A Note from Shireen Hilal
I see a lot of law firms with ambitious ideas that never quite make it into action: new technology, better pricing models, different staffing structures, stronger career paths, more efficient ways to serve clients. But the fear of change and struggle with adoption holds them back.
That’s understandable. Most people don’t love change, and lawyers are trained to spot risk and rely on precedent. Add heavy workloads and decision-making that’s bifurcated among a partnership, and even small ideas are hard to get off the ground.
This is also a topic I care about personally. I’ve spent more than 20 years in professional services practicing law, leading a law firm as COO, and working on change management inside enterprise professional services firms like BDO and KPMG. The lesson I’ve seen over and over is that change doesn’t need to be reckless to work. It needs to be designed in a way people can understand, test, and adopt.
In the article, I focus on several ways firms can make innovation easier to execute, including:
- Make change less risky: Don’t flip the switch firmwide and hope it works. Use focus groups, pilot programs, staged rollouts, and clear "kill"criteria so the firm can learn what works before scaling it.
- Bring people into the change early: The people expected to live with the change should help shape it. They’ll spot practical issues leadership may miss, ask the questions others are thinking, and become stronger champions once the rollout begins.
- Design around how the firm really works: Tailor communication by role, repeat messages through managers people trust, use strengths already inside the team, and don’t build a change program that depends on habits the firm hasn’t developed yet.
Maior helps law firm leaders turn big ideas into grounded plans, including innovation, process improvement, change management, and new ways to serve clients. If your firm has ambitious ideas but struggles to move them forward, I’m happy to be a sounding board. Meanwhile, the full Law360 article is below.
As Published in Law360
The Issue
The issue with innovation isn't vision; it's execution. Big goals need grounded plans, and this is where many law firms find themselves stalled in neutral.
Firms know the market has evolved. They're feeling the pressure to embrace artificial intelligence and automation; explore new practice areas like cannabis and digital assets; rethink staffing for more profitable and flexible models; create more pathways for career advancement; and — drum roll — finally move away from billable hours.
But most firms change only when necessary, reinforcing the legal industry's reputation for being behind the times, and potentially missing out on opportunities to attract both clients and talent alike.
While all professional services firms struggle with innovation — people tend to be fearful of change generally, and these are people businesses — law firms are notoriously reactive due to several inherent traits in their workforce.
Lawyers are typically risk-averse, trained to minimize risks and foresee problems, making them naturally cautious about new approaches that introduce uncertainty. Their detail- oriented nature demands meticulous attention to every aspect, which can cause resistance to broader changes if they don't understand every nuance.
And the profession's reliance on precedent doesn't help — lawyers are accustomed to sticking with what has been tried and tested, preferring established methods over experimentation and creating an industry of late adopters.
Moreover, the demanding nature of law firm work, with long hours and heavy workloads, leaves little time for lawyers to engage with and adapt to change initiatives.
The traditional partnership model in most law firms just complicates this further — unlike strict "command and control" corporate structures, law firms usually operate with multiple decision-makers, making swift and cohesive action difficult.
So, while law firm leaders know they need to pivot, they may be paralyzed by the search for a sure thing that will resonate without disrupting current operations. But the path forward for ambitious firms is not to avoid change — which is an impossibility, anyhow — but to strategically mitigate its risks to increase the success rate of new programs.
This article provides a blueprint for law firms to transform good ideas into successful Shireen Hilal realities — because in today's market, the firms that execute faster and better win.
The Data on Law Firm Innovation
The litmus test for innovation in most industries is adoption of new technology, so let's start there.
Ultimedia's 2022 and 2023 study of the top 100 global firms — industry leaders in the best position to invest — revealed that no firm reached higher than 66% in their digital maturity score, which measures the extent to which firms use tools such as document automation software, AI-powered research and e-discovery, client portals, etc.[1]
Further, a 2023 Thomson Reuters Institute study showed that only 54% of firms even have a digital transformation strategy "that is implemented at the C-suite level."[2]
Given that 87% of lawyers agree that technology improves their daily work,[3] the issue with adoption isn't a lack of understanding.
As noted in the introduction, and as any law firm reader knows, this isn't just about technology. The reluctance to meet the market is pushing firms farther away from their clients. Many firms are not evolving to meet client needs in emerging disciplines — e.g., although the demand for guidance related to environmental, social and governance issues has risen, 70% of firms "feel they are not yet prepared to meet client demand in this area," according to 2023 research by Wolters Kluwer.[4]
And while corporate clients have pushed for value-based billing models for several years[5] given frustration over rising rates and a lack of transparency,[6] firms are still sluggish to meet the market.
In fact, an increasing number of firms are avoiding conversations about fee increases entirely by pushing new hourly rate announcements through impersonal e-billing platforms and generic letters.[7]
Alienating your clients is a terrible business strategy, but it isn't shocking; the idea of change can be paralyzing, so avoidance is an easier, short-term strategy.
A 2020 study by Altman Weil found that 70% of surveyed law firm leaders pointed to "[p]artners resist[ing] most change efforts" as the one of the top reasons their firm wasn't "doing more to change the way it delivers legal services," an increase from 44% in 2015.[8]
And this isn't just a BigLaw problem. Although solo and small firms are quicker to adapt than their larger counterparts, they tend to take an understandably conservative and hesitant investment approach, given limited resources.[9]
Bottom line: To meet the market, firms must not only embrace innovation, but also find ways to accelerate adoption and execution.
Building Successful Change Programs
Before diving in, it's crucial to recognize the common pitfalls that derail change initiatives.
One frequent mistake is overlooking the perspectives of those who will implement and live with changes. Without their buy-in, even well-intentioned programs struggle to gain traction, leaving leaders policing poor compliance.
Another misstep is designing programs without consideration for the strengths and weaknesses of the employee population who will use them — unsurprisingly, such programs have little chance of survival from the start.
The pursuit of a magic bullet is another oversight — leaders search high and low for the perfect program, and then, of course, are disappointed when utopia isn't reached in a single step.
A better path forward is outlined below.
Empowering Employees as Agents of Change
Change is often crammed down from managing partners or committees through opaque mass emails, and viewed by the firm — from staff to partners — more as a blow to withstand than an improvement that should spark excitement.
To foster a more proactive and positive response, center your change program around your employees instead of the firm. Here are some specific ways to do so.
Use focus groups.
Engage a small group to gauge how these changes might be perceived, understand the questions that personnel are likely to have, and proactively address them in your communications.
Importantly, this group shouldn't be an existing leadership committee or made up of management, but should include the intended users or adopters of the change initiative.
These stakeholders then become your champions when you roll out the program — they can answer questions, talk about the real benefits and build excitement for improvements.
Start with pilot programs.
One mistake firms consistently make is flipping the change switch overnight, and then kicking themselves for not anticipating every potential issue when things inevitably go wrong.
Instead of aiming for perfection, start low and slow — test a new service offering, program or software with a small group, e.g., one practice area or client engagement; work out the kinks; and understand what you'll need, from communication to training, for a smooth transition before rolling out the program wholesale.
Recognize success.
Develop a recognition program that celebrates individuals who exemplify leadership and commitment to the change initiative. This could involve featuring associates or teams in town halls, firmwide emails or practice group meetings.
The key is making recognition public and coveted, motivating others to emulate them. This doesn't just boost morale; it is also proof of concept, showing the switch is possible and has a positive result.
Create a culture of innovation
It's easy for leaders to lose the front-line perspective, but staff and lawyers working in the trenches have a clearer vantage point when it comes to client frustration, clunky processes, redundant systems, etc.
So empower your employees and set a tone of constant improvement with a program that allows employees at any level to submit proposals for process improvements or new initiatives, with selected ideas receiving funding and support for implementation.
As a bonus, you'll find this also creates a more engaged workforce.
Tailoring Messages for Clarity and Action
To communicate more effectively, consider groups within your firm with similar responsibilities — e.g., practices, departments or seniority levels — and tailor your messages to resonate with them instead of relying on a one-size-fits-all approach.
Personalize communications for specific teams.
Tailor communications to the specific needs of each group so employees understand what to expect — for example, if you're implementing new time entry and billing software, you might have separate communications for:
- Assistants, on entering time and helping partners with monthly billing;
- Associates, on entering time and understanding their billable metrics;
- Partners, on tracking departmental time and editing bills; and
- IT personnel, on the expected increase in the number of calls asking questions about the software.
Where possible, develop department- or role-specific FAQs to address anticipated questions and concerns unique to each group, and update them based on ongoing questions and feedback.
Highlight personal impact.
Communicate the benefits of the change initiative to give employees a reason to care about the initiative's success. For instance, explain that a new software is being implemented in response to attorney or client feedback to reduce time, enhance service or save budget that can be reinvested in higher-need areas.
Or, if you are adopting a new case management system, emphasize how it will streamline case tracking, reduce time spent on administrative tasks, and ultimately allow paralegals and attorneys more time to focus on client work and strategic thinking.
Consistent, Two-Way Communication
By reiterating key messages through multiple mediums and managers, firms can help solidify the change initiatives and ensure that new behaviors take root.
Simultaneously, communication should be a two-way street so employees feel valued and provide insights that can be used to refine communication strategies or even adjust the initiatives themselves.
Tips for more effective communication are outlined below.
Vary communication formats.
Repetition doesn't spoil the prayer, but simply repeating the same message the same way won't get you far.
Employ a variety of communication formats — for example, critical updates might be communicated in a formal email, reinforced through a video message from a leader, and discussed in practice group or departmental meetings by team heads.
This will ensure the message isn't just corporate speak, but rather coming from messengers that matter, while allowing a forum for team members to express concerns that they may not feel comfortable raising in larger settings.
Use effective feedback collection channels.
Implement regular surveys; maintain open suggestion boxes or identify the leader to whom concerns should be addressed; and hold interactive meetings that allow for anonymous but real-time questions and answers.
Additionally, encourage leaders and managers to ask about the initiative in their one-on-one meetings with team members to gather feedback from those who may not otherwise speak up.
Importantly, don't forget about your external stakeholders — if changes will indirectly affect clients, make sure to informally ask them for feedback, too.
Make real-time adjustments.
Once feedback is received, prioritize it based on urgency and impact, focusing first on issues that threaten core functionalities or widespread satisfaction. Implement the refined solutions, continuously monitor their impact and be prepared to make further adjustments.
Additionally, establish clear "kill criteria" at the start of new projects — objective measures that determine when a project should be discontinued if it fails to meet essential benchmarks or negatively affects your firm.
This iterative process ensures that your change management strategy remains flexible, aligned with reality and prudently managed with predefined conditions for termination to avoid prolonged commitment to failing initiatives.
For example, if you're rolling out a new system intended to streamline contract drafting, set benchmarks for time savings and error reduction. If these benchmarks aren't met within a reasonable time frame, or feedback indicates that the system is causing more issues than it resolves — such as frequent user errors or workflow disruptions — don't just stubbornly push forward.
Leveraging Strengths and Addressing Weaknesses
Successful change initiatives are strategically designed to be as easy as possible, leveraging the inherent strengths and skillfully managing the weaknesses within a workforce for easy wins. A few ways to stack the deck in your favor are discussed below.
Use employee strengths for equally strong programs.
Develop a road map that is purposely designed with tasks that naturally align with the existing strengths of your team.
For example, have highly organized paralegals take the lead on coordinating a transition that will take several steps and require attention to detail, or ask more tech-savvy attorneys to champion a new legal research software in the first few weeks of the program once they're in a position to field questions from peers and can talk about its positive attributes.
Avoid overrelying on areas of weakness.
Surprisingly, many firms assess new tools, systems or processes based on their capabilities rather than on the strengths and limitations of the teams that will use them. Instead, make sure new initiatives minimize dependence on your firm's areas of weakness.
For instance, if your firm is intent on improving profitability but struggles with managing a complex, flexible workforce, instead of looking at offshore staffing models — which may further complicate your workforce structure — you may choose to dig into streamlining and automating routine administrative tasks, e.g., document management, billing or basic case management.
Where you can't sidestep a skill, integrate external experts as temporary scaffolding. For example, if a new e-discovery system is essential but beyond the current capability of your IT staff, hiring temporary specialized IT consultants to manage the setup and initial operation can ensure that the project does not falter, and that users have a consistently positive experience.
Finally, plan the change initiative in stages, where the initial stages are purposefully the easiest, giving the program the benefit of positive momentum and avoiding an overload of several tasks at the outset.
Conclusion
Will your firm be content to play catch-up, or will you take the lead in driving innovation that resonates with the evolving market?
There are no perfect moments, only opportunities waiting to be seized. Push your firm to think bigger, plan smarter and execute with agility. The future belongs to those who embrace change with purpose and resolve. To my law firm readers, if you have feedback or are identifying trends or challenges you'd like to see addressed next quarter, I'd love to hear from you.
Shireen Hilal is the CEO at Maior Strategic Consulting.
The opinions expressed are those of the author(s) and do not necessarily reflect the views of their employer, its clients, or Portfolio Media Inc., or any of its or their respective affiliates. This article is for general information purposes and is not intended to be and should not be taken as legal advice.
[1] https://www.clio.com/blog/law-firm-digital-transformation-report/.
[2] https://www.thomsonreuters.com/en-us/posts/technology/digital-transformation-report-2023/.
[3] https://www.wolterskluwer.com/en/news/future-ready-lawyer-2023-report.
[4] https://www.wolterskluwer.com/en/expert-insights/esg-and-law-navigating-a-critical-growth-area.
[5] https://www.law.com/americanlawyer/almID/1202735048162/.
[6] https://www.law.com/corpcounsel/2024/06/26/that-hurts-our-credibility-gcs-frustration-over-lack-of-law-firm-transparency-boils-over/.
[7] https://www.law.com/americanlawyer/2024/08/14/partners-confront-deeply-uncomfortable-client-communications-on-soaring-billing-rates/.
[8] https://www.altmanweil.com/wp-content/uploads/2022/06/Law-Firms-in-Transition-2020-An-Altman-Weil-Flash-Survey-.pdf, https://www.legalevolution.org/2020/10/why-lawyers-cant-jump-the-innovation-crisis-in-law-205/.
[9] https://www.gavel.io/resources/2024-legal-tech-trends-for-small-and-solo-firms.
