Tag Archives: human resources

Simplicity

There is one thing I have learned over many years helping run large law firms and since then consulting to professional service firms: keeping things simple and as brief as possible is the essence of achieving success. That means ‘easy to understand and to apply’.

The reasons are simple too. Professionals, in particular those in ownership or senior roles, simply don’t have the time, motivation or gas-power to take on yet more complex, lengthy systems or processes to get things done, especially when it is outside their comfort, practice or client-zones.

I have spent most of my time figuring out how to deal with relatively complex issues and challenges, but in a way that is easy for busy professionals to understand and apply. Put another way, I learned early on not to put anything on the table that was too complex or time-consuming. People simply switch off or don’t give it the attention it deserves. Also, philosophies, concepts or approaches have to be simple enough to able to ‘walk around in peoples’ heads’. Then they don’t need to consult a lengthy document or manual to remember the essence, or need a new dose of discipline to get these things done.

One rider to this; simple approaches and ways of doing things take a lot of thought, dedication and effort to identify, work out, test and prove in the field. This is sometimes not so simple! So, this is one of those things that is easy to talk about, but tricky to achieve in practice.

Let’s take a brief look at a few areas where these principles can be applied in practice to good effect. Coincidentally, they happen to be the areas where I do and enjoy most of my work.

Strategy

Strategy is one. This principle applies equally to strategy for the whole of the firm or for a department or individual: only include the essentials, use a practical, proven framework that gets results, and which can be summarised in six to ten pages or less. Break the exercise down into pre-strategy essentials that need to be settled, actual strategy formulation and then post-strategy implementation and stress-testing. Be able to summarise the key aspects on one ‘strategy snapshot’ page – ideal to hand out to new recruits or even existing and potential clients so that they know what you are about.

Finances

We can never move too far away from the finances when discussing anything to do with firm practice in professional services. In this area, after dealing with many firms internationally, it has struck me how often partners and staff are drowned in reams of lengthy financial reports and analyses. It soon becomes clear that very little of this material gets absorbed and truly serves any purpose.

All of the excess material might keep a certain type of management happy – those who like to think, ‘At least they can’t say they didn’t have the information’. But that of course is not the point. The point should be to help everyone get results.

In this area, I have found a key is to produce a monthly (or on-demand) one- or two-page financial snapshot or dashboard report that is colour-coded, and summarises partner, partner-team, department and firm standards for performance and actual performance on key financial variables. If one needs to dig deeper in relation to a key variable – e.g., total lock-up days – one can always request that detail from the finance or accounts team.

Following the earlier point, it took us about three years of formulation and testing until we got this right, and working to our complete satisfaction. Then it was a case of refining it each year.

People

I long ago came to the conclusion that the key to results in the management of people is ensuring a truly genuine interest is taken in anyone for whom one is responsible. We developed a new philosophy, system and approach to ensure this took place throughout a firm – the Responsible Partner and Development Discussion system. With this system, most people at every level reached something like their full potential, they were happy, partners attracted good staff who stayed longer, and our employment brand and engagement levels grew stronger.

Again, this was kept as simple as possible. That is a key reason why it works.

Succession Planning

The system we developed for the management of people has a number of off-shoot benefits. One is addressing the hardy annual issue of succession planning. So many firms struggle with this. Some introduce quite complex monitoring and management systems to address it, but with limited results.

As in other areas, succession planning can be kept quite simple. If something like the Responsible Partner philosophy mentioned above is adopted and applied rigorously, over time it automatically builds succession throughout a firm, and it has the benefit of being organic. Let me expand on this a bit. If a partner uses the approach successfully and builds a high calibre team of professionals at different experience and competency levels over time, she or he will find successors start to pop up within that partner team. It takes a good few years, but it is guaranteed to happen: this has been proven time and again.

Achieving success in practice today undoubtedly takes high levels of competence and performance in a number of different areas. It used to be that working like a dog and looking after clients was it. The rest could more or less take care of itself. Those days are long past.

Contribution Criteria

Practice and client needs have become much more sophisticated and challenging. Trouble is, in many firms, partners and staff still don’t really know what they should be expecting of themselves or one another. It is important to spell this out in summary in a positive, constructive way which propels the firm forward and acts as a motivating guide to individuals to contribute in various key areas. These will include hardy annuals like financials, business development, people and support for the firm, but also things like building the capital fabric of the firm, building succession and active support for the brand, and raising each of these to exemplary levels through innovative approaches.

Brand

Finally, brand is another key area which can get attention. Everyone in the firm should understand what the firm’s understanding of brand is. ‘Brand,’ as I teach it, is the aggregate of what other individuals think and feel about the firm as a practice, as an employer, its services and the key individuals within it. Everything brand-related flows from this simple framework and makes it easy for everyone in a firm to grasp the nuances, concepts and necessary support systems to strengthen a firm’s brand, its employment brand and the brands of individuals within it.

Dare I say it? I believe that adopting this ‘simple’ approach to everything relating to leadership and management also makes this part of practice fun. More practitioners and staff will want to participate in and contribute to these initiatives as they will feel they ‘get it’ and don’t need a course in management to get results and get things done. This in turn grows future leaders and managers internally.

Edge Principal Sean Larkan is a former corporate/tax lawyer with extensive experience in conference and retreat presentation and facilitation. As an Accredited Practitioner of Human Synergistics International and a certified Master Coach, he offers Edge clients knowledge and experience in such areas as leader, group and organisational behavioural and cultural diagnostics and coaching, and serves as a critical adjunct to firms’ strategy implementation. He is the author of Brand Strategy & Management for Law Firms. 

A Stitch in Time: How Continued Engagement with Your Resources Can Effectively Address Attrition

Attrition is not an issue alien to law firms. Owing to the nature of the service and the personalized relationships that develop with clients over the course of advising them, the separation of lawyers from firms – especially if they are senior lawyers or have been around for a while – hits firms quite hard. In most cases, the exit of a lawyer also drains the training and man-hours that have been invested in mentoring them to the firm’s and clients’ working style. Especially at Indian law firms, it is not unusual to offer such lawyers a better pay package or a higher designation in order to make them reconsider their decision to leave the firm. In this article, we examine how law firms can avoid such instances and start taking measures in advance, avoiding the need for such solutions as an afterthought.

While sudden or unplanned exits of human resources affect most professional services firms, law firms are perhaps one of the worst affected since such separations may impact clients who may have developed great levels of trust, confidentiality and comfort with such lawyers. The exit of well-connected senior lawyers, front-ending a large number of clients, may even have the potential of affecting the revenues of the firm to a considerable extent. Such exits may be followed by the departures of some key clients too, or may have a cascading effect where other colleagues and team members may also follow the exit of such a lawyer.

Until a few years ago, especially Indian law firms offered increments in packages at very high percentages, or immediate out-of-turn promotions as a dire measure to address possible losses from such exits. However, today law firms are increasingly waking to a more professional and engaged way of dealing with their resources. Managing partners are increasingly encouraging their human resource development teams and reporting partners to assess how their firms can avert such instances by way of more integrated approaches to dealing with the lawyers. Partners, for instance, work closely with the lawyers in the team and it would not take much for them to engage with their team members on issues apart from work. For instance, a genuine effort to understand the aspiration level of the lawyers in the team, or to understand what drives their passion, would go a long way toward deciphering what could retain the lawyers in the firm. To add to this, conversation on non-work issues like marriage, pregnancy, aspirations for a better work-life balance, etc., can help the partner to understand if there are any personal factors building up that might eventually motivate the individual to decide to leave the firm.

Similarly, human resources (HR) development managers or teams are professionally trained to engage with the resources and help the partners/firm in observing the trends – and where red flags are noticed, forewarning the partners and firm of possible potential departures. Successful HR managers are often able to turn lawyers around by addressing their concerns and skilfully manoeuvring them towards enhanced working efficiency. There are law firms where HR managers drive the efficiency and productivity of the lawyers and work closely with the partners in managing their entire practices. Allocation of work, developing hierarchy and reporting lines in the team, the study of time records, assessing work loads on a weekly basis, and reviewing feedback from clients are some of the ways in which such HR managers ascertain whether any resources are over-worked or under-worked. These scientific and objective studies help in ensuring that there is not only fair distribution of work amongst the team, but also that each member’s skills are utilized to the best of their abilities. Obviously, firms where HR managers play such pivotal roles witness very few cases of lawyers leaving the firm due to being over-burdened, or to inter-personal issues arising out of favouritism or imbalanced work allocation.

HR managers help to moderate any possible negative feedback, conveying the same to the lawyers with due regard to sensitivity of the issues and without disrupting immediate working relationships with seniors or peers. They also observe and address any small/inconsequential inter-personal conflicts that may culminate in larger grievances; they may do this by way of team-building exercises, moderation of feedback, etc. HR managers also play a pivotal role when lawyers join the firm by testing softer issues like aspirations of the candidate (money, designation, high-profile work, etc.) which have an impact beyond just the technical expertise of the lawyers.

Apart from reducing the factors leading to unwelcome exits, we need to also ask whether making amends by way of “out of turn” increments and promotions is a solution at all. The answer is in the negative. If a resource is moving away purely due to monetary aspirations, the firm should ideally not offer an increment as an after-thought of resignation, because such a resource will always keep evaluating the market for better opportunities. Also, once a resource gets the feeling that the firm is trying to retain them by way of a better pay package, there may be chances of such behaviour being repeated in future. This also sets a bad precedent for other lawyers in the firm who may follow the trend and may undertake hoax resignations as a tool to have their remuneration or designation re-negotiated. Furthermore, many times the reasons for separation are not purely money-oriented. If there are larger inter-personal issues, or issues with respect to growth of an individual in the firm, no amount of monetary compensation can address these issues, and it would be futile to even consider the same as an afterthought.

Ideally, firms should figure out and implement ways in which partners can also engage with lawyers informally – for example, by way of team outings, working lunches, team-building sessions, periodic huddles, etc. These smaller initiatives work as a catalyst towards better camaraderie amongst the team members, and help HR managers to identify circumstances that may possibly lead to an exit by a member so that they may design timely remedies before a possibility turns into a reality. Increments and career progression should be a part of regular evaluation cycles, which may not always be annual. This way, the firm can be proactive in its remedies, rather than reactive.