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CHAPTER 3: ESTABLISH NETWORK MODEL

After establishing that a private sector network has opportunities to create value and fill unmet needs in your country, there are two next steps: establishing the network itself and determining what its initial activities should be. This chapter focuses on establishing the network model, including considerations like hosting arrangements, legal requirements, and initial funding.  While there is no one best model for all networks, there is a standard set of questions to address and the experience of other networks can be informative. The questions in this chapter will help set up a private sector network for success, ensuring it has the required structure and support for long-term sustainability and scale. This chapter and its associated resources can also be used to support the ongoing work of your network as it grows and evolves.

 

The resources in this chapter will help you answer the following questions:

  1. What are the mission and objectives of the network?

  2. What kind of initial organizational bodies can help launch my network?

  3. What are the key considerations to determine an appropriate hosting arrangement?

  4. What role can key private sector actors play in championing a network?

  5. What formal organizational structures should my network include?

  6. How do I formalize a governance structure and what are the key success factors and components?

  7. What are the different ways networks generate funding to support their activities?

  8. What partnerships should a private sector network form?

  9. How do I grow my membership base?

  10. How do I organize my membership base?

1. What are the mission and objectives of the network?
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The mission or purpose statement of a private sector network provides a powerful tool to communicate its value to potential members and partners. The network's mission/purpose statement can:

  • Guide the network's strategy and activities, ensuring they contribute to the same overall goals

  • Help demonstrate the value of the network, and show that you are not reinventing the wheel

  • Assist in articulating your value proposition to private sector champions, partners, donors, and members

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As you consider articulating the network's objectives, it may be helpful to think about following framework developed by the Donor Committee for Enterprise Development (DCED). They note that there are three broad typologies that multi-stakeholder partnerships, including private sector networks, tend to fall into, based on their primary objectives. Note that organizations may have a combination of objectives across these categories.

  • Knowledge Sharing: Partnerships focused on sharing and distributing knowledge and solutions to key social problems, or brokering relationships between different organizations.  Example activities may include consolidation and dissemination of best practices, convening of conferences to share knowledge or developing relationships with actors already engaged in DRM or BCP activities.  Organizations typically choose this approach when they've identified multiple stakeholders developing solutions in a particular area but when there is a lack of coordination or communication between stakeholders, hence a focus on information sharing.

  • Service Provision: Partnerships focused on providing services, mobilizing resources or enabling innovation or the development of new products or knowledge.  Example activities may include developing locally-relevant DRM or BCP materials, conducting trainings or simulations, developing and maintaining disaster operations centers or supporting other actors engaged in those activities.  Organizations typically choose this approach when they have not found many stakeholders developing or offering solutions in a particular area, hence more of a focus on improving outcomes or "contracting out" service provision.

  • Standard Setting: Partnerships focused on strengthening norms or standards in a particular public-sector setting.  Example activities may include improving regulations regarding tax exemption for private sector contributions, supporting the use of risk-adjusted insurance or financing, or encouraging other incentives for private sector engagement in DRM[LJ1] .  Organizations typically choose this approach when they feel that there are specific public-sector failures in their particular area, hence a focus on strengthening and enforcing norms and standards.

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<<KEY CONSIDERATIONS>>

 

When formulating your mission/purpose statement, consider:

  • What are the unmet needs regarding private sector engagement in DRM in my country that are driving the creation of this network?

  • What will be the most valuable contribution of this network?

  • How would I sum up the purpose of the network in 30 seconds?

  • If I could only pick three key things that the network will achieve or improve, what would they be?

 

Also bear in mind that members and partner organizations may view and articulate the network's mission and goals differently. Some members may prefer comprehensive and detailed articulations, while others may preference a simple, pithy version. Therefore, it may be useful to gather the views of different actors, and consolidate them to identify common themes.  It may also be useful to prepare different messages to different target audiences.

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<<EXAMPLES FROM OTHER NETWORKS>>

 

Madagascar Private Sector Humanitarian Platform mission statement, CBi member network

"The mission of the Platform is to gather, facilitate, and coordinate the humanitarian actions of its members for better effectiveness."

 

Asia Pacific Alliance for Disaster Management Sri Lanka purpose statement, CBi member network

"The Sri Lanka Alliance for Disaster Risk Management will support the private sector to engage easier, faster, and more efficiently in disaster risk reduction, preparedness, response, and recovery through the coordination and consolidation of a number of networks and initiatives under the framework of the Connecting Business initiative."

 

The Philippines Disaster Resilience Foundation purpose statement, CBi member network

"To support the collaboration of disaster preparedness, recovery, and rehabilitation efforts between the government, humanitarian, and business sectors at national, provincial, and local levels in the Philippines. PDRF enhances the national disaster preparedness and recovery capacity and strengthens the private sector’s ability to respond to disasters and emergencies."

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<<ADDITIONAL EXTERNAL RESOURCES>>

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For further information on multi-stakeholder missions and objectives we recommend consulting

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