Group Phase

Groups evolve through distinct phases, each demanding unique tools and approaches. Understanding these phases is crucial for effective group function and coordination. Clearly defining a group’s phase allows for the design of an appropriate set of tools and constraints for the group, affording it both internal coherence and coherence in the network within which it exists.

5 Group Phases: The DAO Primitives Framework identifies five phases of group development. Understanding these phases is a key component of designing decentralized structures that leverage a network of autonomous teams. This group phase framework can enable the creation of a governance design that can balance autonomy and structure throughout a group’s lifecycle.

For example, an emerging idea being explored by a small team may require nothing more than basic communication channels for discussion and ideation. In contrast, a team allocated significant resources to perform core functions within a DAO will need robust organizational structures to safely and transparently fulfill its responsibilities.

2 Core Functions: A clear phase framework serves two critical functions: it helps groups understand what structural elements they need at any given point in their development, and it enables broader network participants to identify what organizational standards a group must meet to be considered trustworthy for engagement, resource allocation, and collaboration.

Variation: The specific implementation of group phases will vary based on the network’s nature and values. For instance, a highly permissionless network might impose minimal structure requirements especially during early group formation stages, while a different network might establish specific criteria for groups at each developmental phase. These design choices should reflect the network’s core requirements, principles, and governance approach.

These phases can be used broadly to map and understand the development of different types of groups. For example they can map the development of a team/Cell within a DAO network, or the development of a DAO itself. Depending on the type of group and its specific context, it will pass through these phases at different rates. For example, a working group being set up within an existing operational structure to fulfill a very specific predefined purpose, my move rapidly through the 5 group phases over several days. Whereas a DAO may take a year to evolve from initial conversations to a formally structured onchain network.

The five group phases are:


1. Ideation Phase:: This initial phase focuses on open exploration and idea generation. It’s a period of brainstorming, sharing perspectives, and identifying potential synergies before formal structures or processes are established. The primary goal is to establish a shared vision and understanding, laying the groundwork for future phases. Key characteristics include shared vision formation, relationship building, and informal processes. This Phase often culminates with a discovery report of some kind that outlines the ideas and opportunities that this phase has explored and recommended next steps

2. Formation Phase: The Formation Phase represents the critical transition from open exploration to structured commitment within decentralized networks. Following the ideation and relationship-building of the Conversation Phase, groups in Formation begin establishing clear boundaries, formalizing agreements, and designing the structure needed for coordinated action. This phase transforms emerging potential into concrete design creating the foundation for functional structure to be implemented, and often culminates with a community proposal to formally establish the group’s structure. Key characteristics, proposal development, initial state documentation and initial execution. Learn more

3. Organization Phase: The Organization Phase builds on the Formation Phase, transitioning from a basic framework to a fully established, formal structure with defined processes and governance mechanisms. This phase is characterized by the implementation of clear systems, procedures, and decision-making frameworks designed in the Formation phase. The primary goal is to create a sustainable and scalable organizational structure. Key Characteristics include governance implementation, operational infrastructure, and external interface mechanisms. This phase culminates with the full implementation of the governance and operational design outlined in its group-state documentation. Learn more

4. Coordination Phase: The Coordination Phase represents the mature group phase where groups transition from establishing their structures and processes in the organization phase to focused execution on their purpose and goals. In this phase, a group leverages its fully implemented operational capabilities and governance systems to deliver maximum value and impact for itself and for the networks that it participates in. The emphasis shifts from internal development to effective delivery, with coordination becoming a key mechanism for accessing necessary resources, capabilities, and support from the broader network or ecosystem. Learn more

5. Completion Phase: This final phase focuses on the intentional conclusion of groups that have fulfilled their purpose or are no longer effectively serving the network. The primary goal is to properly redistribute resources, preserve valuable knowledge, and formally close operations. Key characteristics include documenting learnings, transferring responsibilities, distributing remaining funds, and clear communication about the closure. Without effective completion processes, networks accumulate “organizational debt” as outdated structures persist, undermining the flexibility and efficiency that DAOs aim to achieve. Learn more