Editor’s Letter

AN UNUSUALLY warm week suddenly gave way to icy snowstorms hailing from the Arctic across the UK in mid-March. It served as a reminder that no matter how thorough your preparation, if there is one thing seemingly impossible to plan for it is the British weather.

Although there was no widespread disruption to UK travel arrangements, gritting lorries did put in an appearance in the north of England. Temperatures fell to below zero across the country and London saw its own share of pre-spring snowfall as people going about their business were buffeted by bitterly cold winds. This, in spite of the fact that scientists at the National Oceanic and Atmospheric Administration in the US believe this past winter could actually prove to be the hottest in the Northern Hemisphere since records began over a century ago.

The scientists put the overall rise in temperature down to a phenomenon known as El Niño – a periodic warming of parts of the Pacific ocean – but global warming from greenhouse-gas emissions continues to concern many. It also comes at a time when the threat of climate change is firmly embedded in the policies of all the main political parties in the UK – a key battleground after being identified as one of the greatest risks the world faces. Labour’s recently unveiled draft Climate Change Bill proposes making governments’ carbon-reduction targets legally binding, while Gordon Brown and David Cameron have both been seen going for the ‘green’ agenda with rival speeches and policy packages.

Law firms are even beginning to look at the issue as part of their corporate social responsibility programmes. In November 2006 Simmons & Simmons said it had become the “first international law firm to achieve carbon-neutral status across all of its offices worldwide”. It pledged to cut energy consumption by 7.5 per cent by the end of April 2007. But SJ Berwin claims it went carbon-neutral five years ago, offsetting an annual 2,000 tonnes of carbon-dioxide emissions by planting over 3,000 trees across the UK. In December 2006 Freshfields Bruckhaus Deringer also said it would become carbon-neutral in 2007 by offsetting carbon emissions across all its offices and aiming to reduce them significantly over time.

But while taking action on climate change might win points with clients and potential recruits, firms also need to consider the more localised risk posed by extreme weather conditions in the UK itself – incidents such as heavy snow and flooding, not to mention severe public-transport delays due to the increasingly unbearable summer ‘heatwaves’. The 2007 business-continuity-management survey from the Chartered Management Institute (CMI) found that 28 per cent of organisations were affected by extreme weather in the 12 months to January 2007 – up from just ten per cent in 2005.

Supported with research from the Cabinet Office, it also revealed less than half (48 per cent) of the 1,257 managers polled said their organisations had a business-continuity plan – even though 73 per cent believed their senior-management team see such planning as important. Bruce Mann, director of civil contingencies at the Cabinet Office, said there were still too many businesses without sufficient business-continuity plans – even though events from the London bombings to the Carlisle floods had shown the wide range of impacts serious incidents could have.

The CMI survey also found that too few businesses planned for the effect of a serious loss of people, compared to a loss of IT. Although many fear the consequences of a loss of access to a site, only half of respondents said they were ready for remote working “to a great extent”. Law firms’ attitudes to flexible and home working may vary – some seeing it as incompatible with the job – but they will all need to ensure clients continue to be well-served in the hopefully unlikely event lawyers really can’t make it into the office.

Richard Brent

Editor

Features

Opinion: Thought leader This article is for subscribers only
By Caroline Kendal, consultant, Jane Ridley Consulting Ltd

Profile: Travers Smith This article is for subscribers only
While many firms have been going all out to expand and grow rapidly, with international mergers high on their priority list, City law firm Travers Smith’s approach has been markedly different. Tina Lofthouse talks to managing partner Chris Carroll as he takes up his third term at the helm.

Case study: Merger mystery This article is for subscribers only
It is generally accepted that merger can be a high-risk strategy for growing a business. TLT adopted an open and communicative structure throughout the process to retain talent, but found a little bit of luck doesn’t hurt either…

Opinion: PI pointers This article is for subscribers only
By Peter Maguire, partner responsible for professional indemnity insurance and risk management, CMS Cameron Mckenna LLP

Opinion: You can lead a horse to water… This article is for subscribers only
By Neil Cameron, Neil Cameron Consulting Group

Case study: In search of system security This article is for subscribers only
Norton Rose is moving head office in May 2007. A host of new IT services require new automated systems-management solutions, and risk awareness led the firm to adopt a proactive service assurance model to reduce the danger of downtime.

Feature: Older and wiser – a dangerous combination This article is for subscribers only
EU age-discrimination regulations came into force in the UK on 1 October 2006, so law firms should have considered their potential impact some time ago.

Feature: Delivering on data management This article is for subscribers only
Reliability of access to data will be a core consideration in most law firms’ risk-management strategies. Magic-circle firm Allen & Overy decided to outsource its production centre outside of London – but not without considering the costs and alternatives.

Feature: Holding lawyers to account This article is for subscribers only
Sound policies and processes for lawyers taking on new work are essential, and firms can learn some lessons from the experience of accountants. Simplicity, transparency and careful supervision are the ideal qualities for a firm with a culture of compliance.

Opinion: KM: A matter of culture This article is for subscribers only
By Karen Battersby, course director in know-how management, Nottingham Law School

Cover story: Plan of action This article is for subscribers only
The new Solicitors’ Code of Conduct increases the emphasis placed on business-continuity provisions, obliging firms to keep the risk of disrupting client business to a minimum. Increasingly larger firms now have some form of business continuity plan in place, but with risk profiles continually changing, ongoing assessment and maintenance are essential. By Richard Brent