How to Become the Firm of Choice By Taking Your Firm to the Next Level

Transcription

1 How to Become the Firm of Choice By Taking Your Firm to the Next Level Presented by: August J. Aquila AQUILA Global Advisors 1

2 Polling Question #1 How many partners are in the firm 1. Sole practitioner More than 20 2

3 Objectives What does the next level mean? What does it take to get better? How do you do it? 3

4 What is the next level? Being the firm of choice in your chosen markets The firm that people want to come to The firm that s top of mind for clients and referral sources Always trying be do better than your competitors 4

5 Realities facing all firms today Can the partners reach a decision about what they want to do? Is the current group of partners fit to become the future leaders of the firm? How are the current markets having an impact of revenue and profitability? How and where to start diagnosing the issues? What specific actions would the firm have to take to get to the next level? How would the firm measure success? 5

6 Role of MP or Ex committee Managing a portfolio of different businesses Not all practice areas operate in the same fashion Not all practice areas are in the same place Provide guidance and support Ensure that partners walk together 6

7 Polling Question #2 Does your managing partner have a job description? 1. Yes 2. No 3. I don t know 4. Not applicable 7

8 Partners responsibility They are the culture of the firm What they do, what they believe and what they reward determines what and how things get done It s up to the partners to make things happen 8

9 Three-step process Identify the issues facing the firm Split into 5 groups to discuss one of the issues Markets Clients People Financial Underpinning Beliefs Provide serious proposals or potential solutions 9

10 Identify the issues facing the firm Internal Issues o How good are we at winning business? o How good are we at developing people? o Do we manage engagements with efficiency and profitability? o How well do our partners lead? o Revenue has been flat o Losing up-and-coming associates 10

11 Identify issues facing the firm External Issues Competition is fiercer than ever Clients awarding work to multiple firms Competitors are adding new services 11

12 Polling Question #3 Has your firm ever identified the key issues facing it? 1. Yes 2. No 3. Don t know 12

13 Categorizing the Issues Markets Clients People Financial Underpinning Beliefs 13

14 Step 1: Develop list of questions in each category People Do we have the right people in the right roles? Do we reward the right behavior and competencies? 14

15 Develop a list of questions in each category For firms with fewer than 6 partners all partners should address each of the 5 areas For larger firms teams of 3 or more partners should be created to address each one of the five areas 15

16 Markets questions Sample Markets Questions Do we know how the market for services is segmented? De we deliver services in the most efficient and profitable manner? Are we offering the right services? What services are our competitors offering? How are our services viewed compared with our competitors? 16

17 Clients questions Sample Clients Questions Who are our core clients? How do they perceive us? Why don t we win more proposals? Which clients make us money? 17

18 People questions Sample People Questions Do we have the right people in the right places? Can we attract the talent we want? Why do people leave us? Do we have effective training programs? 18

19 Financial questions Sample Financial Questions What should be our acceptable gross margin on our clients? How can we increase partner/staff leverage? Where do we spend our non-billable time? How do we manage and contain cost? 19

20 Underpinning Beliefs questions Sample Underpinning Beliefs Questions Do we have a common culture? Are we committed to each other? Does everyone play a part in the firm s future? Does everyone know what the firm is trying to achieve? 20

21 Step 2: Identify top questions Narrow your list to 3 or 4 top questions in each category Partners agree to agree 21

22 Agree to Agree Partners must agree that they have identified the top questions for each category If anyone has reservations, now is the time their doubts Partners agree to suspend any further disagreements for the greater good of the firm 22

23 Polling Question #4 Do you believe you will ever get your partners to agree to agree? 1. Yes 2. No 3. I don t know 23

24 Step 3: Develop proposals to address top questions What does the firm have to do to address/answer their top questions? For example: Have the firm s marketing department conduct a competitor analysis Conduct interviews with our top clients to determine what work we are not getting from them Determine what standards are required to be the firm of choice Analyze the top ten clients by partner to determine average gross margins Create a one-firm firm by reinforcing the partners understanding of what is means to be a partner 24

25 Making it happen Partners will need to change their behavior From... To Undermining colleagues and initiatives to support firm initiatives by participating Not voicing objections when decisions are made to communicating concerns openly and providing alternative solutions 25

26 Change is tough It s about the whole firm Behavior only changes were the work gets done You have to make the end real, otherwise it s only an abstraction Change is not linear Involve everyone in the firm as early as you can Over communication Recognize people s contributions Know what you are good at and what you re not 26

27 Change is tough Don t forget Make things fun. Make the journey exciting Successful change takes times People will get change fatigue 27

28 What about partners who don t want to join in? Everyone has to be part of the journey No one is allowed to hinder or undermine the effort Goal is to have all partners lined up behind the vision of the future Each partner needs to decide whether or not he/she want to join the firm on its journey 28

29 We re there. Can we rest? No There will always be a next level So, you can t rest on your laurels Welcome to the future! 29

30 Questions Please submit your questions Thanks! 30

31 For more information For a free consultation, please contact August Aquila aaquila@aquilaadvisors.com AQUILA Global Advisors 31