Presented by Cynthia Sharp• Professional CLE Speaker• Attorney Business Coach

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STRATEGIES FOR TAKING CHARGE OF YOUR LAW

PRACTICE

Event Sponsor:

Featuring

Cynthia SharpThe Sharper Lawyer

March 12, 2014Merrillville, IN

March 13, 2014 Indianapolis, IN

@thesharperlawyer

Preliminary Thoughts

•I would be really happy if we could cover the

following:

•I decided to attend “Take Charge” because:

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Strategic Skills

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• Manage client expectations

• Create a culture of client

communication

• Deliver top notch client service

• Develop a powerful & loyal staff

• Stay on top of pending cases

• Minimize daily stress & irritation

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Johari Window

What You Know About Yourself And Everyone Else

Knows Too

What You Know About Yourself But Nobody

Else Knows

What Everyone Else Knows About You But

You Don’t Know

What You Don’t Know About Yourself And

Nobody Else Knows Either

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“Insanity: doing the same thing over and

over again and expecting different

results.”

- Albert Einstein

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Goal Setting Tips

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•Aim high!

•Set specific goals

•Firm deadline

•Don’t allow current results to control

•Know that you are worthy!

•Take action even if you don’t know all steps

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“A lawyer shall act with reasonable diligence and promptness in representing a client.”

Rule 1.3:

Diligence

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Symptoms of Lack of Diligence

• Failure to timely file pleadings

• Missed court appearances/meetings

• Files have grown mold

• Numerous requests for extension

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Causes of Lack of Diligence• Too much

work

•

Procrastinatio

n

•

Disorganizatio

n

• Incompetency

• Personal

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“Procrastination is a mechanism for coping with the anxiety associated with starting or completing any task or decision.”

- Neil Fiore, Ph.D.

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Activity Management Concept - Covey Quadrant

I. Urgent/Important

II.Not Urgent/Important

III.Urgent/Not Important

IV.Not Urgent/Not

Important

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The Ideal Week

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The Ideal Week

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The Ideal Week

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The One Year Challenge

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The One Year Challenge

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What is Your Most Powerful Negotiation Tip?

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Rule 1.4:

Communication

(a) A lawyer shall:promptly inform the client of any decision or circumstance with respect to which the client's informed consent, as defined in Rule 1.0(e), is required by these Rules;reasonably consult with the client about the means by which the client's objectives are to be accomplished;keep the client reasonably informed about the status of the matter;promptly comply with reasonable requests for information; andconsult with the client about any relevant limitation on the lawyer's conduct when the lawyer knows that the client expects assistance not permitted by the Rules of Professional Conduct or other law.A lawyer shall explain a matter to the extent reasonably necessary to permit the client to make informed decisions regarding the representation.

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Communication with Person Represented By

Counsel

“In representing a client, a lawyer shall not

communicate about the subject of the representation

with a person the lawyer knows to be represented by

another lawyer in the matter, unless the lawyer has the

consent of the other lawyer or is authorized to do so by

law or a court order.”

Rule 4.2

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Strong Case Management System

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Develop Rapport

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Ask Open Ended

Questions

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Listen Actively

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Keep Client Informed

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Defining The Terms of Client Service

•Retainer Agreement

•Non-engagement Letter

•Termination Letter

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Retainer Agreement

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•Responsibilities of Lawyer

•Obligations of Client

•Scope of Representation

•Lay Out Stages of Case

•Payment of Costs

•Retainer Policy

•Billing and Payment Policies

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Retainer Agreement

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• Grounds for Withdrawal

• Nonpayment

• Client Misrepresentation

• Failure to Cooperate

• Client Requests Unethical Behavior

• Include Sunset Provision

• New Agreement for Each Matter

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Non-Engagement Letter

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•Anytime You Don’t Accept Matter

•Recommend Second Opinion

•Be Brief and Polite

•Record of Transmittal

•Anytime You Don’t Accept Matter

•Recommend Second Opinion

•Be Brief and Polite

•Record of Transmittal

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Termination Letter

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•Reason for Termination

•Conclusion

•Nonpayment

•Conflict Discovery

•Client Terminates

•Failure to Cooperate

•Reason for Termination

•Conclusion

•Nonpayment

•Conflict Discovery

•Client Terminates

•Failure to Cooperate

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Termination Letter

•How to Obtain File

•Status of Fees

•Client Satisfaction Survey

•Ask for Referral

•Ask for Testimonial

•How to Obtain File

•Status of Fees

•Client Satisfaction Survey

•Ask for Referral

•Ask for Testimonial

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Client Relations

•Welcome Letter

•Client Satisfaction Survey

•Phone Appointments

•Welcome Letter

•Client Satisfaction Survey

•Phone Appointments

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Attorney Competence

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Rule

1.1

“A lawyer shall provide competent

representation to a client. Competent

representation requires the legal knowledge,

skill, thoroughness and preparation reasonably

necessary for the representation.”

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Business Expertise• Business Creator

• Business

Operator

• Business

Innovator

• People

Developer

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Improve Your Law Firm’s Bottom Line

“A buck in the hand in worth two on the books.”

- David Farber

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Significance of Key Performance Indicators

A KPI is any measurement or statistic that is quantifiable, reflects a firm’s goals, and is viewed as key to its short and long term success.

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KPI

•Effective Billing Rate

•Number of hours spent on project by attorneys and professional staff.

•Assists in setting future rates and in ascertaining whether a particular practice area is profitable.

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KPI•Profit/Expense Ratio - This is determined by

dividing gross revenue by partner profit.

•Presume $300,000 gross revenue and $140,000 in expenses.

•Profit/Expense Ratio - 53%

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•Number of New Matters Open This Year

•Presume average matter generates $3,000 in revenue

•Add new matters by increasing conversion rate

•1 new matter per month = $36,000 additional revenue per year.

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KPI

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•CONVERSION RATE

•Number of Consulting Individuals Who Become Clients

•Increase conversion rate through follow up

•Requires follow up

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KPI

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•Number of New Matters for Existing Clients

•Do your clients return for other matters?

•Do you maintain ongoing relationships with clients?

•Data Base

•Newsletters

•Informational Pieces

•Seminars

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KPI

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•Collection Realization Rate

•Percentage of billed work the firm actually collects.

•Divide the amount billed to all clients by the amount of those bills collected.

•Bill 1500/Collect 1200 CRR = 80%.

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KPI

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•Billing Realization Rate.

•Percentage of recorded billable time actually billed to clients.

•Billable time -1700 hours/ Billed time 1500 hours BRR 88%

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KPI

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•Billable Hours

•“A lawyer's time and advice are his stock in trade”. Abraham Lincoln

•$250 per hour

•Additional 5 hours per month = $15,000 per year

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KPI

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• Increase in awareness will improve bottom line.

•Structuring law practice as efficient business increases possibility that practice can be sold in the marketplace, thereby ultimately increasing the attorney’s net worth.

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Building a Practice to Sell

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Leverage Yourself

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MEMOS

•In Ray James Madison

•In Ray John Smith

•In Ray Millicent Daniels

•In Ray Tammy Curry

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“Leadership is the art of getting

someone else to do

something you want done because he

wants to do it.” Dwight D. Eisenhower34th President of the United States

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“The Buck Stops Here”

Popularized by Harry S Truman

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Delegation Dynamics

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•The Fundamental Process

•Delegation Reluctance

•Problematic Delegation

Problems

•Action Plan - Moving

Forward

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Setting the Stage

•Organization Chart

•Regular Staff

Meetings

•SOP Manual

•Culture of Trust

The Fundamental

Process

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Types of Delegation

•BASIC: Expectation is to follow instructions

explicitly

•CHALLENGING: Responsibility for an

outcome

The Fundamental

Process

What can I

delegate?

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The Responsibility Shift

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The Responsibility Shift

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•Review the assignment. Loose ends?

•Clearly define the responsibility to be

assigned

•Who is right for the job?

•Team Attitude

The Fundamental

Process

The Preparation

Phase

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•Specificity as to end result

•Explicit authority (or lack

thereof)Available resources

Set specific deadlines

The Fundamental

Process

The Explanation Phase

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•Confirm understanding of

assignment

•Encourage QuestionsSupport

and Communicate Give

Feedback

The Fundamental

Process

The Conversation Phase

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•Discourage Upward

Delegation

•Watch Out for Re-

delegation

The Fundamental

Process

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Delegation Reluctance

“Old habits die hard.”

~ English Proverb

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•Nobody does it better

•Not enough time

•Fear of Resentment

•Unclear as to Authority

Delegation Reluctance

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Problematic Delegation Styles

Procrastination

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Problematic Delegation StylesMicromanagement

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Problematic Delegation Styles

Dump and Run

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The Mistake Process“Mistakes are a part of being human. Appreciate your mistakes for what they are: precious life lessons that can only be learned the hard way. Unless it's a fatal mistake, which, at least, others can learn from.”

~ Al Franken, "Oh, the Things I Know", 2002

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The Mistake ProcessDelegator

•Private Discussions

•Support with Corrective

Measures

•What is the “Learning”?

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The Mistake ProcessDelegatee

•Confess quickly (if you find the mistake)

•Ask for support where needed

•Create process to avoid similar errors

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MRPC 5.1 Responsibilities Of Partners,Managers, And

Supervisory LawyersMRPC 5.2 Responsibilities Of A

Subordinate LawyerMRPC 5.3 Responsibilities Regarding

Nonlawyer Assistants

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The Reality FocusSelf Assessment Tool

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Work/Life Balance

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Take Charge Plan

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Four Decisions

•Decide what you want

•Decide what you will give

up to get what you want

•Decide to take personal

responsibility

•Decide what value and

service you are going to

offer

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“If you plan on being anything less than you are capable of being, you will probably be unhappy all the days

of your life.”

- Abraham Maslow

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Moving Forward•Did you learn anything new today?

•Did you gain any insight into yourself or

someone else?

•Do you plan to change any of your behaviors

as a result of today’s session?

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Evaluations

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Connect with Cindy

like us follow us follow us share with us

The Sharper Lawyer

connect with us

@thesharperlawyer

The Sharper Lawyer now offers

a complimentary half hour coaching session.

Email Cindy for more details!

cindy@thesharperlawyer.com

@thesharperlawyer

Thank You

The Sharper Lawyerwww.thesharperlawyer.com