Tim Corcoran, president of LMA’s International Board of Directors, visited the Metro New York chapter, LMA’s largest, to “Demystify Law Firm Finance” at a special cocktail reception on November 20.
Mr. Corcoran used the popular book, “Who Moved My Cheese,” as a lead-in to the discussion; sharing insights into the changing face of the legal profession and the challenge of motivating lawyers to accept and adapt to change in the way they practice.
He told the large gathering that CLO’s want predictability, budgeting and project plans based on their lawyers’ experience. “Adapt or die” is not motivating to lawyers who are comfortable with the status quo. But rephrasing it as “we should adapt because we’re leaving money on the table” is more likely to elicit a positive response.
Tim outlined the five RULES that are the fundamental drivers of law firm profitability: Realization, Utilization, Leverage, Expenses, and Speed of Collections; and explained how each of these “variables” affects the law firm profitability equation.
Tim Corcoran, principal at Corcoran Consulting Group, LLC, advises law firm leaders and in-house counsel on business process improvement, legal project management, alternative fees and business development.