Now is not the time to freeze…

“A pessimist sees the difficulty in every opportunity; an optimist sees the opportunity in every difficulty.” Winston Churchill

Big strategic plays are de rigueur! The first few weeks of 2012 have seen merger announcements aplenty, significant external investment in UK law firms, the launch of ABS models that will change parts of the market forever and a renewed appetite for international expansion. These are the headline grabbers, but what about the majority of firms not in the media spotlight? Are they on the cusp of making their own announcements or simply stunned by what they see unfolding around them.

Effective business development = low risk + high trust

The best approaches to law firm marketing and sales share two characteristics: they aim to minimise perceptions of risk and to maximise feelings of trust between the decision maker and the firm.

Fit for Purpose?

“I am not concerned that I have no place, I am concerned how I may fit myself for one.” Confucius

As firms face the twin challenges of continued economic uncertainty and deregulation, those best equipped to prosper demonstrate clear alignment of vision, strategy, market positioning, target clients, internal structures and operational processes.

Have we forgotten about clients in merger discussions?

Law firm mergers are fascinating things. They mix high drama and Greek tragedy as courting parties – initially with uncharacteristic coyness and latterly with a disregard to sensible decision making – waltz towards ultimate consummation. However, much of the discussion is tangential to the real issues at play.

Blue Sky not Required

“Innovation distinguishes between a leader and a follower.” Steve Jobs

A dictionary would support the proposition that innovation is simply introducing something new – nothing more, nothing less. It follows that innovation can take many forms. It can be internal or external and “new” can mean new to a particular use, sector or situation rather than new to the world.

Creating a Clear Line of Sight

“There is only one boss. The customer. And he can fire everybody in the company from the chairman on down, simply by spending his money somewhere else.” Sam Walton, Wal-Mart Founder

The client must sit at the centre of any strategy – those we serve today and those we engineer our firm to target in the future. Without a strategy that delivers superior value for clients at a price which generates sustainable levels of profitability, no firm can survive.

Running faster to stand still

“If you don’t know where you are going, any road will get you there.” Lewis Carroll

“Activity is increasing but pricing is difficult” would be a fair summation of the views expressed to me by Managing Partners over the last three months. Firms across all segments of the market are running faster to stand still. Naturally there is a determined focus on the cost base and efficiency improvements but these do not address the long term strategic issue – in a market in which client demands, competitive forces and investment requirements are spiralling upwards, it is not enough to increase intensity without clear direction.

Innovation Imperative

“Do not go where the path may lead, go instead where there is no path and leave a trail.” Ralph Waldo Emerson

Innovation can take many forms. Delving into a dictionary would support a proposition that innovation is simply introducing something new – nothing more, nothing less. Business innovation is also highly contextual; in many instances that which is considered innovative is not new to the world but rather to that industry.

Changed Minds

“My dear friend, clear your mind of can’t.” Samuel Johnson

The challenge of change remains the most pressing issue facing firms. Overcoming longstanding, deeply held assumptions about the way in which a professional should, or can, operate is the cultural roadblock that many need to overcome.

Leading by Example

“Time is neutral and does not change things. With courage and initiative, leaders change things.” Jesse Jackson

Leading a professional services firm can be an unenviable task but strong leadership, setting a clear sense of purpose and direction for the business, has never been more important. What is also crucial is that leaders, by their actions rather than their rhetoric, create an agenda for change and demonstrate the high levels of energy and resilience needed to alter the direction of their businesses. They need to walk the talk and be seen to do so!