How Law Firms Can Leverage Their Relationships With Alumni (Including Those Not Leaving of Their Own Accord) and Why It Matters

From Guest Blogger Kate Neville of Neville Career Consulting, LLC – why keeping good relations with firm Alumni is important: 

A. Challenges of the New Economy

In 2009, more people were laid off by more firms than had been reported for all previous years combined.1 Letting attorneys go in significant numbers is not something large law firms have had a great deal of experience with until recently. Standard practice in most large law firms had been to retain attorneys until a partnership decision was made. These firms did so in part because they feared the reputational stigma attached to firing one of their own; as one blog explains, the “vast majority” of prospective lawyers “turned up their noses at firms…[that] laid people off.”2

How quickly times have changed. Despite the novelty of big firms having to let their attorneys go, it still comes as a surprise how poorly some large law firms have handled the process of layoffs over the past year. To be fair, firms made these decisions under great stress and uncertainty, when the risk of total firm collapse existed and in fact happened to some, which certainly influenced the choices they made.  Many firms insist that they have only let attorneys go for performance rather than economic reasons, even when it strains credulity. It is difficult to believe that a firm suddenly realized, all at once, that dozens of its attorneys had sub-par performance, particularly when some of those lawyers were recently made junior partners, or when those attorneys were in their first or starting their second year of practice.

Most analysts (and other attorneys in private conversation) recognize that these lawyers would never be let go in a stronger economy as long as they made money for employers. To their credit, some firms forced to make layoffs have stated this explicitly and expressed regret at having to say goodbye to respected colleagues.  Even at firms that have been up front about the economic necessity of layoffs, however, stories abound of attorneys being given almost no notice, little or no severance, and no assistance in securing a new position.  Departing associates have told of working closely with a partner for years, only to receive an email message in farewell.  In a few cases, attorneys have been shut out of the firm’s computer system while they were being given the news, and others have been immediately escorted out of the building with their personal items forwarded separately by messenger. Such jarring departures, while common in investment banking and internet start-ups, had been unheard of for members of the bar in good standing whose only misdeed was that they were caught in a down legal economy.

Certainly, not all firms have handled things so poorly. Indeed, some have worked to create a “soft landing” for their attorneys who have been laid off. These efforts have typically included providing career counseling and outplacement services, offering appropriate severance packages, making office space available, and keeping attorneys’ phone lines and email accounts active.

By far, the most helpful — and loyalty engendering– thing a firm can do for its former attorneys is to make calls on their behalf and provide contacts who are knowledgeable about opportunities for the individual now looking. In the past, once it was decided that a senior associate was not going to be made partner, almost all large firms made an effort to place the individual in a position with a client or somewhere one of the firm’s partners was well known. While some individual attorneys have asked for and received this type of help in the past year, the courtesy has not been extended as a matter of practice to attorneys told that they no longer have a position with their firm.

There is of course no public data on which firms did what in the process of letting go of attorneys, so it is impossible to calculate how things were handled by the field as a whole.  Nevertheless, it remains clear that in the face of hard times and increasing financial pressures, it is in a firm’s interest to avoid unnecessarily aggressive, and arguably self defeating, approaches to downsizing their workforce.

B. The Business Rationale: Why It Matters

As one large firm associate noted in early 2009,

I remember back in 2003, one of my colleagues was laid off from our firm, and they provided him with six months’ salary and hired a professional career consultant/placement agent to help him land safely.…This firm did all the right things, including telling him that it was purely for economic reasons and not performance related. The rewards to the firm were obvious — he joined the in-house legal team of a Fortune 50 corporation, and still looks back fondly at our former firm despite being laid off.3

The absence of far-sighted strategies on the part of some large firms in letting attorneys go exists, of course, in large part because firms are under pressure to save money—the driving force behind the layoffs in the first place. Economic conditions have changed drastically since 2003 — firms no longer feel flush, there is no reassurance that business will increase in the near future, and fewer Fortune 50 corporations are hiring.

It seems that, in their rush to adapt to changing economic conditions, decision makers at some firms may have lost their long-term perspective. In some cases, administrators in charge of marketing and business development have made the case internally for substantive severance packages in order to maintain goodwill among departing attorneys only to be turned down by managing partners or others on the management committee.

The question remains at what cost firms make these decisions. Eventually the downturn will end. Law firm alumni will find jobs somewhere, very possibly with potential clients, and firms will get back into hiring mode. Consequently, it makes economic sense for firms to handle layoffs sensitively and to do as much as they can for outgoing employees in the midst of tough economic times.

When firms insist on claiming performance issues and treat their former employees so poorly, it not only poisons the relationship with the individual but also can quickly ruin the firm’s reputation with that individual’s former colleagues, clients, and fellow alumni. These procedures and processes — or the lack thereof — also mean that a firm assumes the risk of driving away future candidates and causing prospective clients to question the firm’s judgment, placing its future in jeopardy. It is difficult to see a rationale for some of the problematic things firms have done.

Accounting firms and management consulting firms have for many years invested in maintaining good relations with their former employees. They have, of course, not done so out of the goodness of their hearts but rather because it has proven to be good business. Through measures such as developing alumni networks to keep in touch and developing programs that attract alumni to remain engaged with their former employers, these companies regularly develop future business contacts and promote loyalty and goodwill that can help attract top candidates and clients in the future. The business argument that has persuaded business leaders across industries to maintain good relationships with their former employees follows.

First, attorneys already have a lifetime affiliation with a firm for which they have worked because the firm is always on their resume. When asked, as will be the case in almost any new position, alumni will of course speak more highly of the firm if their departure is handled well. The reverse is also true.

Second, the market will improve at some point, and firms will again compete for talent.  It is much less expensive to rehire people who have already been trained by the firm than to invest the huge sums that firms have traditionally put into their recruiting programs or paying recruiters to hire laterals.  Alienated former employees will not want to return and, even if they do, are not likely to perform at their best. In addition, any negative information about a firm will impact future law student candidates who often listen closely to the experience their school’s alumni have had with a firm. These recruiting circles are small.

Third, especially in a tough economy, it is critical to leverage relationships for business development. A firm has no way of knowing where its former attorneys will end up; and, if they happen to land in a large potential client’s office, their opinion of the firm matters a great deal. Conversely, if attorneys retain a positive view of their experience there, the firm could have much to gain.

Law firms have an opportunity to learn from corporate America and recognize that it is always good business to create a web of connections and to invest in developing positive relationships among people. Over the past year, only a limited number of law firms have seemed to understand that it is in their interest to help their attorneys land well.

C. What: Programming For Big Impact With Little Dollars

The lack of foresight many firms have demonstrated in how they let attorneys go is not only due to pressure to save money but is also explained in part by the legal field’s record of lagging behind other industries in developing and leveraging alumni networks.  Some law firms have taken the lead in developing such programs in recent years, but making the case for a law firm to develop procedures to maintain goodwill with their attorneys on their departure and going forward will likely be an uphill climb in the current economy. Virtually all businesses are concerned about how to do more with less, so law firm leaders are likely to question what can be done when most are already having to make budget cuts.

Even though law firms lack the infrastructure that other industries have created, measures to maintain good alumni relations do not need to be cost-intensive. At their core, successful networks are a combination of strong communications, networking, and follow-up. As other industries have learned, such programming is all about relationships; and, while it may be nice to have money to support them, hosting receptions and other costly events is not the only option.

In fact, inviting alumni to a law firm social event may not be the most effective route to maintaining good relations with attorneys who have been asked to leave. In one example, associates who had been laid off received their firm’s alumni end-of-the-year newsletter, which included an invitation to the firm’s holiday party. To its credit, the firm was making clear it considered these former employees to be just like other alumni of the firm, but several of the laid-off attorneys expressed incredulity that the firm that fired them now wanted to celebrate the end of the year with them. Further, the firm seemed to lack sensitivity when the letter it sent went on to tout how successful the firm had been that year — one in which it also laid off 55 attorneys, all of whom were receiving this news.4

Other kinds of interaction could prove to be both more productive as well as less expensive than formal events. Particularly when administrators within a firm have seen their responsibilities expand because fewer people are left to do the work, the measures a firm is most likely to adopt are those that will not require much additional work. A few lowcost examples of steps to maintain good relations with law firm alumni follow.

First, the loyalty-engendering practice mentioned above — of partners giving departing attorneys contact information for those who are knowledgeable about the individual’s field and making calls on an attorney’s behalf — costs nothing but a little time. Particularly since it has now become standard practice solely to confirm dates of employment, law firms willing to reach out on an individual’s behalf, give candid recommendations, or at the very least provide an objective reason for the departure, will stand out among their competitors.

Second, a firm can piggyback the steps it takes to develop alumni networks onto other initiatives already being undertaken. These can include incorporating alumni into client seminars and events, offering discounted continuing legal education (CLE) programs to keep bar memberships current, and inviting alumni to program events already planned as part of women’s or diversity initiatives or of particular practice areas.

Third, a firm can inexpensively create an alumni directory, keeping email addresses and other contact information updated so that individual alumni can reach out independently to one another. Maintaining such a directory provides a fair-value exchange for the firm, which gets up-to-date employment information and business leads.

Fourth, disseminating job postings has been a low-cost item that many attorneys have appreciated in firms that have begun this practice. The firm’s clients are often happy to have applications from alumni, and posting positions of which a firm’s individual attorneys are aware helps build their personal networks as well.

Finally, in headier economic times a number of firms developed a component of their websites specifically dedicated to alumni of the firm, but creating a firm-specific alumni group on Linked In and Facebook can achieve similar results at lower cost. Content is typically driven by determining what information alumni want, which has included career programs (webinars, conference calls, or in-person) and allowing alumni to opt in to different newsletters that practice areas put out with practice/industry-related news.

The future hiring model for large law firms remains up in the air, and the rise in the use of contract attorneys may change these equations so that law firms make money without modifying the way they let their attorneys go. The return on investing in continuing relationships will be great for firms that still want to compete for top talent and loyal clients.

For those firms that want to compete but might have handled layoffs in ways that were less than productive last year, future success will largely depend upon senior management creating a culture that recognizes the value of strong relationships and leverages opportunities to maintain them.


1 “The Year in Law Firm Layoffs – 2009,” LawShucks. According to the blog LawShucks and as cited in the ABA Journal on January 8, 2010, 4,633 lawyers were laid off at 138 large firms.

2 Ibid.

3 Anonymous posting to Above The Law, February 5, 2009.

4 As posted on Above The Law, December 8, 2009.

© 2007-2010 Neville Career Consulting, LLC

Posted by: Kate Neville

Kate Neville, Esq., a Harvard Law graduate, is founder of Neville Career Consulting, LLC, which provides guidance to attorneys considering a job change or career transition, whether within the practice of law or to another field.She began her career practicing law at Simpson Thacher & Bartlett and as an in-house attorney for New York City government before shifting to positions in management consulting and policy analysis. After serving as an advisor in Georgetown Law’s Office of Career Services, Kate decided to use her experience to help practicing attorneys identify the full…

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Hope for a Silver Lining in the Legal Employment World

From Guest Blogger Kate Neville of Neville Career Consulting, LLC – thoughts on the Legal Employment Outlook:

Attorneys who have been laid off or who cannot find a job after graduation have plenty of reasons to be disappointed and resentful–they have invested a great deal of money, time and effort to get where they are professionally. It is important to remember, though, that these feelings are not uncommon to lawyers who are actually in the sought-after big-firm jobs. Indeed, stories of unhappy attorneys at large firms are nothing new; they continue to drive traffic to numerous blogs and websites, such as Above The Law, which has covered in detail the panic attacks, ulcers, and other stress-related issues of which large firm attorneys often complain.

When economic times are booming, attorneys typically have gotten jobs at large firms almost exclusively based on their law school, their first year grades, and their ability to play well with others over the course of a summer. Rather than the result of thoughtful consideration whether they are a good fit for a big firm, many new attorneys accept these jobs as the path of least resistance. And while some love their experience at large firms, the hiring decisions often result in a mismatch as a significant percentage of these lawyers routinely become miserable after they begin to work there on a full-time basis.

Among those considered the lucky ones — both new and experienced attorneys who have large firm jobs — a not uncommon thread continues to be, “The idea that I might still be doing what I’m doing now for another ten years is frightening to me…I’m so bored, and when I look at the life more senior people lead, I do not want that in my future.”

A considerable number of large firm attorneys who feel this way nevertheless spend several years mulling over their situation before taking any action to address it. This inertia is often based in part because many seasoned lawyers have never looked for a job before — they went from college to law school and then were recruited by firms — and are not sure what else to do. And, of course, the firm salary has made it easier to defer making a move.

The current economy has changed that calculus. For many attorneys at large firms, the current market is accelerating the timeline of their departure, albeit to a time they would rarely choose independently. Rather than lament the loss of the pre-recession system, however, it would be nice if some constructive changes could come from the current pain. As businesses, large firms might adjust their hiring practices to become more effective. As institutions, law schools could help students learn the skills necessary to succeed at a firm, such as interacting with clients, working as part of a team, and business development. As individuals, attorneys who have been laid off or are unable to secure a law firm job can hopefully take advantage of an opportunity to investigate the range of their professional options and determine which might prove to be a good fit, now and in the longer-term.

The pain unemployed lawyers are feeling should of course not be minimized. It is difficult to consider being laid off a “blessing in disguise” under any circumstances, and particularly not when recent graduates bear significant debt and questions about how those loans can be paid off by people without jobs remain unresolved. Similarly, as fewer options are available at the moment for more senior attorneys who have been laid off, they have to focus on how to pay mortgages and college tuitions, and often on how long their savings can support them.

For a substantial number of lawyers, the real challenge to getting out of their current situation and moving ahead remains taking charge of their careers to learn about their options and make knowledgeable career decisions. For better or worse, this is rarely something attorneys at large firms do. Many lawyers who always wanted to practice law get frustrated with large firm life and take the first offer they get to leave, sometimes becoming dissatisfied all over again. Other attorneys who went to law school to “keep their options open” remain unsure after years of practice what those options are or how to pursue them.

Now is the time to find out.

For attorneys having difficulty finding a job, it pays to keep in mind the following as they move forward with their searches:

IT’S NOT YOU, IT’S THE ECONOMY

Because of the recession, being laid off or graduating without a job is no longer the black mark that it may have once been. It is fairly obvious that law firms — even those who continue to claim that their layoffs are performance-based — would never have fired these attorneys in a better economy. Similarly, a decision to rescind offers to new graduates has nothing to do with the performance of those individuals.

CAST A BROAD NET

It is in a lawyer’s interest to cast a broad net when looking at potential options. Whether expanding the search to include non-legal and quasi-legal positions or different geographic areas, being flexible increases the chances of landing a job. One job does not have to dictate the rest of a career. Further, many people report that some of their best work experiences proved to be in jobs that they never thought they would take when they first heard about them. For example, an attorney who initially scoffed at compliance as “checking off boxes” eventually accepted a job as a compliance officer only to discover that the management and policy issues inherent in ensuring compliance within the company were quite compelling. She ultimately found her work there much more satisfying than her large firm position litigating multi-million dollar cases.

IMPROVE INTERVIEWING SKILLS

In bullish markets, many lawyers have gotten good jobs without ever needing strong interviewing skills, but in the current market, those skills have become critical. Since many talented professionals are now in the market for jobs they otherwise would not have pursued, lawyers cannot assume they are attractive candidates by virtue of their credentials or intelligence. They need to make the case for themselves — why they are genuinely interested in a position and how their skills and experience make them a good fit.

NETWORK EFFECTIVELY

Another important difference from flusher times is that headhunters no longer routinely call with a range of opportunities. Instead, sitting behind a computer and applying for postings has become the most common method of job searching — and that is where many attorneys are most comfortable. It turns out that this strategy rarely works, however, because most jobs are never posted. The vast majority — most statistics cited say over 80 percent–of jobs are gotten through networking, which is not necessarily a skill most lawyers have. While it is possible to do quite well in law school without interacting with other people, much less having to make a good impression on them, learning to network is key to success in a job search and as a professional.

AVOID VENTING

The importance of networking in a job search complicates things for many attorneys who have been laid off or searching for some time. Being upset at your current situation can cloud your judgment, and it is critical to remember that pouring out your heart or taking out your frustration on people who are in a position to help you professionally is a self-defeating strategy if ever there was one.

DEVELOP A ROUTINE

It can be helpful to treat a job search as a job in and of itself — ideally, a job with good hours: 9 to 5 with a break for lunch. Even if those hours are not feasible given the need to bring in some income, developing a routine is important. While something can fall into a strong networker’s lap at any time, six months proves to be a good case scenario, and many searches take significantly longer. Use this window of time productively rather than procrastinate and get stuck.

Posted by:

Kate Neville, Esq., a Harvard Law graduate, is founder of Neville Career Consulting, LLC, which provides guidance to attorneys considering a job change or career transition, whether within the practice of law or to another field.She began her career practicing law at Simpson Thacher & Bartlett and as an in-house attorney for New York City government before shifting to positions in management consulting and policy analysis. After serving as an advisor in Georgetown Law’s Office of Career Services, Kate decided to use her experience to help practicing attorneys identify the full…

202-997-9854

Three Keys to Increased Client Retention

Business of Law Guest Blogger Sarah Johnson of PDI Global discusses Three Keys to Increased Client Retention

Client retention is one of the top issues facing law firms today. Yet, for many firms, client retention is an uncoordinated and inconsistent effort. As a result, they lose both clients and revenue.

But smart firms know that retaining clients is critically important, especially in today’s highly competitive environment. Smart firms are placing a high priority on the three key elements of client retention: providing exceptional client service, adding value and being proactive.

Providing exceptional client service

Clients hire a firm because they expect great service. But clients remain with a firm because they receive exceptional client service. (Hint: This goes way beyond just providing the project deliverable on time or returning client calls and e-mails.)

To provide exceptional service, you need to fully understand client expectations. Because these are subjective, they will be different for every client. So start by directly asking clients what they expect in terms of deadlines, service quality, project outcomes, progress reports, communication and other factors. Then continually evaluate how well you’re meeting those expectations. 

Exceptional client service doesn’t stop with the partners. Firm leaders should communicate client expectations down throughout the firm so everyone involved with the client knows what’s expected and works to deliver that.

Adding value

Your clients need to feel they receive the maximum amount of value for the money they spend with your firm. But as professionals who live by the billable hour, we often start and stop the clock every time we pick up the phone or respond to an e-mail. This can lead us to equate the level of service we provide with the amount of time we spend on a client.

But clients define service not by how much time you spend on them but by how much you show that you’re invested in advancing their long-term success. Depending on the individual or company, this can mean different things. Some ways to show value might include:

  • Introducing them to other professionals who can help them solve a business problem or challenge,
  • Spending an hour to educate them on how to do their job better, or [gasp]
  • Giving them a free assessment or advice. 

Remember that the client is ultimately the one that defines the value, so start by asking them what that means to them and then make sure you follow through.

Being proactive

Clients don’t know what they don’t know. They’re looking to you as their trusted advisor to tell them what they need to know about matters that affect them and what steps they might take to achieve their objectives.

Oftentimes we expend a lot of time and energy when we are courting a potential client to show them what we will do for them, only to forget about our promises once they have signed with us. Proactively bringing ideas to your clients will not only help you retain them and add value to the relationship, but it may also help you generate additional opportunities for business. So what are ways you can be proactive?

  • Share articles, blogs, videos or podcasts of interest that will expand their knowledge.
  • Schedule regular meetings to discuss their business (not your services) to better understand what they might need in the coming year and then help them achieve that.
  • Bring them ideas that will help them succeed, even if it’s not one of your services.
  • Do you have a new or innovative approach to a common issue they might face? Share it with them.
  • Have you completed an industry survey recently? Schedule a meeting to share it with them.

If you aren’t doing this but your competitors are, clients may begin to question their relationship with you. Therefore, whether it’s through one-on-one conversations, a newsletter, a blog or some other media or forum, make sure you’re proactively providing ideas and information to your clients.

Building a loyal client base

Practicing exceptional client service won’t just help you retain your clients. It will also help you uncover new opportunities to generate revenue from them. By giving clients what they want and working to advance their success, you’ll secure your client relationships, win client loyalty and boost your success, too.

© 2010 PDI Global Inc. All rights reserved.

Sarah Johnson is the Director of Marketing Consulting Services for PDI Global and a marketing consultant to law firms. A highly accomplished marketing professional with a passion for success, Sarah excels in advising CPA, law and other professional service firms on ways to realize more of their profit potential. She is especially adept at identifying growth opportunities, formulating business development strategies, maximizing human capital and working with clients to meet the challenges involved in implementing change.  www.pdiglobal.com

Why Information Architecture Is The Most Important Part of Designing a Website

Plan & Organize that Website Early

Today’s National Law Review Guest Blogger Jeff Roberts of Moiré Marketing Partners explains Why Information Architecture Is The Most Important Part of Designing a Website:

You just bought a parcel of land and are planning to build a brand new home, your dream home. Would you start building this home without an architecture or floor plan? I would hope not. And the same goes for building a website.

Blueprints are to a house, like sitemaps and wireframes are to a website. Information architecture requires a significant amount of hours of research and discovery long before the designer touches the canvas with their interactive tools. Eliminating this step will create a website that is not targeted to any research or your audience, a site that’s not user-friendly and lacks strategy. At Moiré, we believe design without strategy is just art. This results in project scope-creep, missed deadlines and unhappy clients!  Full Text:

http://natlawreview.com/article/why-information-architecture-most-important-part-designing-website