Author Archives: Allan Carton

Jul 12

Lawyers don’t know what they don’t know – nobody does! How to get the message across?

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What wasn’t quoted from me in this piece in the Gazette a while back - which is here - is probably the most important lesson I learned from doing an MBA with non-lawyers.  It taught me to respect and value the different skills of other management professionals, which lawyers have always under-rated .. and still do, although the gap is narrowing a little.

This hits me hard time and again in working with senior management in law firms across the country now because it’s more critical than ever during the current transition in the legal sector.  Lawyers need to find a way to learn to respect the different but at least equally valuable skills and characteristics of professional managers who think and act differently – but it’s very difficult.  It’s not surprising that lawyers don’t know … what they don’t know.  It hasn’t been part of their training and development in legal life – so this has to change for the younger lawyers coming through; something we’re working on with Greater Manchester Chamber of Commerce Legal Sector with a group of law firms focused on developing new skills.

What lawyers don’t know that they don’t know?  The easiest current example is introduction of  the likes of Mark Greenhouse here;  another specialist in business processes like Lee Williams and Dominic Harborne, who can introduce effective initiatives to reduce a firm’s operating costs by 20%.  They are worth more than most lawyers to a law firm – particularly today with ABS here to stay -  but do lawyers accept that they can be as vital to a business as them? … are they prepared to pay fees equivalent to their charge out rates for them … or will they think they can do it better themselves?

Some of the best insights I got from my experience doing an MBA (at Manchester Business School between 1992 and 1995 having come through the usual route to qualification and private practice) came from people who are now MD’s, CEO’s, Operations Directors and similar in businesses in the UK, USA and Far East.  They think quite differently from lawyers generally. Working on lieve projects for the NHS, at Hewlett Packard and similar was a vital part of my MBA, when we worked and met on projects at the weekend and during the week.  Hard work but well worthwhile.  That generated real respect for people with a quite different way of thinking and skills – not the people I would have worked with at university, law school or in practice.

However, it’s a sign of the conservatism within the legal sector that the vast majority of lawyers I meet in the UK with an MBA have done it within their comfort zone on a “legal MBA.”  One which involves only lawyers or managers already working within law firms – which fails to deliver on items 3 and 4 above and dilutes the learning experience overall.

Within the last 12 months, this has begun to change – but lawyers who have improved their management skills alongside other lawyers still don’t value the skills and expertise of managers from other sectors (or indeed within their own established business) highly enough.

Allan Carton … solicitor, MBA

May 13

SRA Update on COLP & COFA Timetable

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From the SRA’s May update …

You can nominate your COLPs and COFAS from 31 May until 31 July 2012.  Expect an email before the end of May from the SRA to your firms’ authorised signatory with a link to the web-based nomination form so you need to make sure they know who that should be. As the result of another deferral by the SRA in May, the date for the SRA to give approval to nominations is now 1 January 2013 when COLPs and COFAs must start fulfilling their duties – which applies to existing law firms, including sole practitioners.

Some useful guidance and more information here

Lexcel is a great way to get your house in order to ensure compliance – so if you are thinking about going down this route, have chat with Mike Jackson who has taken many firms through the process very cost-effectively since the standard was first introduced.

Contact Mike direct on  07802 281 599 or at mjackson@inpractice.co.uk

Or complete this form and Mike will contact you.

May 07

MMU Law School – a unique and proven way to develop top level management skills in your legal practice

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All the Managing partners and others I have met and worked with who achieved this qualification to date have sung its praises - they all feel they’ve benefitted a lot from it; not just in added knowledge and tactics, but also from the relationships formed with others attending.  They learned from experts in the legal sector about Strategic Planning and Alignment,  Clients & Markets, Using Financial Analysis to Build Profitability, Motivating and Managing Teams, Leadership and Managing Change and Developing and Implementing Strategy.

If you or one of your colleagues want to do this, you still have time, but you need to get your skates on as the first “Induction” session starts on 26 June 2012.

MMU Law School’s CPD accredited post-graduate Certificate in Legal Practice Management is a 10-month, part time course of study for senior managers (lawyers and others) in legal practices who want to add more good management know-how to their practical experience – and to develop their understanding and skills in a safe, open environment, supported by active participation of others in a similar position in other law firms.  It is led and very actively supported by tutors with extensive management experience in legla practices – so everything here is relevant and real – where participants can work through common issues and potential solutions together.

Designed specifically by legal services market experts for managing partners, senior managers and practice managers to enable them to tackle significant change.  See MMU Post Graduate Certificate in Legal Practice Management for more detailed information.

The sessions are delivered by a combination of business school and external practice management experts who have extensive experience of working with and understanding the needs of law firms and legal departments.  The unique programme includes:

+  Six modules specifically tailored to allow students to meet the challenges of today’s legal services market.

+  Intensive Teaching Days that are interactive and practical, delivered by experts in leadership, strategy, finance, marketing, client service and managing people;

+  Extensive Reading Lists and Case Studies (see notes on the website);

+  Practical assignments that enable students to target specific issues in their firms or departments so as to implement real improvements; and,

+  The opportunity to share best practice with other managing partners and practice managers across the UK

For 2012, Modules and Teaching Days cover: Induction Day (26 June); Strategic Planning and Alignment (27 June); Clients & Markets (12 Sept);  Using Financial Analysis to Build Profitability (7 Nov); Motivating and Managing Teams (16 Jan); Leadership and Managing Change (13 March); and,Developing and Implementing Strategy (TBA)

Direct Business & Personal Benefits, according to last year’s students have been: achieving clarity of strategic direction and buy-in across the firm and department; targeted market expansion of client services and enhanced people management;  enhanced financial performance; improvements in team dynamics and quality of performance; greater confidence in leadership and management abilities; better personal coping strategies as a result of improved communication and trust; and, sharing of best practice with other leaders in the legal services market place.

Tangible Outputs to apply in practice include: detailed formal analysis of market trends relevant to your particular business; client service audits to identify key clients and performance improvements; financial management review; high performing team criteria and performance measures; agreed common values and a strategic plan with critical success factors and key performance indicators.

What they say about it – for example, Philip D’Arcy, Joint Managing Partner, Blandy & Blandy LLP  who attended the programme last time around is just one of their enthusiastic supporters, commenting  “I found the course to be of real value in providing a good overview of relevant management theory and combining this with very practical considerations and real life examples of applying the theories in practice.  I would recommend this course for anyone involved in the management of a law firm.  The combination of a deeper understanding of management theory with the practical application of the theory is of real value and has certainly helped me in my management and leadership role.” 

For more background go to the MMU site here  or contact Deborah Walker on 0161 247 2420 / 07917 370341 or deborah.walker@mmu.ac.uk for further information and place availability.

Allan Carton

Apr 02

Winmark Survey 2012 – the right strategic priority, but is a boost needed to keep up the momentum?

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Do you agree on business priorities with the 96 UK General Counsel and Legal Directors and 49 Managing Partners, CEOs and COOs who took part in Winmark’s Looking Glass Report 2012?  We see a challenge that many legal practices are failing to address effectively at the heart of most strategies on the Number 1 priority.  Does your practice need a boost to keep client relationship initiatives moving, or to re-engage your people? 

No surprise that client service is top of the agenda, but how many law firms are struggling to give lawyers a broader perspective on what client relationships should look and feel like.  It’s time to take a step back with many clients to take a fresh look at how a different kind or relationship could work better for them.  That often involves IT now to improve communications and integration, improve processes etc.  But how many IT people get to meet clients?  And how many lawyers talk about IT and integration when they meet the client?   A more structure and shared approach to exploring and building relationships is needed, driven by a better understanding of the client’s business and what keeps the CEO or FD awake at night.

But are lawyers able to keep up the momentum on the changes that have to be made in minds, hearts and in practice to “walk the talk” on client service?  These stats suggest maybe not.  Although there is a 10% increase in firms wanting to get a better understanding of clients’ businesses, initiatives that focus on all other areas involved in putting this into practice have slowed …. apart from entertainment!

Working as a catalyst for change and innovation, our client and introducer opportunity reviews enable lawyers to open up a different discussion with key clients and provide the most powerful feedback (from the clients who pay the bills) to help lawyers recognise where a different approach will produce more and better business.  More information here.

The other big shift is in activity on mergers and acquisitions where there is

You can download the full Winmark Looking Glass report here.

Contact: Allan Carton

Mar 22

Client relationships and CRM systems – now is the time to make some decisions

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If you have a CRM system that isn’t working well enough for your practice, or if you are looking at options to improve your management of client relationships, we can help you.

CRM is high on the agenda for most legal practices right now … and also a critical area of weakness for many, both in the lack of use of the technology AND because lawyers often struggle to understand why and how best to develop strategic relationships with clients.  If you are interested in Client Relationship Management (CRM) systems whether for a first time implementation or to improve what you already have in place, we can make sure you know …

A]  Which CRM system is the right one for you at your current stage of development, with your people and with your plans going forwards?    Is it …

  1. Your Practice Management System (PMS) supplier; 
  2. Microsoft CRM;
  3. LexisNexis InterAction
  4. Conscious (Sugar CRM)
  5. SmartCRM
  6. Microsoft CRM4Legal
  7. Microsoft xRM4Legal
  8. Sage Sales Logix / e-metis
  9. SalesForce
  10. Tikit ClientConnect
  11. Thomson Reuters’ Hubbard One
  12. CDC’s Pivotal; or,
  13. Do you think you should build your own? 

These are the key players in the legal sector right now, but how do you know which is right for you? We can save your people a lot of time in researching and evaluating all these options as we already know their strength and weaknesses in features, implementation and usage.

B]  How your people should make most effective use of CRM within the business?  This should of course be decided before you buy a system to meet your needs, to make sure you make the right selection.

We can help you make the right decisions to get your people actively engaged in using CRM effectively and earlier than if you try to handle all of your CRM projects internally.  External objective involvement in these projects makes a crucial difference for the better.

If you want to find out more … call Allan Carton on +44 (0)161 929 8355 or complete this contact request form suggesting some times to talk and I will call you.

Feb 29

Accountants have to work harder too

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ACCOUNTANCY firm RSM Tenon has seen a drop in revenues and an increase in debts but insists the underlying business remains resilient in a “challenging market”.  The firm, which has a number of offices in the North West including a large operations in Manchester, Preston and Chorley, saw its chief executive Andy Raynor axed at the end of January as a result of “disappointing” financial performance. Now with the release of its interim results for the six months to the end of 2011, the size of the task facing his successor Chris Merry has become apparent. Revenue is down 9.3% to £107.8m and net debt is now £76.5m compared to the 2010 figure of £73.3m. 

The firm also reports a loss on continuing operations of £70.6m after impairment of goodwill of £60.7m.  On the plus side the firm says it has agreed in principle bank facilities of £88m to October 2012 and is having positive negotiations regarding long-term funding. Chairman Adrian Martin said: “Significant progress has been made since our 23 January 2012 trading update.

The financial review has been completed, the prior year accounts restated, funding is in place to October and a new CEO has been appointed. Our executive team is fully focused on restoring the business to profitability.” Merry added: “Our underlying business performance has been resilient in the face of a tough market environment. We have a clear action plan to drive near- term profitability and cash generation. “The majority of our revenues and cash generation arise in the second half of our financial year and this trend is set to continue. RSM Tenon is fundamentally a sound business. It now has a solid base to build for the future and to deliver an appropriate return for shareholders.”

Courtesy of TheBusinesssDesk

Feb 28

If you don't have a meaningful marketing plan to enable you to be proactive, it's time to get one now

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In today’s economic climate, to enable your practice to be proactive in tapping into opportunities as the market for legal services changes, every law firm needs a meaningful marketing plan so everyone (even if it’s just you) knows what has to be done, when, with the time set aside to make it happen.

A marketing plan lays out the steps you’ll take to create the business you want.  Think of it as a to-do list, to move your practice the first steps towards your vision of how you want to see your business in a few years time and to achieving the goals you have set for your practice.  It converts your business strategy into the actions you (and your colleagues) have to take to make it happen.

The plan will assign specific tasks to individuals (even if it’s just you) and give them a sequence, timescale and deadlines to achieve them.  It’s not rocket science, but it needs to be done, which takes time, discipline and some detachment from day-to-day work to get it done.

An effective marketing plan requires you to take a step back to review you business afresh (and your strategy) to make sure you have all the components and resources lined up to enable you to achieve the objectives you have set.

So you can get focused and get anyone else involved that needs to be, it will make clear and very specific: a)  What you want to achieve with in the next 12 months (your business plan and strategy should be for a longer period of say 3 to 5 years); b) What steps you and your colleagues are going to take to make it happen; c) The resources you realistically need to do it – so you can make sue they are available and committted (otherwise it won’t happen); and, d)   The key actions you and colleagues will take each month, week and as a matter of daily routine to help keep the momentum and perisistence that is needed going.

Even now most smaller firms don’t have a meaningful marketing plan.  To get something in place that is workable is not a big job – particularly if you are prepared to get a third party like us involved who can lead you through the process with candid, objective insight.  Gathering even just a little feedback from clients and referrers you want to work with can make the exercise invaluable – it enables you to make decisions about what to do faster, with confidence.

For more information, contact Allan Carton  We can get you started (which could be just a half day or our time to get you on the right track )and provide you with guidance (online, by video conference, with telephone support) as you work your own way through the process or we work with you to take you through the process.  It’s your choice on what is most cost effective for you.

Feb 09

Good pointers – where to start with "lean thinking"

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If you’re on LinkedIn, it’s worth checking out the comments in this discussion about first steps in introducing lean business processes.  For us, getting leadership from the top and engagement with the people doing the work are the key to implementing lean, focused on improving the working environment, reducing stress, reducing costs and delivering better value to clients.

http://lnkd.in/pwu6zK Some background here about our work on lean in law firms.  To find out more and how we could start to work with your practice, contact us here or call +44 (0)161 929 8355.

Jan 04

30 Successful solutions to make 2012 a good year for your practice

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2012 will see very significant change in the UK legal sector, when lawyers will need to be more agile, pro-active and innovative than ever before in developing the practice.  However, with the right focused initiatives and conviction to see them through, it could be a very good year for you.

For information on 30 pragmatic solutions that could help you implement your strategy during the year ahead please complete this contact form .   These solutions (number in each area in brackets) will help you to:

  1. Improve financial performance, strengthen your position in merger discussions, get more and better terms from your bank  (4)
  2. Improve your return on investment in IT, reduce cost of ownership, improve integration and user adoption … and productivity (4)
  3. CRM: Create new business opportunities through proactive management of client relationships, produce better results when adopting CRM “systems” (6)
  4. Reduce operating costs to improve bottom line profits, also improving service to clients. (5)
  5. Control manageable risks that impact on the performance of your practice (5)
  6. Adopt cost effective solutions for marketing & promotion (6)

To discuss your plans in any of  these areas informally and in confidence, please call Allan Carton on +44 (0)161 929 8355 or complete this contact form suggesting the best time/s for him to contact you.

Jan 03

Stay in the Driver’s Seat – Agile, pro-active and innovative law firms are winning

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Leaner and better managed firms are making their mark now as they benefit from the fallout from less successful firms that have struggled to manage their practice effectively and just can’t carry on any longer.  The most recent examples in Leeds and Manchester …

Brooke North - 3 January

One of Yorkshire’s oldest law firms, Brooke North, has closed after being hit by the recession. All 15 lawyers at the Leeds-based practice, which is thought to have been established around 150 years ago, have found work at other firms. Rodney Dalton, a senior figure at Brooke North for 16 years, said the effects of the economic downturn and the firm’s business model had impacted on recent performance. 

Mr Dalton said Brooke North’s approach of offering a bespoke service for its clients across different areas of law, rather than a “one stop shop” for all its clients had actually had a negative effect. This was because many of its owner-managed business clients had stopped using the firm when the recession hit as their own organisations had been impacted by the downturn and other work hadn’t filled the gap, he said. “If you add all that up it doesn’t present a particularly encouraging picture,” Mr Dalton said. “We tried to do a deal with our landlord to enable us to continue, albeit in a slightly different format. But unfortunately we couldn’t do a deal.  “We then looked at ourselves and another problem was there was little opportunity of a solution across the board. We didn’t have the bulk stuff such as second mortgage items to fall back on.

“We prided ourselves on giving a bespoke service to individual clients. The recession just slaughtered us.”  Mr Dalton, a property expert who has joined Lupton Fawcett following Brooke North’s break-up, said the firm had considered a merger with another firm but had decided against the move. He also claimed the firm had been approached itself by suitors in more prosperous times. “All we could see is that in 2012 we’ll be looking back at 2011 and saying that was a good year,” he said. “In the long run a takeover might have done us less good than a break-up has done. This has given us the opportunity to negotiate our own deals.”  The majority of the remaining staff at Brooke North, which numbered around 30, have found work elsewhere.

Rowlands Field Cunningham – 22 December

LAW firm Linder Myers has bought the business and assets of fellow city centre firm Rowlands Field Cunningham from administrators.  Insolvency firm MCR were appointed as joint administrators of Rowlands Field Cunningham on 22 December.   Linder Myers has said the deal will create a £16m-turnover business with almost 300 staff, including 43 partners. It will take on all 80 former Rowlands Field Cunningham staff currently operating out of offices on York St in the city centre and in Swinton.  The last filed accounts for the 12-partner Rowlands Field Cunningham show that the firm had a turnover of £4.8m in the year to April 30, 2010, but no profit was declared.

Rowlands was established in 1887 and only merged with Field Cunningham just over a year ago – a deal which was described at the time by managing partner Jon Andrews as “a very good fit”. However, the firm is understood to have since suffered with cashflow, which eventually led to it appointing administrators.  Bernard Seymour, managing partner of Linder Myers, who will head the enlarged practice, said he expects to achieve turnover of £16m in the next financial year and £20m within 18 months.

Earlier this year, Linder Myers bought an eight storey, 47,500 sq ft building at 55 Spring Gardens for its new headquarters building. It paid £8.1m.  Mr Seymour added that Linder Myers would continue to seek further mergers in Manchester and was in discussions with a number of potential targets.  “This is our biggest merger to date. It will give us greater critical mass and expertise, and will enable us to penetrate better in some markets,” he said.

Berkson Wallace from Ellesmere Port in administration, June 2012

Founded in 1902 fell, based in Ellesmere Port with work across the North West, employing 12 staff and posting turnover of about £400,000. It has been run by its current partnership team since 2006 and specialised in property transactions, personal injury and matrimonial matters.  Skelmersdale-based Refresh Recovery, which is currently managing the firm’s affairs, said it had suffered under a downturn in the property market and general economic malaise. “Prior to administration, most of the clients’ files transferred to other firms of solicitors,” Refresh told Insider. “All staff at the Ellesmere Port office, including the partners, have been dismissed but most of the staff in the Wallasey office transferred to another firm.”

Courtesy of  TheBusinessDesk