The word is that Phil Jackson doesn't even want to relocate to New York, and will only visit a couple of times a month when necessary.

And he certainly won't travel around for scouting or recruiting or anything like that.
Honestly, I think Phil just pulled one over on ol' Dolan. Smooth talked him into forking over $15 million so Phil can essentially stay in retirement, and every once in a while get a free trip to New York.
What can Phil possibly do to help the Knicks? It isn't clear how good Phil is at scouting, contract management, or anything like that. There is no evidence that he has ever been particularly in tune with the ins and outs of the CBA or trade negotiations. His biggest talent has always been fitting players into his system and managing egos, which is admittedly a valuable tool, but can only take you so far (especially when you aren't the coach on the sidelines).
Word also is that he wants to hire Steve Kerr as his coach. Dump Woodson and put Kerr in, who will almost certainly implement the triangle offense in New York. Which … well, let's just say the triangle has never awed anyone when it didn't feature an MJ or Shaq. And, besides, their roster doesn't seem like it really has anyone capable of fitting into that system (Shumpert, maybe … Melo might not be terrible for it, but he doesn't strike me as the sort of player that can make the post reads and passes necessary to keep it going properly. People forget how much MJ and Kobe ran the offense through the post, and not from the perimeter).
The Knicks pretty much have to hope that they can get a good trade for Melo that clears some cap space and gives them someone like Parsons with a high upside.