Best Leadership Practices in Legal Services

Management Research Group http://www.mrg.com/ has published the results of a global study of 191 managers and executives identifying leadership practices tied to effectiveness in the legal industry.

docs/MRG Article.pdf

SUCCESSFUL LAW FIRM CLIENT INTERVIEWS—Critical 12 Steps

Step 5 – Preparing for the meeting with the client

            At least 2 weeks before the meeting

Interviews are generally more successful and informative if the interviewer has invested sufficient time to understand the client relationship by conducting internal and external research. Clients appreciate a meeting where the interviewer is well informed rather than merely asking routine questions. Many times the attorneys or the committee will have specific questions or concerns which they would like to have pursued.  These questions will be tailored to meet the specific criteria provided by the partners who have the client relationships. A sample list of questions is included in the sections that follow.

            Prior to the interview we recommend the firm conduct the following internal research:

• How long has the firm been doing work for the client?
• What is the client’s business?
• How did the client come to the firm initially?
• Identify “key players” in the client’s organization.
• Who at the client makes the decisions about outside counsel?
• Are there other firms being used by the client?  In what areas?
• Review billing history
• Revenues over the last 3-5 years
• Realization
• Profitability
• Write-offs
• Billing/collection issues
  • Identify areas of practice client has used
  • Identify who has done work for the client
  • Research litigation in which client is involved
  • Nature of the claims
  • Who is representing the client?
    • How would you define the level of satisfaction with the firm?
    • Hold a “team meeting” of attorneys who have worked on the client's matters
    • Are there current or past performance issues (What was the outcome?)
    • Relationships (good, bad, potential)
    • Opportunities for new work and relationships
    • Research trends in the client’s business and industry
    • What trade organizations are important to this client?
    • Are there areas to pursue or areas to stay away from
    • What is the personality of (describe) the person being interviewed?

            One Week prior to the meeting

            Just prior to the actual interview, we recommend researching the client by reviewing the website and “Googling” the company as well as the contact with whom the meeting will be held. Look at their website to learn of recent events at the company.  Read the most current client press and news releases. In most situations the interview is scheduled weeks after the initial contact and there are often developments in the company or with the contact that you should be aware of.  It makes the law firm and the interviewer “look good” to demonstrate that they have invested the time to learn about any recent developments in the client’s business which may impact the company’s future legal needs.

 

 

LAW FIRM CLIENT INTERVIEWS—Critical 12 Steps

Step 4 - Interviewer contact with client

            Regardless of who ultimately meets with the client, that person should make the call to arrange the meeting.  In addition to streamlining the scheduling process it gives the interviewer the chance to start to build rapport and have some initial discussions about what will take place at the meeting. 

• Introduce himself or herself (start to build rapport)
• Schedule the meeting and tell how long the meeting should last (45 minutes)
• Discuss who should attend from the client organization
  • If there are more than two contacts we recommend separate meetings
  • Sometimes a corporate general counsel will want to attend even though he or she is not the primary contact.
• “Tee-Up” the discussion (ask client what topics he or she wants on the agenda)
• Once a date is selected advise the relationship attorney and the committee

 

LAW FIRM CLIENT INTERVIEWS - GOALS AND RATIONALE

The goal of the client interview program is to garner information which will enhance a law firm's business development and marketing efforts by gaining insights into client needs and objectives.  This information is essential to gaining new business while providing specific recommendations (from the eyes of the client) as to how the firm can ensure client retention and enhance the client relationship.

Law firms need accurate information about how their clients evaluate existing and future legal needs, service requirements, and how they assess the "value" provided by the firm and the attorneys with whom they work. Too often, firms and attorneys define the “value” they bring to the representation without regard to the client’s frame of reference and there is often a great divide between the two definitions.  Interviews provide data which can be used to determine and develop specific strategies related to client retention and business development.

Recent studies indicate a growing dissatisfaction with outside counsel.

• 96-100% of clients interviewed said they approve and value client satisfaction surveys.
• 22% of all law firm clients consider switching firms because of issues with their current firm.
• Typically only 25-30% of a firm's clients are completely satisfied.
• Low satisfaction means that 70% or more of the firm's clients may be open to pitches from competing firms.
• 60% of clients interviewed in person will give their law firm new business within 90 days after being interviewed.

By understanding what clients “like” and “dislike” in the relationship a firm can develop information by which it can differentiate itself from its competition by addressing identified client needs as well as service and relationship issues.  Firms report increased revenues after responding to the information provided by the interviews. Although there are many examples of the benefits that are derived from interviews, we recall a recent situation when a client advised us that it was considering moving all its work to another firm for a number of reasons, most notably due to the lack of responsiveness to administrative requests.  The client assumed that the firm did not value the relationship.  The firm responded immediately and addressed the client’s specific concerns which ultimately saved a $250,000/year client.  Clearly all interviews are not this timely, but we can assure you without exception, that every interview will provide information that is beneficial to every firm.

Steps 1-3 to a Successful Law Firm Client Interview Program

Although each firm approaches client interviews differently, there are several similarities among the programs.  The following is a detailed description of the various steps which must be taken to ensure a successful program regardless of whether the interviews are conducted by firm personnel or an outside consultant.

Step 1 - Forming a Client Interview Committee

We recommend that the law firm establish an internal committee consisting of attorneys from several practice areas as well as the firm marketing director and business development/client relations personnel. The managing partner should also be involved and be a vocal advocate for the initiative. The committee will assist in identifying the clients to be interviewed and will monitor the interview schedule and process and follow-up. To the extent “buy in” of the program is necessary, having the managing partner and a committee with committed partners from different practice areas will assist in the buy in process.

Step 2 - Identifying the Clients to be interviewed (and who at the client to interview)

In determining the clients to interview criteria to be considered are:

• Clients with longstanding relationships
• Top ten revenue producing clients
• Perceived problems or threats
• Clients which have left the firm
• Change in client management/personnel
• New clients
• Decreased revenues
• Cross selling opportunities
• Introduction of a new “relationship” attorney (e.g. succession situations)   

Institutional clients will often have more than one contact and firms must be politically correct in deciding who to contact regarding the meeting. In companies with larger legal departments, make sure that general counsel or chief attorney is consulted.  We find that they do not often attend the meetings but appreciate (require) being called.  In one situation a general counsel with whom the firm had little contact attended the meeting with the assistant who had the relationship and was so impressed that the managing partner of the firm made the investment to speak with company that he gave additional work to the firm in a different practice area.      

Step 3 - Contacting the Client

Once the decision has been made to interview the client, the “relationship” attorney should call or write the client to advise them of the interview initiative and to obtain the client’s agreement to participate.  We recommend that the attorneys call (or e-mail) the client contact and explain that as part of the firm’s commitment to client satisfaction, it has asked a consultant to meet with several of the firm’s key clients for no longer than 45 minutes to discuss client service.  Inform your client that the firm appreciates their participation in the meeting and in providing information that will assist the firm in enhancing the relationship and improving the representation.  Let the client know the name of the person who will be conducting the interview and that they can expect a call from that person.  Although we recommend a call, a letter is also appropriate.  The information contained in the letter can also be used in the phone call. A form of letter or email will be provided in the next Blog.

 

12 Steps to a Successful Law Firm Client Interview Program

Although each firm approaches client interviews differently, there are several similarities among the programs.  The following is a detailed description of the various steps which must be taken to ensure a successful program regardless of whether the interviews are conducted by firm personnel or an outside consultant.

Preliminary Considerations

• Survey vs. Interview

Although firms report success from written and email client surveys, in our experience client meetings are a much more effective way to derive meaningful information.  Surveys may self selecting in that responses generally come from those who are either very satisfied or very dissatisfied and many whose opinions are the most important do not respond. The data therefore, can be misleading.  Your key clients should be provided more personal attention and commitment.

• Who should conduct the interview?

Firms have different approaches to determining who should conduct the interviews.  There are benefits and drawbacks to each of the alternatives which include the following:

• Outside Consultant
• Marketing Director/CMO
• Firm CEO/Executive Director
• Managing Partner
• Relationship Attorney
• Practice Group Leader
• Combination of firm attorneys and/or administrative personnel

Conducting the interviews with firm personnel is less expensive, and in many circumstances, can be as effective as an outside consultant.  Many clients, however, have reported that they are more candid and forthcoming with someone who is not involved in the relationship.  In either case, care and consideration must be given in evaluating the skills and training of the interviewer.

• Phone vs. Face-to-Face

Interviews over the phone are less time consuming and less expensive, but may not be as effective in our experience. A skilled interviewer often picks up on the subtleties of the nonverbal cues which cannot be observed over the phone. A personal meeting tends to be more focused with less distractions and interruptions. We also find in person interviews create the opportunity to establish rapport more easily.  Phone interviews are an alternative when if the client insists on this method or traveling makes the cost prohibitive. They may also be appropriate when interviewing more than the top tier clients.

 

10 Easy Ways to Develop Legal Business

Ask any rainmaker in a law firm how they develop business and they will tell you that developing business is all about developing relationships. Here are 10 easy ways for any lawyer to begin developing relationships that will lead to legal business:

1. Join associations relevant to your practice area
2. Speaking
3. Charities/Boards/Community activities
4. Identify and attend networking events
5. Write articles for legal or industry publications
6. Participate in seminars/panels
7. Communicate accomplishments internally
8. Assume a leadership role in bar association
9. Get involved with industry groups, key client teams
10. Meetings with other professional to develop referral sources

As with any relationship it will take time for it to develop to the point where people will be comfortable with giving you business; however, ongoing, committed participation in these activities will most often lead to legal business.