A Survival Guide for Legal Practice Managers

A Survival Guide for Legal Practice Managers

Rod McGeoch's 15-Point Credo for Leadership

Tuesday, September 26, 2017

Rod McGeoch

The 2017 ALPMA Summit kicked off in Brisbane with an inspiring keynote presentation from Rod McGeoch AO, distinguished business man, leader of Sydney’s successful Olympics 2000 bid, and Co-Chairman of the Australia New Zealand Leadership Forum. 

Rod shared war stories from across his distinguished career ending with his 15-point personal credo, that he has generously agreed to share in this post.

Rod's Credo For Leadership


1. You must know your real strengths and weaknesses, not what you or others perceive are your strengths and weaknesses.  You must know whether you are at your peak in the mornings in in the evenings. Then plan around your peak performance times.

2. You must be aware that you do not get what you deserve; you get what you negotiate.

3. You must never say “Get it any price.”  Get it, and get the best price.

4. Timing is the most important thing; it is the only thing. You know it is better to be approximately right at exactly the right time, than to be exactly right at completely the wrong time.

5. You learn to operate by the 80/20 rule: you expect 80% of the result with 20% of the cost in 20% of the time. By the 80/20 rule, you achieve five times as much as those who strive for perfection.

6. You put your family first and your business second.

7. You read biographies. You seek mentors. You ask yourself what your mentors would do in each situation, not just what they would say.

8. You never apologise for wanting only exceptional people to work for you. And you pay those people well.

9. You congratulate employees publically but criticise them privately. You write 'thank you' notes and send them to your employees’ homes.

10. You put up whiteboards about production figures and costs.  After all, how would you like playing in a football game every day with no scores?

11. You never ask anyone to deliver what is beyond them.

12. You do not compete with the economy. The economy is the excuse people use for under performance. 

13. You protect your reputation. It is your most important asset.

14. You work long and you work smart. You work five to nine not nine to five.

15. You manage by walking around. You never tire of going to the shop floor where your people are. You ask them what you can do to help them do their job better.

You celebrate success and involve everyone in the celebrations.

Editor's Note:

You can watch most of the presentations from the 2017 ALPMA Summit - and share this with colleagues at your firm by purchasing the 2017 ALPMA Summit On-Demand package, proudly supported by BigHand.

About Rod McGeoch

Rod McGeochRod McGeoch has had a remarkable career at the forefront of business, sports administration and the legal profession. He unites exemplary senior level management experience with an unparalleled commitment to achievement.  Perhaps best known as the leader of Sydney's successful Olympics 2000 bid, he is Chairman or Director of a wide range of major corporations and past Chairman of Corrs Chambers Westgarth, one of Australia's largest law firms.

Rod McGeoch was described in an ABN AMRO report as one of Australasia's most influential Directors; his appointments included Chairman of Vantage Private Equity Group Limited and BGP Investments/Holdings plc. He is also a Director of Ramsay Health Care Limited and a member of the Board of Destination NSW and Sky City Entertainment Group Limited.

He is Co-Chairman of the Australia New Zealand Leadership Forum, a past President of the Law Society of NSW and a Member of the Order of Australia, awarded in recognition of his invaluable services to the legal profession.

Creativity is the key to adapting and innovating in the changing legal landscape

Tuesday, September 19, 2017

By John Ahern, CEO, InfoTrack

There’s no denying the increase in the push for technology adoption in the workplace (and outside of it) since the turn of the century. Almost two decades in and this push has evolved into a necessity, leaving late adopters at risk of falling behind. According to not-for-profit organisation P21, the key skills of the 21st-century are communication, collaboration, critical thinking and creativity – the 4 C’s. In anticipation of this year’s ALPMA summit, ‘Sailing the 4 C’s’, ALPMA and InfoTrack surveyed over 100 firms in Australia and New Zealand to gain insight into how well Australasian law firms were embracing the key 21st century skills of communication, collaboration, critical thinking and creativity.

According to the research results, lawyers and law firm leaders are better at critical thinking than they are communicating and collaborating, while most are ineffective when it came to finding creative solutions. These results are not surprising, but they indicate that the legal industry as a whole still needs to modernise its mindset.

Creativity is not ‘arts and crafts’; it’s the starting point for innovation and the key to not just surviving but thriving in the new legal landscape. You should be thinking creatively when it comes to the other C’s as well – how can you differentiate yourself when it comes to communication, collaboration and critical thinking? What new things can you bring to your firm as a business to provide a better service to your clients?

The survey results indicate firms are all at different stages of the journey and looking for ways to improve these skills. As an innovative technology company, we live and breathe the 4 C’s and understand how each component impacts your success. Bearing this in mind, I’d like to share with you some tips on how you can further embrace the 4 C’s in your legal practice.

Communication

How do you open communication while maintaining focus and minimising noise?

  • Create an inclusive culture where staff feel safe sharing ideas. When you make an effort to understand your staff, their working style and what motivates them, you create an environment for open communication. At InfoTrack we’ve conducted employee profiling workshops which have helped our employees not only better understand their own working style, but how they can enhance communication with their colleagues.
  • Create clear outlines for afterhours communications to minimise noise. Ensure your employees know when and why to use certain channels. I’ve worked with many firms who have policies around what certain communications mean at certain times. For example, if you send an email afterhours, know that it won’t be read until the next day. If you text afterhours, know that you’re interrupting someone. If you call afterhours, know it will be treated as an emergency. Set these boundaries to avoid entering a never-ending loop that can cause burnout.
  • Set aside specific time for staff to talk to partners. This is a common strategy I’ve come across that is a great way to encourage more efficient and effective communications. I’ve known some principals who set aside specific hours each week to open the floor to questions from anyone, either via conference call, open door policy or simply being available on their phone during their commute to or from work.

Collaboration

As we become more digitally dispersed around the world, the need for effective collaboration increases. Clients are used to doing almost everything online and that includes legal services now. The younger generation of employees at your firm expects collaborative software and online tools.

How do you maximise collaboration in the digital age?

  • Use platforms that enable you to provide your clients with transparent and mobile service. Many firms are beginning to use portals which enable clients to view all documents and searches related to their matter online.
  • Move processes online to allow for document sharing and better integration across your firm. A lot of firms are beginning to implement Office 365 and other platforms that enable online collaboration across teams.

Critical Thinking

As lawyers, you are pros at critical thinking when it comes to legal projects, but you often forget to use that same critical eye when it comes to business decisions.

How can you implement critical thinking from a business perspective?

  • View technology as an enabler and figure out how you can make it work for you. I’ve been travelling across Australia to educate the market on e-Conveyancing and it’s a classic example of scalable technology that firms of any size can adopt. There’s a way for every single firm to make it work for them, it’s just about giving it a try and working with suppliers to find the solutions that fits your firm.
  • Approach new opportunities with solutions not problems. I’ve been in a number of boardrooms with major law firms while they’re deciding if they should invest in new technology. Firms generally fall in one of two camps; they come to the table with 100 reasons why not to implement it, or they come in determined to find a way to take advantage of a new tool and differentiate their business.

Creativity

Of the four key 21st century skills, creativity was the least strongly-valued skill. Effectively adopting creativity in your law firm gives you a competitive advantage in the overcrowded sea of competitors.

How can you foster creativity in your firm?

  • Turn everyone into a thought leader, don’t just rely on partners to lead the way. Empower your employees to suggest process changes, to research new tools, to get their voices out there and to always be looking for ways to improve the business.
  • Differentiate your firm and develop new ways to drive more business. I’ve seen firms who’ve implemented iPads at reception that can show clients their matter and a list of all related documents. Others have created bespoke client portals and others are digitising processes to provide a more modern experience for their clients. When you can provide clients with a quality, modern, streamlined experience, they’ll recommend you to their friends.

In an industry that’s constantly being disrupted, the 4C’s are pivotal to your success because they underpin innovation and allow you to be adapt to the changing market. The survey revealed that many firms are focusing all their efforts internally and failing to rely on partners and suppliers in this journey; remember that you’re not it in alone. Lean on your suppliers and demand more from them. Invest in vendors who are investing in their technology and providing you with new solutions that are innovative, flexible and make your life easier. The right vendors will help you develop the 4C’s.

When you’re looking at new suppliers, thinking about new projects or implementing new processes, make sure you ask yourself:

Is this going to help me differentiate my business?

Is this going to enhance the way I interact with my clients?

Is this going to enable me to innovate?

Is this going to help me problem-solve more effectively?

Editor's Note

research front coverThe ALPMA/InfoTrack 21st Century Thinking at Australasian Law Firms research measures how well Australasian law firms are embracing the key 21st century learning skills of creativity, critical-thinking, communication and collaboration, as defined by the influential P21 organisation. You can download your copy of the results here


About our Guest Blogger

John AhernJohn Ahern is CEO of InfoTrack, proud principal partner of the 2017 ALPMA Summit.

John joined InfoTrack in 2015 as the Chief Technology Officer taking charge for establishing the company’s technical vision and leading on all aspects of InfoTrack’s technology development. John was appointed to the role of Chief Executive Officer in May of 2015 where he is now responsible for maintaining the extensive growth of InfoTrack in the Australian market.

John has over 20 years' experience in the Information Sector, having worked in a number of engineering, sales and executive positions. With a strong technical background, he has vast experience in designing and developing products and has delivered platforms from inception to production.

Who's got time for time management?

Tuesday, September 05, 2017

By Dermot Crowley, Productivity Author 

I ran a Lunch ‘n Learn presentation recently for a leading investment firm. The topic was essentially how to manage your time more effectively using technology. Twenty people turned up (out of hundreds in that particular office). Most of the attendees were junior staff and EAs. The joke around the room was that the people who really needed this were too busy to come. If I had a dollar for every time I have heard that one over the years. Many feel like they can’t afford to take the time to get organised. I believe we can’t afford not to.

In today’s busy workplace, driven by email and meetings, our time is the most precious resource we have at our disposal. While you might pride yourself on your organisational abilities, the truth for many executives, partners, managers and workers is that the workplace has changed, and how we need to organise ourselves has also changed. What might have worked a few years ago no longer makes the cut. So if you are not keeping your productivity skills and tools up to date, you will get left behind. Here are some of the productivity issues that may be killing your productivity.

Email overload

One of the biggest productivity issues of our age is email overload. We receive way too many emails every day, and often have a sizeable backlog in our Inbox. This causes stress and a reactive workstyle. Merlin Mann, the person who coined the phrase ‘Inbox Zero’ suggests that it is not really about how many emails are in your Inbox, it is about how much of your brain is captured by your Inbox. Getting on top of email is the first step to getting your head out of your Inbox and into more important and valuable work. Don’t use your Inbox as your filing system, and stop using it as an ineffective action list.

Calendar imbalance

Most of us have moved from paper diaries to an electronic calendar to manage our time. The challenge that this brings is that others now have visibility over your schedule, and will happily fill any free space with more meetings. Many executives I work with complain that they are in meetings from 9.00am to 5.00pm, and then have to catch up with the rest of their work from 5.00pm to 9.00pm. If we don’t protect time in our schedule for priorities outside of meetings, there is a risk that our time will get spent by other people. What would the ideal % split between meetings and other work be for you? What is the reality? What do you need to change?

Task fragmentation

As mentioned, you probably use an electronic calendar for all of your meetings. Yet you also probably use a range of systems and tools to remember what you need to do outside of meetings. Your Inbox, your head, a task list, post-it notes. Are your task management and prioritisation processes up to scratch? Or are you just getting by, lurching from one urgent issue to another? Taking some time out to get your priorities organised is a great use of your time. I recommend using the task system alongside your calendar in a tool like MS Outlook or Gmail.

Digital ignorance

No excuses here. You have the technology at your fingertips, but have you learned to leverage it? Do you really know how to get the most out of cutting edge tools like MS Outlook, OneNote or your smart phone? These tools were built to get your organised in the modern workplace, yet most barely scratch the surface when using this technology. Do yourself a favour, and get some training and you will unlock hours in your week.

Editor's Note

Want to learn how to use technology in a smarter way?  Dermot is presenting a Pre-Summit Workshop, "Personal Productivity in the 21st Century Workplace" on Wednesday 13 September at the Brisbane Convention and Exhibition Centre. This highly practical and inspiring session will help participants to create a productivity system that will boost their productivity and leverage their technology. You do not have to be attending ALPMA Summit 2017 to attend this workshop. The workshop costs $395 for ALPMA members or $495 for eligible non-members. Places for these workshops are strictly limited so register now! We would also like to welcome our Pre ALPMA Summit Workshop Partner Law In Order.

About our Guest Blogger

Dermot CrowleyDermot Crowley is a productivity thought leader, author, speaker and trainer. Dermot works with leaders, executives and professionals in many of Australia’s leading organisations, helping to boost the productivity of their people and teams. He is the author of Smart Work, published by Wiley.







The importance of being curious!

Tuesday, August 22, 2017

By Matthew Hollings, Senior Business Development Manager, Law In Order


For all the hype around increased technology adoption within the legal industry, it is still incredibly common to find the more traditionalist approaches still being applied to even the simplest of legal functions. Review of email data, or .pst files, being one of the more typical examples we see at Law In Order.

However, I always look to remind myself that going back a few years, to my time as a practising lawyer, I too was none the wiser as to the alternative ways I could potentially approach and undertake some of the legal tasks I carried out day to day, such as the review of emails. The standard (manual) approach; of printing, ordering, reviewing, flagging, indexing and then producing a volume(s) of relevant documents, was the one that, despite its inefficiencies, was still widely considered as effective, and certainly the agreed approach. And because that approach didn’t make the task practicably impossible, there was no incentive to change.

But there is one thing that my time in the legal technology industry has taught me and that is to question everything, preferably well before the platform burns below you. We are currently in a golden age of technology, and one which is having significant impact on the legal industry. Those who begin to be, and remain curious are those who will stand to benefit from the adoption of technology, and ultimately stay ahead of the game.

I certainly regret not questioning more as a lawyer; had I maintained the same curious outlook I had as a student, I may have discovered that our approach to things like email review, could have been completely transformed, automated and accelerated.

Having had many conversations with lawyers and legal professionals, at varying levels, and from various areas of practice, I know that remaining curious is sometimes difficult to do given all the other pressures you face on a daily basis. However, at Law In Order, we see first-hand how those that are committed to gaining a better understanding of available technology tend to be seeing tremendous benefits in their day to day work. Those benefits can stem from something as simple as the email review acceleration, through to more advanced solutions such as process automation and machine learning.

So as a lawyer, or someone working within or related to law (whether that be in private practice, in-house or government), make it your responsibility to drive technology exploration and adoption in your day to day work, in your practice group and in your firm – stay curious!

Editor's Note

Law in Order are the proud Pre-Summit Workshop Partner for "Personal Productivity in the 21st Century Workplace" by Dermot Crowley on Wednesday 13 September at Brisbane Convention and Exhibition Centre. This highly practical and inspiring session will help participants to create a productivity system that will boost their productivity and leverage their technology. You do not have to be attending ALPMA Summit 2017 to attend this workshop. The workshop costs $395 for ALPMA members or $495 for eligible non-members. Places for these workshops are strictly limited so register now! 

About our Guest Blogger


Matthew HollingsMatthew Hollings is a Senior Business Development Manager at Law In Order. Law In Order is an international legal solutions provider who specialize in legal document production, managed discovery services and eCourt/eTrial technology.
Matt joined Law In Order following his experience as a lawyer in the litigation team of a national law firm and one of Australia’s leading financial institutions. At Law In Order, Matt is tasked with driving change within the legal teams of private practice firms, government agencies and corporates. By using his prior experience as a lawyer he aims to educate the modern legal professional about alternative technological workflows available to them that look to solve the daily challenges posed by an increasingly complex legal landscape.



Innovate – learning to fail fast is the key to leveraging disruption in the legal profession

Tuesday, August 15, 2017

By Neil Shewan, Managing Director, Adelphi Digital


As a lawyer, you must get things right – the first time. Fail, and your career can be on the line. De-programming this thinking is critical for modern legal firms to navigate the disruption that is happening in service delivery. Legal firms are being challenged by changing business models, expectations of the millennial legal workforce, changing client service buying habits, and new technologies like block-chain and machine learning.

Innovation is about failing again and again (quickly) until you find a way to make it work. At most legal firms’ failure doesn’t go down very well. Failure is met with poor performance reviews, frowns, grumbles, and sometimes even job loss. Yet this is what we know from many scientific studies that have looked at how to create a culture for innovation: Encouraging risk taking (and therefore being comfortable with failure) is one of the top five most important cultural factors that needs to be present if you want to be a highly innovative organisation.

When I ran a workshop recently with a successful Melbourne legal firm it was critical to remove the fear of failure before their innovation team could hope to start experimenting with change, and learning from the outcomes.

At the workshop I was asked by one of the senior managers how “accountability” fits with the need to take risks. I am not a huge fan of the word accountability as it has negative connotations. I prefer the word “responsibility” - much more empowering. And from an innovation perspective, it is far more responsible to fail quickly and cheaply than to waste hundreds and thousands of dollars and months writing business cases that stack up on paper (have you ever seen one that doesn't?) but go on to produce a mammoth failure.

So, how do you put in place the foundations for innovation?

1. Accept that failure is mandatory if you want to be serious about innovation. No successful innovation in this world got there without having a bunch of failures along the road to success. I suggest you start with the Lean Start-up Methodology. The method is to create quick and low cost prototypes of your ideas that you can quickly learn from. If they fail, you adjust course and roll the learnings into the next iteration of the idea.

2. Get client/user input early. Once you have a prototype for an idea, bring in your clients and talk them through it. Get feedback on what works and what can be improved. Learn from it. Don’t feel like you need a fully featured “thing” at the outset. The first version of your next service/product/process should be just enough to get the idea across (we call it a “Minimal Viable Product” – MVP). The MVP should be low cost to produce, so that you can start over if you need to change direction.

3. Be ready to clear the way for your innovation team. The innovation team in your practice is likely to face a lot of roadblocks from the broader organisation. There will be resistance to change, people feeling threatened about their jobs and those happy to give you 99 reasons why it will fail or to tell you “we have done that before and it didn’t work”. Often businesses create a “skunk-works” where their team has space to experiment and learn, sheltered from legacy thinking within the business.

Editor's Note


Want to know more about how to develop a culture of innovation in your legal practice? Neil is presenting a Pre-Summit Workshop, "Building an Innovation Framework in Law Firms" on Wednesday 13 September at the Brisbane Convention and Exhibition Centre. This highly interactive workshop will help you explore and develop the skills you need to lead innovation in your practice. You do not have to be attending ALPMA Summit 2017 to attend this workshop. The workshop costs $395 for ALPMA members or $495 for eligible non-members. Places for these workshops are strictly limited so register now!  We would also like to welcome our Pre ALPMA Summit Workshop Partner GlobalX.


About our Guest Blogger


Neil ShewanNeil Shewan is the Managing Director of Adelphi Digital’s Melbourne office. Adelphi has won over 80 industry awards in the area of digital business consultancy. Neil is head of user experience globally, working with a broad range of clients to innovate their business. Neil’s twenty years of background in customer and user experience, along with service design thinking – allows him to bring design, technology and business strategy together to create future ready businesses. Current and past clients include Sladen Legal, Victorian Government (Including the Victorian Department of Justice and Regulation), BHP Billiton, General Motors Holden and the Melbourne Cricket Ground. Neil works closely with businesses to identify and implement innovations that will not only help them survive the change around them – but more importantly provide true competitive advantage so they can thrive.




Sailing the 4C's to Innovation: Communication, collaboration, critical thinking & creativity

Tuesday, July 25, 2017

Cost Cover advert

By John Ahern, CEO, InfoTrack

As principal partner of the 2017 ALPMA Summit, InfoTrack is proud to be supporting firms to drive innovation in the transforming legal landscape. This year, we’re working with ALPMA to gather insights from the industry on how firms are applying the four key 21st century learning skills: communication, collaboration, creativity and critical thinking. If you haven’t had a chance to complete our survey yet, please participate now.

As a technology company, innovation is central to our culture and processes so we're always thinking of how we can use the 4C's to adapt and evolve. Here are some of the things we focus on that can easily translate to your firm.

Communication


1. Be transparent about your firm’s strategy

When you’re clear about short and long term goals it promotes strategic alignment across your firm. Whether you work with yearly, quarterly or monthly strategies, make sure to start each new cycle with a meeting where you lay your strategy out for everyone in the firm and give the opportunity for discussion and questions. Working towards a common vision creates a cohesive and determined team. Track progress of your goals on any online collaboration platforms or even on your office wall to remind everyone of what you’re working toward.

2. Learn how to adapt your communication style

Take the time to understand your colleagues and how to best communicate with them. Different working styles respond better to different types of communication. Often, the younger generation prefers constant updates and feedback because they’ve grown up with instant messaging and social media. Some people work better with detailed instructions whereas others just want to know the end-goal. Being aware of your colleagues’ communication styles and how they work best creates better working relationships and increase productivity.

Collaboration


1. Promote knowledge sharing

Don’t let people hold back knowledge out of fear of succession-planning themselves out of a job. Make sure your employees understand that the more they help each other, the further they’ll get as a team and individuals. The more you share, the more you learn; especially in a digital world where change is constant.

2. Encourage mentorship

This goes both ways; senior staff can help the younger generation by providing guidance and imparting knowledge. Junior staff can help introduce new ideas and new technology to the firm. Take advantage of the diversity that different mindsets and backgrounds bring to your firm by encouraging reciprocal mentoring.

Creativity


1. Set aside specific time for brainstorming

In today’s society, we’re all time-poor and that goes even further in the legal industry. You’ll never have time for blue-sky thinking if you don’t make a conscious effort to block it out in your calendar. It’s easy to get caught up in the daily grind and your never-ending to do lists, but you’ll never evolve if you’re stuck with your head in the books 24/7. Today’s market is more competitive than ever and you need to adapt in order to keep a competitive edge.

2. Have a dedicated innovation budget

Everyone says they’re working on innovation, but there’s rarely follow through to show for it. Have an actual plan around innovation and invest in it – whether that’s an innovation team, quarterly innovation days, training or something else – make sure it’s part of your strategy.

Critical thinking


1. Use time-saving technology

There are a lot of technologies available to you now that cut down on the time you need to spend on administrative tasks and sifting through data. Take advantage of these so that you have more time to work on critical analysis and profit-generating activities.

2. Be open to new ways of working

Recognise that disruption is now a constant in the legal industry; new technology, new business models and a new generation are constantly shifting the way things are done. Learning to embrace some of that change and take it on in a way that works for your firm is critical to continued success. You don’t have to change everything all at once, but take time to consider which new concepts and processes will benefit your firm most and trial them out.

The above advice applies to all businesses – no matter your firm size or area of law - these are simple initiatives you can put in place today to drive innovation and build upon the 4C’s.

We look forward to seeing you at the 2017 ALPLMA Summit in Brisbane.


Editor's Note

The ALPMA/InfoTrack 2017 Research: 21st Thinking at Australasian Law Firms is available for participation by Australasian law firms until Friday 28 July.  Complete the survey by Friday 28 July to go into the draw to win a delegate pass to the 2017 ALPMA Summit, from 13 - 15 September at the Brisbane Convention and Exhibition Centre. Please note, you must be eligible to join ALPMA to win the pass and the prize does not include travel or accommodation.

The results will be presented at the 2017 ALPMA Summit.  Participants who complete the survey will receive a complimentary copy of the research report, which sheds light on collaboration, communication, critical-thinking and creativity at law firms.

About our Guest Blogger


John AhernJohn Ahern is CEO of InfoTrack, proud principal partner of the 2017 ALPMA Summit.

John joined InfoTrack in 2015 as the Chief Technology Officer taking charge for establishing the company’s technical vision and leading on all aspects of InfoTrack’s technology development. John was appointed to the role of Chief Executive Officer in May of 2015 where he is now responsible for maintaining the extensive growth of InfoTrack in the Australian market.

John has over 20 years' experience in the Information Sector, having worked in a number of engineering, sales and executive positions. With a strong technical background, he has vast experience in designing and developing products and has delivered platforms from inception to production.

Incentivising the New Normal

Tuesday, July 11, 2017

Costs Cover advert

By Timothy B. Corcoran, Principal, Corcoran Consulting Group, LLC


Businesses that don’t merely endure but thrive over extended time periods tend to attract and foster leaders who establish and maintain tight alignment between business strategy and business execution. Unfocused businesses with unfocused leaders generate sub-optimal financial performance even when things are going well. But when permanent market disruptions occur, a certainty in every market segment, unfocused businesses with unfocused leaders tend to flail until they’re acquired, dissolved, or relegated to a shadow of their former strength. This is a lesson that many law firm leaders have learned.

As law firm leaders valiantly struggle to overcome the consequences of market changes and maintain market share, they face several obstacles: Law firm partners don’t enjoy losing the autonomy to run their practices as they wish; most firms take an undisciplined “whack a mole” approach to driving change, responding primarily to variable client demand; and there are minimal rewards for partners to change behaviour. We won’t address the discipline of change management here, other than to say this: Leaders can’t drive change if they lack a comprehensive understanding of their law firm ecosystem and how each business function connects and interconnects with others. Without a multi-faceted and multi-year master plan, the odds of landing on the appropriate formula are significantly diminished. But let’s assume such a plan exists. Now what?

Follow the Money


If we hope to thrive in the new normal, we need to know how we make money, and how this has changed given the market disruptions. Law firms tend rely on a scant few performance metrics, most of which are focused on production, most of which are wholly internally-focused, and most of which are inefficient proxies for what we really wish to measure: profitability. For our purposes, profitability isn’t a crass or one-sided measurement. It’s a scorecard that reflects how well the law firm has deployed its unique assets to meet a market need in a way that’s mutually beneficial to the buyer and seller. Calculated properly, profits are a measure of long-term client satisfaction, not of “beating” the client in an adversarial game.

So we must understand the building blocks of our business, working ever backward from aggregate results, to the practices and offerings generating those results, to the matter types and activities contained therein, to the efforts necessary to win more of these activities. When we truly understand all that we do, and what we do well, and where we can improve, we can start to identify the critical behaviours necessary to generate greater success.

Acknowledge Different Contributions


Many law firms were built by exceptional lawyers who were as accomplished at generating business as offering legal advice, who were exceptional mentors and coaches, who were as adept with strategy as with operations. This is not most of us.

A successful law firm is comprised of different roles, different skill sets, different contributions. It’s necessary to understand the combination of contributions that generates success. Otherwise we risk the false assumption that “Success is primarily driven by business generation” or its opposite fallacy “We’re successful because we have top practitioners.” Of course these are true, just as a dozen other factors play a critical role. Only by understanding the unique combination of contributions by different lawyers with different skills can we establish a roadmap for replicating our success. However, we must acknowledge a fundamental truth: some contributions are more valuable than others, and this value may differ by practice, by matter type, by business cycle, by client industry, by year. Our objective in identifying critical behaviours is to maximise the contributions of all lawyers, rather than dilute our performance by asking, or allowing, lawyers to pursue that which is not their highest and best use.

Drive and Reward


Law firm partner compensation schemes, whether lockstep or eat-what-you-kill, subjective or formulaic, open or closed, tend to share one overriding flaw: they fail to proactively and clearly define the behaviours expected of partners in order to drive such behaviour. Instead, rewards are issued at year-end, in a process oft-shrouded in mystery, to partners who may not know what specific actions were valued, and how their specific contributions were valued relative to their peers. Changing lawyer behaviours requires leaders to set expectations in advance and to identify the rewards associated with the desired behaviours. Lawyers, generally acknowledged as averse to risk and uncertainty, are more likely to be dissatisfied when the incentive scheme is opaque rather than transparent. Managing expectations in this manner also helps to reduce feelings of inequity, because partners know the rewards associated with various behaviours and those willing to adapt can access different rewards.

There’s an old saying: If your compensation plan and your business strategy aren’t in alignment, then your compensation plan is your business strategy. This isn’t a reflection of selfish partner behaviour. In fact it’s the opposite. Sensible partners trust that their leaders have established an incentive scheme that rewards lawyers for activities that are beneficial to the firm. When leaders expect partners to act against their economic self-interest “for the good of the firm,” this isn’t boorish partner behaviour. This is simply inept management. It’s the leaders’ obligation to create alignment. The goal: What’s good for the partner is what’s good for the partnership. Settling for anything less than that outcome, and what’s good for the partnership might be better leaders.

Editor's Note

2017 ALPMA SummitTim Corcoran is a keynote speaker at the 2017 ALPMA Summit, held from 13-15 September at the Brisbane Convention and Exhibition Centre. His presentation "Incentivising the New Normal: Linking what's good for the partner to what's good for the partnership"  covers the importance of communication and how to embrace a collaborative approach. This year's Summit theme, Sailing the 4C's, focuses on the critical 21st century learning skills of Collaboration, Communication, Critical Thinking and Creativity. Registration is now open for the 2017 ALPMA Summit, and there are great savings for those who register early! Register now!

About our Guest Blogger


Tim Corcoran

Timothy B. Corcoran is a New York-based management consultant with a global client base. A former CEO and corporate executive with several multinational businesses, his specialty is helping law firm and law department leaders adapt and adopt time-tested business practices in order to profit in a time of great change. Tim is past president of the international Legal Marketing Association, a Fellow of the College of Law Practice Management, faculty and affiliated consultant with Legal Lean Sigma Institute, a member of the Association of Legal Administrators, a regular keynote speaker at legal industry conferences, and author of the widely-read Corcoran’s Business of Law blog. He was recognised by LawDragon in its 100 Leading Consultants and Strategists for 2016.


Legal Industry Innovation under the Microscope

Tuesday, July 04, 2017

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By Marc Totaro, National Manager Professional Services, Business and Private Banking, Commonwealth Bank of Australia

For some, the word innovation has become synonymous with some of the most cutting-edge changes within the legal industry, and a disruptive force in legal circles. For others, the prolific references to innovation have firmed its place as another corporate buzzword.

In today’s rapidly changing legal services market, we think that innovation is an important part of adapting to ongoing change. But to understand its place within business, we first sought to offer a definition that would unearth the common traits of successful innovation in the legal sector and quantify its value to individual firms.

So what does innovation mean for your business, how innovative is the professional services sector, and how can you put it into practice within your organisation?

In our latest research into the state of innovation within the industry, CommBank spoke to firms in the legal sector to understand the state of innovation and how well legal firms were performing.

To first define innovation, we looked to the Oslo Manual – an international set of guidelines used by the OECD and local government bodies such as the Australian Bureau of Statistics to collect and interpret innovation data.

Therein, innovation is defined “as a new or significant improvement in one of the following four key areas – organisation, product, process and marketing”.

This definition is important when compared to what innovation means to professional services businesses, with almost half telling us they equate innovation with improvement or new processes, ideas or products.

While this indicates that many firms have a high level understanding of the tenants of innovation, we also found that many are yet to enter the realm of genuine innovation when assessed against the international standard.

Innovation ‘Active’

Our research shows healthy levels of innovation amongst professional services firms, with 44% of businesses in the sector qualifying as ‘innovation active.’ This proportion was in line with the national average for businesses across all industries. The top performing industry was manufacturing, with 61% qualifying as ‘innovation active’.

While 44% of professional services firms were genuinely innovative, a further 33% of firms claimed to be innovating but were found to be simply putting in place improvements – a strong foundation to move into the realm of innovation, but nevertheless falling short.

The remaining 23% of firms were either not innovating or had abandoned their innovation plans.

When looking more closely at the four key areas of innovation - organisation, product, process and marketing – we found that firms were more likely to have implemented organisation-based innovation, and less likely to be innovating within their marketing activities.

Business size also appears to factor into firm’s innovation activities with small and medium sized businesses with turnover up to $20 million more likely to innovate than those with greater annual earnings.

3 Key Characteristics of Successful Innovators

Our investigation of the attitudes, behaviours and characteristics of successful innovators shows that there are three breakthrough factors that typically distinguish innovation active businesses from their peers that are only improving:

1. Encouraging employees to ask questions that challenge the conventional approach

2. Adapting products and services to make the most of opportunities, and

3. Running experiments and piloting new ideas to test new ways of doing things

These three factors work to kickstart innovation and generate the initial successes that drive businesses to pursue the benefits that moving up the innovation curve can provide.

One of the largest behavioural gaps between businesses who are innovating and those simply making improvements is their drive to adapt their products and services for a changing market. They also seek to build a culture of innovation and encouraging them to ask challenging questions.

Editor’s Note:

Though Leadership Award NominationIf your firm has successfully implemented an innovative new initiative or is doing something different in response to the changing legal landscape, then enter this project in the 2017 ALPMA/LexisNexis Thought Leadership Awards. Nominations are open until 21 July, and winners will be announced at the 2017 ALPMA Summit gala dinner on Thursday 14 September at the Brisbane Convention and Exhibition Centre. 



About our Guest Blogger

Marc TotaroMarc Totaro is the National Manager Professional Services, Business and Private Banking Commonwealth Bank of Australia 
Marc has over 25 years of experience in professional and financial services in Australia and the UK. He has overall responsibility for Commonwealth Bank’s professional services industry strategy and client experience. Marc has extensive relationship management experience across a broad range of industries.

If you would like to discuss the latest trends impacting the legal industry and your business, feel free to contact me on 0477 739 315 or email marc.totaro@cba.com.au, alternatively you can read our Legal Market Pulse for the latest developments in the legal industry.

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4 ways collaboration will shape the legal industry in 2017

Tuesday, May 09, 2017

By John Ahern, CEO, InfoTrack


InfoTrack recently interviewed a number of industry leaders on their predictions for the legal industry in our 2017 Legal Predictions eBook. One of the common themes across the board was the important role collaboration will play in the future of the profession from technology through to continued support for mental health.


Collaboration is also one of the key learning skills that will be central to the 2017 ALMPA summit - working effectively and efficiently with others, sharing knowledge, talent and experience to achieve desired outcomes. As the disruption and digitisation of the legal industry continues, methods of collaboration will evolve to shape the profession in new ways.

Cross-blending of professions


Today's lawyers have more diverse academic and professional backgrounds than ever before. The traditional arts degree is no longer the norm, and those entering the profession are bringing varied skill sets. Firms have begun to recognise the value in other specialised backgrounds that can translate to higher levels of understanding and communication. This can help differentiate service and create stronger rapports and trust with clients who can have confidence that they're dealing with someone who has more than just legal expertise.

Whether it's construction, computer programming or biology – different backgrounds are providing the next generation of lawyers with diverse skills and knowledge that they can share with others. Educators area also recognising the need for more diverse skills, with universities beginning to collaborate with technology providers to ensure that students are on top of the latest tools and understand how to integrate them into their practice.

Online collaboration


All the surveys we’ve conducted with partners over the past year indicate that firms are investing more in technology because they recognise that it is allowing for new levels of collaboration between lawyers, other professionals and clients. The InfoTrack/IPS Legal IT survey found that 2/3 of firms are offering client collaboration platforms and 95% recognise the importance of a mobile and flexible work environment. Firms are implementing tools to allow for easier collaboration not internally but with clients as well.

The property market is a perfect example of increased online collaboration. Governments across Australia have accelerated the digital transition of the property market. New e-Conveyancing technology is allowing lawyers, conveyancers, real estate agents, buyers and sellers to collaborate online to complete the contract, signing and settlement of property with greater speed, transparency, and convenience for all parties.

Cloud computing


The move to the Cloud will accelerate in 2017. The InfoTrack/IPS survey revealed two thirds of firms already have business-approved cloud strategies in place and 97% are considering key platforms that are cloud-based or fully hosted via SaaS arrangements. Firms have greater faith in cloud security as trusted providers have proven they're experts in data sovereignty

The Cloud helps with mobility, collaboration and business continuity by allowing firms a naturally connected model that can work on any device from any locations. It allows for a system that's scalable to changing client demands and volumes.

Mental health


All of the experts in our 2017 Legal Predictions project agreed that mental health is still a serious issue in the profession. Though New Law is introducing more flexible business models, competition is fiercer than ever and the pressure is high. Law is a naturally isolating and high pressure occupation. The "sink or swim" mentality leaves practitioners prone to anxiety and depression. Though there is more awareness and support, it's still an issue that is hard for many to discuss or be open about. Mental Health Month in October is a great way to bring these issues to the forefront and have firms work together to develop strategies and programs to continue to tackle this important issues. It will take collaboration both within firms and across the profession to continue to fight the stigma that surrounds mental health and create a more open environment.

The need for collaboration will continue to grow as the legal landscape evolves and becomes more global. The ability to work with anyone, anywhere will increase opportunity for shared knowledge, experience and learning.

Editor's Note

2017 ALPMA SummitInfoTrack are the Principal Partner of the 2017 ALPMA Summit, Sailing the 4C's, being held 13-15 September in Brisbane.
Registration is now open for the 2017 ALPMA Summit, and there are great savings for those who register early! Register now!
This year's Summit will help you ensure your firm is well-positioned for success in the 21st century. Our theme, Sailing the 4C's, focuses on the critical 21st century learning skills of Collaboration, Communication, Critical Thinking and Creativity, as identified by the influential P21 organisation.




About our Guest Blogger


John AhernJohn Ahern is CEO of InfoTrack, proud principal partner of the 2017 ALPMA Summit.

John joined InfoTrack in 2015 as the Chief Technology Officer taking charge for establishing the company’s technical vision and leading on all aspects of InfoTrack’s technology development. John was appointed to the role of Chief Executive Officer in May of 2015 where he is now responsible for maintaining the extensive growth of InfoTrack in the Australian market.

John has over 20 years' experience in the Information Sector, having worked in a number of engineering, sales and executive positions. With a strong technical background, he has vast experience in designing and developing products and has delivered platforms from inception to production.

Embedding 21st Century Skills in Your Firm

Tuesday, May 02, 2017

By Ann-Maree David, 2017 ALPMA Summit Chair



By now, we all know that the legal industry is in the midst of unprecedented disruption. Successive ALPMA Summits have focused on all that is new and evolving - modes of working; technology; systems; understanding clients as customers; NewLaw. The focus has been on helping firms understand what is coming.

In 2017, our focus as legal industry leaders needs to go deeper and become reflective, examining how to effect change, to innovate, to participate in and ultimately thrive amidst constant and rapid-fire of a changing legal landscape.

We need to ask ourselves – ‘how well is my firm prepared to weather this storm?’

‘Have we set ourselves on a pathway for success or are we just paying lip service to the idea of change – while continuing on with business as it has always been?'

And we need to accept that this requires fundamental changes to everyone’s mindset, to the firm’s culture and to the very way that it does business.

The ALPMA Summit Committee too has been reflecting on these issues. And to this end, our 2017 program centres on four core 21st century skills:

creativity, communication, collaboration and critical thinking, as defined by the influential P21 organisation.

If you think we’ve swapped the annual Summit for a HR forum on soft skills, think again!

While these are each core interpersonal skills and competencies essential for succeeding in the ‘Gig economy’, they also speak directly to an organisation’s systems and processes, its strategy and value proposition and, most importantly, the management style of every successful organisation’s leadership team.


Let me explain further.

Creativity


In the “old” world of work, professionals built mastery in specific skills – for example, law; finance and accounting; economics. Obviously, those skill sets remain valid and valued. However, when a problem falls outside a specific skill set, creativity and innovation are required to build pragmatic solutions.

Creativity is more than coming up with new ideas; that is merely imagination at play. Creativity requires grunt, a willingness to take risks, and a commercial appetite for investing in ideas to allow them to become reality, perhaps after many iterations. In what has become a truly commoditised world, creativity is what distinguishes one organisation from all the rest.

Creativity is most often seen as a feature of culture. Take a look at some of the innovative giants of our time – Google, Apple, Tesla. Or closer to home, the Big 4 accounting firms and NewLaw firms which are now evolving into our strongest competitors and in some cases led by your former partners or employees. Creative problem solvers are drawn to organisations that promote autonomy and an innovative mindset and encourage and reward thinking and doing things differently.


Creativity also goes to the core of strategy: changing the conservative way of doing business, opening the corporate mind to new drivers and new behaviours to proactively participate in disruption rather than simply be disrupted or, worse still, be left behind as collateral damage. And while often perceived as “freewheeling” and without bounds, creativity should be viewed for what it can generate if resourced appropriately in terms of time, money and training.

Collaboration


Many law firms are still structured to leverage individual skill for the firm’s benefit and to measure and reward solo efforts in terms of productivity, billability and performance. Yet today, collaboration in and between cross-functional teams, workplaces, companies, sectors and countries is the norm.


Thanks to heightened connectivity, there is a very real expectation that individuals may work flexibly and/or virtually. They need to be capable of self-direction but at the same time equipped with strong team-building and participation skills. And while the ability to work together evidences successful work practices and processes, it is the end result of that collaborative effort that affects the bottom line. Collaboration across diverse networks both internally and externally featuring unique expertise and perspectives will give rise to a greater variety of ideas, solutions and innovation than can be generated alone.


Adding clients and even competitors to the collaborative mix is gaining traction in some areas of laws, as firms scramble to retain clients demanding better value and deeper understanding of their business from law firms.

Critical Thinking


Critical thinking is part of a suite of higher-order thinking skills which also includes problem solving. Critical thinking can be described as the systematic process of identifying, analyzing and solving problems. It entails reflection and independent thought rather than reliance on intuition or instinct. It can be distinguished from the traditional experience of learning or accumulating facts or knowledge, the aim of which is simply retention. Critical thinking encompasses making sense of what has been learned and then applying it to new situations.

Critical thinking as a skill is becoming ever more valuable as the rapidly changing and complex world throws up more and more novel situations and problems which cannot be resolved using a traditional mindset. Critical thinking is also essential to cut through the masses of information and data that are so readily available online.

But critical-thinking doesn’t just happen spontaneously! It is a learned skill that needs to be nurtured and encouraged, embedded within the firm DNA. It has to be ok for your most junior staff to question your Managing Partner on why things are done in a particular way – and then supported in creating and implementing a better way.

Ask yourself – ‘when was the last time that this happened at my firm?’

Communication


Oral and written communication sits at the very core of any legal practice. However, in the 21st century, the framework of business and interpersonal communication has fundamentally changed. Once considered effective if there had been a simple transmission of information from one source to another, today communication involves a complex system of synchronous and asynchronous messaging often between a myriad of parties from all over the world, across multiple technology platforms operating 24 x 7, 365 days per year (and not just when your firm is open!) This is an evolving feast – and achieving cut through in this clutter requires new skills and a completely different approach from simply sending out a newsletter once per quarter and banging up a website.

21st Century Leadership


Most importantly, each of the 4C's speak to leadership. Law firm leaders and management teams are having to respond to unprecedented threats and opportunities. They have two choices: assume a defensive posture or adapt and thrive. Modelling traditional leadership qualities such as confidence and courage and optimism – and embracing collaboration, creativity, critical thinking and communication - sends messages which reach far beyond internal stakeholders to influence corporate brand and, ultimately, the market for your services.

Is it time for you firm to embrace 21st Century skills?

Editor’s Note



2017 ALPMA SummitWant to learn how to help your firm embed 21st learning skills into its operational DNA? Then take advantage of early bird savings, and register now for the 2017 ALPMA Summit ‘Sailing the 4’C’s’ to be held from 13 – 15 September at the Brisbane Convention & Exhibition Centre. Check out the website to learn more about the fantastic line-up of speakers, exhibiting at Summit, the social program and much more!

Register now.

About our Guest Blogger



Ann-Maree DavidAnn-Maree David is an Executive Director of The College of Law, the largest provider of practice-focused legal education in Australasia. She has worked in the legal profession for over 30 years, in public and corporate sector roles and in private practice as a solicitor.

Ann-Maree has held a career-long passion for developing and delivering education and training programs to enable all involved in the delivery of legal services to thrive both personally and professionally. She is a longstanding member of ALPMA, and a regular contributor to both the Queensland Branch’s monthly seminar program and the annual ALPMA Summit Program Committee which she chairs.

In addition to leading the College of Law’s Queensland campus, Ann-Maree is President of Australian Women Lawyers and chairs the Queensland Law Society’s Equalising Opportunities in the Law Committee.




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