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In an environment where the business side of practicing law equals the importance of the provision of client services, legal operations have emerged as a driving force behind law firm administration. Evolving from the combination of various support and administrative tasks, legal operations are the processes and activities that help legal departments efficiently serve clients by applying business and technical principles to the delivery of legal services. While commonly used in the discussion of in-house legal departments, the concept can also be applied to law firms, particularly those that routinely provide corporate legal services as outside counsel.
Many corporate-centered law firms currently face the challenge of shrinking corporate budgets even as service demands increase. Meeting this challenge, while simultaneously providing clients with stellar service, requires a greater focus on legal operations. Through strategic planning, project management, and technical innovations, legal operations help law firms streamline their financial responsibilities so that attorneys can place their focus on the actual practice of law.
Over the last few decades, corporate law firms and legal departments have been expected to shift their focus from solely advising business clients to driving value for them. They have been charged with streamlining services and managing operations more in line with business clientele. In doing so, firm administrators have placed a significant focus on analyzing current firm practices and making necessary adjustments, including the reorganization of processes and procedures for cost savings and greater operational efficiency.
While legal operations have been part of the legal industry for decades, it is still a relatively new concept that is continuously evolving. The following trends will likely impact legal operations over the coming years.
As law firms pursue greater cost savings in the provision of legal services, reporting and data analytics serve as a driving force. Firms will increasingly rely on reporting to provide information about the effectiveness of administrative and legal service procedures. From financial reports like accounts receivable to administrative data like attorney profitability and matter management budget reports, data analytics arm firm administrators with the information they need to make strategic decisions about the firm’s direction for greater profitability.
Legal technology innovations will continuously play an integral role in helping law firms and legal departments streamline procedures and scale-up in response to growth. While legal technology isn’t new to the industry, service providers constantly introduce new and innovative solutions for meeting the specific needs of legal practices.
Much of the buzz around legal technology has centered on Artificial Intelligence (AI) in recent years. Through the use of algorithms and machine learning, many law firms currently use AI to streamline a variety of law firm procedures, including legal research, the performance of due diligence, document review, and even some forms of legal writing. But even with the increased use of AI, law firms have a more valuable tech tool when scaling their processes for growth.
Every law firm needs a practice management system at the center of its legal operations platform. These tools support the foundation of the firm, providing administrative systems and client matter management, as well as the data and reporting functions that firm administrators need for informed decision-making. The right practice management system promotes efficient law firm operations along with quality client experiences. From client relationship management and the efficient movement of matters to e-billing and document management, practice management software serves as a catalyst for streamlining operations and driving efficiencies within the law firm.
Alternative Legal Service Providers (ALSPs) have provided traditional law firms with some unexpected competition as clients increasingly choose these cost-effective options. ALSPs are nontraditional providers that offer legal clients assistance with a variety of services, from legal research to litigation support. Increasing numbers of corporate counsel and law firm clients have turned to ALSPs for their technical innovations and specialized expertise at lower costs.
However, though ALSPs have been largely seen as competition to traditional law firm representation, law firm administrators increasingly recognize the value in these services. Not only are they consulting with these entities about the latest legal technologies, but they are also choosing to implement ALSP offerings into their own provisions of service, creating a sense of collaboration rather than competition.
Alternative fee arrangements have gained considerable momentum throughout the legal community over the last decade. An industry firmly entrenched in the billable hour has begun offering a greater variety of pricing options, including fixed fees and customized hybrid billing arrangements.
Clients prefer these options because they offer a more transparent provision of service, providing a greater understanding of the total cost of their cases. Law firms have found value in these arrangements because they are easier to budget for and provide greater billing predictability. With alternative billing, law firms can provide their clients with affordable and efficient legal services.
Although the legal community remains hesitant about the widespread usage of alternative fee arrangements, many of the latest legal technologies have been equipped with tools to properly track and manage these options. As a result, these arrangements will likely affect legal operations managers in the year ahead.
As in-house legal departments and large corporate law firms seek to meet the immediate needs of a changing legal environment, legal operations will continuously play a major role. Firm administrators will identify new methods and tools for streamlining firm operations, saving costs, and providing clients with top-notch service.
As law firms prepare to turn the corner and head back to normalcy, flexibility is playing a major role in the execution of their plans. Return-to-office announcements from the nation’s largest law firms range from a 100% workforce return to continued remote working arrangements, but they all include a higher level of flexibility than traditionally seen within the legal community.
Over the last decade, remote working arrangements became quite commonplace within corporate America. A growing number of companies began offering their workers the opportunity to work from home, recognizing the financial savings and employee satisfaction that resulted from these arrangements. Even federal and state government agencies made significant strides towards remote work in recent years. Yet, even as these changes took hold, many members of the legal community routinely resisted the widespread move to remote work preferring a more traditional view of the legal practice.
While recent changes are partially driven by the pandemic, they also stem from evolving attitudes about what law firm offices should look like. An increasing number of law firm leaders and administrators have recognized the value in accommodating at least some level of flexibility within the workplace. They found that productivity actually increased instead of the decline that they anticipated. For years, law firm leaders centered their objections to remote work on declined productivity assumptions, but for some, seeing it in practice debunked that theory.
In addition, a growing number of law firm employees feel more comfortable voicing their preferences for flexible working conditions. With negative views that clouded remote working arrangements, many firm members felt it best not to make these requests, even though they wanted these options. Now that real-world experiences have changed leadership attitudes, attorneys and support staff feel empowered to request and advocate for greater flexibility.
Lastly, many law firms have enjoyed the overhead savings that resulted from reduced in-office use. Leaders are increasingly questioning whether, and to what extent, physical office space will be necessary for their firms to sustain going forward.
In a recently published email sent to employees by one of the Am Law 100 ranking law firms, a co-managing partner stated, “A key takeaway from the survey we conducted last year is that you want flexibility in where you work. We are working on the parameters and protocols for our return, including developing a flexible work policy that will address the expected number of days in the office per week and many other details. We are planning for our attorneys to be able to work some days in the office and some days remotely on average each week. Where roles and responsibilities permit for our staff, we are also developing flexibility arrangements.”
This sentiment echoes across the legal industry, indicating a major shift from traditional law firm standards. The following are direct quotes from return-to-office policies being put forth by some of the largest law firms in the country:
From the minimization of in-person interaction to the continuation of 100% remote work, these variations exemplify the different perspectives and interests of law firm leaders. The traditional law office environment will continue to look very different over the coming months.
Law firm administrators will most certainly bear the lion’s share of responsibility as firms implement these flexible work arrangements. To do this in an effective manner, they need technologies that support firm members, promote consistency in the face of transformation, and ensure the uninterrupted continuance of client services.
Practice management software offers law firms the resources and capabilities they need to continue operating at a high level in spite of various phases of office returns. As many firms moved to remote work arrangements in 2020, cloud computing and storage were integral tools for the continuation of business through these transitions. These same technologies will also drive firms into their new normal in the months and years to come.
Here are some ways that legal practice management will help law firm administrators meet the needs of a flexible work environment:
Many of these cloud-based technologies include document storage, which minimizes the need to transport physical files back and forth between work locations. It also makes remote collaboration seamless, which is especially useful with firm members working staggered in-office schedules.
With custom, real-time dashboards, firm administrators and members can quickly view a variety of case details. From matter ledgers with complete billing histories to matter budgets with customizable budget alerts, these tools help law firms stay on top of client matter details even in the midst of transitioning back to the office.
With court rule and deadline management tools, firm members no longer have to rely on the manual calculation of court rules and deadlines. Court date calendaring systems calculate litigation, transaction, or administrative deadlines and automatically add them to the firm calendar. This promotes greater organization, planning, and accountability throughout the entire firm.
As law firms announce their respective return-to-office strategies, flexibility appears to be a common theme. To best handle these transitions, law firm administrators and members need a comprehensive practice management system that promotes consistency while minimizing potential roadblocks.
After months of planning and building from the ground up, we are excited to announce the launch of a brand new exclusive community for our clients!
Centerbase's mission for the community is to provide clients with a vibrant channel to ask questions, find answers, and engage with legal professionals from around the country on Centerbase best practices. Be the first to know and participate in discussions on upcoming product updates, training webinars, and the direction of our product roadmap.
We want to foster conversations about getting the most out of Centerbase to drive success at your firm.
So when can you get involved? The answer is right now!
All Centerbase users will receive an invite to the Centerbase Client Community via email. So be on the lookout for your invitation! We’ve already seen some great discussions from clients who are actively answering questions and contributing ideas.
Access to the community is exclusive to Centerbase clients. All users of Centerbase can start having great conversations and seek insights and solutions right now.
The Centerbase Client Community includes a personalized social media-like experience. Subscribe to topic channels like Billing, Reporting, Settings & Customization, and Timekeeping to get the latest updates on things that are most important to you. Gain Reputation Points by commenting, answering questions, and voting on polls which can be used to purchase Centerbase gifts and swag!
Be sure to subscribe to the Feedback and Suggestions topic to upvote product ideas from other Centerbase users and suggest your own.
Yes. A combination of Centerbase employees and community champions will make sure the Community’s conversation stays civilized, meaningful and true to our Community Guidelines and Terms of Use. Our moderation team will also ensure that urgent queries and support requests are addressed.
Email, phone and call-back requests are still available as normal to users of Centerbase. Our team of dedicated Support Specialists will be active throughout the community. If you are unable to find the help you need from the community, our team of specialists will be standing by to lend a helping hand.
Registration for the Community is invite-only as it is intended to be an exclusive channel for our partners and clients. All Centerbase clients will receive an invitation via email to create their account. If you cannot locate your community invitation please reach out to us here and we'll have another invite sent your way ASAP.
We'll see you there!
Staying current with technology can be an expensive undertaking. Software is constantly improving, and firms that continue to use server-based software are finding it impossible to keep up with advancing technology. If a firm wants to take advantage of the latest and greatest, it must be willing to adopt a cloud-based system. By asking the right questions on the front end, your firm can rest assured that a cloud-based system is a safe and viable option.
There are innumerable advantages to a cloud-based system that goes above and beyond the fact that you will always have the most updated version of the software you select. It is impossible to list all of the advantages here, but below are a few:
The use of a cloud-based system allows the firm to pay-per-user fees in a monthly fashion – there is no longer the need to shell out tens of thousands of dollars in order to purchase a server-based software that will soon be outdated. There is also no need to pay for IT support to maintain servers, address security concerns, and stay on top of software updates.
With server-based software, the firm spends an enormous amount of financial resources to put the software in place. While it certainly performs its due diligence before making a software selection, firms are still faced with holding their breath and hoping for the best, sometimes finding that once the software is in place it does not perform as the firm had hoped. While no one wants to make a change once a decision has been made, with a cloud-based system where the firm is paying for the system in small monthly increments, if the software does not meet the firm’s needs as expected or the firm outgrows the software sooner than expected, there is the ability to pivot if necessary.
Cloud-based systems can expand as the demand increases, so as the firm grows, it only has to pay for an additional user license. There is no need for the firm to purchase additional servers, etc. to accommodate growth.
As we all learned this past year, the ability to access our files from any location is imperative to today’s practice. By having all file information hosted in the cloud, firm attorneys and staff can access the files from any location. Firms that were paperless before the pandemic were able to continue their practices without missing a beat. This advantage is valuable even outside of a pandemic, though. The mobility of your case files allows your attorneys to access the entire file wherever they are – in court, in a client’s office, etc. In addition, multiple individuals can be working on a client file at the same time. In the old practice of paper files, only one person could have access to the file at one time.
One of the most valuable advantages of using current technology is your ability to perform some tasks faster. Good case management software can lay out the steps of certain types of cases, provide you with the status of a case at a glance, and provide a list of follow-up items and checklists. The billing side of your software can make it easy for your attorneys to enter their time, encouraging concurrent timekeeping, which will always be more accurate and prevent lost time.
It was not that long ago that many law firms were leery of taking their technology to the cloud. Despite Ethics Opinions of the American Bar Association and many state bars that approved the use of SaaS systems in law firms, firms were hesitant to move in this direction. There were many concerns that contributed to this hesitation to jump on board with other industries, but with the appropriate due diligence on the front end, firm partners can rest assured that they can take advantage of cloud-based systems and their many advantages. Here are some questions you should ask:
Does the provider own or lease the servers? The more companies that are involved in the storage of your data, the greater the risk that security may be compromised.
It is important that your data does not leave the United States. Otherwise, you run the potential risk of your data being held “hostage” in the EU.
What is the frequency of backups? Where are the backups stored? Are there multiple locations? (If a natural disaster occurs at the location of a backup supply, is it geographically distant from another location so that the data is not lost?) Are there redundant power supplies?
The provider should use SSL encryption to ensure that communications between your computer and the cloud server are secure.
Your agreement should clearly state that the firm owns the data. You will want to know how the data can be extracted should you decide to change services in the future. In what format will the data be provided? Will it be readable by other programs?
It is not as foreign for law firms to use cloud-based software today as it was even five years ago. By asking the right questions, you can ensure that you are confident in the security of the software you choose and take advantage of the many benefits of having a cloud-based system.
Law firms are entities built on tradition, where the experience that comes with aging is revered and often celebrated at the highest levels of the firm. But in today’s legal environment, technology and innovation rank just as high as maturity. Change has become a constant within the industry and law firms must keep up in order to remain relevant.
Unfortunately, getting every member of the firm on board with tech changes can be challenging for firm administrators. Some more seasoned employees may resist new ways of handling business, or they may find it difficult to grasp unfamiliar technologies.
But these difficulties don’t mean that administrators must abandon the firm’s technology plans. It also doesn’t mean that seasoned members of the firm will be left behind. With the following tips and strategies, law firm administrators can get all members of the firm onboard the technology train.
Legal technology is transforming every segment of the legal community, including the workforce, the delegation of tasks, economics, skillsets, and client expectations. Many attorneys don’t like these tech advances because they recognize their effect on the traditional roles of practicing law. As new legal technologies emerge, the profession transitions from its lawyer-centric traditions into a more tech-driven competitive marketplace. And it's not attorneys who are pushing these changes. Clients are also consumers and they bring their consumer-driven expectations with them when seeking legal representation.
Law firm administrators must also consider the generation gap that may be at play within the firm. Young legal professionals cannot imagine a workplace without technology, so they often welcome and adapt quickly to new innovations. Their other colleagues remember, and may even long for, a time when the only technology an attorney needed was a telephone and a typewriter. When this is your perspective, the prospect of new technologies can be terrifying.
To start promoting the use of technology among more seasoned members of the firm, administrators must first put aside misconceptions about this segment of their workforce. Preconceived doubts about their abilities and willingness can disadvantage the firm as a whole. The truth is that most baby boomers don’t fear tech, they just see it differently than younger workers do.
Here are some additional misconceptions that law firm administrators may have about seasoned workers:
Law firm administrators must have honest discussions with the hesitant members of the firm so that they understand the value of new technologies. Help them understand how they can benefit from new innovations. Then, provide them with the type of training they need to actually learn.
One training method may not fit all. Firm administrators should think outside the box and consider alternative training methods like online tutorials and mentorships. Mentoring can consist of formal partnerships or informal training between members of the firm who are more tech-savvy and members of the firm who are tech-challenged.
The most effective strategy will look at training options from different perspectives to consider what works best for individual members of the firm. For example, human resources can craft individual tech development plans for each stage of the firm’s career cycle.
When workers are approached from a perspective of productivity and skill-building, they will see the firm as being supportive of their growth instead of forcing them to make changes. That type of motivation drives success. When seasoned members have a reason to change, along with real encouragement, they will be more willing to embrace new technologies.
If the firm members who resist technology are members of law firm leadership, the financial benefits of technology can be real incentives. For example, in this age of technology law firms are experiencing competition from some new kids on the legal block. Alternative Legal Service Providers (ALSPs) have made gains within such technology-driven market segments as e-discovery or legal research. These providers are taking business away from traditional law firms by offering specific legal services in a more efficient and cost-effective manner. For this reason, law firms must implement new technologies in order to stay competitive and relevant.
A lack of technology skillsets will place lawyers and law firms at a significant disadvantage moving forward. For example, e-discovery has completely transformed the task of discovery over the last decade. Using artificial technology, firms can now search through voluminous documents in a fraction of the time it used to take.
In addition, courts and legal service clients have come to expect certain tech advances from law firms. Courts have increasingly turned to electronic filings and applications over the last few years. In addition, judges are starting to expect the use of technology when reviewing the reasonableness of legal fees. If law firms do not voluntarily implement these changes among their members, outside influences will force them to evolve.
The demand for traditional legal practice is diminishing, while the demand for tech-based legal service delivery continuously grows. Law firm administrators must communicate to their leaders that resisting these changes can have lasting negative effects in the years to come.
While the American Bar Association (ABA) has been slow to implement technical training at the law school level, they have addressed the expectation for tech skills and knowledge among practicing attorneys and law firms. In 2012, the ABA modified the Model Rules to extend a lawyer's duty of competence to keep "abreast of changes in the law and its practice," to include knowing "the benefits and risks and associated with relevant technology." A number of state bars have followed, modifying their rules to include technological competence within attorney competence.
These changes are not limited to law firms. Corporate legal departments have been experiencing similar enhancements. The Corporate Legal Operations Consortium, as well as the ACC Legal Operations Group, has designated technology as a multidisciplinary competency optimizing the delivery of legal services.
As law firm administrators seek to introduce new technologies into their firms, they may find that some more seasoned members resist the changes. But the legal industry is quickly changing, and innovative technologies must be a part of that transition. By implementing these strategies, law firm administrators can encourage older members of the firm to embrace tech advances.
When you think about the function of a law firm, your thoughts probably go straight to the provision of legal services. But law practice administrators must recognize that their firms are also revenue-earning businesses that need money to operate. For this reason, it is imperative to keep tabs on financial performance. They need to know whether the firm is bringing in enough revenue, as well as whether strategies and expenditures benefit or hurt the firm.
With regular reporting and analytics, firms can track metrics that provide valuable detailed financial analysis. This blog will take a closer look at some of those metrics, including what data they provide and how often firms should review them.
As the name suggests, these reports provide a detailed look at the law firm’s finances, including how much money is coming in, how much is on hand, and how much is being spent. To gain a complete view of a firm’s financial status, administrators can consider the following financial reports:
Law firms need to keep an eye on the productivity of the firm in order to promote efficiency, cost savings, and maximized profitability. While we tend to think of productivity as the pace of work being completed, there are a number of additional factors to consider within a law firm environment:
Many law firms pour extensive amounts of money into their marketing strategies with little understanding about the effectiveness of their efforts. The following marketing performance indicators need to be part of a law firm’s regular reporting process so that administrators can evaluate what approaches are working and what needs to be tweaked:
Law firms often build their practices around a single niche or a few specific practice areas. But societal changes can result in evolving needs among potential law firm clients. For example, the pandemic brought about a surge in such practice areas as bankruptcy, health law, and employment law.
Firms should take a look at the performance of their practice areas at least annually to determine whether they are still performing at a profitable level. This data can be collected externally from legal industry reports and studies, as well as internally from practice area comparisons of new matters and revenue generation. The information can then be used to make crucial decisions about the firm’s practice area direction.
These are only examples of the numerous types of reports that help law firm administrators evaluate the viability of the practice. It’s important that administrators identify metrics that specifically speak to the health of their firms and take steps to monitor them on a regular basis. With weekly and monthly reporting, administrators can promote what is working and make timely changes to address what is not.
We’ve all heard it before – “fail to plan, and you plan to fail.” And we have all heard it because it is true. Without a plan for where you are headed, you will never arrive at the desired destination.
It is important to make time to plan. With the many demands of your practice, it can be very difficult to tear yourself away from your firm to work on your business in addition to working in your business. It is important to recognize that despite the fact that those hours spent on working the business are not billable, they will pay big dividends in the long run. Firm leadership should set aside at least one day per year to work on your business plan and define how you plan to get there. These meetings should be held off-site, away from the demands and distractions of the office.
Goals should be broken down into timelines: you should identify ten-year, five-year, three-year, and one-year goals. Goals should be quantifiable and SMART – Specific, Measurable, Attainable, Relevant, and Time-Based. Examples of goals can be team size, gross revenue, profit, number of new clients, addition of new practice areas, etc.
Start at your end goals – those that are farthest out. By working backward from your ten-year point, you can break your goals down into chunks so that you can identify how you will get there. Breaking those larger goals down in this way makes them seem more attainable and will keep you from just giving up.
Your one-year goals are considered short-term goals. Reaching these goals should help you to attain your three-year goals. For example, if you want to increase your attorney size from 5 attorneys to 10 attorneys within three years, you know you need to add 1-2 attorneys per year over the next three years in order to get there. This feels manageable, and by working toward that goal gradually over three years, it won’t feel unachievable. Your three-year goals should lead you to your five-year goals, etc. By setting shorter-term goals as mile markers along the way, you will have a road map to guide you to your final destination.
To go one step further, one-year goals should be broken down into 90-day chunks. Otherwise, you will find yourself at the end of a year wondering how the time passed so quickly and nothing accomplished as you had hoped. By setting 90-day timelines for specific tasks to be completed that lead to your one-year goals, you will stay on task. Your leadership team should meet at least quarterly to review the progress of these goals. Without this accountability measure, the goals will likely fall prey to the other demands your team has to meet.
Leadership may want to consider involving multiple levels of team members in your process as you work on your plan. While they do not have the final say in your decisions, by providing them the opportunity to have input, you will increase the chances of buy-in and success. Different teams in your firm may have different goals created for them that lead to the bigger picture goals, and it will be important that they meet regularly to review progress just as your leadership team will.
You will also want to identify your firm’s particular strengths and potential obstacles and how you plan to overcome them. This is referred to as a SWOT analysis – Strengths, Weaknesses, Opportunities, and Threats. By bringing these areas to light and focusing on playing to your strengths and addressing how you will overcome your weaknesses, you will be better for it.
Business planning does not come naturally to all attorneys. If this planning and follow-up feels foreign to you and you are not confident you have the bandwidth to navigate the process among all your other responsibilities, there are many consultants available who specialize in law firms. These specialists are familiar with your challenges and can help guide you through the maze and help you stay on task. By taking the time to plan for your future in a very intentional way, you will be surprised to find that what once felt like unattainable pipe dreams can truly be a reality.
There is a common aphorism that often gets applied to life that goes, a rising tide lifts all boats. And it’s true in many cases. In good times, many businesses can see great returns, and the economy and emotional spirit of both large and small groups or populations of people can be elevated. But these past few years have been different. We are coming out of a really trying time, but something we have heard reiterated time and time again is that through challenging times, a firm's branding and marketing efforts become critical.
More importantly, when the going gets tough, the need to heavily rely on data to gain insights and direction becomes even more important as well. To be able to gauge trends and monitor consumer patterns is how firms will thrive through the chaos. For example, law firms that were marketing in 2020 saw a big drop in revenue in Q2, similar to firms who did not market, but, their leads and overall numbers were higher than they were in 2019 prior to the pandemic. And then into Q3 and Q4, they remained ahead of their previous years' numbers. The idea here is that although there were fewer people searching for legal services during the height of the pandemic, the jobs won went to firms that were consistently marketing.
The way people are finding law firms, especially via their websites, is significantly more fragmented than it has been. This fragmentation is primarily the result of the omnichannel environment we live in today. On any given day, you have people surfing Facebook, Google, local newspaper listings, online newsletters, podcasts, radio, the list goes on and on. The bottom line here is your potential clients are finding your firm in a lot of different ways.
Traffic from social media almost doubled in that second quarter during the pinnacle of quarantine, and surprisingly enough, it stayed almost 4% higher throughout the rest of the year than it did in 2019. We are seeing more traffic come from people on social media than ever before. And not only are these people spending more time on social media, but they are also actually taking the next step and going to law firm websites. The strategy here indicates that you need to be in more places online and the easiest way to achieve this is by producing content. Some of you may have read that and felt a wave of panic but don’t worry! When you begin thinking about this content, think about the content your firm would be best at producing; the areas of expertise your attorneys, firm administrators, paralegals and the like possess and capitalize on that! And utilize your ability to repurpose that same content in other areas as well. For example, if you have a blog, consider using that material and making it a video.
Another thing to think about in terms of your content is highlighting and marketing all the technological advancements you have at your firm. If you utilize practice management software, publicize your ability to take online payments, publicize your client portal, automation capabilities, easy intake process, etc. All of those things are advancements that potential clients will look at and cross-compare against other firms, so use it to your advantage! Being able to highlight your customer experience improvements will only serve to benefit you.
Search engine optimization is not going anywhere, in fact, it is driving more and more traffic to law firms. If you think about all the effort you put into gaining referral partners, whether it’s getting on the phone with potential businesses, sending thank you gifts, those couple rounds of golf, all the things you do to establish those relationships. Now think about how much time you're putting in the largest referral partner you have, which is Google? The benefit of Google is that most users are searching for something already. They are looking for an answer or help so not only will they be more reliable, but they will be more willing to work with you to get their problem solved.
Let’s walk through a hypothetical example. Take an estate planning firm, typically, they do a lot of in-person events to drive potential new clients and they really emphasize the need and highly encourage clients to come in for consultations. Well, in almost the blink of an eye, the world shifted to operating online. And now, the first consultation is a Zoom meeting, and those in-person events have transformed or disappeared entirely. So what happens now? In this case, the firm would need to change their website to support online intake and then direct the potential new client to a calendar scheduling tool to seamlessly book the meeting. With this shift, you can now market the efficiencies of this new online process and emphasize the benefits of putting time back in your client's day by reducing commutes and streamlining the intake process.
Ultimately, all the things you are doing to help your law firm be more efficient and effective are also the way your clients want to work. So remind them of the pain of doing things the “old” way and market your services as ones that meet their new needs.
Now that we have gone through some marketing strategies, let’s think about the ways that you can connect and hopefully get those new clients to contact and hire you. The next challenge that many firms face is how to manage the intake process. How do you manage the volume of calls and digital messages coming in? The issue that arises here is that there is a finite number of hours in the day, but clients don’t care about that, they want a response as soon as possible. And the sad reality is, people are impatient, if they don’t hear back on their time frame, they will find another firm who will.
The pandemic has obviously caused a lot of disruptions. But what has that meant for attorneys and firms? What solutions have been implemented to improve the client intake experience and ensure that responses are efficient and uniform?
Overall, the best way to maintain an elevated client experience is to be system-dependent and not owner or operator-dependent. Think about the lack of availability you may have on a day-to-day basis, between your personal and professional life, handling operations, HR, administrative tasks, everything that you have on your to-do list leaves very little time to handle those inbound inquiries that come to you. You still want to be responsive to both your existing and current clients, but also to your potential new clients and referrals. It is really critical that you set up systems that can be responsive for you, and bring in the technology and the talent that is on your front line. What we saw last year was a lot of people quickly added new technologies that acted like a bandaid or patch. And now what we’re seeing today is as people begin to recover, they notice the holes that they patched and they want to make it look better. They want to make it look great because after all, it is the reputation of their firm that is at stake.
Making it easy for PNCs to select an available time for a consult without disrupting your day-to-day is the easiest first step to enhance your client experience with minimal effort. Not only will this calendaring automation speed up that first initial contact with the client, but it frees up your staff and it is easy to manage with minimal training in the case that you do need your receptionist or team to step in and intervene. Also, it’s important to keep in mind that everyone faced disruption this past year. So while you’re working hard throughout the day, your clients are too. Sometimes, it isn’t until 10 PM at night when a PNC will come home and have the brain space to think about those divorce papers, mergers, settlements, etc. So giving people the silent comfort of choosing availability on their time is priceless. And we are not saying that you have to answer your cell phone and email at all times of the day, but you do have to be responsive.
The next piece of this intake process revolves around legal workflow automation. The reason why legal workflow automation exists is that law firms needed to find a way to reduce the administrative tasks their attorneys take on and give them more time to focus on creating billable hours. Let's walk through some examples... when a PNC gets created, you can use a workflow to automatically alert your team that work needs to be done. You can automatically schedule a conflict check, confirm that the PNC's data is entered correctly, and verify that your attorneys can take on the workload. Not only is this eliminating inefficiencies, but it is increasing team communication, and enhancing your client services. You can also eliminate the monotonous task of creating letters of engagement or other documents with document merge. This allows you to automatically generate a document based on fields within Centerbase instead of manually typing each document and filling in the respective detail. You can create the initial template and set which information fields you want to be pulled to populate the document.
Legal workflow automation is meant to help create efficiencies and reduce human error. If you're not adopting these technologies or working with software that enables your firm, you're doing yourself and your clients a disservice. If you’re curious to learn more about this, check out this video.
The ways we are consuming and interacting with each other as consumers and businesses have changed a lot in response to the disruption of the pandemic.
A lot of what has changed in the last two years has been expectations. Today, clients are fully expecting that you guide and steer the process. So you must ask yourself, how do you make sure that you’re delivering on what the client needs? How are you producing content and answers on all the channels that you operate and are publicly available online? Every platform your brand is listed on needs to uphold the same level of responsiveness. And it’s not just about the speed, it’s about the quality of content. One of the main reasons clients won’t move forward with a firm is because they don’t get the answers they’re expecting. Easily combat this by proactively anticipating the commonly asked questions. Time is thin right now, and if you think about the importance of lead screening and qualification, not everyone is going to be a good fit for your firm. So it is one thing to get out in front and be responsive but you also don’t want to be taking consultations with just anyone on the internet who finds your firm and books your time.
So after all of this, what are some of the most successful law firms doing when it comes to their intake process? Well, two things come to mind… the first is when you’re system dependent, you have to be constantly checking and monitoring those systems. That is simply a good habit that is just a matter of professional responsibility. It may not say it very specifically in the bar rules, but triple-check that when someone calls your firm the phone is answered and to your liking. Make sure that when someone sends an email and you have generated automated responses that the email is being triggered how you want it to, that it is being received, and that it also reflects the brand and voice of your firm. There are a lot of systems that are only being set up once and then forgotten and never checked again. Because of this, a lot of business is lost because no one has been assigned to that voice mailbox or that email account. If you don’t check them, that is a blindspot that is aiding a loss on investment for all your marketing efforts and all the other energy you’re putting into promoting and advertising your firm.
The second thing that successful firms are doing is following up with those individuals who reach out. This step can often distinguish the haves and have nots. What happens is the more you follow up (to a certain limit), the higher the payoff. Six points of contact are about the threshold here. Statistically, if you’re following up only once, we know that about 50% or slightly less of your inbound calls are being answered. There is so much distraction and noise these days that if you’re not following up multiple times, your message won’t be heard. It’s as simple as that. Depending on the practice area that you operate in, that will also really set the cadence. So when you ask, “How often should I follow up?” You have to take note of who your clientele is. If you are in personal injury, high-end estate, or intellectual property, you should be following up a lot sooner. Don’t give up and throw in the towel until the person has told you they have made the decision one way or another. That type of chase is incredibly beneficial to the bottom line.
Bottlenecks commonly occur within the law firm environment, but certain pain points are specific to attorneys as they provide legal services to firm clients. A single client matter can encompass numerous steps, from developing a strategy and managing client expectations to implementing the plan and bringing the matter to a close. At every stage of that process lies an opportunity for obstacles, especially when lawyers lack the technology they need to handle their cases efficiently and effectively. Add in the unique challenges of remote work arrangements, and the potential for bottlenecks looms even larger.
The following bottlenecks represent some of the challenges that attorneys face in the regular course of serving law firm clients:
Paperwork and the practice of law go hand in hand, so attorneys need immediate access to necessary case documents. Bottlenecks in this aspect of legal practice can occur for a number of reasons. For example, editing delays can leave an entire team of lawyers waiting for one party to make changes to a contract or other document. This can be especially problematic if the editing is being completed by more than one person.
Fortunately, several legal software options streamline the editing process, making it easier and far less time-consuming. With these technologies, all credentialed parties can work within one file instead of repeatedly emailing the latest edited versions of documents back and forth between one another. Some of these tech options also allow for comments and controls on who can edit documents and when.
Remote working arrangements also affect document accessibility. Let’s say a group of four lawyers are working on a client matter, but each of these lawyers works from a different location. Creating multiple paper copies of the client file is not an efficient and effective option. In addition, what happens if one of the attorneys forgets to bring an important document when they come together and work in person?
With a cloud-based document management system, every member of that team has access to all of the case file documents from any place they choose to work, and at any time of the day or night.
These convenient options allow lawyers to store files and documents in a secure cloud-based environment. They also have easy-to-use search options, so time isn’t wasted combing through pages and pages of documents. Some also offer version management, so that attorneys can easily see what changes have been made since they last accessed the file.
Document management is an essential part of collaboration. Attorneys need the ability to access, edit, and store files without the bottlenecks that can get in the way and impede the progress of a client matter.
When working within an office setting, it’s easy for attorneys to simply walk into a colleague’s office and confer about a case. Whether asking a simple question, soliciting advice, or collaborating on a project, the camaraderie that an in-person work environment provides can prove extremely beneficial to attorney productivity.
But for firms that operate among different locations, whether by choice or in response to the pandemic, the benefits of regular communication can become lost without the right strategies and systems in place.
It is not uncommon for attorneys in different physical locations to work on firm matters collaboratively as part of a team. When the communication between team members becomes strained, various problems can result, including miscommunications and missed deadlines.
For attorneys working remotely, feelings of isolation may result from their inability to have those valuable impromptu conversations with their fellow attorneys as the need arises. In addition, they may find it challenging to reach support staff when needed, which can also lead to incomplete tasks and process inefficiencies.
In today’s remote working environment, lawyers need communication plans that include useful tech innovations. Regularly scheduled team meetings and check-ins help firm members ask questions, solicit help, and feel connected to the firm as a whole. Additionally, having the ability to chat directly within a matter and track your conversations and directed references will not only keep you organized, but it will also reduce the number of emails flooding your inbox. Bring you internal conversations to chat from wherever you are regarding whatever matter you may be working on.
Tools like Zoom and Cisco WebEx can also help facilitate these regular meetings, while resources like Slack make quick interactions easier to manage and document.
The practice of law is largely about the management of client relationships. After all, attorneys work to further their clients’ interests when taking on a matter, so it follows that managing the client relationships must be an integral part of the process.
As attorneys establish and maintain their positive reputations, they need to build positive relationships with their clients. They can achieve this goal by doing the following:
Legal technology, like CRM, also helps attorneys establish and maintain client relationships. With CRM, lawyers can securely store client contact information and document previous interactions. It offers a quick and easy reference when specific client information is needed. Some CRM software options can also be programmed to provide reminders for client follow-ups and important deadlines.
Client portals also promote positive client relationships. With these tools, attorneys can quickly provide clients with updates on their matters, as well as timely invoices. Clients can independently log into their secure accounts to view notes and review their firm bills. With a client portal, attorneys can efficiently keep clients informed.
Happy clients become repeat clients who refer new clients. By placing the focus on client relations, attorneys can avoid the bottlenecks that arise from unrealistic expectations and poor client relationships.
Legal case management software offers viable solutions to many of the bottlenecks that attorneys contend with on a daily basis. These platforms often include tools that promote internal communications among members of the firm while also keeping clients adequately informed and up to date.
Case management software may also offer some document management features so that attorneys can quickly and easily edit, access, and store client files in a secure environment. For attorneys that find themselves interrupted by the pain points of practicing law, the right case management software can be the solution to their bottleneck problem.
We all know it is easier to keep an existing client than to obtain a new one, yet many firms fail to focus on practices that will ensure their clients receive a consistently positive experience with their firm. Some intentional effort in your firm’s practices can make a world of difference for your clients and for your firm. The common mistakes below can be easily addressed in your firm to create a more positive client experience.
The client experience begins before an individual ever steps foot in your door. By focusing on creating a positive intake experience, you will set the stage for a successful client engagement.
The individual in your firm who is processing your potential client calls should not be just anyone answering the phone. It is important that those who take the calls are trained to do so. Be sure you have the right person(s) in this seat, individuals who are capable of listening, allowing the caller to tell their story, and showing empathy. They need to understand the importance of the questions they have been trained to ask. If they have to leave a voicemail for the caller, they should have a script that leaves the potential client with a positive impression that is professional and knowledgeable.
Your practice management software should have the ability to input information received from potential clients. Your staff should use this format so that there is consistency in the information gathered and nothing is overlooked. This will allow you to track critical data and understand conversion rates. (Do you know how many leads you need in order to land a client?)
It is important that someone respond to the potential client quickly once the initial information has been gathered. If you wait too long, they will have moved on to someone else who is more responsive. Set appropriate expectations by giving them a timeline for a callback and stick to it.
We all know you only get one chance to make a good first impression. With a little effort, you can ensure your firm gives a professional impression consistently.
Conference rooms should be clean and tidy. Staff should be professional, offer a beverage, and make the client comfortable while they wait for the attorney. Once they have been settled, don’t make them wait. We all know how we feel when our doctors keep us waiting well past our appointment time – our clients feel the same. Don’t give the impression that your time is more valuable than theirs.
Communicating doesn’t just mean talking – it also means listening. Attorneys are trained to prepare their response while listening to the other party. Work to avoid that here. Make eye contact and listen. If possible, have an assistant join you in the meeting to take notes so that you can fully focus on the potential client.
Once you have been retained, it is important to communicate with your client to set realistic expectations. Failure to do so can result in a dissatisfied client who will not only fail to provide referrals but may also share negative feedback about your firm.
This starts with the engagement letter, which should be clear as to the expectations of both the firm and the client, with the scope of services to be covered and the fees that will be paid in return for those services. You should also let your client know how often they should expect to hear from you, and under what circumstances.
Don’t make promises you can’t keep. Use an assistant to track all of your deadlines and timelines for client touchpoints so that you can focus on practicing law, knowing your assistant will keep you apprised of your deadlines for reaching out to clients. By having a good practice management system, your assistant can keep track of these for you with little effort.
Things don’t always go as planned when it comes to the law. When you can see things won’t go as planned, be sure to have honest communication with your client so that there are no surprises.
The #1 Bar complaint is that clients do not feel their attorneys keep them well informed. If you have set appropriate expectations during the client onboarding process by explaining your policies and you follow through with those promises, you can avoid expectations not being met. If you have trained your assistant well, you can feel comfortable in allowing them to reach out to clients with updates where there is “no change” or “nothing new to report,” so that they are hearing from you and not wondering what is happening with their case.
Clients want to know you care about them, not just the case(s) you are handling for them. Set up Google Alerts to stay abreast of what is happening with them and have a protocol for capturing that information and reaching out to them when you see something noteworthy.
Understand life from your client’s perspective. Take a moment from time to time to make a non-billable phone call to check in on them. Differentiate yourself by providing stellar client service, making them feel truly taken care of. By using your practice management software to track when you should reach out to someone again, your assistant can set these short calls for you around your schedule so that it does not feel like a burden but will go a long way with your clients.
Providing your clients with invoices that show the value of your services is more important than ever. Think of your invoice as a marketing tool. By using a time & billing software that allows you to create templates that meet each client’s needs, you can send an invoice that is not immediately met with rejection.
Explain explicitly the purpose of each task. Saying “t/c with opposing counsel” does not fully convey the value of a time entry that took .8 hours. Your client may be wondering whether you were asking OC about his family instead of making progress in the case for almost an hour.
Communicate with your client by phone before sending a bill that is going to be unusually high. There should be no surprises if you want to both keep your client satisfied and also be paid in full. If you have an especially high workload in a case, it may help to bill that matter every 15 days instead of monthly.
Send bills regularly – at least every 30 days. Waiting too long results in a high bill that is less likely to be paid in full and gives the impression there is no urgency to be paid.
Today’s clients are technologically savvy, and they expect their attorneys to be as well. Practice management software allows you to work efficiently. It allows you to:
With some effort on creating protocols and training your firm staff, you can quickly have systems in place that will ensure your clients have a consistent, positive experience with your firm.
