The real reason that clients refer their law firms is because they are satisfied with the service they receive. Good client service is responsible for about 46+% of all referrals.
Managing Partners are few and far between
Bob Denney says "... “70% of the managing partners [or CEOs] do not have a job description and most partners do not know what their MP does. In addition, in firms of more than 100 lawyers, only 10% have full-time managing partners.”
No wonder that in 1995, the USPO concurred with me that "The Business of Law" was a unique phrase and granted my request for a registered mark. Major law firms still, as Denny confirms, require that "managing partners" maintain a full client load of billable time. There may be some concessions, but by and large, they are evaluated on their client production rather than their effectiveness in keeping the firm together and moving forward.
I think of the analogy with Lee Iococca. Though he was given credit for designing and producing the Mustang, he could no longer perform the design or product management functions in his position as CEO and later Chairman of Chrysler. How is it that law firms believe the managing partner (CEO) of a multi-million dollar professional service organization can do more than an industry giant?
Succession is uppermost in the minds of majority of lawyers
More than 23% of the Washington State Bar Association, a mandatory bar, are 60 years or older. Several years ago, the American Bar Association, a voluntary bar, estimated that 400,000 lawyers would retire in the next 10 years. For the ABA, that’s equal to its entire membership. And that's equal to about 40% of all lawyers and a majority of private practitioners.
Continue Reading...What Are Clients Looking For Anyway?
Ed talks about lawyers who provide solutions and who communicate effectively and often with their clients.
Client expectations - Road to Revenue National Tour
The Oregon State Bar (OSB) Association was at its most hospitable best. The standing room only group of lawyers shared their experiences as I talked about how to create stronger bonds of loyalty between client and lawyer. When I asked why we should care about this issue, two very poignant answers were shouted out: i) We'd like to get paid and an unhappy client won't pay their bill; and ii) when we deal with disappointed clients, disappointed in us, not the other party to the transaction or result of the matter, our own stress goes through the roof!
Increased revenue and decreased stress, two outstanding reasons why we should care ... I think the members of this audience hit it on the nail!
Next stop is Seattle ... come join us if you're in the area..
Traveling from Ashland to Salem Oregon
After leaving Ashland, we made an overnight stop at 7 Feathers RV Resort in Canyonville. This Indian owned facility is one of the best of it's kind. After we set up, Ed grabbed his bike and off for a ride.....then the sky turned dark and it poured most of the rest of the afternoon and evening....
The scenery in Central Oregon along the I-5 corridor is simply green and beautiful......Interesting big rigs hauling everything and anything....We made a stop in Salem, OR to have dinner with a dear friend at DaVincis.....and we caught a glimpse of the State Capitol and the Justice Building after dinner....it is light longer here.
Check out our other pictures and events on the LawBiz® Tour Facebook page, http://www.facebook.com/LawBizTour
Managing Client Expectations
Ed discusses the three key areas to address in managing client expectations.
1. When do you find out what clients want?
2. How do you find out what clients want?
3. How do you find out whether you are meeting clients' expectations?
Shakespeare lives on ... in Ashland
William Shakespeare (middle 1500s) and Harper Lee (middle 1900s): What did they have in common? Julius Caesar, the play, was about the relationship of individuals to their government; in this example, a small group of people changed history by murdering the leader of Rome. And Harper Lee, in To Kill a Mockingbird, writes about another society’s deep division and the fate of one man determined by a few, the few on the jury, though influenced by the environment’s social mores. Murder is the end result for the individuals and a major shift in the general society in each period.
I saw both plays on the same day. The similarities in concept were remarkable. The uniqueness of the theatrics of each were thrilling. The impact on the audiences was remarkable.
This was a marvelous festival ... and the atmosphere surrounding Ashland’s Shakespeare Festival was enthralling. Just walking the streets of Ashland in balmy, sunny weather was a thrill. Now is the time to move on and travel the country with our sponsors, including Fujitsu’s ScanSnap.
Technology Will Change the Way We Communicate
Our first stop on our Road to Revenue National Road Show is Ashland, OR for the Shakespeare Festival. We'll see 4 plays in 3 days, a daunting task. But, I love this part of the country. And this oldest of Shakespeare Festivals (since 1935) is done so well amid such great surroundings, how could you not want to be here? My sadness is that we won't be here longer ... So, let me start with our experience today, seeing The Language Archive, written by Julia Cho
One of the best plays I’ve ever seen. Here is what the director says about the play in words that are hard for me to surpass:
Outsource -- or Not?
Outsourcing jobs typically pay better than temp work — and certainly better than no work at all. This is the message of a recent article. The legal profession is developing its own caste system. We all understand some of the differences, or castes:
- Big Law vs. Small Law
- Sole practitioner vs. Large firm lawyer
- Specialist vs. Generalist
- Boutique vs. Full product line
- Domestic vs. Outsource (overseas as in India and Philippines)
And I’m sure there are other distinctions that I've overlooked. But, now there is another phenomenon appearing. ....
Law Firm Strategist Ed Poll Launches Nationwide Roadshow
Venice, CA – June 6, 2011. Award-winning law business management coach and consultant Ed Poll is bringing his nationally recognized practices, tips and advice to bar associations, law schools and other top venues across America this summer.
The tour will include 15-20 stops throughout the US from June through September 2011, starting on the West Coast and heading East. Tentative tour stops include Portland, Seattle, the San Francisco Bay Area, San Jose, Dallas, Oklahoma City, Kansas City, Chicago, Nashville, Memphis, Columbus, Cleveland, Washington, DC, Atlanta, Philadelphia, New York City and Boston. For more information about the tour, please go to www.lawbiz.com/roadshow
The tour, which is sponsored by Fujitsu ScanSnap and others, will include presentations for CLE credit on law practice management issues, on topics such as Managing Client Expectations, Collecting Fees and Getting Paid, Metrics of Financial Performance, Tips for Increased Revenue, and The Exit Strategy: Succession & Retirement.
Presentations will include time for Q&A and will be followed by a special Coach’s Corner coaching session. In this unique format, Ed will offer coaching help to one or two attendees about their specific law business management issues, within the group context. This allows the entire audience to watch the interaction and consider how they may apply the discussion to their own specific situation.
“For the first time in American history, thousands of lawyers have been laid-off,” said Ed Poll. “Lawyers need to know more about The Business of Law® in order to survive, let alone thrive, by effectively meeting the needs and expectations of clients. This tour will help address many of the challenges facing the sole practitioners and small firms today.”
About Ed Poll
Recently quoted in the New York Times and the ABA Journal, Ed Poll, founder of LawBiz Management, is a nationally recognized expert in law practice management. He helps attorneys and law firms increase their profitability by consulting with them on issues of internal operations, business development, and financial matters. Poll brings his clients a solid background in both law and business. He has 25 years experience as a practicing attorney and has also served as CEO and COO for several manufacturing businesses. In 2010, he received the first ever Lifetime Achievement Award from the California Bar Association’s Law Practice Management and Technology Section.
Poll is the author of numerous publications that have become the definitive works in the field, including 18 books, CDs and DVD collections. His newest offerings are Growing Your Law Practice in Tough Times (West Publishing, 2010) and 8 Steps to Greater Profitability: The Lawyer’s Guide to Prosperity (LawBiz Management, 2011). He has also authored books on business planning for attorneys, improving collections, buying and selling law practices, disaster preparedness and recovery, and exit strategies for legal practitioners. His offerings are available at LawBizStore.com.
Poll hosts the LawBiz Forum, an interactive community for the legal profession, as well as the LegalPadTM video series. He is a columnist for several publications geared to the legal community, including the Massachusetts Lawyers Weekly and Legal Management, and hosts regular webinars for West Legal Management. Poll earned BS and JD degrees from the University of California, Los Angeles, and an MBA from the University of Southern California.
About LawBiz Management
LawBiz Management is the nation’s leading firm dedicated to managing the Business of Law® . The company focuses on helping lawyers reach their goals and law firms improve their practices by increasing revenues, improving profits, and reducing the stress of the practice experienced by lawyers. Among the services offered are coaching, consulting, speaking and managing firm retreats. LawBiz Management also consults on the buying and selling of law practices.
For more information on tour sponsorship or booking a presentation on the tour, please go to www.lawbiz.com/roadshow or www.facebook.com/lawbiztour, or contact Ed Poll, edpoll@lawbiz.com.
Succession is a hot button
What are the more than 400,000 "baby boomers" going to do in the next 10 years? For some, who are working in private practice law firms, the issue may be particularly important -- because they may be "fired." This may not be the word used; it may be "eased out," "de-equitized," "transitioned to new status" within the firm. If the lawyer is lucky, he/she may still have a place to go and income (though reduced) to receive. But, egos will be bruised.
This topic is handled nicely by recent article in the New York Times. In that article, Norm Levine (a friend and client) suggests that the real issue is not age, but rather productivity. Even lawyers who are quite young can have productivity issues while "old" lawyers are still going gangbusters. The EEOC is examining this issue in a number of current cases. And the ABA Journal is following the dialogue.
This issue applies to many professions, such as the nursing profession, the accounting profession and others.
The only real protection is to make sure you're a vigorous rainmaker; don't let your skills deteriorate or your energy lag as you get older. Make sure you have very good client relationships and "control" the firm - client business relationship. And/or make sure you have a unique skill set that is hard for the firm to replace with younger lawyers.
Of course, if you're a sole practitioner, you can sell your law practice when you choose to vacate the office. I am find more and more lawyers calling me about creating their exit strategy, which they expect will include a sale. A client of mine wants to leave the practice later this year at the age of 80. He's had a great career ... and we/he just signed a contract for the sale of his practice. That's a great way to go -- on top, healthy and with time left to do other things you would like to enjoy.
Lawyers today are looking at this issue more closely than ever before. Succession planning is one of the hot topics bar associations are asking me to address as I start our on our Road to Revenue National Road Show. Call me if you want me to visit your community.
