Lateral hiring is a peculiarly difficult business. And there’s no shortage of legal industry commentary to make you think twice about its efficacy as a growth strategy. But let’s assume that despite the frustrations and the doubts, you continue with your hiring.
In our first article, we discussed the challenges law firms face in confronting succession issues. In this article, we offer a succession planning outline for firms that are ready to take on the challenge.
A lack of succession planning is a leadership and cultural issue – one that may, at some point, have a significant impact on the stability of the firm. So why do law firms procrastinate taking the issue on, and why does it seem like such a herculean task?
Law360, New York (June 13, 2017, 5:00 PM EDT) -- Over the last decade the number of lateral moves and the investment that firms continue to make in partner hiring have grown exponentially (a 2015 ALM Legal Intelligence Report estimated $1.3 billion in lateral partner compensation alone in 2014). Despite the expenditure, firms active in the lateral market experience unremarkable success rates (around 50 percent, according to various surveys). Therefore, it is hardly surprising that firms are looking for ways to enhance their rates of return on lateral investments.
Law360, New York (June 13, 2017, 12:21 AM EDT) -- Diligence is a fact of life that cannot (and certainly should not) be avoided. In an M&A transaction, the parties understand that a certain degree of diligence will be requested of both parties. Lateral partner recruiting should be no different, but the differences in the nature of legal practice make performing due diligence on candidates more challenging. Unlike an M&A transaction, a candidate’s practice and relationships aren’t summarized in audited financial statements prepared by an independent third party.
It’s that time of year. Welcome to partner retreat season! In addition to furthering relationships with your fellow partners and hopefully getting some warm weather exposure, annual or semi-annual retreats can add a high-impact jolt to your current business development goals.
Law360, New York (April 4, 2017, 6:52 PM EDT) -- The surveys that report lateral partner hiring as more or less a 50-50 proposition keep being published, and yet the lateral partner market is as robust as ever. So, what are firms looking at to measure their success and justify the level of investment they continue...
Law360, New York (April 5, 2017, 4:57 PM EDT) -- By now, I hope we’ve all looked in the mirror and seen our own reflection as it relates to our respective lateral recruitment efforts. It is, of course, interesting to see the results of a number of the surveys and much of the research done around...
The data is consistent and unwavering: despite lateral partner hiring being a cornerstone of law firm growth strategy, unstructured and ad hoc processes around lateral candidate evaluation lead to highly inconsistent returns on (lateral) investment.