How CPD can be more valuable to law firms than billable hours

Many lawyers place high value on the quality of their client services, but view continuing professional development (CPD) as a regulatory burden. Meanwhile, clients' needs and expectations
are continually evolving
in response to internal
and external pressures
and innovations.

To remain competitive, lawyers need to take the initiative and direct their own learning and development. This is at the heart of the Solicitors Regulation Authority's new CPD regime, which firms
in England and Wales can opt in to from 1 April 2015.

But, are lawyers prepared to do this and, more importantly, will their firms allow them to take whatever time is necessary to ensure their own continuing competence? Pressure to bill a high number of hours continues to prevail in many law firms, despite claims of moving towards more enlightened and client-focused business practices.

A side 'benefit' of the old CPD regime was that firms could quantify the loss of billable hours to compliance as 16 hours' training per solicitor each year. But, if lawyers are to truly embrace their self development and to build the skills and expertise
their clients need, they may well need significantly more time, in addition to better and more diverse learning resources. Unfortunately, a large proportion of fee earners may not get either.

A key concern raised in our August 2014 survey of the UK legal sector was that law firms would take advantage of the changes to the CPD regime to cut training costs rather than to improve the effectiveness of their approaches to learning and development. More than three quarters of respondents said they believed the switch to the new CPD regime would not result in any significant improvement to learning and development for solicitors.

However, failure to prioritise skills development and knowledge growth can only be to the detriment of law firms' long-term business sustainability. Their unevolving lawyers will be unable to anticipate and meet clients' changing needs and expectations, or
to innovate in providing value - a key differentiator
in the marketplace.

It is up to managing partners to set the tone
from the top on how people should address their
own professional development needs. Lawyers
should be encouraged to not only direct their own growth but also to actively support that of their colleagues. A more holistic approach to CPD (backed up by the firm's reward system) will ensure fee earners work together for the common good of their clients, rather than viewing their colleagues as competitors for client billings. This will, in turn, improve client satisfaction, retention and referrals, which will result
in healthy and sustained profits for the firm.

A law firm is nothing without its people. The businesses that will thrive in future will be those
that enable their people to grow both individually
and collectively, and give them time and space to fully meet and anticipate their clients' needs. These firms will be the employers of choice and the instigators of new standards of client service in the legal industry.

Until next time,