IT and the smaller firm – Are we missing out?

As we come to the end of Part 3 we have settled upon a system of choice. We are satisfied that it can deliver everything we need both now and into the foreseeable future at a realistic cost, that the supplier is not going to go bust, and that ongoing support and upgrades will be available and smoothly delivered. Vitally, and perhaps with some difficulty, we have persuaded our partners that the investment is worthwhile.

Before we go any further I must touch on a highly topical development. Long-expected but only announced a week or two ago as I write, Tesco Law has arrived. The profession has dreaded its coming. We can all see the truly vast expertise in marketing, the unlimited finance, the highly-tuned skills in handling customers and the vast capability in IT. We have seen how Tesco has arrived in town after town, drawn breath, and gently but decisively blown away so many small local retailers.

We fear that we may be next. That fear is well-founded.

But what are we doing to defend ourselves? Are we just sitting there doing more of what we have always done? Do our clients still see us as expensive, slow, poor at communicating and leaping onto the defensive when faced with any kind of a complaint? Are our premises still looking dowdy and uninviting, with staff that don’t seem to care, nowhere for clients to park and office hours that put any client with a job in real difficulty whenever a meeting is needed?

In short, do we look as though we mean business and as though we want to delight our clients?

So far, the threat from Tesco is limited. They have engaged bulk online conveyancer MyHomeMove and it is fair to say that these outfits have yet to make a big impact on our market, although their reputation for poor service is fading among the estate agents I meet. Of course, Tesco are not going to risk their huge reputation by linking with a poor performer so you can bet that MyHomeMove will now have some stiff service levels to maintain. The link to this conveyancing service is quite well hidden in the website but again I bet that this is deliberate. Tesco are dipping a toe into the water and will up the ante as soon as they see things working well.

It doesn’t take a clairvoyant to imagine what will follow. If all has gone well, MyHomeMove will be swallowed up by Tesco and further areas of law will start to be offered. And whether they stick to online services or we start to see legal offices in their stores they will steadily become more and more of a threat to us.

Now, I must apologize for dwelling on this and drifting off the subject of IT but I’ll get to the point now. IT is one of our defences against this challenge. Clients increasingly use the Internet daily. They bank online, buy their travel and insurance online and shop online. When we need something we usually look here first. Businesses that have failed to grasp this are losing out badly, whereas those that have developed smooth online services are prospering. Whatever you decide to do as you develop your IT systems, access for clients and others such as estate agents is absolutely vital. Of course we must play the customer service card, play it hard and deliver, but we must also match the big boys in these things. It is possible and it is not expensive. You simply cannot go forward without it.

You also need easy access for staff. Good staff are always hard to find and we need to work at attracting and keeping them. Flexible working is appealing and helps your business in several ways. People who can work at home are more settled and less attracted by another firm that may insist on nine to five in the office and you can easily get people to offer an extended hours personal telephone service that will please clients. With case management and log in facilities from outside the office anyone can work from anywhere with a phone, a PC and Broadband. Clients can call and the fee earner that answers can talk about their case from a position of knowledge. Getting people to help to provide service in the evenings is so much easier if they can do it from home.

So make sure that your new systems allow for easy access. Publicize this and demonstrate that you are advanced in your working practices. Use it to offer more client-friendly service levels, such as extended hours telephone services and log in access to progress reports for both clients and estate agents. You will cut down the interruptions during the day and everyone will be able to work more effectively.

Tesco will appeal to some but our defence has to be all about service. Unlike a “factory” conveyancer, you can provide a really friendly, caring personal service but it will need work. It will also need a real change in attitude throughout your firm if my experience of small and medium-sized firms is anything to go by, and this can only come if all partners really are signed up to it. They say that at any moment in time we are all being driven either by greed or by fear. We need to fear this development but we can turn it to our advantage. Every single member of your staff, every single day, has to be able to give good answers to the question “What have you done today to delight our clients?”

And if you need a benchmark just compare your complaints handling, which in so many firms is slow, defensive and confrontational, with Tesco. Ask yourself which is more likely to win happy clients that come back again and again and tell all their friends how good you are.

We can now move on to the installation and your IT supplier will manage that. They will know that you cannot stop the office and will probably do any major work over a weekend. You need to do two things at this point. Firstly make sure that your communication is good. Your staff need to know what is happening and when and keeping them fully informed will keep stress levels down. More importantly, you must have planned comprehensive training.

You would be amazed how few law firms train adequately. Partners are spending their own money and can be quite mean over the cost of training but it is such a false economy. Without good training you will have weeks or months of hopeless inefficiency as staff struggle to cope with your wonderful new system. Stress levels will hit the roof and the atmosphere in the office will be miserable. So do accept the advice your IT supplier gives you on training. By all means negotiate with them over their daily rates but don’t skimp on the time allowed. I guarantee that if you do you will regret it.

After all, would you buy your seventeen-year-old daughter a lovely new car without arranging for driving lessons?

One last thought: It is well worthwhile having a “Super User”, someone on your staff who is pretty good with computers who can be trained comprehensively and then pass that knowledge on whenever anyone gets stuck. Set up teams to work on training continuously – your people are using this equipment for hours and hours every day. The more competent they can become the more they will enjoy their work. And for you, the more productive they will be.


Tom Paul is a consultant specialising in the management of small and medium-sized law firms. More about his approach can be found at www.profitablepractice.org.uk

Published on: 26-07-2007