preparing for clementi are you ready to compete n.
Download
Skip this Video
Download Presentation
Preparing for Clementi - are you ready to compete?

Loading in 2 Seconds...

play fullscreen
1 / 36

Preparing for Clementi - are you ready to compete? - PowerPoint PPT Presentation


  • 75 Views
  • Uploaded on

Preparing for Clementi - are you ready to compete?. Peter Scott PETER SCOTT CONSULTING www.peterscottconsult.co.uk. Challenges now facing law firms. The economy Government cuts New competitors in the market The P I insurance market Increasing regulation and compliance Technology

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Preparing for Clementi - are you ready to compete?' - jerrica


Download Now An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
preparing for clementi are you ready to compete

Preparing for Clementi- are you ready to compete?

Peter Scott

PETER SCOTT CONSULTING

www.peterscottconsult.co.uk

challenges now facing law firms
Challenges now facing law firms
  • The economy
  • Government cuts
  • New competitors in the market
  • The P I insurance market
  • Increasing regulation and compliance
  • Technology
  • The changing needs of clients
  • A fragmented profession

Given these challenges, never has the need to be

more competitive been so great

the need to be more competitive
The need to be more competitive

“Competition is a process by which …

  • services that people are not prepared to

pay for

  • high cost methods of production and inefficient

organisations

  • are weeded out and
  • opportunity is given for new…services methods and organisations to be tried”*

Could this apply to the legal profession today?

*Everyman’s Dictionary of Economics – A. Seldon and F. G. Pennance 1964

your future market competitors
Your future market competitors?
  • ABS - owned wholly / partly by non-lawyers with deep pockets?
  • MDP - owned by lawyers and other professionals?
  • Highly developed ‘traditional’ law firms?

- national / regional

- branded

- strong sector focus

- franchised / federal models

- heavy investment in IT, management and infrastructure

  • Combinations / variants of any of the above
  • Others?

Which kind of law firm do you want to be?

the greatest danger
The greatest danger?

- complacency!

“Our strategy is to keep a lid on

expenditure and weather the storm. We

cannot reinvent ourselves as something

we are not”

Managing Partner of a major London law firm – Autumn 2008

an alternative view
An alternative view…

“there seems to be a disturbing strategy of hunkering

down, cutting some fat and hoping that business will

return to normal. That is not good. The terrain will look

very different when this is over. This is not a minor blip,

but a discontinuity”

“the problem is that most senior lawyers think only two months ahead.

They have no coherent picture of the future. The planning is not being

done. And it is senior lawyers who need to be driving change”

Professor Richard Susskind – May 2009

forward planning focus on the fundamentals of your business
Forward planning - focus on the fundamentals of your business
  • Your clients
  • Your people
  • How you can achieve your goals
what do clients want
What do clients want?

Client feedback on one law firm

“They always try to sell to us on price – but what

we really want is to have a good job done at a

reasonable price”

How will you be able to deliver this – and still

make your margin?

core issue is to add value
Core issue is to add value

You will add value that clients care about if…

  • You provide clients with what they need
  • At prices they perceive to be value for money; and
  • You do this better than your competition
position your firm to compete
Position your firm to compete

High

Client

Perceived

Added

Value

X

Ave

Suicide Zone

Low

Ave

High

Low

Client Perceived Cost

Bowman and Faulkner 1994 Long Range Planning

your people1
Your people?

Are you presently unable to add

value to your clients because of:

  • Gaps in your skills base?
  • Under performance?
  • internal attitudes and behaviour?
what should your people be doing
What should your people be doing:
  • better?
  • more of?
  • less of?
  • differently?
  • In particular, how should your people be using technology more effectively?
making technology effective
Making technology effective
  • Technology without people does nothing
  • Law firms are people businesses
  • People use technology

Are your people helping you to get the most

benefit out of technology?

your it
Your IT
  • IT is a tool to be used by you in your business to help you be competitive
  • Is it doing so?
  • Do you analyse the cost / benefits of the IT you use?
  • Could you use it better to achieve your business objectives?
your business objectives
Your business objectives
  • Client service delivery
  • Financial management
  • Business development
  • Knowledge management
  • Risk and compliance management
  • Others?
encourage your people to think creatively about how to use technology to
Encourage your people to think creatively about how to use technology to:
  • Provide better service
  • Improve productivity
  • Build competitive advantage
  • Build profitability
you have developed a realistic plan but
You have developed a realistic plan, but…

This will require RESOURCE - resource which

many firms cannot realistically and at

an economic and acceptable cost provide

themselves

is lack of resource making you uncompetitive
Is lack of resource making you uncompetitive?
  • Often a lack of resource of expertise

(client perception surveys will show if this is the

case)

  • Often a lack of financial resource

(inability to invest in your people and in the

business)

resource to enable you to
Resource to enable you to…

attract and retain the best talent

resource to enable you to1
Resource to enable you to…

provide clients with the depth

and breadth of expertise they

  • will require
  • when they need it
  • where they need it
resource to enable you to2
Resource to enable you to…

build the quality management which will be

required to successfully compete in the future

resource to enable you to3
Resource to enable you to…

provide the necessary infrastructure to

underpin the effective provision of high quality

professional services

resource to enable you to4
Resource to enable you to…

provide the necessary technology to make you

more efficient and profitable

building resource to compete
Building resource to compete

Will you be able to build sufficient

resource on your own to achieve your

goals?

the profession is too fragmented
The profession is too fragmented
  • Over 11,000 law firms
  • Over 85% have 4 or fewer partners
  • Most will not be able to compete and survive if

they remain as they are

Size does matter

competitive growth models
Competitive growth models?
  • Organic growth alone?
  • Some form of consolidation?
how can consolidation enable tomorrow s law firms to compete
How can consolidation enable tomorrow’s law firms to compete?
  • Not about size for the sake of size
  • A means to develop resource at an acceptable economic cost to each constituent firm which individual firms cannot on their own provide
  • A better platform on which to build a more competitive law firm capable of succeeding in tomorrow’s legal market
a vision
A Vision

To build a law firm which over a given period of

time will become “greater” than the sum of the

individual firms which comprise it. This will involve

building a BRAND which can begin to compete with larger,

more developed firms for better quality, higher value

work leading to greater competitiveness and profitability.