Leading in a crisis – Pandemic update
Following my posting of 15 April, I have facilitated a couple of further virtual meetings with law firm leader groups this week. Additionally, I have run a short snapshot survey of some of the issues that are of concern. You can download the summary here.
Virtual groups
The groups are small and participants (Partners, CEOs, Practice Managers) are generally from small to medium-sized law firms from Australia and New Zealand. The issues being reported in this summary should be viewed in that context. Judging by the feedback, many participants have been finding these Zoom virtual group sessions very helpful at this difficult time. Everyone has been really open and generous with their experiences, ideas and thoughts to date. Thank you all. If you would like to be part of these group discussions in future, please click here.
Overview
Now that Alert Level 3 has come into play in New Zealand, there appears to be a growing sense of optimism that things are getting, or will get better, - at least in the short term. While many firms’ cash flow appears to be in good shape with receipts for April being ‘surprisingly good’, there are concerns about cash flow in two to three months’ time as the impact of reduced chargeable hours and new instructions are felt. Practice areas that appear to be robust are employment and commercial property while residential conveyancing is dead in the water (for now)! Commercial, litigation and family work appears patchy. Teams appear to have adapted well to working from home; they are well-organized, and in constant communication with colleagues (and clients), including via social events. Psychologically they appear to be in good shape. Most New Zealand firms have taken advantage of the government wage subsidy with one or two looking to repay it back should their income not meet the 30% threshold compared with last year.
Specific points:
- Reduction in Partner drawings is common (up to 50%);
- A need/desire for business coaching has emerged, especially in the areas of leadership and business development skills (See me –I can help!);
- Level 3 in New Zealand has given teams a psychological lift;
- Working from home (at least one day a week) may become the new norm;
- Firms have used the downtime to improve on and implement some operational initiatives, e.g., accelerate the implementation of three-year plan; embed practice management software;
- Some staff who are less than busy are being redirected/redeployed to explore new opportunities for business/practice growth.
Useful links
Social media is flooded with articles and links on the latest pandemic developments.
Here are just a few that you may find useful:
COVID survey by my UK-based Law Consultancy Network colleague Simon McCrum:
Article by Robert Ambrogi. 7 Ways The Pandemic Will Forever Change Law Practice
Article by Eric Seger of US law management consultants, Altman Weil
Coming up: 14 May, 12noon – 12.30pm (NZ time) Law Chat webcast: Life During and After COVID
Simon Tupman in conversation with Mitch Kowalski.