'Progressive' mid-sized firms can't let go of traditional values

Mid-sized law firms are struggling to let go of traditional values and ways of working to become truly 'progressive', the results of a new survey shows.

Research commissioned by LexisNexis found there to be an exaggerated sense of progressiveness among decision-makers in firms.

Despite this, almost half of decision-makers acknowledged that they are traditional in their way of working.

A reluctance to let go of old ways of working is causing a major disconnect between decision-makers and those lawyers practising on the front lines.

Decision-makers rank review of information sources as their number one priority in 2016, whereas lawyers believe increased investment in processes and technology should be implemented this year.

Similarly, senior partners have a far rosier perception of their firm than its lawyers, believing their firms have a clear future strategy, actively embrace change, and are agile in decision making.

Interestingly, almost two-thirds of mid-sized firms view their size as a competitive advantage and are bullish about their growth prospects.

Four out of five firms are confident about future growth and the vast majority say they are growing.

It is noteworthy that most of the firms that survived the recent global economic downturn are growing through mergers and acquisitions.

This optimism is prominent among senior management, with 84 per cent expecting their firms to grow in the next five years due to a resurgence of demand in the property and family sectors.

Nevertheless, firms are aware of the considerable challenges they face.

Nine out of ten respondents recognised that attracting and keeping clients, understanding customers and markets, and recruiting and retaining the right staff were significant issues.

In addition, an increasing demand for fixed fees was significant for the vast majority of respondents, as was achieving the correct partner to turnover ratio, which was seen as fundamental to the health of most firms surveyed.

Worryingly, there is a degree of complacency creeping into firms that believe that once changes have been implemented the issue is resolved. The reality, however, is that some issues are not finite.

Eight out of ten respondents said that taking on more staff was 'complete', while 75 per cent claimed website development had been 'implemented', and 57 per cent considered investment in processes and technology was 'done and dusted'.

'Notwithstanding the view of law firms in the mid law market segment that their size is an advantage - even though there is little differentiation among legal services providers - senior decision-makers are adopting a tick box approach to change, evolving business imperatives and new ways of working,' commented Jon Whittle, market development director at LexisNexis UK.

'Firms need to keep pace with the continual changes taking place in the market, which means understanding and adapting to client and staff requirements, keeping processes and infrastructure up to date and embracing a much more proactive attitude to business growth and enhancement.'