Large scale process-oriented change is particularly well-suited to law firms, says Tara Trower


Looking at the risks and opportunities the future holds, there is no downside to considering every possible opportunity to leverage competitive advantage - something that could place a firm in a good position for potential external investment. Investing in and subsequently implementing proven initiatives to ensure maximum efficiency has never been more important.



Any initiative that implements change to an organisation carries some risk, and business process re-engineering (BPR) is no exception. But given that BPR has a fundamentally client-focused approach and embraces the 'keep it simple' principle, it is well suited to law firms. The risks of any change programme can be mitigated by careful planning, good employee communications (and training if appropriate) and by choosing the right advisors.



Why change anything?

BPR is essentially a means by which an organisation overhauls the way it operates by reviewing and subsequently remodelling key processes. At a practical level, BPR helps to make an organisation more efficient: to move data, not paper or people. At the strategic level, the emphasis of BPR is to improve client satisfaction, delivering competitive advantage.



Many organisations, law firms included, retain existing ways of working because it is convenient. Equally, the implementation of change is often perceived as difficult. The phrase 'if it ain't broke, don't fix it' is frequently cited as a reason for not embracing new initiatives.



But if we consider that most processes have evolved as the firm itself has grown, it is not unreasonable to conclude that such processes probably end up hindering rather than helping the firm achieve maximum efficiency, profitability and the best levels of client care.



At a later stage of this organic development, it is not unusual for an organisation to be process-driven rather than results-oriented. In such circumstances the hard work and dedication of employees will not easily transfer to achieving client satisfaction or retention, or increased profits. The real objectives of the firm become entrenched in cumbersome procedures.



The focus of BPR

BPR's defining element is its focus on the implementation of innovation and change, not only for efficiencies in financial streamlining, but to achieve customer satisfaction, which itself delivers competitive advantage.



In embracing and adapting to the IT innovations of the past decades, most law firms have unwittingly implemented BPR to a certain extent. The principles of BPR are therefore neither new, nor revolutionary.



BPR provides a methodology and goals for radical change by embracing all processes in a business. The approach and objectives are the same whether that business is a law firm or government agency.



Arguably the most important factors within any professional services business are:

l People: setting aside the knowledge and obvious specialisms of fee-earners and support staff, the key point at a functional level is the overall remit and responsibilities aligned to the individuals within the firm, and how those inter-relate with one another within the structure;

l Processes: the processes that exist to enable the people to achieve the objectives of the firm;

l Technology: the various IT systems and other forms of technology that underpin and streamline the processes. Essentially the technology should ensure that the people and processes are able to work together in the most efficient way possible.



Unless a firm is designed or re-designed to ensure that processes and technology exist to support its people in providing excellent client care, the maximisation of profit and positioning for further growth will remain unachievable aspirations.



BPR focuses on the key areas and redesigns the firm to maximise efficiencies and improve the whole experience of a client when interfacing with the firm.



But it is not always necessary to make fundamental changes to leverage greater efficiencies or improve the whole client experience. What is important is the end result. The good news is that small changes can deliver substantial, quantifiable positive outcomes in terms of client satisfaction, staff retention, cashflow and, of course, productivity (though this may be closer to optimisation than re-engineering).



One factor that must be fully considered in the implementation of any change program, large or small, is the importance of ensuring that cultural and people issues are managed carefully. If not properly addressed, these key factors can become major obstacles in achieving BPR success.



Legal success stories

Stibbe, a 600-staff Benelux law firm, implemented a FloSuite solution to bind its practice management, customer relationship management and document management systems together, essentially creating enterprise resource planning. This delivers a complete, integrated electronic working environment and audit trail, saving considerable effort and expense particularly in the area of data entry duplication and the removal of paper-based processes.



Another excellent example of the successful implementation of a large-scale BPR project is Goldsmith Williams' recent implementation of a client-focused end-to-end online conveyancing system by BEA.



Prior to implementing its new system, Goldsmith Williams' service was underpinned by manually driven paper processes. Since re-engineering the way it services clients, the firm's conveyancing application times have been more than halved to an average of six days compared to the previous 18-day cycle.



In summary, if undertaken and implemented effectively, BPR is probably one of the best means through which a law firm can ensure it works smarter, not harder. Change is inevitable. Businesses that embrace it, innovate, manage and measure benefits are the ones who will thrive.



Tara Trower is co-founder of virtual law firm The Legal Desk, and previously worked at BT Global Services