A growing, successful law firm was struggling with financial performance. Partners failed to understand the impact their behaviour was having on the business. The Finance Director had tried everything and was tired of standing up at partner meetings and saying how important it was for partners to record time and invoice quickly.
We asked the finance director to stop berating partners each month, as it had become a habit and he was being ignored. Working with the FD we suggested a range of measures that would draw partners attention to the issues of cashflow and the impact of poor profitability.
All partners had a day out of the office running a simulated practice where they were responsible for strategy pricing, bidding and cash management. Some went bankrupt and all then understood how the practice finances actually worked.
- Fees on account initiative instigated across all service lines
- Impact of 5% uplift on fees (recovery of disbursements etc) rolled out
- Coaching with each team to follow up financial performance
- Workshops to build confidence in fee negotiation
- Fee income grew by 7%
- Profitability grew by almost 20%
- Financial Director grateful!
This was one of the most informative and enjoyable training sessions I have ever attended in my professional career