Professional Marketing Blog
by Larry Bodine

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  Sunday, January 25, 2004


The most colorful presentation at the Marketing Partner Forum so far was the panel of in-house counsel, who discussed what a law firm would look like if *they* designed it.  Deborah Ackerman, VP and GC of Southwest Airlines, described a law firm that would be run like SWA.

 

Remember that SWA has high employee productivity, low turnover, high morale, and flies 64 million passengers to 60 locations.  The last time I flew on Southwest, it was great.  The Chicago to Las Vegas flight had attendants wishing passengers happy birthday and passengers all singing along together.  It was a fun flight.

 

Ackerman said a law firm run like SWA:

  • Would be the low-cost producer
  • Have excellent service
  • Focus on clients as customers and not as a legal matter
  • Have no layoffs
  • Have an annual chili cook-off
  • Have a tradition of fun.  Halloween is a major holiday at the headquarters, and everyone comes to work in a costume, including the CEO.
  • Relax the dress ode.
  • Be family-oriented.  There is no expensive artwork on the walls of SWA.  Instead there are pictures of employees with their families, pets and hobbies.
  • Display "brag boards" everywhere where employees can put up notes about their own and their kids' accomplishments.
  • Have many employee recognition programs.
  • Establish an Employee Catastrophic Fund to help employees in cases of an uninsured loss or serous illness.
  • Communicate in a timely fashion to employees
  • Senior partners give hugs and praise from to staff as a daily occurrence.

OK, this is a total fantasy.  There will never be a law firm run like Southwest Airlines,  because law firms care about partner profits, not employee happiness.  The employees are there to serve the partners and help the firm make more money.  Law firm goals are to move up the chart of the AmLaw profitability tables.

 

So call me a curmudgeon: there will never be a law firm run like Southwest, but we can dream.


11:00:56 AM    comment []

One message came through loud and clear at the luncheon panel here at the Marketing Partner Forum in Orlando: diversity counts now.

 

Lloyd Johnson, publisher of Chief Legal Executive, opened the panel with some statistics: in 1996 there were 40 women general counsel and 5 minority GCs at Fortune 500 companies. In 2003 there were 120 women GCs and 20 minority GCs. "If you show up at a pitch with an all-white male team, it's a big mistake," said Catherine Lamboley, GC of Shell Oil.

 

And there's a new buzzword: inclusion.

 

Lamboley said that 3 years ago, Shell began focusing on the 45 law firms it works with and began examining their inclusion programs, to see if there were retention, mentoring and leadership programs. They took demographic surveys of the law firms, and gave them a report card on their diversity, and told them how the firm compared to competitors. "We no longer do business with a couple of law firms because they were simply giving lip service to diversity," Lamboley said.

 

Michelle Mayes, GC of Pitney Bowes, said that a survey of conference attendees revealed that 52% said their firm has lost business, or faced losing business, as a result of not hiring minority lawyers.

 

"Diversity is a moving target," she warned, noting that Latinos now are a larger group than African-Americans.

 

Mayes offered "Seven C's" for what Pitney Bowes looks for in law firms:

 

1. Communication skills - lawyers can't be talking all the time; they can learn anything that way.

2. Competence - what the law firm can do

3. Credibility - revealing what the firm cannot do. "There nothing more irritating than a firm that oversells itself," she said.

4. Chemistry - every law firm is not a good fit for every corporation

5. Computer-savvy - how is the law firm leveraging its knowledge and using technology to get information from the client.

6. Commitment - to diversity

7. Cost-Effectiveness.

 

N. Cornell Boggs III, the new GC of Tyco said his firm is sending out RFPs to the 700 law firms the company uses. "One of the things we're really going to look at is diversity," he said. "We want to see if the law firm understands the concept of inclusion, in age, race and gender. We're not bashing white males. We want teams that work with us to be composed from a wide pool."

 

He offered 3 tips for law firms seeking to get Tyco's business:

 

1. "No more window dressing." The presenters at the pitch should be the lawyers who will actually work on the company's matters.

2. A good pipeline. Tyco wants to see minorities in summer hires up to equity partners. "We want to see students hired from a variety of places, including all ethnic backgrounds."

3. Market your inclusion. He said, "Your marketing materials should showcase your rainbow of people."

 

During the luncheon, I sat next to a senior white male partner at a 400-lawyer national law firm. He said his firm kept hiring minorities and women, but the firm's clients kept poaching them. He said the firm finally had to reach an agreement with a big computer software company not to hire away any of the firm's associates.

 

Boggs emphasized that you can find minority lawyers everywhere. "It's a my that you can't find minority lawyers in all parts of the country." Mayes chimed in, "it's easy to say 'minorities don't live in Minneapolis because it's too cold. That's one of the excuses I've actually heard."

 


10:58:47 AM    comment []

There's a big crowd here at the Marketing Partner Forum here in Orlando. I've got a number of talented volunteers covering programs, so you'll see event reports on the LawMarketing Portal within 10 days.

 

The conference organizers tell me there are 500 registrants -- which is a record. An interactive poll showed that 60% of the audience is professional in-house marketers, so this is kind of turning into an LMA conference. (LMA gets 700 attendees and will be here in Orlando in March.)

 

Brad Hildebrandt led the morning panel and said that the legal profession is in very good shape now "thanks to the great litigation machine." He said 2004's recovering economy would be very good for law firms.

 

He said the rate of mergers has slowed down -- only 170 mergers of 5+ attorney firms in the last 5 years, but consolidation continues. He said a problem is that there are fewer mid-size firms left as viable targets for the large acquiring firms.

 

Sarbanes-Oxley is causing problems for law firms, because clients are seeing conflicts, causing law firms to withdraw from the smaller client that is causing the problem, and causing the lawyers working for that client to leave the firm.

 

A trend Hildebrandt spotted was that practice groups are forming strategies -- because they feel disconnected from the firmwide strategy and aren't getting the attention they want from the marketing staff, which is busy carrying out the firmwide strategy.

 


10:50:27 AM    comment []


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