 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 5 – What Will the Structure Be?

38. 38 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 6 – How Will the Network Be Funded? Operating grants Member fees Project fund raising Volunteer time and sweat equity

39. 39 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 7 – What Are the Operating Principles? Make the network do the work. –Minimize “delegation” opportunities Let connections flow to value. Let variation create unplanned opportunities. Keep plans flexible.

40. 40 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. 8 – Who Will Build the Network? Some Different Roles of Network Builders OrganizerEstablish purpose and value proposition; connect first nodes; attract initial resources. FunderProvide initial and growth resources. WeaverIncrease connections among nodes; connect to new nodes. Facilitator & Coordinator Help establish shared value proposition; negotiate action plans for production; coordinate production. CoachAdvise organizers, weavers, facilitators and coordinators.

41. 41 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Network Evaluation

42. 42 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Network Evaluation Assess for multiple dimensions: –Connectivity (What flows? Between whom? How well?) –Network health (membership; involvement; diversity; unplanned benefits; financial health) –Outcomes (what was produced; at what quality levels; at what cost) Focus on member value – avoid being funder- centric Build in the assessment design early Use network mapping for visual display

43. 43 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. USDN Network Evaluation 43 Annual Network Connectivity Mapping o Density of network connections o Depth of the connections (i.e. sharing or collaborating?) Score Card for Member Participation in Network Activities and Contribution to Network Value Creation Annual survey of members on: o New contacts and relationships with sustainability directors o Ideas and practices adopted because of USDN participation o Progress made in addressing key challenges o Satisfaction with USDN o Effectiveness of USDN activities

44. 44 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Evaluation Through Network Mapping YearAvg # Ties 2009 8 2010 19 2011 26 2009 2010 2011 44

45. 45 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Who Is Accountable for Network Performance? 45 All Members All Groups Group Chairs Steering Comm. Coordinator

46. 46 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. USDN Feedback on Network Value

47. 47 C40 Network Management © 2012 by Innovation Network for Communities. www.in4c.net All Rights Reserved. Persistence Pays Off!