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Performance Indicators

As our previous article has argued, managing performance in a law firm is a complex and demanding task and, for those firms faced with major issues, identifying the various factors contributing to underperformance is key.

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The Fixed Costs Issue

As we have argued many times in the past, law firms are predominantly fixed cost operations – the consequence of which is that the break-even point for most firms is high, and in uncertain times this saddles the partners with a high level of risk.

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The Benefits of Categorisation

Running a successful business is about far more than the financials and, perhaps even more so than in many other industries, the success of a law firm hinges on successful people management.

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Focus on the Balance Sheet

Recent pronouncements from the SRA have focused attention on the "financial stability" of UK law firms – and in one announcement they said that 20% of the top 150 firms were in financial difficulty.

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The 3R's of Legal Business Development

Our approach to sustainable business development has for several years encompassed a six-part strategy involving:

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Innovation and IT trends

In our article on Innovation, Effectiveness and Efficiency, we referred to Peter Drucker’s observation that in some industries innovation is not taken seriously:

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