Guest Contributor: Felicity Aston > Director, Business Development + Marketing, Field Law | Member, SCG Legal
In today's competitive legal market, establishing a culture that promotes growth and business development is essential for long-term success. While acquiring and retaining clients is critical, internal collaboration and a strong firm culture are equally important in driving business development.
Law firms that value collegiality, collaboration, and proactive engagement often experience significant benefits for individual and firm-wide growth. Creating an environment that encourages trust and cooperation among lawyers is vital for sustaining growth in a highly competitive landscape.
1. Internal Collegiality: The Foundation of Collaboration
The "Know, Like, Trust" factor is often applied to client relationships but is just as important internally. Before lawyers can collaborate effectively, they need to know each other and their respective practice areas. Following that, they must foster a positive sentiment, or rapport, to build respect and camaraderie. Only then can trust develop, allowing them to confidently refer clients or work together on other business development activities.
Firms can encourage this collegiality by creating structured opportunities for lawyers to connect. Activities such as firm-wide retreats, team-building exercises, or inter-office challenges can promote relationship-building across practice and industry groups. Once trust is established, firms can explore synergies between lawyers or practice areas, creating collaboration opportunities that enhance overall business development efforts.
2. Encouraging Cross-Selling Through Internal Education
Internal collaboration is a crucial driver of growth, particularly in cross-selling. Implementing a program where lawyers can showcase their practice and share client success stories encourages cooperation. These sessions allow lawyers to share practical insights, making identifying cross-selling opportunities within the firm easier.
This approach is particularly beneficial for lateral hires, as it accelerates their onboarding and integration into the firm. By providing them with a platform to introduce their expertise and demonstrate their value to colleagues, lateral hires can quickly build their profile and establish connections across various practice areas, ensuring they feel supported and recognized.
3. Tracking and Rewarding Collaboration
Measuring the success of business development initiatives is crucial for fostering a growth-oriented culture, as it helps identify the most effective strategies. While each firm's approach will differ based on its strategic focus, key metrics to track include new client growth rate, average fee per client, and client retention rates. Regular evaluations of these metrics help firms refine their business development efforts and drive meaningful, long-term growth.
Recognizing and rewarding collaboration is another essential factor. A client origination credit program that promotes teamwork while recognizing individual contributions can help foster a culture of collaboration. Some firms may offer discretionary bonuses or recognition for lawyers who significantly contribute to cross-selling or business development initiatives. Even without formal reward systems, encouraging and tracking collaboration can motivate lawyers to engage in the firm's growth efforts.
4. Leveraging External Networks
External law firm networks, such as SCG Legal, Interlaw, ALFA, and LexMundi, can play a significant role in cultivating a culture of growth and business development within law firms. These networks enhance referral systems and create opportunities for joint work on substantial, complex matters, such as cross-border litigation or multi-jurisdictional transactions. Participating in global conferences and networking events allows firms to connect with peers, exchange ideas, and explore collaborative opportunities, further strengthening their business development efforts.
By leveraging these external partnerships, law firms can expand their client base and foster a culture of collaboration and shared success. This approach encourages both internal and external cooperation, positioning the firm for sustainable growth and a more dynamic business development environment.
Conclusion
Cultivating a culture focused on growth and business development is a long-term process, but the rewards are significant. Firms can encourage sustainable growth by emphasizing internal collaboration, education, effective tracking, and leveraging external partnerships. At the heart of these efforts is a commitment to building strong, trusting relationships both within the firm and with external partners. These relationships form the foundation upon which growth and success are built.
