When data drives growth, that’s a Hollywood ending. So where are the Moneyball sequels?


The graphic above tracks demographic representation across 12 law firms working for BASF Corporation, 2016 to 2021. On average, shares of BASF work grew +11% for diverse ethnicity partners and +46% for associates. For women, shares grew +24% for partners and +28% for associates. Additionally (not pictured), ethnicity and gender representation in firmwide leadership grew +10%.

What explains this blockbuster growth? To me, it’s the courageous leaders using data to achieve a shared mission.
Continue Reading Leading courageously with data (302)


Maybe the ROI for legal tech comes from happier workers who stay.


Emily Chang: What do startups have to do in order to have a successful exit, whether it is an IPO or just building a great business?

Paul Graham: They have to make something that actually makes people’s lives better. It’s funny how straightforward it is.

Y Combinator’s Graham Says Startups Must Improve Lives,”  YouTube, June 17, 2011.

Here is my prediction: companies are about to spend more on legal technology, but not because they are trying to save money or be more efficient. Law firms and, to a lesser extent legal departments, are beginning to see investment in technology as a solution to unprecedented burnout and talent attrition. The further entrenchment of remote work will only amplify this trend. Smart marketers have figured out that this messaging is resonating. The deluge of messaging connecting tech and talent will shift how companies justify their return on investment. Technology does, in fact, have the potential to improve the day-to-day experience of the people on legal teams, but there is some important nuance. Let’s dive in.
Continue Reading People-driven tech: How new priorities and remote work are increasing #legaltech adoption (299)


Clients too often ignore law firm incentives and market power.  They also substitute management for leadership.


Editor’s note:  This post returns to a subject first addressed here in Posts 029, 030, 031: successful law firm convergence and the management of law firm panels.  In this article, Dan looks back over AdvanceLaw’s work in the intervening five years and identifies four of the most common and consequential flaws in corporate law firm panels.  What follows draws on input from the staff of AdvanceLaw, where Dan is a Managing Director.

Why law firm panels matter

Law firm panels are a primary client strategy for controlling legal spend, but they also help stimulate innovation.   Innovation matters because panels wouldn’t be worth the effort if they didn’t produce better performance, which requires changes in how things get done.  Yet as Legal Evolution has documented in its posts on diffusion theory (tip: start with Post 001 and read chronologically),  many forces resist innovation in legal services, and those forces can only be overcome by sustained change management efforts from both law firms and clients.  Neither firms nor clients will commit to this effort if their relationship is temporary or poorly defined, so structured approaches like law firm panels are necessary to create the conditions under which innovation is at least possible.
Continue Reading The four fatal flaws of law firm panels (297)

Photo by micheile dot com on Unsplash

Success as a lawyer can come at the expense of personal relationships. Is it worth the price?


Few of my former partners in the global firm where I worked would understand my transition from a profits-first managing partner to a speaker and commentator on lawyer well-being.  How could this have happened?  Have I gone soft?  Quite the contrary—I remain on my mission to live a good life.

Before offering my views on law practice and lawyer careers, it’s useful for me to state my background upfront so that readers know my biases. For about three decades, I was a partner in a global law firm, practicing in a wide variety of business areas (frankly, wherever the clients led me).  For the last 15 years of that run, I was the full-time managing partner with firm-wide responsibility for the day-to-day business of the firm.  At the end of my third term as a managing partner (at age 62), I looked for another career and began teaching at a large university’s law school, where I started a legal clinic for startup and early-stage businesses.
Continue Reading Being #1 isn’t always a good thing—loneliness among lawyers (296)

Congrats,  associates!  Don’t spend it all in one place.

Cravath & Davis Polk associates are raking it in, and everyone’s got an opinion.  Here’s some data to explain how & why the new associate pay scale is a rational move in a functioning market.


Earlier this week, Cravath made waves at every trade media outlet with their 2022 salary scale:

Cravath’s announcement came on the heels of Milbank and Davis Polk each raising the stakes in the ongoing war for associate talent.  (See “Milbank Ups Associate Salaries to $215,000 in War for Talent (2),” Bloomberg Law, January 20, 2022, and “Davis Polk ups senior associate salaries in latest round of pay war,” Reuters, February 22, 2022.).  Before the close of the week, a flurry of memos followed, with a predictable roster of prestige firms matching the new top-of-market scale: Davis Polk, Paul Weiss, Kirkland, Latham, Simpson Thacher, Quinn, Skadden, Debevoise, Ropes, Shearman, Covington, White & Case, Sidley, Paul Hastings, McDermott, Boies Schiller, among others.  (See “Salary Wars Scorecard: Firms That Have Announced Raises (2022),” Above the Law, updated March 4, 2022).

Notably, Milbank has yet to respond to despite racing to first mover position in 2018 and again this year.  Also notably, Morgan Lewis is prudently sitting out the betting rounds, with a promise to monitor and match the prevailing scale once set.
Continue Reading #BadData, Part II: As the War for Talent Rages On, Let the Sorting Begin (290)

[click on to enlarge]

The legal profession appears to be on autopilot.


This post is for legal market analysts who are looking for updated and reliable data on the current legal services market. Collectively, its eight graphics reveal several themes that ought to give us pause, as we (the legal profession) may not have unlimited runaway to focus on strategies related to income and profit.

Most of the underlying data come from the Economic Census, which is a detailed ongoing survey of US businesses conducted every five years (years ending in 2 and 7) by the US Census Bureau.  Because of the size and scope of the data collection effort (it’s a census, not a sampling), it takes the full five-year cycle to complete the analysis and release the findings. The final—and in my view, the most interesting—installments were published last fall.
Continue Reading Eight updated graphics on the US legal services market (285)


An honest and candid assessment of corporate legal, circa 2021


Several months ago, before we had even completed our first year of operations, Bill invited us to write a legal market year-in-review.  His reasoning was simple—our business model entails a lot of listening.  Over the past twelve months, we heard the hopes, dreams, and fears of 240 law firms and 327 law departments (corporate legal) spread over 2,600 meetings.

Perhaps you’re anticipating a conversation about what’s hot in Legal Tech and NewLaw.  And back when we accepted Bill’s invitation, that seemed like a logical direction.  Yet, much to our own surprise, we find ourselves writing a year-in-review essay that focuses on the primacy of culture and cultural adaption.
Continue Reading LexFusion’s Legal Market Year in Review (280)

Somruthai Keawjan via Unsplash

I get a lot of questions about legal market data.  Today I attempt to explain one of the most frequently asked questions: why demand and pricing seem to be uniquely uncoupled in legal markets.


By and large, 2021 was a year of anticlimactic letdowns.  In a sloggy, tiresome, gradual sort of way, most of us realized that the ravages of COVID would not be defeated in one fell swoop.

One exception has been the trade news coverage on Big Law’s bonanza.  In August, Thomson Reuters Peer Monitor rated Q2 of 2021 a record-breaking quarter in its proprietary index of law firm performance.  (Notwithstanding the battery of disclaimers and historical context provided in the fine print, many industry observers decided that this misleading picture is indeed worth a thousand explanatory words.)
Continue Reading #BadData, Part I: (Topsy Turvy) Demand for Legal Services (279)


Boomer retirements ought to be a boon for law school clinics.


The Hidden Brain podcast episode Cultivating Your Purpose begins with an effective metaphor that is well-known to aging Baby Boomers: Dustin Hoffman, playing Benjamin Braddock in “The Graduate,” is drifting aimlessly on a raft in a swimming pool, as he has been doing for weeks after graduating from college.  When Benjamin confirms to his father that he has no plans whatsoever for the future, Benjamin’s father leans over him and demands to know “what was the point of all of that hard work?” Benjamin responds, “you got me.”  Unfortunately, many Baby Boom lawyers are asking themselves the same question after they retire or approach retirement—“what’s the point?”
Continue Reading Could a purpose deficit fill unmet legal need? (273)


Millennials were already skeptical of the law firm model. Then the pandemic hit, reinforcing the legal profession’s worst tendencies. A walk through the data.


Law firm leaders generally underestimated the magnitude, duration, and impact of the COVID-19 pandemic. Like other experienced but untrained decision-makers, many law firm leaders were excessively optimistic about their firm’s prospects and conceptually limited in defining their firm’s risks.

Even the law firms that met or exceeded their financial aspirations now face a force stronger and more threatening to their business model than COVID-19: disaffected, disenchanted, and disappointed Millennial attorneys constituting nearly one-half of all attorneys in the 400 largest law firms. Thus, lawyers are very much a part of an upheaval in the nation’s workforce that Gallup calls the “The Great Discontent” and “The Great Resignation.”
Continue Reading Millennial attorneys, COVID-19, and innovation (260)