Best-practice management for law firms

I was talking to a delegate at Ark Group’s LEX Connect this month, when our conversation wound its way round to law-firm branding. We had just heard an interesting presentation from Eversheds, which had covered everything from analysing existing brand reputation to delivering better brand values. The delegate was confused. Isn’t this all about building better client relationships he asked? And that’s not a branding exercise, it’s a core requirement of the business.

It led me to question some of the terminology that’s applied to business, some of which can be at best irritating as the latest buzzwords in management lingo, and at worst unfathomable, with employees trying to live up to a strategy that nobody understands. Branding is a good example of this. Kevin Doolan at Eversheds presented the holistic view with brand encompassing everything from internal working practices to external client perception and consequent service delivery. Logos and suchlike barely came into the equation.

For many other firms, however, branding is the add-on: the logo, website and even the appearance of the offices. These different interpretations do not need to be a problem, as long as everybody in the firm understands management intentions when it says it will be spending the next year focusing on brand values and expects firm-wide support. And, if many firms believe branding is about delivering better client service, why not just call it that and save on the confusion?

The issue of confusing definitions was also raised by Andrew White of Bird & Bird. His presentation at LEX focused on knowledge management, a term that has gained common currency but may, White argued, actually be an obstacle to understanding what it means. For example, does the term ‘knowledge management’ make it sound like a fad or a technology rather than people-led project? Finding something better might prove just as difficult and losing the terminology altogether could risk complacency among fee earners who would no longer see knowledge sharing as a strategic imperative.

It seems to me, therefore, that the key must lie in the message behind the terminology. Firms can use as many descriptives as they wish whether it be KM, CRM, brand values or anything else. It is essential, however, that management terms and the strategies behind them are fully understood by every member of the firm, not only as distinctive silos focused on individual elements of the business, but as integrated parts of firm-wide working practices.

It is an issue that Peter Scott touches upon in this month’s article on differentiation. He rightly points out that a strategy of differentiation could have various interpretations, as one person’s understanding of the term might vary from another. This problem is then compounded by a reluctance to ask what is really meant as there is an underlying assumption that everybody must know. It sounds obvious, but failing to clarify objectives could prove a real stumbling block before the practical implementation of any business strategy has even begun.

Such problems, however, do not appear to have had a serious impact on Berwin Leighton Paisner. As Neville Eisenberg demonstrates in this month’s profile, the firm has had a busy few years with some major successes. Having built itself a strong position in the London market, the firm is now turning to its international capability. Eisenberg looks likely to play a key role in that strategic growth and we look forward to seeing how he fares in months and years to come.

Caroline Poynton,
Editor

Features

Differentiation: Why does it matter? Free
Over the next three issues of Managing Partner, Andrew Hedley, business development director at Pinsents, will be sharing his views on differentiation as a strategic tool and how his approach can be used by professional-service organisations to create sustainable competitive advantage. In this article, he considers the concept of strategy as it can be applied to professional firms and the role of differentiation in creating a distinctive and valued client position, as well as a profitable model for the business.

Is your firm’s leadership performing? Free
While performance management and partner remuneration remain hot topics in legal management, too little attention is often given to the firm’s leaders and their suitability for the role. Peter Scott, head of strategic development at Steeles Solicitors, looks at management and leadership, the differences between the two, and how firms can ensure that they get the best people, who have the necessary resources and support to do the top job well.

The trials and tribulations of partner remuneration Free
Tackling partner reward and performance management is a tough task at the best of times and most would wisely tackle each area separately for integration at a later date. But Paul Stothard, chief executive at Shoosmiths, was nothing if not brave, and faced the challenge of reforming the whole system in one courageous blow. The process was beset with challenges but, if all goes to plan, the future looks bright for a firm that will have clarity of purpose and a proven commitment to change.

Don’t give up the day job Free
Can a managing partner really split the fee-earning and management role and hope to be effective in both positions? Andrew Gregory, managing partner of DWF, uses his own experiences to argue that it is not only possible but the best way to ensure internal co-operation and confidence, excellent client service, and good overall business development.

Experiencing the business case for a network in Europe Free
UK law firms can be preoccupied with the idea of merger and, no sooner has it been declared that the merger hype is over, but another set of firms announce their intentions to join up. While it is good to see plenty of activity in the legal market, the merger route is far from easy and the risks can be daunting. Grant Howell, managing partner of Charles Russell, argues the case for the network instead of the alliance or merger and explains why his firm has reaped the benefits of the third way.

Marketing and CRM systems – sometimes there needs to be a free lunch Free
This is a true story that took place a couple of years ago, involving a mid-sized commercial practice in London. It began when the firm’s new marketing manager asked the IT department what options were available to her in terms of marketing software. The IT department called in a consultant, who charged them a proverbial arm and a leg in fees to advise them that what they needed was Interface Software’s InterAction CRM system. But, there was a snag. InterAction is a best-of-breed product, so the consultant recommended that they also replace their existing practice-management system (PMS) with a new best-of-breed-compatible PMS.

Culture and climate: Their role in content and intranet management Free
Intranets have the potential to be powerful tools for promoting and enhancing internal communication and knowledge sharing, but if the culture of your firm is at odds with what you are trying to achieve, your investment will be wasted. Helena Twist examines the meaning and significance of organisational culture, as well as the importance of trust as a pre-requisite for knowledge sharing.

LEX Connect 2004 Free
This year’s LEX Connect UK had a lot to live up to. Favourable reviews of last year’s Lex Connect, included Charles Christian’s comment: “We are also hearing nothing but compliments about the quality of the delegates and the format of the Ark Group’s LEX Connect event in Amsterdam1.” The ground had been laid for high expectations for this year’s UK event, which was held on 19-20 January 2004. Caroline Poynton went along to see what the delegates would think of it all.

Regulars

Thought leader Free
Client-relationship management (CRM) has been around for some time, but we are still far from getting it right. It seems to me that the biggest problem is that commercial clients, in particular, are just becoming more demanding and I have a nagging feeling that the legal sector is not quite keeping up.

Personal profile: Neville Eisenberg - Berwin Leighton Paisner Free
No stranger to change