Over the past 10 years, the legal industry has finally started to embrace innovative, customer-centric marketing tactics and strategies. For a long time, however, firms have relied on the strength of their partners and personal relationships to grow and drive business. But times are changing. There are more firms in the US than ever before and the competitive landscape is continuing to grow. However, with the advent of review sites, alternative fee structures, automation, and alternative legal service providers, firms are faced with a tremendous challenge.
Today, we’re seeing firms struggle to stand out as dominant forces where neither prestige nor competitive rates can ensure continued business. Corporations and individuals are looking for more from firms. Whereat one point, simply good counsel was enough, now they are looking for firms who align with their goals, missions, and strategy to make them look heroic.
This is where your brand comes into play. And before the naysayers jump in, yes your firm is a business and a star partner cannot carry the ship alone. At least not in 2020. At a time where differentiation is critical, what we’re still seeing is generic, copy-cat websites, and jargon-filled taglines that fall flat at the feet of new clients. With all this in mind, we’re going to take a look at the state of law firm marketing, the importance of communication and data collection, metrics to gauge your ROI, and automation tools that will make your marketing process a little smoother.
State of Law Firm Marketing
In 2013, the legal services industry generated 256.66 billion dollars in revenue. In 2018, this revenue increased to approximately 288 billion. That is a lot of money. Although there is a huge opportunity in the legal market, law firms are not setting themselves up in a successful way to gain those clients.
So this leads to the question: how are firms handling their marketing?
A tech report done in 2019, noted that 47% of firms overall have a marketing budget. Additionally, those responsible for “handling” marketing still lies largely with the attorneys themselves. 59% of respondents, including 60% of solos, said attorneys perform these functions within the firm. A Bloomberg law study concluded that 62% of respondents say their firm is increasing its focus on marketing and business development and 63% of respondents say they expect their firm to increase its marketing and business development budget over the next two years.
This is a priority for many firms, and not only is it a priority to increase budgets in these sectors, but it has also become a priority in terms of where attorneys and firms are allocating their non-billable time.
In a legal trends report, 33% of the firms surveyed reported that they’re spending their non-billable time on business development efforts, so this means that it isn’t just the money investment going in, it’s the time investment as well. Even though firms are putting a lot of time, money, and effort into these activities, many firms are not tracking the output of their efforts. In the same legal trends report, 91% of firms can’t calculate a return on their advertising investments and 94% don’t know how much it costs them to acquire a new client.
Importance of Client Data Collection and Communication
Where are clients finding lawyers? What is the most beneficial way to promote your firm?
The top source for finding a lawyer is through referrals. So knowing this information, how can your firm improve referrals? Typically it’s by collecting feedback and understanding client experience. But then how do you collect that data? Do you formally ask in person? Do you make a dedicated phone call? Email survey?
If you’re thinking about the competition in the industry, simply asking and recording your clients' feedback can make a tremendous difference in either improving or maintaining your customer experience.
Not only is it important for your firm to collect feedback, but it is also important when you collect feedback too. Feedback is often being sought too late in the process. It’s either at the close of the matter, or sometimes during, but there is a majority of feedback that isn’t being collected at the beginning of representation. Why is it important to collect data at this time you may ask? Because you want to know why someone hired you in the first place. That’s how you can determine how to improve your marketing in the future, or how you can determine what factors are influencing your client's decisions.
One of the easiest methods to use to gauge client satisfaction is the net promoter score. It is one simple question, where on a scale from 0-10, where ten means “extremely likely", five means “neutral,” and zero means “not likely at all,” would you recommend your law firm to others? This simple question provides powerful insight, and with this information, you can figure out who your “promoters” are (the people who will most likely bring more matters to your firm), and the detractors (those who will not). Giving your clients this easy, straightforward type of survey will allow your firm to maintain relationships when they’re going well, or pivot and adjust when a client is unhappy before it’s too late (and in some cases prevent malpractice). In general, firms that focus on better client service have higher revenue growth, higher profits per attorney, and higher client retention.
Outside of cost, the factors that impact the likelihood of your firm being recommended are the ease of understanding case expectations, the personality or your attorneys, and responsiveness to email, phone, and text. Now that you just read that, what is the one trend that is consistent between these three things? Communication! Your firm's ability to understand who your client is, how they digest information and their expectations of you are all things that can be collected at the start and throughout the cycle of a matter. There are many things that are out of your control, but these factors are not.
Rate of Communication
In a study by BTI consulting, of the participating clients, 80% of clients expected immediate response to texts and emails. But don’t worry, immediate in this case meant between 1-2 hours. Unfortunately, when firms were evaluated, attorneys considered immediate to be more between 4-8 hours. Within that big of a time discrepancy, we know a few things can happen; clients can get anxious, impatient, and lessen the likelihood of referrals post-matter. The simple solution to this is setting communication expectations early on. Let your clients know what the average time for you to get back to them is so that they are not left wondering if you’re ignoring them. Although you may be juggling many clients at once, the goal is to treat each client like they’re your only client.
This responsiveness also can be translated into how successful your referral business is as well. When people are searching for representation, oftentimes, it is the firm that responds to their call or email first that wins the business. Not only are these firms setting the tone right off the bat, but they are also making the client feel prioritized which is a huge factor that leads to converting potential new clients into billable clients.
In an ABA Benchmark study on intake process, they found that 42% of the time law firms would take three or more days to reply to a voicemail or web-generated form from a prospective client. That is a long time! You spend time and money trying to collect new leads, yet when they come in, firms are still slow to capitalize by responding inefficiently. The same goes for responsiveness over the phone! 35% of callers to a law firm didn’t get to speak to a person and 50% of voice messages left were only returned within two days, while many weren’t returned at all.
Ethical Model Rules
All of this information on collecting client data and communication rates are great. But, there are two things when it comes to marketing that you cannot do. In simple terms, you cannot lie about your firm or your services (which should go without saying), and you cannot pressure prospective clients to hire you.
When it comes to advertising, you are by all means allowed to pay the reasonable costs of advertisements or communications, but you may not compensate, give or promise anything of value to a person for recommending the lawyer’s service.
Building Your Brand
To either create your brand or maintain an existing one, the first step starts with information. This information should be collected both internally and externally. For your potential new clients, you should be asking who your target audience is? What do you know about them? What trends can you identify? Internally speaking, you should be asking how your staff views the firm, where would they like the firm to be in the future? If what your staff says internally differs from what the outside world says, then you have identified a gap that must be bridged. This bridge will be created by your brand and if deployed effectively, will pave the way for expansion and growth.
Courtesy of DeSantis Breindel
Differentiators
In addition to identifying your brand, you must also identify the differentiators or pillars on which to build that brand. The underlying challenge with this is you must be able to distinguish between required characteristics (things that everyone in the industry must have), and those features that are specifically unique to you. The purpose of your brand, will not only serve as a differentiator but also as an anchor through times of turbulence. To determine what differentiates you from the rest of the field, you must dig deep, these core values go beyond the surface level and require industry-wide analysis and research to fully understand what your value proposition is compared to your competitors.
Requirements
Requirements are simply the elements that most legal brands have already. For example, “an experienced team,” or “unparalleled client service.” These things are the “obvious” essentials you need, but in 2020, they won’t set you apart.
Neutrals
Neutral factors are attributes that are not necessarily good or bad, and they will most like differ from firm-to-firm. Have you been operating for over 50 years? Is your firm woman-led? These things are all great, but when you ask if they were the tipping point for clients when they made their final decision between your firm and another, the answer is most likely not.
Issues
These issues (whether it’s one or many) encompass the challenges your firm faces that a brand may not be able to address. At a point, your brand will act as a stabilizer, but if you’re experiencing turmoil, like attorney turnover, malpractice, or even if you have a handful of clients who are unhappy, your brand can only go so far to counteract that. Make sure before making a push to identify your value proposition, you mitigate as many of these issues as possible.
Everything about your firm's brand is important. The way your attorneys present themselves, how your firm sounds as a whole in publicly distributed communications, how cohesive your strategy is, and your positioning across the rest of the industry.
Marketing Automation Metrics and Tools
One of the first things we discussed was data. In today’s world, a firm's ability to collect, process, and then utilize information will be the difference between a successful and unsuccessful firm.
Reporting
Marketing is important, there is no getting around that, but if you cannot create reports and analyze how your efforts are being translated in the real world, you’re wasting your time, not to mention your money.
The ability to group important reports, set security measures, track client data along with monitoring revenue are 2020 musts. Reporting gives you the ability to make better business decisions. It allows you to hone in on where you should be spending more or less of your funds, and it provides a deeper insight into how your firm is viewed both publicly and internally.
Metrics and KPIs your firm can use
For prospective new clients:
Lead Source- Of different marketing portals (online, print, etc), you want to track which ones are bringing clients and the value of the matters
The benefits of having all or even just one of these tools is priceless. Utilizing practice management software can allow you to automate the intake process. For example, if you have an intake form on your website, you can integrate that with your software so anytime a PNC fills it out, you are automatically notified on the back end. This streamlined communication process allows you to get to PNCs faster than your competitors.
As discussed earlier, it is important to know where your PNCs are coming from. Some software allows for marketing attribution that accomplishes just that. To go one step further, some programs allow you to customize conflict check reports to include only information that’s important to your firm. The ability to drill down on specific data is becoming more and more crucial, and utilizing tools that allow you to do that will drive your client experience and your referral numbers.
If you had to guess what one emotion is elicited when lawyers are faced with the ability to adopt new technology, what would you guess?
If you guessed hesitancy then you’d be right. When it comes to advancements in new technologies, that emotional resistance has become almost an expected response for the legal industry, and it isn’t without justification. The importance and sensitive nature of matters handled by attorneys prove reason enough to proceed with caution before diving headfirst into the unfamiliar tech waters.
However, whether firms want to believe it or not, the water is warm and because technology has transformed the capabilities of attorneys in rendering legal services, attorneys and firms that fail to embrace new developments risk depriving their clients of the most effective representation possible. With the level of competition we are seeing today, firms have no choice but to modernize the way they practice.
The Legal Landscape Today
If you take a stand back and look at the legal landscape and where it has evolved from, there are undeniable trends that in some ways, have pushed firms into modernization (whether they were initially willing or not). The explosion of legal technology and improved service delivery models have evolved our use of big data and have led to the digitalization of billing, the automation of client intake and matter management, and ultimately has increased firm's ability to close out cases at a much faster rate. However, demand is rising faster than available resources can accommodate, and firms are faced with a level of strain they haven’t seen before. Automation, workflow management, and legal software are easing the pressure, but the adoption of these resources is still slow to catch on. The boundaries of many legal functions within a firm are expanding, and these trends are calling for a few things: new processes, new skills, and new approaches. Unfortunately, fewer attorneys are equipped to thrive in this environment, which is resulting in the isolation of many traditional law firms.
Before we dive deeper into how firms can combat the modernization of the legal industry, it is important to understand what is driving these trends. In one word, it’s data. 10 years ago the driver was globalization, but now with the proliferation of information consumers have access to, it’s clear that data rules. These quantifiable metrics have no boundaries and they certainly transcend jurisdictions. We’re in a consumer-centric world now, and the only way to keep up with the people you serve is by knowing what they want. And you do that by looking at the numbers.
An Introduction to Modern Law Firms
So what exactly is a modern law firm? Why are they different? Do they really embrace new strategies and methods? Let’s find out.
The definition of ‘modern’ is to relate to the present or recent times as opposed to the remote past. As new technologies are released and new things are discovered, firms have to be willing and able to grow and adapt to these changes. A firm's vision and objective must be clear in order to overcome challenges that will prevent you from keeping up with the rest of the world. And more importantly, how your clients expect your services to be rendered. As the pace of society continues to speed up, and expectations are increased, younger attorneys don’t have time to waste on processes that could be simplified and made easier. Today, it is about more than hard work, it’s about innovation, creativity, and providing a level of top-notch service that cannot be found anywhere else. To be a modern firm, you must rely on data and technology because that is the best way to serve your employees and clients in this new world.
The generational gap
The Greek philosopher Heraclitus was quoted by Plato as noting that “everything changes and nothing stands still.” From one generation to the next, we continue to see a divergence from what used to be popular in culture and technology to the “next best thing” or trend. What was once a gold standard business procedure for Baby Boomers or even Millennials, is now obsolete or antiquated to Gen X-ers. This age gap can lead to misunderstandings and disconnect between younger associates and more senior attorneys. Recruitment is a top priority for firms, but it is also one of the biggest pain points. If management can’t understand the technologies the talent they are trying to recruit is using, or if they won’t come to terms with the reality of these differences, newer attorneys will find a firm that will. Understanding and taking steps to adopt these technologies will not only bridge this gap but will make your firm more agile and lean.
Culture of open communication
Poor communication is often cited as the biggest factor that leads to client complaints. Similarly, a lack of communication within your law firm is just as detrimental, not only for efficiency but for accuracy as well. Innovation, collaboration, and calculated risk are paramount to a successful firm, and with the prevalence of conferences, virtual meetings, and online and in-person communities, firms have started to recognize the benefit of coming together to share real data. As the industry continues to evolve, these communication channels need to stay open and attorneys need to make use of their time and their client's time. In a world that is always on the go, clients expect fast responses to their questions and routine updates on their cases. There are now technologies that let you privately send and receive texts and calls from your phone while simultaneously tracking and billing for that time automatically. Software like this function to make your life easier. Not to mention it helps you make more money. It’s a no-brainer, and although adoption and technology training may seem like an uphill battle, the benefits of utilizing it at your firm far outweigh those initial burdens.
Artificial intelligence
There is a significant gap today between companies that have adopted (and understand) Artificial Intelligence (AI) and its potential advantages and those who do not.
Savvy law firms are also savvy businesses. They embrace AI to perform repeatable tasks and to process data that is essential for their business campaigns or strategy. Firms also adopt AI to streamline existing business processes, and they have established solid management support for each AI initiative. For example, you can automate your case management to get your bills sent out faster. By creating a workflow, software can automatically assign or complete tasks for you. This should be a no brainer! Letting traditional ways (looking at you paper people!) go is hard, but if you have a smartphone (as 81% of Americans do), then I bet you adjusted to that technological jump in 07’ just fine!
Despite high expectations of AI, statistics show only 23% of businesses have incorporated it into their processes, product, and service offerings. The AI industry and technology involved are surely new, but it is crucial for any business or firm that wants to do better now and in the future to look into it.
Your online presence
When you think of marketing and online presence, law firms, or even the legal industry as a whole, probably don’t come to mind. Due to the nature of your work, there has never really been a need for a heavy emphasis on brand positioning. But as we enter this new digital society filled with digitized and remote work, that is beginning to change. We are in an age where everything is and can be found online. Because of this, it is essential that your firm meets the needs of clients who are moving to online resources to help craft their decision making. Everything from your website, your blog, and your social media profiles are essential for the modernization of your company. With the internet, your website is probably the first contact between your audience and your firm. And if we’ve learned anything from our days sitting across that oak desk at law school entrance interviews... First impressions are everything.
Website design
Every element of a well-designed website is carefully planned, executed, and updated when need be. A modern firm knows that their clients are on the internet, which means if you’re not, you’re behind. At the end of the day, if your site doesn’t accurately reflect your firm, it might be time to take additional steps. The clients you will one day serve are the millennials who are currently fully immersed in technology. To win their business you must be aligned with their needs.
Implementing these strategies will not happen overnight. They will require time, resources, and commitment. But, if you want to stay competitive, you must make it a priority to modernize your business, otherwise, your days of competitive advantage will soon be over. It is only a matter of time.
One of the biggest takeaways from 2020 as a whole has been adjusting to the entirely remote atmosphere of day-to-day operations. Although 77 percent of attorneys regularly work from home according to an American Bar Association survey, there’s no doubt this rapid change of in-office vs. a remote environment has affected the ways things are done at law firms. Specifically, how communication happens. Now, moving forward, it’s time to take charge and find ways to use law firm communication tools that prioritize security and efficiency for everyone involved – including clients.
This operational efficiency will serve everyone better in fostering a client-centered firm that maintains clear, iterative communication, positioning your firm’s reputation better than the competition.
How Remote Work is Changing Internal and Client Communication
Both internal communication and client communication are forever changed. While the outskirts of remote work and the digital age have been creeping in the periphery for a while, it’s the coronavirus that’s ushered in the necessity for fully digital communication and remote work. This has changed mainly for in-office workers such as paralegals and legal assistants. Instead of a quick walk over to your coworker’s desk for a question, you're now forced to send a message or phone call. This extra effort leads to more barriers that can prevent alignment across the team.
For clients, without a central office phone number to call, it’s going to create extra worry about how to get updates on their case. Without clear communication and guidance, your firm’s reputation could suffer. After all, poor communication is among the top reason clients end relationships with law firms. When comparing one bad experience to more than one in terms of communication, the percentage of a client switching to a competitor jumps from 50 to 80 percent.
You really can’t afford to let clients leave on the basis of bad communication – especially since there are so many solutions that can help remedy this prevalent communication problem.
Important Law Firm Communication Tools for Optimizing Efficiency
Stay on task and on schedule with frequent communication tools that ease the burden of sifting through multiple windows and programs. One prominent example, which fans of kanban project management will rejoice at, is Centerbase’s TaskFrame™ inclusion. It’s a convenient visual board that lets you drag and drop important tasks and notify people in real-time.
There are plenty of other law firm communication tools that simplify and prioritize what needs to be done in a secure way. Let’s review them based on category:
Video Conferencing Tools
Zoom: The boon of Zoom is everywhere this year – and for good reason. With a free option for 40-minute calls at a time, you can manage meetings effectively while also creating a private space for you and your clients to talk. Some security concerns have emerged to take into account, but their 5.0 update supports end-to-end encryption as of May 2020. It’s a great platform widely understood and accessible, so it’s a good place to start.
Skype: If you’ve ever video chatted before, chances are, you’ve heard of Skype. Another free option for video, the backing from Microsoft provides features such as unlimited video calls and unlimited users able to join meetings. However, Skype does not offer end to end encryption, so if ensuring client privacy is a concern, Microsoft Teams may be a better option (albeit, more expensive).
Legaler: A newer video chat software specifically geared toward law firms, Legaler is definitely worth mentioning if you haven’t heard of it. Its in-browser video feature prioritizes security without any annoying download requirements for your participants. Plus, all your videos can be archived and connected to your matters for easy retrieval later. The best part? They have a starter version that’s free to use, with a more premium version for storage at $19 a month.
Instant Messaging Tools
Creating one spot to facilitate quick communication helps drive efficiency in the digital, remote world we’re now in. It’s easy to keep a tab open as your staff are checking their inboxes or reading a matter to reply back to a quick inquiry.
In terms of messaging, here are some convenient options that can boost your team’s communication:
Microsoft Teams: Good for firms with a Microsoft 365 subscription, Teams is the beefier, more secure version of Skype. More costly per user versus the other free options, you get a bevy of features such as instant messaging, recording meetings, and screen sharing. This functions more effectively when you already use all Microsoft products, and works to flesh out your existing 365 system, so if you’re not using it, this cost may not be worthwhile.
Slack: Great for those wanting a browser-based solution for IMing, Slack has convenient customization options, including notifications and the ability to sync with Google Drive and other common file-sharing software. Divided between threads and conversations with teammates, you can easily add channels and compartmentalize so only the people needed on certain channels are included and notified. Plus, it now offers video calls if you’re looking for a way to connect with teammates face to face. For small and medium-sized businesses, it’s priced at $6.67 per user a year, and $8 per user a month.
Centerbase Mobile App: While Teams and Slack both offer apps, our Centerbase mobile app is all-inclusive with our client portal, letting you communicate directly with clients in accordance with their matters. Not only that, but all interactions are tracked through the native software and attributed to the matter history, so anyone looking at the file in the future will be caught up on what’s been said. The convenience that keeps you caught up – without extra, duplicative work. And not to mention, Centerbase's Automatic Time Capture feature that allows attorneys to send and receive texts and calls to a separate, private number. Whether you’re texting a client about an upcoming meeting, sending documents over email, or answering a call after hours, every second is automatically captured and converted into a time entry.
Secure Client Portal
Whether you need to send matter deadlines or an update via text message, having a simple client portal where it’s all laid out gives considerable peace of mind to clients. This as a law firm communication tool has value when it comes to tracking and divvying direct communication that helps reassure them you’re on top of status updates and important dates to be mindful of.
24/7 Client Portals Improve Communication
A 24/7 portal fosters an open door policy and can help clients maintain trust with you during the entirety of their case. Plus, instead of calling, clients can send a message instead about any questions they have – alerting you, and empowering staff to get them answers quicker than playing phone tag.
Client Intake Management
Onboarding is always a pain point for firms – to get all the paperwork loaded into the system quickly and accurately is timely and takes away from other revenue-generating tasks. Rather than manually entering all a client’s information once they fill out a form, with Centerbase, their information is automatically populated the instant the form is completed. These intake features boost productivity and efficiency on matters.
Why Client Communication is Important for Your Practice
The better your communication, the more alignment your team will have to stay efficient and keep clients happy. As mentioned earlier, one bad interaction can be the difference between a client going to another firm – so it’s a matter of maintaining a good reputation in order to retain clients. You can have a stellar team of attorneys, but without proper client communication, it will create uncertainty and a lack of trust in the client-attorney relationship. With the advent of digitized and remote teams, your firm must adapt, or you may suffer from a lack of client retention.
How to Improve Adoption of New Communication Technology
So you know the importance of law firm communication tools; now is the implementation step that can feel daunting and overwhelming. Take time to research and plan which of the above services will best suit your firm’s needs, and work on a plan to put it into action if you haven’t already. This will require a virtual or in-person meeting with your team to emphasize the requirements, and why it’s needed. Such a transition can be the difference between your firm flourishing and simply skating by.
Offer incentives for your team to communicate such as once a month early release to let them know you’re noticing the initiative and commitment
Actively listen. Provide a space for your team to reflect on what their difficulties are with using messaging and video chat software. Where can you help alleviate some of their anxieties and concerns?
Reward anyone who takes initiative to help others learn and let them know they’re appreciated for helping drive efficiency
What Law Firm Communication Tools Will You Use?
Remote work efficiency is going to take a different form when it comes to office communication. Be sure to be mindful of roadblocks – as this transitionary period from a fully staffed office to a hybrid or even fully remote environment can take time to get used to long-term. These video and instant messaging tools can help bridge the gap and get answers and efficiency better than constant calls or text messages on personal devices. Division between work and home is going to be pivotal to helping your team not feel overwhelmed.
What tools jumped out at you? Be sure to let us know what’s best for your team in the comments. If you have any questions about how a mobile app can help your firm and sync with software securely, send us a message, and let’s chat about how Centerbase can simplify everyday tasks and put more time back in your billing and day-to-day operations.
Do you want to hear some scary facts? In 2014, 500 million Yahoo users were compromised. In 2016, 57 million Uber customer accounts and profiles were breached, and in 2017, 143 million social security numbers were stolen from Equifax. Breaches to this scale may not happen every day, but smaller ones do. And as the prevalence of cyber threats grow, smaller companies are now being targeted at a much higher rate.
Between January 2015 and December 2016, there was an approximate 2,370% increase in identified exposed losses. Email scans were reported in all 50 states and from 2013-2016, the Internet Crime Complaint Center reported exposed losses of more than $2 billion. As privacy concerns continue to grow, governments are now instituting laws that require companies to report every incident of hacking and data breach.
Let’s take a look at the threats your firm faces, the obligations you have with your clients when you communicate through text, and how to protect yourself while you communicate in today’s day and age.
Threats Firms Face
According to a Legal Technology Survey Report that the American Bar Association released in 2016, more than one-quarter of firms with more than 500 lawyers admitted they experienced some type of breach. Approximately 40% of those firms reported significant resulting business downtime and loss of billable hours. 25% recounted hefty fees to correct the problems and one in six reported loss of important files and information.
So why are firms being targeted? Lawyer’s handle very sensitive information for their clients, intellectual property, financial information, and legal strategies, all of which are incredibly valuable for malicious third parties.
As this continues to become a problem, rules that govern the legal industry are changing. Let’s dig deeper.
Types of Threats
What are some of the challenges that law firms face?
Ransomware: It is exactly what it sounds like. An attacker will infect a computer or network with malicious software that encrypts data and hold it for ransom. The files held by the attacker cannot be destroyed without a mathematical key that only the attacker has. In these cases, it is a heft financial payment is made in exchange for the information. And this goes without saying, but if you do not have access to your work or matter files, you can’t function as a firm. The average cost of a ransomware attack on a business is $133,000. The cost of ransomware attacks surpassed $7.5 billion in 2019, according to Emsisoft.
Phishing: The second threat is called phishing. This attack is classified by hackers contacting an attorney via phone or email and posing as specific individuals to trick them into sharing confidential or sensitive information. In some cases, attorney's will even be convinced to give out unauthorized access to networks.
Malware: Malicious 3rd party software that is installed to gain unauthorized access to or otherwise damage a network. This malware is installed via a hacked wifi connection, a hard drive, or a link in an email that is opened. This type of attack results in a heavy financial burden to restore or repair the network.
Unfortunately, even with the advancements in firewalls and encryptions that we see today, people are the largest weakness in a firm’s security network. Whether it’s due to failure to follow protocols or insufficient training, social engineering hacking is on a rise.
Communicating With Your Clients
Texting
The rise of texting is undisputed. It is our primary means of communication. 81% of Americans are sending and receiving texts, with 27 trillion texts being sent every year. According to Nielsen, on average, Americans text twice as much as they call and for Americans under the age of 50, sending and receiving text messages is the most prevalent form of communication. The need and ability to send and receive communication instantly is a primary reason for the rise of this communication method. I'm sure you're familiar with this; people want what they want and they want it now, no questions asked. Today, if it takes longer than thirty minutes to respond to a text (and even that’s generous!), some eyebrows will inevitably be raised. As this trend has evolved, advanced, and continued its way throughout the 21st century, the legal field has slowly started to capitalize on the advantages of the fast and easy communication style too.
There are three compelling reasons why lawyers turn to texting their clients as a dominant means of communication.
Ease: Most clients are already texting, so they don’t have to go to their email, sift through a list of ads, open the message, read it and then respond and they don’t have to listen to missed voicemails. Texting makes it easy for lawyers to communicate with their clients and for clients to provide their legal team with the information they need quickly. Today, technology is so advanced that there is software that will even allow you to bill for the time texting, whether it’s inbound or outbound.
Efficiency: It doesn’t matter where the client or attorney is, a text message can be sent instantly and from anywhere. This not only increases communication with your clients, but it also allows you to bill for more time. Not to mention a huge benefit to texting is the conversation trail it leaves behind. Unless purposefully deleted, a client-attorney conversation can be saved forever.
Effective: It is in real-time, you can scroll back up through past messages and you have a frame of reference for where you last left off.
And if all of that isn’t enough to compel you, how about the fact that 78% of people wish they could have a text conversation with a business. You don’t have to be good at math to know that’s a lot of people.
Of course, with all this being said, there are downsides to communicating in this modern and rapid way; those being ethical obligations, confidentiality concerns, over accessibility, record preservation, and simplicity. As the legal field continues to evolve, and texting becomes more and more commonplace, there is a framework of rules that all lawyers should abide by as they continue to utilize this form of communication. Doing so, will not only enhance your customer experience but will also protect everyone from malicious third-party threats.
Framework for Communicating Via Text
Duty of Competence
As a lawyer, you have a duty of competence that you must provide to your clients. Competent representation requires the legal knowledge, skill, thoroughness, and preparation reasonably necessary for the representation.
Duty of Confidentiality
Back in the 90s, when email came onto the scene, the ABA said that lawyers had a reasonable expectation of privacy in communications made by all forms of email, but they also included that the encryption of emails sent over the internet was unnecessary, despite some risk of interception and disclosure. So twenty-some years ago, you didn’t have to worry about protecting your communications. But in 2020, with the rise of breaches and personal information being exposed, the ABA adjusted its statement to include that a lawyer shall make reasonable efforts to prevent the inadvertent or unauthorized disclosure of, or unauthorized access to, information relating to the representation of a client. Today, it is a lawyer’s duty to keep abreast of the knowledge and changes in the law and its practice, including the benefits and risks associated with relevant technology. Now, all lawyers are required to act competently to safeguard information relating to the representation of a client against unauthorized access by third parties and inadvertent disclosure of information.
Protecting Your Client’s Communications
The first thing every law firm and lawyer must be able to do is to understand the nature of the threat. Being able to identify what kind of threat is being imposed will help you determine how you should communicate with your staff about combating it.
Not only should you be able to understand the potential threats, but you should also have an understanding of how your confidential information is being stored and transmitted. How does your firm store information? Are you cloud-based or on a physical hard drive?
Next, you must know how to use reasonable security measures to protect what you’re communicating with your clients. This means you also need to determine how your electronic communications and client matter is being protected. It goes further than your IT department making a unilateral decision, it’s your responsibility to make the decision to protect your clients.
Lastly, firms must train their lawyers and staff in technology and information security and conduct due diligence on vendors providing communication technology. This includes how vendors process and handle your data, whether or not it complies with your ethical obligation, vendor conflict check, and understanding how they do business. Additionally, it is important to note whether or not these vendors are storing your information overseas, what jurisdiction they have over that data, and in the event of a breach, what are the steps to mitigate or resolve the hack?
Reasonable Efforts Standards
The factors to be considered in determining the reasonableness of lawyers efforts include:
The sensitivity of information- Are you discussing meeting dates and times or attorney-client privilege information? If the latter, that needs to be protected.
The likelihood of disclosure if additional safeguards are not used- This means the potential threat of your network or data being breached. Based on the data, the threat is much higher now than it was in the 90s.
The cost of employing the additional safeguards- How expensive is it to put in the systems to protect your communications and data.
The difficulty of implementing the safeguards.
The extent to which the safeguards adversely affect your clients- Are your clients able to navigate the additional safety measures? Do they hinder your bi-directional communication?
As you move forward and continue to grow your firm and expand your client list, it is best practice to speak with your clients and discuss their expectations for communication. What suits them best? Are they comfortable with communicating back and forth via text and are they aware of the security risks and threats in today’s day and age?
Is Texting Ethical?
Simple answer, yes. You may send texts to and receive texts from clients. There are no statutes prohibiting this, however, there are regulations around data security and confidentiality as mentioned above.
If you’re trying to solicit new clients via text there are some standards you must follow. For example, the first line of your text must say that what you’re sending is an advertisement. You must track who received the texts and what content they are specifically receiving. You must ensure that the prospective client is not responsible for the data costs by working with cell phone service providers and you must have a method for prospective clients to opt-out.
If all that sounds like a hassle to you, consider this: the average open rate for text message campaigns is 98%, compared to a 20% open rate for email campaigns. SMS response rates are 295% higher than phone call response rates and 75% of people wouldn't mind receiving an SMS text message from a brand if they opt-in for the service. All this data leads to the undeniable fact that texting yields the highest rate of response.
Law Firms at Risk
The information you handle every day is critical, because of this, firms all across the US are at risk. Any firm relying on existing non-secure messaging systems to communicate with clients is putting themselves and their clients’ confidential information at risk.
Steps to Protect Yourself
In today’s world, protecting yourself, your firm, and your clients is critical. Here are some basic measures and steps you can take to protect yourself.
There’s no limit to people in need of legal counsel at any given time. In fact, according to a U.S. Consumer Legal Needs Survey, 74% of prospects searching online end up contacting a firm by phone. Is your service going to reassure them you’re the right fit for their case? That’s why a client-centered law firm is so important in today’s world.
In a customer-centric, get-it-now world, it’s no surprise the expectation for a client-centered experience at law firms has become a bigger conversation in recent years. What does it actually mean to create a meaningful client journey in today’s digital environment? While you may be thinking – “of course we’re client-centric at our law firm!” – this is about more than prioritizing clients or sending them an update. It’s about baking client-centricity into everything you do. In day-to-day interactions, from onboarding to closing out their case, they need to know you’re there for them.
In this blog, we’re going to discuss ways to support a client-centered law firm in every aspect of your business, and why it’s important to do so moving forward to stay competitive and profitable.
What is a Client-Centered Law Firm?
Understanding a client-centered law firm is more of a line of thought versus a single line item to check off your list. Think of a client-centered model as a shift in the way you approach processes in your firm and how it’s run to be about the client in everything you do. While you may think you already do this, it’s a pretty big shift when it comes to your people and technology. It’s thinking about their experiences before making big decisions and adapting your technology to create a smoother, more transparent time during their case.
The purpose of a client-centered law firm, and why many firms have moved toward it, is to set themselves apart and be more competitive. In a world of thousands of attorneys in any given area, this can be the “wow factor” that’s the difference between a client going with you vs. someone else.
What Clients Want out of a Law Firm
In the age of instant gratification brought on by same-day grocery delivery and Amazon Prime, people want what they want – and fast. Waiting for status updates by mail is no longer a feasible option to stay competitive in lieu of the internet and other legal services instantly available. People get answers right at their fingertips in seconds for their bank statements, credit cards, Uber rides, and more. That expectation has, by proxy, bled into the legal industry, creating the need for a client-centered law firm.
Think of yourself as a customer for a moment. You expect ongoing communication and respect. You want to be treated like an equal. Apply those same principles to your legal services, and you’ll check all the boxes of what a client is looking for. Most times, clients are under duress and are coming to you for guidance and help. Rather than being callous or pristine, show them they’re heard and actively listen. After all, they know their case best. As an attorney, that initial contact via phone or in-person can make all the difference in whether they choose to hire you or not. The same can be said for your staff.
So, this all seems great in theory, but how exactly can this get implemented in between all the bustle of daily operations?
Implementing a Client-Centered Law Firm
The most effective way to implement a client-centered law firm is to zoom out and see the entire journey of a case from the client’s perspective. Running through this from start to finish can identify where you may have gaps or get muddy in terms of the communication and mindfulness we previously mentioned.
Here are a few tips to help:
Design a Client Journey
From the origin of a client’s legal issue to paying their bill at the end, your client’s journey is defined as every step of their case from their perspective. There’s usually a substantial difference between what you see of their case and what they’re experiencing and living while everything is unfolding.
Is there a workflow anywhere in your legal tech outlining the client's journey? This can be a great starting point to help you assess where there may be shortcomings or delays.
Refining the Customer Experience
No law firm is perfect – there are always ways to run a client-centered firm and improve upon existing processes. While it may never feel like the “right time,” consider blocking out an hour a week to push aside distractions and focus solely on putting yourself in your client’s shoes. Over time, this can create massive improvements in their experience or all the touchpoints concerning their case.
To refine your customer experience, ask yourself a few questions about your firm, such as:
Are billing cycles timely and easy to understand?
What are the areas of improvement in the onboarding process?
Where are the steps clients feel the most dissatisfied, and why?
What gaps do your team see? Have you asked them about possible solutions?
Do you have a bank of commonly asked questions from clients? Where can these be implemented to help ease their worries?
Smoothing out the process can boost satisfaction and faith in the process itself.
Tracking Your Client’s Customer Satisfaction
You can implement everything you want to help clients, but if there’s no way to measure success or gauge satisfaction, you might as well be working blind. Using a Net Promoter Score (NPS) to measure customer satisfaction can be invaluable if you’re stuck in the previous step of “I don’t know what I don’t know.”
For clarity, a quick survey or matrix can be 3-5 questions asking for recommendations and a 1-10 sliding scale for satisfaction. Finding the average of responses, and measuring this over time, can give you a KPI on how a client-centered approach is moving the needle.
Courtesy of Medium.com
Running and Maintaining a Client-Centered Law Firm
Now you know why client-centered law firms stay competitive and are an important part of the changing landscape in the legal industry. Now you need to know the actual structure and pieces needed for it to work: the people and technology aspect. After the plan and big picture, steps are in place, now it’s about running and maintaining the system. It takes a strong, communicative team to make it all happen, so remember – how you treat your team will reflect and trickle down into how clients are treated.
Ask for Feedback Regularly
Isolating your thoughts can quickly become an echo chamber. If you’re a managing partner or attorney, be sure to ask for feedback from your other employees regularly since you’re not on the ground level working with clients most of the time. Every month or quarter, send your employees a survey or meet (digitally or otherwise) to hear their thoughts. Chances are, they’ve been itching for an opportunity to voice concerns, especially when the day-to-day can take over.
Put the Client at the Forefront of Your Business Process Decisions
It’s easy to have short-sightedness when it comes to goals – everyone wants the low-hanging fruit and the small wins to come quickly. But that won’t help when clients feel unheard, or you’re not able to return calls and help increase onboarding as goals, for example.
Building a client-centered firm means always thinking “how does this affect the client?” first and foremost will help keep them top of mind when it comes to the customer journey. Tie that into its own KPI, or verbal note during every budget meeting. Have a few minutes baked in for suggestions and ways things can be improved.
Go Above and Beyond Meeting Your Client’s Needs
When it comes to client centricity, as you’ve learned, they’re at the core of every business process and decision. That means during in-person meetings, make them feel comfortable and, if possible, carve out extra time in case you need to listen to clients for longer than the allotted time. These little gestures can show you’re committed to going above and beyond them long after they’ve signed the dotted line.
The legal industry, at its heart, is a people business, built on helping others and bringing to justice for those who have been wronged. Remind them of that with every update and movement of assistance you provide.
Leverage Modern Law Firm Technologies to Deliver Exceptional Service
This may feel daunting like there’s never enough time in a day to get it all done. We get it. That’s why many firms have turned to practice management software to do some of the legwork for them. By using expedited billing and workflow automation, you can get minutes back in everyone’s workday that adds up to something incredible: the ability to offer exceptional service to your clients.
Process credit cards instantly: 40% of consumers would never hire a lawyer who didn’t take credit or debit. Don’t cheat your firm out of extra business by accepting payments faster.
Route approvals with automation: workflows ensure everyone gets eyes on necessary documentation, so there’s no more paper trail that’s lost in the shuffle.
Centerbase can do all of the above and more for your firm.
A Client-Centered Law Firm Benefits Everyone
To recap, by mapping your client journey – or their perspective of a case from inception to their last bill payment – you can stay competitive and create a positive reputation that earns more referrals and business. By keeping an open line of communication between your staff and clients and rating the satisfaction over time, you can pave the way for a truly immersive, client-centered experience in all your big business decisions. How’s that for staying competitive in a digital, software-dominated industry? Staying profitable and efficient are the two hallmarks of a client-centered experience that all work together to bolster success
Staying efficient with updated software can give you the secret sauce to ensure all of it happens every day. If you’re interested in learning more, feel free to contact us or read our resources library for more about how Centerbase can change the game for your firm.
Who doesn’t love a little history refresher? You like it too?! Perfect.
So, fifty-one years ago, the first ARPAnet (later to be known as the internet) was created. Fast forward to 1989 and you have a proposal from a man named Tim Berners-Lee for a program called “Mesh” (also later to be known as the World Wide Web). The advent of both the network infrastructure (the Internet) and the software infrastructure layered on top of it (the Web) paved the way for a growing dichotomy between the centralization and decentralization of resources and knowledge, and one-way versus two-way consumer consumption patterns. Now, fast forward again to 2020 and we see the proliferation of content that simply did not exist even a mere few years ago.
An astounding 59% of the global population is connected to the internet. Do you know what that means? It means that consumers now have access to so much information that the power that brands and corporations once held has completely shifted. The asymmetric balance that sellers held only a few years ago is now virtually non-existent.
We are now living in a digital world. Leading companies know that in order to keep their competitive advantage, they must align with their customers. They don’t view this alignment as a chore on their laundry list of duties that they'll get to eventually, they're actively pursuing it. They are reimaging every aspect of their business and how the consumer experience and journey are affected every step of the way. In 2020, this alignment is the bedrock upon which successful businesses are built on.
Law Profession vs. The Industry
How does any of this news relate to you and your firm? To start, it should be noted that the legal space drags behind other industries. The primary cause of this polarity is a result of a divergence between the profession and the industry as a whole. Put simply, it is the divide between lawyers and the myriad of technology and business management expertise that make up the entire industry. There is a notable difference between the two, where we have the profession, or lawyers, who are shackled to paradigm and resistant to change, matched against the industry that is compelled by the new principles of customer demand.
For a very long time, the profession has clung to structural and economic models, and self-regulation has been a critical part of the formula to remove any and all competition. In the past, firms have been able to minimize the impact of cultural, economic, and sociological trends that have disrupted many industries, but in this new digital age, things have changed. Since the turn of the millennium, we’ve seen a shift between legal practice and the fundamental business behind delivering those services. This shift is due to the fact that law is no longer just about the lawyer. Over the years, we have seen a significant volume of work has drifted from law firms to corporate legal departments. The 2017 Georgetown Report cites, ‘erosion of the traditional law firm franchise,’ a euphemism for ‘clients no longer need large law firms to handle many legal tasks. ’
When you look at how a lawyer becomes a lawyer you will see a few things: risk avoidance, trained perfection, proactiveness, and the delivery of creative solutions. Throughout a lawyer’s education and professional training, critical thinking is reinforced, but the business side of their professional services is not. Because of this, we have seen a rise in legal service providers who aim to provide law firms with more data, process management, technological advancements, training, cybersecurity, the list goes on and on. Their mission is to provide solutions to business problems that will hopefully create efficiencies and stimulate customer engagement and alignment. However, digitally advanced companies have taken to solving these problems on their own. They're redefining their target markets, tracking competition, committing to a capital shift from buyer to seller, and they're monitoring customer satisfaction. Highly informed decision making is now defining the gap between competitive and non-competitive firms.
With today's access to the internet, consumers can now decide for themselves when, where, and at what price point a licensed attorney is required. The law industry is being disrupted and systemic changes and customer-centric models are forcing the balance of power to shift from the firm to the consumer.
Reimagining Legal Delivery
The marketplace of all industries, including legal, is now composed of consumers who expect a customized delivery, one that entails the involvement of project managers, design engineers, data analysts, and the like. When you look at the practice of law, specifically, trained experience, specialized skill, expertise, and judgment, you’ll come to find that it has been intricately woven into the broader picture of the legal service industry. The practice of law, as traditionally defined, is being eclipsed by the business of law and everything else required to deliver legal services. In order to remain dominant in the legal space, firms must differentiate, scale, and align with customers.
The question remains, how do law firms do this? How do law firms differentiate themselves, scale, and align with customers? As we ponder this, it is important to note that operating in a consumer-centric world does not mean the law profession will be eviscerated. The unique characteristics and intricacies of attorney-client relationships are pillars of legal practice that will remain standing for the foreseeable future.
Rethinking Customer Relationships
Consumers-not lawyers- determine what is ‘legal,’ whose skill is required, when it is required, how it is delivered, and at what price point they’re willing to pay. With the internet only a click away, building trust with your customer is paramount. Change won’t happen overnight, but building a strategy around your goals, investing in technology, and viewing your client's journey with your firm as a customized experience, all encompass the steps you should be taking in order to build a successful consumer-centered business. Optimize your firm, be receptive to change, and invest in technology that will not only maximize your client experience but drive your revenue too.
In 2020, law is not only about selling legal knowledge. Practice area expertise must be leveraged by technology in order to provide consumers ‘faster, better, cheaper’ and quantifiable results on a transparent, real-time, and customer-centric basis.
Like many industries, the legal profession isn’t immune to the rapid changes in technology. Constant developments in legal automation have made scanning documents, finding case matters, and handling client communication a whole lot more efficient – but at what cost, really? How is the legal industry rising to these new challenges in automation, and what ways can you stay ahead of the curve?
We’re glad you asked. In this blog, we’re going to discuss the ways legal automation tools help bolster operational efficiency in a way that benefits your firm, and doesn’t add unnecessary steps or complications.
What is Legal Automation?
For context, legal automation is the process of using software to help organize and manage all tasks in a firm.
What does that mean, exactly? Things that attorneys and other firm employees used to do via a physical paper trail are now all (or mostly) accomplished digitally. Many common tasks attorneys performed twenty years ago are now automated – a whopping 23%, according to McKinsey – which has undoubtedly raised new disruption challenges throughout firms. Ensuring these legal tech systems are secure, adopted by everyone, and made for efficiency are essential. For many firms, adopting new technology while maintaining a profitable level of operations feels incredibly daunting, which is why resistance may occur.
From employees touting the age-old “I’ve always done it this way,” to partners feeling reluctant to invest in a technology they may not feel comfortable in, there’s plenty of worries about stepping into the nascent world of automation. But when you dive in, there are double the amount of benefits to doubts if implemented correctly. Not only does it help mitigate human error, but it also saves considerable time, which is the biggest benefit where automation is concerned. The very definition of efficiency denotes organization and orderliness – two things legal automation is primed to accomplish for you.
The above are just a few reasons as to why it’s essential to choose software that ticks all the boxes on efficiency, and gets everyone onboarded in a way that rewards adoption, not rejection.
4 Ways Legal Automation Increases Efficiency
1. Custom Workflows Reduce Time Spent on Administrative Tasks
No matter what department you work for in a law firm, there are iterative tasks always needing to be done every month. Billing statements. Client reminder emails. New client paperwork. The list goes on and on. In order to reduce the time spent, workflows use Artificial Intelligence to create and recreate these scenarios through a set of actions you enter into a software system.
The nice – not to mention extra efficient – thing about practice management software is you can customize these actions to your firm’s needs. That admin work of endless data entry is greatly reduced with the proper set of rules established while onboarding your software.
2. Auto Triggers and Task Automation Boosts Accuracy
We’ve all been there – moving too quickly between tasks, trying to check off as many things on our to-dos as possible. It’s unfortunately the prime opportunity for mistakes to occur, and we all know mistakes are costly in time and money, not to mention inefficient.
Auto triggers are a form of workflow, and fire off whenever you create or modify a record or when a given set of criteria is true (usually taking the form of a query). This lets you automatically transfer information from Centerbase into your matters, which is extra convenient if you’re trying to send correspondence or follow an exact timeline for litigation. Legal automation makes everyday data entry and updates simpler than ever before.
Want to see how Centerbase does it?
Here’s a use case where we assign a client email address to their matter that generates if the query is blank.
3. Reduce Time Spent Generating Documents for Clients
Templated documents for clients is a tale as old as time, but legal automation takes it one step further with merging queries and data en masse. The ability to create document templates by merging information stored in your legal software cuts down on data entry and the chance to make mistakes.
Even better – you can easily open and save client documents from Microsoft Word in Centerbase, making it easy to work within the programs you and your employees are comfortable in. The idea of bolstering efficiency is not reinventing the wheel and having software that doesn’t overcomplicate, but empowers people to work efficiently. Integration with Microsoft and NetDocuments is one of the many ways Centerbase strives to take the curve off learning something entirely new.
4. Automate Client Emails
Client reminder emails become effortless with legal automation. You can kiss goodbye the days of sticky notes and harsh dings on your calendar reminding you to send update emails. With the proper legal tech, an automatic email notification can be sent every time a case matter moves to a different stage, meaning everyone stays informed and up-to-date on the case in real-time.
Less manual project management means more time back in everyone’s day to focus on staying profitable and delivering above and beyond customer service that creates rapport, referrals, and client retention.
How Automation will Change Legal Jobs
Technology is changing the legal landscape for everyone involved, and now’s the time to put plans in motion for boosting efficiency. In order to adapt, great software and great people are going to be your best resources for saving time. The automation features discussed are among the few benefits that encompass legal software – there are many more. These powerful additions will help improve day-to-day processes and ensure your staff get things done faster and more effectively.
Due to this technology, everyone’s jobs are going to change in ways that require more people interaction. Technology will become a bridge toward helping us interact without a computer screen being a barrier. If nothing else, it will be an invitation to ensure communication and relationships get built, and that everyone at your firm can be ready to adapt – attorneys, accountants, legal assistants, and all working together toward a common goal. It’s this ideal we strive for with legal technology and software.
Still wondering how to save time and increase efficiency in the form of billable hours and extra time back in your days, weeks, and months? (That’s another benefit of legal automation – you’ll continue to see the time saved compared to when you didn’t have it.)
Our mission is to help you serve your clients better – whatever that looks like. Every area of law and its requirements are different, after all, but the right software system adapts seamlessly to what you need. At Centerbase, our technology adapts to fit your needs, not the other way around. Feel free to schedule a free, no-obligation demo with Centerbase to see how we can boost efficiency in your everyday processes with legal automation.
Throughout the course of history, technology has been a disruptive force that has completely changed the landscape of many industries. Technology continues to reshape the way the world works and that is no exception for the legal space. The emergence of the technologies we’re seeing today, such as A.I., virtual law, and integration tools are a few of the disruptors that will most likely change the trajectory of the next generation.
The bad news is, if your firm can’t keep up with technology, you will quickly lose your competitive edge. But don’t worry, there is good news. Adopting this technology is not as dreadful as it sounds, in fact, once you get over the mental hurdle, the actual implementation and utilization will have you regretting that you didn’t make the jump sooner.
We are in an era where the shift to mobile and cloud computing for small to medium firms is as far-reaching as the shift to adopting computers was over 30 years ago. At the end of the day, the technology that is available now will allow you to provide better client services and attain higher revenue-driven results. Additionally, you will begin to notice that technology becomes an integral part of attracting new clients. Technology has the power to improve an organization’s efficiency if used appropriately. Most traditional law firms are gradually losing ground due to increased competition put on by the digitally advanced firms.
If that made you start to sweat, don't worry! The simple answer to this is to be open to new technology and avoid resistance to change. The return on your investment will be far more impressive from an operational and financial standpoint than the risks associated with pursuing the technology needed to remain competitive. As the adage goes, work smarter, not harder. Implementing legal technology at your firm will allow you to focus on your clients and generate more revenue without increasing your workload. If you think that sounds too good to be true, you better believe that in 2020 it’s an attainable reality.
Let’s take a look at some of the ways firms can successfully operate in this new world and meet the pace of demand that the younger, tech-savvy consumer base is expecting.
Prevalence of Artificial Intelligence (AI) and automation
With the introduction of AI and automation systems, law processes are being simplified. Today, legal documents are being recorded, physical paperwork is being organized and converted into digital files, search and discover features are increasing efficiency, automated workflow engines are assigning tasks for team members, and much more.
AI has not made a huge splash in the marketplace just yet, as rigorous testing and experimentation is still being conducted. However, let’s take a look at some of the features this type of advanced technology could offer your firm in the future. Currently, what many researchers are talking about is AI’s ability to assist in the discovery phase of a lawsuit. AI’s ability to rapidly confirm facts expedites the process of finding background information, which can accelerate arbitration and litigation proceedings. According to an article from Forbes, AI “can review documents and flag them as particular to a case. Once a certain type of document is denoted as relevant, machine learning algorithms can get to work to find other documents that are similarly relevant.” This type of AI and automation can often help sort out problems faster with fewer mistakes that are often overlooked by the human eye. In general, automation enhances consistency in contract and document creation and streamlines your client intake process.
As research and development continue, AI and automation will become increasingly more prevalent with many more functions than the ones just listed. Artificial Intelligence can’t take the place of a lawyer, but law firms today can choose more tech-savvy professionals over others. Doing so will significantly decrease the learning curve and informed pessimism of technology adoption in the future. For now, this type of technology may not be widely used, but one day it will be.
Virtual law practice
In The Disadvantages of Working Remotely: How Legal Professionals Can Overcome Them, we discuss the challenges of working outside of the office and the solutions to mitigate some of those pain points. Our new normal includes this transition between working at the office and at home, and there are a variety of drivers, such as work-life integration, travel requirements, and cost-of-living management that all come into play. Working remotely, however, means that technology needs to be used to facilitate business activity in an effective and professional manner.
Some firms are starting to support their teams bringing their own electronics and devices, like personal tablets and laptops. This requires implementing controls to configure and protect noncorporate devices and reimbursement protocols. This also implicates document sharing technology to discourage local storage and encourage central document management.
The younger generations are contributing to this trend as they strongly identify with specific tools and technology, and prefer to continue using tools familiar to them when joining a new company.
Corporate cultural norms are also changing. For example, remote employees are encouraged to turn on their cameras in video meetings so that others on the call may personally interact with them. Because of this, anyone who works in an office must still adapt to virtual practices when working with outside counsel or business partners. Right now, and for the foreseeable future, there will be a mix of remote versus in-office staff, and technology is the only link between them.
Norms also include the prevalence of instant messaging or chat capability, which fosters less stringent communication protocols — which as a result may lead to increase council involvement in potential risk situations stemming from hostile work environments, generally inappropriate discussions, or communication surrounding IP.
With all this being said, the virtual work environment is a tremendous advantage to business continuity and emergency activities. With technology, firms can easily manage workload while remote, stay abreast of litigation matters, and sign documents — without these capabilities, moving forward through the future would be much tougher.
Life integration tools
Given the prevalence of virtual workstyles, globalization, and scope of work, lawyers seem to never be away from work. Newer generations of lawyers — digital natives — grew up managing communication channels. Their integration of tech into their workflow is more natural than for those who are just learning to maximize technology.
Many mobile devices and apps now include virtual assistants that can add tasks and calendar slots based on email or oral statements. At times, this may seem intrusive, but the convenience is real. Smart homes that integrate with your car, phone, and emails can truly simplify everyday items, such as displaying the security wait line time for your flight or order groceries to be delivered right as you arrive home. These same luxuries can be put into context for your firm. With a click of a button, you can deliver anything you want to your front door. With that same click, you can seamlessly send your clients their bills, and everything related to their matters are now in one easy to access place. View deadlines, parties, documents, emails, and outstanding bills from one screen with your deadlines automatically generating and populating your calendar.
It is also common for people to have two or more email accounts on their phones that allow easy navigation between work and personal messages. Unfortunately, apps also make it easy to save documents to an online service for anywhere-access. This makes it too easy to commingle work and personal documents, so firms should remember that convenience comes with a cost.
Managing your work-life balance is crucial. Cloud-based practice management technology is the best way to keep you organized and connected. And best of all, it will always be available when you need it, where you need it. As we look to the future and how the world is developing, having a cloud-based practice management software is a simple advantage you can’t afford to look past.
Law industry falling behind the curve – why it matters
Technology is so advanced these days, almost everyone has a smartphone, most corporate offices are tech-savvy, and even children are given more technical educations.
In a world that breeds competition, clients only continue to lean towards the tech-savvy law firms who meet their needs in the most modern and advanced ways possible. Because of this, there is an undeniable threat to the existence of the law firms who choose not to take advantage of what technology offers them.
At the end of the day, all the legal processes become very time consuming when technology is not used. Introducing automation can help in various small to large scale problems and cloud-based technology provides users secure access to their data whenever and wherever they are.
The bottom line
Change is the only constant in the world, and technology, in large part, is what drives that. Emerging digital technologies like AI are uniquely positioned to disrupt how law firms conduct their businesses today. This, coupled with the fact that client’s needs are changing and the younger generation is inherently more immersed in tech means that Law firms need to be constantly innovating and should invest in technologically driven infrastructure to keep up with the pace of the economy and these customers.
The nonstop progress in technology is changing how many lawyers work and how firms operate as a whole. Between changes in their working style and enhancements that improve efficiency, the field is evolving. The legal industry and all its parts must advance along with the rest of the world because the innovation and change we are seeing right now is only the beginning, and it won’t stop for anyone.
If you’ve ever braved the cold winter in Chicago to attend the ABA TECHSHOW or if you plan to attend in the future, you’ll quickly notice that over half the vendors tout themselves as ‘Practice Management Software.’ But, as hot as the practice management space is in legal tech, less than 60% of small-to-midsize law firms actually have practice management software. The vast majority of firms primarily still rely on their billing software to store client information, Outlook to archive emails/calendar/store contact information, and a folder on their firm’s 'x drive' to manage all case documents.
Change can be hard, that’s not a new fact. But what could be even harder is getting partner buy-in to pursue and adopt that change. Over the years, we have compiled some tips and tricks on how our clients have successfully pitched purchasing practice management software to their law firms. We found that the firms who have adopted new technology look for the best ways, venues, and times to voice their ideas and concerns—using rhetorical skill, driven data, and interpersonal connections to move the right leaders to action. These internal change-drivers are seen to employ specific tactics significantly more often than individuals who don’t succeed in gaining firm buy-in.
Evaluate Your Current State
Before you even begin thinking about shopping for software, you need to clearly understand the pain points your firm is experiencing. Are you having a hard time managing your matters? Do you have a slower intake process? Poor internal and external communication channels? Identifying your weaknesses and eliminating waste should be your first step. Take time to do your research. Speak with multiple people from different departments, different positions, and different tenures at the firm. Try to be open-minded and listen to all the issues your staff is having, even if they don't directly affect the decision to purchase new software. The more pain points you can find, the more open ears you’ll have in the room eager to hear a new solution.
Involve Others
Building a task force generates organizational buy-in more quickly and on a larger scale as more people contribute energy and resources. Negotiation experts would tell you to mobilize your allies, persuade your blockers to support the software or at least back-off, and show the fence-sitters why they should care about what you’re presenting.
If you are a small firm, it might only be one or two people, but having a few people on your side is always helpful. Creating a task force also offers you multiple perspectives when you are meeting with software vendors.
Frame the Issue
A problem’s place on your firm’s list of priorities depends heavily on how you package the idea. A new software might seem like techie trivia until you explain how it supports a strategic goal. For example, if your team is losing notable time manually sending out bills, legal software can completely eliminate that wasted time by allowing you to email bills out to your clients in one click. Now, that problem is a priority to solve. Once people in your firm see how your initiative fits into the big picture, they’ll be more willing to devote resources to it.
Similarly, if you’re a firm administrator presenting a use case to your partners on the benefits of financial reporting software, you can describe how transitioning to the new software will enable you to quickly generate the reports they need. It will allow you to understand what receivables are due to be collected, pinpoint who the high revenue clients are, quickly build general ledger budgets to identify trends, timekeeper budgets to hit more targets, and matter budgets to keep clients satisfied. By highlighting specifically what would be gained from the software, you create a sense of urgency for partners.
Although focusing on business benefits is often safer, also consider presenting the software as an opportunity that shouldn’t be missed. Present what your firm stands to gain from your ideas and emphasize the positives. This will work to inspire optimism and buy-in. Additionally, highlighting a threat—a consequence of not adopting your idea—can also create pressure to act. But take note that it can also backfire: The person who created or currently implements the method of operation may be sensitive to your critiques and proposal for change. It may be hard to predict whether it will spur action—the classic “fight” response—or result in “flight.”
Manage Emotions on Both Sides
Because selling your firm on a new software is an interpersonal activity, often involving financial and cultural change, it will inevitably stir up some emotions. Passion, if appropriately expressed, will improve your chances of gaining attention and triggering action. There’s a fine line, however, between passion and anger. You may be proposing a new cloud software because your hard drives are simply not cutting it, or you’re just fed up with existing inefficiencies. And as you encounter roadblocks to your selling efforts, your frustrations may intensify.
Though strong emotions can be channeled into a rousing appeal for action, when unregulated, they’re more likely to diminish your influence. Unfortunately, managing partners who detect negative emotions from associates offering input may tend to perceive those employees as complainers, not as change agents.
Time the Pitch Appropriately
It’s critical to find the right moment to pitch the new software. That moment might be when organizational priorities shift, when certain players leave or join the firm, or when a partner’s preoccupations change. Take notice of when more and more people are beginning to care about a larger topic or trend that’s related to the issue they face. For example, if you notice that your attorneys are becoming increasingly annoyed with having to repeatedly print pre-bills to make corrections, that could be a good time to bring up features like electronic pre-bill approval that will help streamline your billing process and improve cash flow.
In addition to keeping a close eye on larger trends and events, it’s important to be mindful of deadlines and initiatives too. If your firm is looking to improve its client intake process and focus on client conversion rates by a certain time, then that would be an optimal moment to highlight the benefits of a software that includes custom contact forms, automated intake processes, and comprehensive conflict checks. Conversely, when a deadline is far away and partners are still in exploration mode, open-ended inquiry can be more effective than proposing a specific solution.
Gear Your Pitch to the People in the Room
Tailor your findings to the people who you’re pitching to. At the end of the day, everyone’s end goal at the firm should be the same, but every team has their own day-to-day objectives and priorities. For example, a partner is most likely concerned with growing top-line revenue, while a paralegal may be more wrapped up in client and matter onboarding. If you’re pitching a new software to your firms managing partners, frame the obstacles in a context that would most pique their interest. If you know they are worried about ensuring costs get billed back to clients, bring up features where integrated credit card feeds and account payable modules are available to make it easier to bill expenses back to clients as they’re being entered. Or if you know management's top priority is automating non-billable activities, show them workflow engines that make it easy to automate non-billable, administrative work such as sending follow-up emails, updating client information, or calendaring tasks. You will have greater success if you familiarize yourself with your audience’s unique blend of goals, values, and knowledge and to allow that insight to shape your pitch.
The Take-Aways
There are many types of legal software to choose from. Evaluating where your firm is will be critical in not only selecting one, but then proving to your management team why the firm needs it. Your pitch will fall flat if you can't articulate what is needed and what is not. Locate your pain points, assemble a task force, and identify the right time and emotional setting to present your findings and solutions to your partners.
There are no set prescriptions that can capture the nuances of every environment or remove the risks and potential difficulties of pitching a software. If you can give actual ROI numbers, you have a better chance of selling partners that aren't totally sold. Bring literature from the practice management software providers you've chosen, include pricing quotes, and have some success stories in your back pocket. Arming yourself with as much information as possible will greatly assist you in selling the adoption of the software you want.
The Increase In Remote Work
In this world of “new normal,” remote work is here to stay – so the question is, how do we effectively manage this new way of working moving forward? While there are considerable advantages to working from home, there are also disadvantages of remote working for legal professionals that need to be addressed. In this pandemic, and moving forward, some degree of remote work will become commonplace, so it’s time to get ahead on managing performance and balancing the pros and cons that will inevitably crop up.
In this blog, we’ll be providing insights on some of these disadvantages and how you can better integrate fixes that are both actionable and effective toward maintaining your level of day-to-day efficiency.
Disadvantages of Remote Working and How to Fix It for Legal Professionals
Difficulty With Time Tracking
The Disadvantage: For a firm depending on billable hours to maintain profitability with client work, getting accurate hours from your workers can be a big challenge when working remotely. Time may feel different for people at home, and keeping track of billable tasks can easily get lost in the shuffle of other distractions.
The Fix: Time Tracking Software
Without the constant flux of in-person client visits and immediate office distractions, many law firm workers of all departments have an opportunity to divide up their day accordingly. By using project management software that effectively gathers time spent on matters takes the headache out of manually inputting it every day. This also keeps communication clear on the status without the need for constant status updates or pesky emails that clog the inbox and stunt productivity flow.
Centerbase offers automatic time tracking, so you can capture every billable hour spent on client-based calls and interactions. Your billing department and your bottom line will thank you.
Blurred Work and Personal Lines
The Disadvantage: Without a clear separation between work and home, blurred lines can create rapid burnout in remote employees. This can result in lowered performance, inaccurately recorded working hours, and poor time management that affects day-to-day duties. Since you aren’t able to monitor their habits and what goes on, how do you appropriately measure time worked in comparison to hours off?
The Fix: Communicate processes and benefits
With everything around people working remotely still feeling new and unfamiliar, it’s important to take that extra mile to communicate and clarify processes and resources available to everyone. Reiterate what hours everyone needs to be available, and reassure that they don’t have to be connected to their computers all hours of the evening. Many are juggling between being a full-time worker, parent, and teacher right now, so a little understanding also goes a long way.
Due to the pandemic, many healthcare providers have lifted some of their restrictions on telehealth appointments. Check what your benefits packages are offering, and consider adding a telehealth option for employees to get appointments easier and help maintain mental health during this turbulent change. This may not reflect immediately, but employees will have an extra layer of resources to help in case things become too blurred. Not to mention the benefit of additional help from experts to better manage their day-to-day routine. That trust and investment in their well-being will definitely pay off in their productivity in the long run.
Increased Risk for Miscommunication and Document Management
The Disadvantage: Less face-to-face interaction means more chances for miscommunication or no communication entirely from staff. This can create confusion and perpetuate uncertainty that mounts with every email that goes un-replied or client followup that’s ignored. Or worse, the possibility of technology failure. If a VPN doesn’t allow access to all areas of a matter, and staff are stuck having to circumvent the system or store sensitive information where it’s not safe
With remote work, your staff needs to communicate like a well-oiled machine – even more so than they did while in the office. You’ll need a system and a communication model that works for everyone and runs efficiently without detracting from everyday duties.
The Fix: Document management from anywhere
By easing the ability for workers to document matter updates – whether they’re at home, or even on their phone in line at the grocery store on their lunch break – you’ll help continue the open communication culture you had in an office environment. Ensuring you provide updated permissions for remote workers to add notes to files and safely access key information in real-time will make a huge difference in keeping everyone aligned. Also, plan daily huddles and a longer weekly meeting to check the pulse of everyone’s workload and pace. Are things harder for them now? Is something stopping them from doing their jobs from a software or operations standpoint? Open up the floor and listen.
Centerbase’s document management lets everyone retrieve and share documents easily through programs you use all the time, such as Microsoft Word and your own web browser.
The Risk of Decreased Client-Facing Work
The Disadvantage: Lack of client contact can be problematic for some – especially those who may need to be in-person for legal proceedings or prefer face-to-face updates regarding their case. Some of that client-facing work can bolster the attorney-client relationship and keep confidence high regarding their case. This can be especially taxing for attorneys accustomed to more traditional office meetings and client interactions.
The Fix: Use a client portal
Old software depends on cumbersome intake forms and notes that have to be manually uploaded to a digital format. Even worse, much of the client conversation could be in a paralegal's mind, but the interaction could be recorded or notated incorrectly in the file.
With a speedy, 24/7 client contact with the Centerbase mobile or web app, our versatile client portal gives clients everything they need, when they need it. This can be a gamechanger for remote work, especially since you can keep conversations and notes directly tied to a client’s account so you’ll always remember where you last left off on their case.
Reduced Collaboration and Networking Opportunities
The Disadvantage: An unfortunate pitfall around the disadvantages of remote working can be a decrease in referrals or new sources to find clients. And without in-person events and community networking, you may find collaboration between colleagues screech to a halt, which can hit incoming business hard.
The Fix: Online events and weekly team meetings
One of the nice things with remote work is, on some level, everyone can stay connected and informed through social media channels. If your firm has a Facebook or Instagram page, consider holding live sessions where you answer commonly asked questions and provide legal advice with a few attorneys in quick, bite-size sessions.
Appoint a legal assistant on your team to help manage the page and arrange times where attorneys and their colleagues from other firms can also participate. For example, if you’ve got a personal injury firm, you can collaborate with someone from another area of law like family or criminal to have a wider scope of knowledge to answer questions. By tagging each other, you can repurpose this content into blogs and other resources and create backlinks to help flesh out a content library for people searching and asking online for legal help.
Increased Home Office Distractions
The Disadvantage: Between children crying, laundry going off, video games, and phone notifications, the distractions are endless while working from home. While some can thrive in this environment, others struggle immensely and procrastinate on tasks by doing chores or finding their favorite comfy spot on the sofa. All of which leads to feeling unfocused and unmotivated.
The Fix: Flexible work times
For any children in e-learning, some workers may thrive when the kids are done with the day and can focus on tasks undisturbed while little ones watch their favorite show. Be prepared to ask workers if some added flexibility to their hours would help keep tasks on schedule to prepare for necessary matters deadlines and client updates. You’d be surprised how this model can help boost productivity during remote work, because everyone’s home lives are different.
Striking a Balance with Remote Work
The key to continuing business with working from home is to be aware of the disadvantages of remote working and find a harmonious balance. There’s no single clear-cut solution to remote working. Being aware that every firm is going to have a unique set of clients and matters means you’ll need to experiment and communicate with your staff to see how they’re managing and balancing home and work life.
Do they feel isolated from each other knowing their priorities? If so, how can you help bridge that gap in a way that drives culture and keeps drawbacks of remote working to a minimum? Remove those barriers, and you’ll find remote employees will feel better about communication and this new transition.
Another big part of counteracting the disadvantages of remote working can be ensuring their technological access is sound, and doesn’t inhibit them from completing tasks and updating matters.
Conclusion
There are clearly pros and cons to working from home, and it’s important to know how to best prepare your workforce as they transition between remote and in-office work. Although clear disadvantages to remote exist, we hope this was helpful on how you can ease the burden and create an environment that keeps your workers reassured and prepared to continue adapting.
Do you have any other questions about how to transition your workload to remote capabilities for legal professionals? Centerbase has adaptability and permission-based access, so everyone only sees what’s needed to do their jobs most effectively. Feel free to schedule a no-obligation demo and discern how our software can best help your needs going into this new world of remote work in law firms.
In 2013, the legal services industry generated 256.66 billion dollars in revenue. In 2018, this revenue increased to approximately 288 billion. That is a lot of money. Although there is a huge opportunity in the legal market, law firms are not setting themselves up in a successful way to gain those clients. 
