Law Firm Governance and Measurements of Success
Gain vital insight into current law firm governance models, where they are going wrong and how they can be improved to secure sustainable growth.
With increased demand for efficiency, value added services and effective governance, a ranking based simply on revenue is not sufficiently compelling.
Having an effective governance model and the right measures of success in place are now vital to secure sustainable profitability for your firm.
This report on Law Firm Governance and Measurements of Success provides a vital examination of:
+ New governance models for law firms of different sizes and complexities;
+ Law firm growth stages and the structural changes necessary to succeed;
+ Overcoming the cultural barriers/issues involved with changing your governance and/or measurement systems;
+ Current measurements of success - internal and external;
+ New medium and long-term success metrics to better support long-term thinking, and payment and reward structures;
+ Attracting clients and external investors through effective reporting of your firm’s success; and more...
Peter Blair, former first chief operating officer of Field Fisher Waterhouse provides cutting-edge analysis on The Lawyer’s top 200 firms by examining what creates their success.
Peter evaluates whether the measures used are effective and demonstrates how by using alternative metrics you can boost your rankings.
Featuring real-life case studies this invaluable report provides a vital insight into current law firm governance models, examines where they are going wrong and how they can be improved to secure sustainable growth.
Table of Contents
|About the author||vii|
|Part one Effective Governance Models and Measurements of Success||xi|
|Chapter 1: The norm – Or law firm 1.0||1|
|Chapter 2: Other models||7|
|The US model||9|
|Alternative business practices||9|
|Chapter 3: 21st century governance – Or law firm 2.0||13|
|The small firm||13|
|The medium-sized firm||16|
|Example – Firm C||18|
|Supporting the business||19|
|The larger law firm||20|
|Partnership or limited company||23|
|Chapter 4: Roles in the law firm||25|
|Non-executive board members||32|
|Other members of the board||32|
|Chapter 5: Change management||35|
|Chapter 6: Current measurements of success||39|
|Example – Firm B||41|
|Example – Firm X||42|
|Average changes – 2009 to 2010||43|
|Clifford Chance – Average changes 2009 to 2010||44|
|Chapter 7: Other measurements of success||45|
|Chapter 8: New measurements of success||49|
|Example – Firm M and Firm N||49|
|Example – Firm X||50|
|The starting point – Revenue and PEP||51|
|Net Profit per Fee Earner (NPpFE)||52|
|Net Profit per Equity Partner (NPpEP)||53|
|NPpEP as a percentage of revenue||53|
|Example – Firm H||54|
|Net Profit per Total Staff (NPpTS)||55|
|Summary of new external measurements||57|
|Example – Firm P||60|
|Chapter 9: Improving performance||65|
|Part two Case Studies||67|
|Case study 1: Firm A||69|
|An evaluation of Firm A’s governance structure||70|
|Case study 2: BrookStreet des Roches||73|
|Case study 3: Ashton Graham||77|
|Appendix: Law firm comparison data||79|
Peter Blair is the founding director of Mar-aon Consulting Ltd and works with law firms and other organisations in the areas of strategic planning, governance, risk management and conflict resolution. He also works directly with managing partners and other law firm leaders as an executive coach.
He was the first chief operating officer at Field Fisher Waterhouse LLP and before that worked in a number of roles at The Honourable Society of the Middle Temple (one of the Inns of Court), before working as deputy chief executive and director of finance.
He is chairman of the Trust for Sustainable Living and The Living Rainforest, a leading sustainability charity based in Newbury.