IFLP is proud to collaborate with the above list of innovators and early adopters.


Later this month, the Institute for the Future of Law Practice (IFLP, or “I-flip”) will celebrate its one year anniversary. Before that, it was just an idea in the minds of a few dozen lawyers, legal educators and allied professionals.  In the fall of 2017, this “Group of 40” participated in a needs analysis. There were two questions: Is an intermediary organization needed to align the interests of law schools, legal employers and clients around the educational requirements of 21st century law practice?  And if so, could such an organization become a viable nonprofit operating company?

The Group of 40 concluded that the period of industry-wide discussion and debate, which began in earnest after the 2008 financial crisis, had run its natural course.  It was time to start building the future. Thus, an organization like IFLP was worth a try.

The Group of 40 endorsed the creation of a skills bootcamp in spring 2018 for a group of roughly 25 students. A key feature would be paid internship employment for every admitted student. By hiring students, IFLP employers would be signalling the value of IFLP training. Eventually the rest of the market would catch on.  In a nutshell, that was the model.

Initially IFLP’s only assets were relationships, albeit that was huge. In November of 2017, Cisco Systems committed to six paid 7-month internships ($300,000+ in salaries). Northwestern Law committed classroom space for the inaugural bootcamp.  In addition to hiring IFLP grads, Chapman and Cutler and Elevate Services agreed to provide year-one operating capital (later Quislex provided additional founding sponsor support). A wonderful group of professionals agreed to serve on our volunteer board. Another dozen-plus industry leaders agreed to serve as volunteer instructors. All this happened because of a network of professional peers with significant history and a reservoir of trust.

Drawing upon this foundation, IFLP was brought into this world on January 16, 2018 as a Delaware nonprofit nonstock corporation. A few days later, we launched a website and started recruiting employers. Before we had a checking account, we were interviewing students for the bootcamp. See Post 043 (announcing launching of IFLP); Post 046 (providing an early days account).

The inaugural bootcamp went well. We faithfully collected metrics on all of it. In the fall of 2018, as we began to plan for 2019, we finally had the bandwidth to create a logo and refresh the website with content that reflected our longer-term aspirations.

As we approach our one year anniversary, IFLP is immensely grateful to the above roster of 2019 IFLP employers. These are the legal industry’s innovators, early adopters, and opinion leaders.  To fill all the employment slots, IFLP will be running skills bootcamps in Boulder (Colorado Law), Chicago (Northwestern), and Toronto (Osgoode Hall) for 75 to 90 students. We have room for approximately ten additional employer slots before we hit maximum capacity. Our existing funnel of prospective employers is likely to yield that. Likewise, in 2019 we are fortunate to have 18 participating law schools, see list on IFLP website, with plans to add more in 2020.

As the title of this post suggests, this is an update on IFLP.  I have time to write it because the IFLP board and leadership team has done a very good job of building an infrastructure that can scale. As of today, our expansion is on schedule.  Below I will do my best to describe the organization’s current activities and future plans.  The good news is that we are building a big tent for those wanting to co-create a better future.


For the pre-history of IFLP, including the indispensable role of the Colorado Law’s Tech Lawyer Accelerator (TLA) Program, see Henderson & Linna, “Is Your Organization Building a World-Class Talent Pipeline?,” Law.com, Aug. 31, 2018; see also Post 018 (discussing TLA during the summer of 2017).


Mission

IFLP’s core mission is to align the interests of law schools, law students, legal employers and other industry stakeholders around the knowledge, skills and training needed by 21st century legal professionals. What makes this mission so important is the relentless growth of complexity in a highly regulated, interconnected and globalized world.  Without a bigger toolbox, legal services will continue to become unaffordable to a larger proportion of clients.

This pressure is most acute at two ends of the legal spectrum: PeopleLaw, where a growing share of ordinary citizens are forgoing legal services, see Post 037 (data on declining PeopleLaw sector); Post 042 (legal services shrinking portion of CPI basket); and large organizational clients, where legal need is racing ahead of legal budgets, see Post 022 (CLOC focused on this problem); Post 041 (Legaltech focused on this problem); Post 053 (rise of NewLaw focused on this problem); Post 055 (Godfather of legal ops joining Baker McKenzie to solve this problem); Post 069 (Microsoft legal dept focused on this problem).

For both clients and lawyers, the increase in legal complexity is experienced and, therefore, framed as a cost problem.  Yet, it’s really a problem of lagging productivity. The increased volume of complexity requires lawyers to find ways to accomplish more per unit of effort. Otherwise, the lawyers are priced out of a job. Cf. Henderson, “The Legal Profession’s ‘Last Mile Problem,'” Law.com, May 26, 2017 (legal industry is hindered by lack of business models that reliably reward efficiency).

IFLP is designed to serve the entire legal profession, as evidenced by this graphic, which organizes IFLP employers by sector. Yes, law firms, law departments, legaltech and NewLaw are supporting IFLP, but nearly 20% of our employers are public service organizations.

T-shaped curricula

In the most practical sense, IFLP is trying to accelerate the development of T-shaped legal professionals. See diagram to right. For lawyers, law school and law practice provide a deep foundation of substantive legal knowledge and skills. The T-shaped legal professional is created by adding a working knowledge of other disciplines, such as data, process/project management, technology, design and business principles.

The legal profession’s future is lawyers and allied professionals working side by side to cost-effectively solve very difficult problems. Cf. Ron Friedmann, “A Multidisciplinary Future to Solve Legal Problems,” Prism Legal (Mar. 2018). T-shaped curricula make these collaborations more effective and fruitful.

Someday the type of curricula offered by IFLP will be standard in law schools throughout the world.  Indeed, IFLP’s mission is to enable law schools to do just that.  But right now, the state-of-the-art is being pioneered in the field by innovative practitioners and allied professionals. The first step is to locate subject matter experts and organize their knowledge and know-how into subjects that can efficiently taught to others. Fortunately, IFLP has the networks to make this happen. Notice IFLP’s logo — it’s a network.

Bootcamps

Below are the modules that are currently covered in our foundational and advanced track bootcamps.

IFLP’s 2019 foundational boot camps will run from May 13-31 in three locations: Chicago, Boulder, Toronto. This training targets rising 2Ls but rising 3Ls and mid-career professionals may also participate. At the end of the bootcamp, law students go on to paid internships with IFLP employers.

The advanced track bootcamp is offered later in the summer to rising 3Ls and mid-career professionals. The advanced track is designed to be preparation for 7-month full-time internships (technically a “field placement”) during the summer and fall semester of a student’s 3L year.

In terms of contact hours and out-of-class study, both the foundational and advanced track bootcamps are designed to fulfill ABA accreditation requirements for a 3-credit law school course. Likewise, the 7-month field placement is designed to earn another 8 credits. See ABA Accreditation Standard 304(d) (defining requirements for field placements). Thus, the full IFLP sequence could total up to 14 academic credit hours, albeit the approval and granting of academic credit is done by participating law schools.

Below is the current timeline for 10-week and 7-month internships: 

To my colleagues at other law schools, I am happy to share the course proposals that led to approval of the full IFLP sequence at Indiana Law. In the course catalogue, these courses are referred to as Modern Law Practice I, Modern Law Practice II, and Modern Law Practice Field Placement. Email me.

Evolution, not revolution

In Post 077, Dan Rodriguez distinguished between mission-based and mission-disruptive innovation.  IFLP is definitely the former, as the IFLP curricula enables law schools to adapt to massive changes occuring in the legal profession.

On this point, it is noteworthy that the majority of IFLP students are rising 2Ls who complete the foundational bootcamp and go on to 10-week paid internships with IFLP employers.  This is creating a paid labor market for law students based on newly acquired skills.  The bootcamp leads are Dan Linna in Chicago, Bill Mooz in Boulder, and Monica Goyal in Toronto.  These are very accomplished T-shaped lawyers who are also experienced law school teachers. Throughout the bootcamps, each is assisted by over a dozen guest instructors who teach in their area of expertise and/or supervise team-based simulations and exercises.  This content is worth 3 academic credits, which significantly multiples the value of the other 85 credits needed to earn a JD degree.

One of the challenges faced by IFLP — albeit a challenge that is sure to fade over time — is a view by some law professors that T-shaped skills are peripheral to the actual practice of law and thus can be safely ignored during law school.  This is just not accurate. Below is a list of some of the substantive legal projects performed by IFLP interns over the summer:

  • Review and draft various contracts
  • Draft software service and licensing agreements, including NDAs, MSAs, SOWs
  • Contract management and risk analysis
  • Research substantive legal issues and write memoranda
  • M&A due diligence
  • Intellectual property: copyrights, trademarks
  • Deal negotiation
  • Litigation document drafting
  • Prepare regulatory filings
  • Update privacy policy and data usage and protection policies
  • Advise on employment law issues
  • Attend and summarize meetings with business units

It is also true that IFLP interns work on projects that have a legal operations focus. Below are example projects drawn from past interns:

  • Develop expert systems: checklists, compliance automation, document assembly, and workflow templates
  • Create budgeting templates
  • Use predictive modelling to create machine learning tools that predict case cost,outcomes, and timelines
  • Knowledge management: classifying documents, updating clause libraries
  • Case data analysis to develop value pricing models
  • Process map specific case type, then draft standard pleadings, discovery, litigation documents, and checklists for every stage of this case type
  • Simplify and streamline legal department’s advertising approval process
  • Research current state of blockchain and legal
  • Technology evaluation, selection, implementation, testing, and training
  • Analyze outside counsel survey responses and develop objective system for selecting firms
  • Trademark library clean up

So much of the innovation occurring in the legal profession these days are activities found on this second list.  One reason that law firms struggle to fully embrace these innovations is that their fee-earners are too expensive to take offline so they can be properly trained in the top-of-the-T disciplines. In contrast, IFLP offers a pipeline solution where foundational knowledge is baked into students’ law school education.  The attractiveness of this solution is why we ended up with 50+ sophisticated legal employers before we reached our first anniversary.

Placements that benefit interns and employers

In the year 2019, we are all in continuous learner mode.  Thus, it is understandable why a lawyer or legal service organization might conclude that they lack the expertise and bandwidth to supervise an IFLP intern. Yet, there’s a solution to this common situation.

In 2018, IFLP founding sponsor Elevate Services worked with Univar—a Fortune 500 company—to pioneer a supervised internship model. Univar was undergoing a major restructuring that consumed all its internal bandwidth. General Counsel Jeff Carr, an innovator who is frequently cited on Legal Evolution, see Posts 008, 052, 053056, needed the extra hands and the intern price point. However, his team lacked time for daily supervision.  Thus, he hired an IFLP intern supervised by ElevateNext, a law firm affiliated with Elevate.

Jeff recently told a group of fellow Fortune 500 general counsel, “I just can’t say enough about the importance of this initiative as well as the quality of the program and the interns. Our experience was incredibly positive.”

Below is quick overview of the two ways that employers can hire through IFLP:

Because Elevate has deep expertise in data, process, and technology, an IFLP supervised intern can be a very time-efficient and cost-effective way to accomplish an important organizational project while also observing and learning importance new methodologies related to law practice. Additional details here.

7-month field placements

In 2019, approximately 15 of the 75-90 IFLP employer slots are reserved for rising 3Ls who complete the foundational and advanced track bootcamps and go on to 7-month field placements. The value of this model was learned through employer experimentation and feedback.

As noted earlier, IFLP was born out a four-year pilot at Colorado Law called the Tech Lawyer Accelerator (TLA).  In its early permutations, the TLA looked very much like the current IFLP foundational bootcamp: 3 weeks of instruction followed by a 10-week paid internships.  However, based on feedback from employers, the TLA began experimenting with 7-month internships that extended full-time employment into the 3L fall semester.

Stephanie Drumm

One of the 7-month interns was Stephanie Drumm, a 2017 CU Law grad who is currently a second-year associate at Bryan Cave Leighton Paisner (BCLP).  Stephanie spent the first four months seconded inside one of the firm’s technology clients and the last three months working onsite at the firm.  The combination of tech and client knowledge proved to be invaluable to partners who work with emerging technology clients, particularly start-ups.  Thus, despite no expectation of permanent employment, Drumm was added to the 2017 incoming associate class and continues to receive glowing feedback. As Stephanie noted during IFLP’s Wave One launch event in Chicago, she believes the TLA 7-month internship gave her an edge in her career that continues to compound over time. This BCLP experiment went on to win a 2018 FT Innovation “Standout” award in the category of Managing and Development Talent, citing how it was instrumental in the creation of IFLP. See FT North America Innovative Lawyers 2018 at 19.

Other strong advocates for the 7-month field placement were Mark Chandler and Steve Harmon of Cisco. Between 2014 and 2017, the Cisco legal department hired nine 7-month interns from Colorado Law.  Seven months of onsite full-time work enabled the interns to learn Cisco’s business and work flow, which in turn improved their performance on more sophisticated and complex projects.

Indeed, one of the reason Bill Mooz and I felt compelled to form the Group of 40 and conduct a needs analysis was Chandler’s and Harmon’s willingness to hire six 7-month interns a year (a $300,000+ salary commitment). A second reason was a change in the ABA accreditation standards that removed the prohibition on for-credit field placements where students could also receive pay.  See Karen Sloan, “ABA Approves Pay for Law Student’s For-Credit Externships,” Law.com, Aug. 8, 2016. Although the 7-month field placements were phenomenal learning experiences for students, each student was required to move of heaven and earth to earn sufficient credits to graduate on time. This was a huge supply-side constraint.

Of course, removing a prohibition got us part way there. For-credit/for-pay programs have to be approved by individual law schools.  Further, someone has to do the legwork and find employers who see value in this type of program.

Fortunately, my home law school, Indiana Law, was willing to go first.  For several years, we have run an excellent program in Washington, DC where students work full-time for a federal agency for eight academic credits.  Each fall, an eight to ten student 3L cohort meet weekly or bi-weekly to review and discuss assignments with an Indiana Law instructor. This classroom setting earns students an additional two credits, thus totally ten for the 3L fall semester.  Although students were not paid, occasionally one of the agencies would provide a modest housing stipend. My colleagues viewed the IFLP field placement program as substantially the same.  The key constraint is that the placement must be with an employer utilizing sophisticated and advanced methods of practice — a description that applies to IFLP employers.

IFLP first class of 7-month interns

In 2018, I served as faculty liaison for three Indiana Law 3L students who were on IFLP field placements. All three completed the foundational boot camp in May and the advanced track in June before heading off to their jobs. Two (Matt Rust and Seth Saler) worked in San Jose in the Cisco legal department. The other (Elmer Thoreson) worked in Chicago at Chapman and Cutler as part of the Chapman Practice Innovations team.

During the fall semester, the four of us met regularly via Webex to discuss the assignments and mine the field placements for insights. While Seth and Matt worked on cybersecurity initiatives, M&A deals, proxy statements, preparation for the Cisco annual meeting, a dashboard for the legal ops group, and various other projects, Elmer was immersed in the application of process improvement and document automation to the intricacies of finance law, which is Chapman’s core area of expertise.  Seth and Matt raved about the weekly sessions on competition law that were run for their benefit by Gil Ohana, Cisco’s Senior Director of Antitrust and Competition. Elmer talked about the learning curve on Tender Option Bonds and the UX and UI features that entice lawyers to use technology.

One of the last assignments for the IFLP field placement was a departure memo to direct supervisors that summarized what each student had learned.

In the conclusion to his department memo, Elmer wrote, “Working in the Chapman Practice Innovations group has been a different experience from anywhere I’ve ever worked before. The entire group has valued my input, pushed me to expand my knowledge, and encouraged me to find solutions to problems. My time in the group has changed the way I look at legal problems and has encouraged me to figure out how different disciplines can influence the practice of law. … While the future is not entirely clear, I feel that my time here at CPI has helped me develop my long-term goals. In closing, thank you for the opportunity, the knowledge, and the laughs this semester.”

Likewise, Seth observed, “[During the internship, t]here were opportunities to complete document review, to witness oral arguments, and dive deeply into regulatory frameworks. …  I maintained a fairly comprehensive spreadsheet that tallied 30+ projects to which I contributed over the last six months. I was tasked with many of the fundamental tasks in a legal project pipeline: ideating, researching, drafting, and reviewing. … [T]he people I worked with departed from the conceptions I had about an internship. Rather than squeezing as much value and productivity out of me as they could in six months, the people at Cisco were interested in pouring value back into me.” Seth goes on list nearly a dozen people he considered mentors. Matt was equally effusive regarding what he learned and who he learned it from.

The last field placement assignment was co-written by Matt, Seth and Elmer and provides advice to next year’s 7-month interns.  Feel free to give it read. See Final 7-Month Intern Group Memo (Dec. 2018).

I hope the idea of a paid field placements in advanced practice settings takes off.  This is good for the law students, good for law schools, and good for the legal profession. That’s why I got involved.

Get Involved

This post is an invitation for readers to get involved with IFLP.  During 2019, members of the IFLP team would welcome the opportunity to speak to a wide range of industry groups, as we would like to include more law schools and more law students in our 2020 program. To do that, we need more IFLP employers. That is possible when more employers hear the IFLP story and learn what we have to offer.

During 2019, we will also use some of our foundational materials in our law school curricula to start creating high-impact, time-efficient training for mid-career professionals. That is the leg of our business model that will enable us to be self-sustaining.

Finally, IFLP is greatly indebted to our four founding sponsors who supplied the key resources to get to our year one anniversary.  Many thanks for your leadership!

IFLP Founding Sponsors


Are we using innovation in legal ed to drive our existing mission, or disrupt it? There’s a place for both strategies.


My own contributions to legal innovation have mostly been through my work as dean – over the course of thirteen years, at two law schools.  The experience gained through these two leadership endeavors has given me a reasonably optimistic take on the matter of innovation possibilities in the space of modern legal education.  Bill has graciously given me the opportunity to share some reflections on Legal Evolution. I hope that these perspectives from a long-serving, and now former, dean will fuel thought and action, especially from those in, or at least nearby, legal education.

To kick things off, I offer a model of innovation of legal education, one that describes two very different species of law school innovations, each drawing upon fundamentally different assumptions and strategies, and each with their own unique perils and promise.  The first involves innovations which are principally fashioned to advance the standard goals of the law school’s educational enterprise.  The second involves innovations which aim toward disrupting in more meaningful, and even profound, ways the law school’s basic educational mission.

Having undertaken both kinds of innovations, I suggest that the differences in approach, and measures of progress, are quite distinct and leaders in legal education should approach such innovations as such.

Type I: Mission-driven innovation

Many innovations, big, medium-sized, and small, are designed to help facilitate the ambitions and objectives of the law school as traditionally configured.  These ambitions can be quite ambitious in conception and quite controversial in execution, but they share in common the basic characteristic that they aim in the end to advance the core mission of the law school.

A good example of such innovation is the creation of curriculum and programming that seeks to bridge the divide between what we might call book learning and learning-by-doing.  Law schools have long been committed to a mix of foundational and experiential learning.  Doctrine and practical skills captures the categories reasonably well.  (Theory and practice captures this less well, as doctrinal courses can be more or less theoretical and experiential education can contain important theoretical elements.) Internally, law schools struggle to get the balance right; and there are challenges born of myriad factors, some concerning reasonable and informed disagreements about how best to allocate the curricular and pedagogical time over the three years of law school, and others more logistical or even political.

That these issues play out in rather separate conversations among two hundred law schools is peculiarly inefficient.  Yet we can say, on a more optimistic note, that there have been fruitful conversations about these issues within the professoriate, in books and articles, in conferences, and in the blogosphere.  There are certainly constructive templates for developing a balanced educational program that accomplishes the twin goals of providing important, cumulative foundational knowledge and, as well, giving students exposure to the real world of legal practice, whether through clinics, simulations, externships or the combination of all three.

Deborah Rhode

Many innovations in the space of legal education have been oriented around this foundational/experiential balance.  The integration of ethical considerations into the core curriculum through what Deborah Rhode memorably called “the pervasive method,” see 42 J. Leg. Educ. 31 (1992), has helped efface the rigid distinction between doctrine and practice in legal ethics matters – although we should be candid in acknowledging that this integration has been slow and episodic.

Likewise, the growing expectation that most, or even all, law students should have a clinical experience before they graduate reflects innovations that are mission-driven, that is, they are intended to advance the objective of assuring that graduates will be able to draw upon both doctrinal and experiential training as they embark on their careers.

In a similar vein, the emergence over the past half century of economics and history as disciplines key to the legal curriculum – in some cases moving out of the boutique part of the curriculum and into the core – represents a major innovation.  Yet, it’s driven by the need and want to advance the mission of legal education as giving students the knowledge base to be sophisticated, reflective practitioners.

We continue to quarrel about which non-legal disciplines are essential (psychology? sociology? political science?).  But once the innovations in law school curriculum have taken hold with respect to what we used to call the “Law and . . .” movement, the strategies were fairly conventional, entailing debates about the “What” and the “How” and efforts to forge a consensus about the scope and dimensions of what follows the “and” in this enterprise.

Mission-driven innovation involves, at its core, self-reflection about the law school’s mission and careful consideration of whether a change – typically a supplement, not a replacement – facilitates this mission.  Such innovations imagine that we have broad agreement about the contents of this mission and, further, that the essential educational structure subserves this mission.  Innovations are designed to sustain, not destabilize, this mission.  This is not to say that such innovation is easy, but just that it is not especially disruptive.  Moreover, the measure of success can and will be tied to criteria emerging from agreed-upon definition of the law school’s overarching mission.

Type II: Mission-disruptive innovation

The dynamic nature of the contemporary legal marketplace, a key theme of Legal Evolution, has generated new thinking about innovations which are calculated to disrupt the existing educational model of law schools.  These are, as you can imagine, rarer and quite controversial.  They build upon concern, or even skepticism, about the alignment between the law school’s educational objectives and the imperatives of the marketplace and of the ideals of the profession.

An innovation which illustrates the special challenge of mission-disruptive innovation in the context of law schools is the development of degree programs which are designed to educate non-lawyers and to likewise provide them with professional opportunities to succeed in a marketplace in which the line between legal services provided by credentialed lawyers and others is eroding.

We have one version of such a strategy at Northwestern Law with our Master of Science of Law (MSL)  program for STEM professionals.  This and other programs which focus on students who do not aim for the JD and the pathways this provides to credentialing as a lawyer is an illustration of an innovation which risks disrupting the mission of the law school.  After all, law schools thrive on their ability to attract students who come to law school in order to take advantage of a three-year program, with its attendant (high) costs, and the promise at the end to receive the degree which enables the graduate to sit for a bar exam.

The evolution of these degree programs aimed at non-JD students is an interesting example of an innovation that can disrupt the existing mission of the law school.  In that, this strategy offers a distinct opportunity for law schools to reflect anew on their missions and to consider whether – and perhaps ultimately how – to reorient their mission in a different direction and with different purposes.

What new purposes do these innovations point to?  Fundamentally, they look at law schools as something more than training grounds for the next generation of lawyers.  They see their goal as creating distinct programs with a menu of tailored courses and extra-curricular opportunities with the aim of training clusters of professionals who will occupy different, though necessarily interlocking, roles as deliverers of legal services.  The slogan shifts from “law schools are about training lawyers” to “law schools are about training professionals to provide legal services and, too, to discover and implement new strategies for service delivery.”

In a more ambitious – and, yes, disruptive sense – these programs also create opportunities for professionals who will go forth to potentially compete with lawyers, as institutions and individuals look for graduates trained to bring together law, business, and technology in a toolkit which responds to new sets of problems, problems which do not require the expensive (and perhaps more narrow) work of a traditional lawyer.  One can see down the road that these programs can, if successful, be destabilizing in its creation of a cohort of competitors, of new types of professionals.

Another mission-disruptive innovation, similar in some ways to this larger ambition, but nested in the basic idea that the principal objective of law schools is to educate future lawyers, is the methodical integration of multidisciplinary knowledge into the core and advanced part of the law curriculum.  In a sense, this is a species of the “Law and . . .” endeavor, that is, bringing to bear new knowledge from non-legal disciplines on the educating of future lawyers.

However, the most ambitious and sophisticated of these strategies – and certainly in the sense in which we worked on these strategies at Northwestern before and during my deanship – entail breaking down the silos between the study of law and the study of these other disciplines.  True multidisciplinary strategies build on the notion that law is neither an autonomous discipline nor can it provide for any well-educated new lawyer all of the contents of knowledge that he or she needs to understand how legal institutions operate and how law is deployed to solve problems, to facilitate entrepreneurial behavior and enterprise, and to provide the guardrails to ensure that the rule of law is maintained and protected.

This conception of multidisciplinarity goes beyond the so-called “law and” movement of the last half century. This is not principally a marriage of two different disciplinary bedfellows.  Multidisciplinary legal education points to a more integrated, synthetic idea of what it means to understand and apply law, business, and technology to matters that necessarily entail all three dimensions of knowledge and of practice.

Going deeper

In future posts, I will drill down deeper into how innovation can be fomented along of these dimensions, what I am calling here mission-driven and mission-disruptive.

As I suggested above, the tactics required in implementing these very different types of innovations are different. And the perils faced by advocates of mission-disruptive innovations are especially acute, and interesting.  Because law schools must constantly interrogate their missions, the matter of mission-disruptive innovation will recur, even with law schools which are cautious and more reticent to change.

It is the task of ambitious deans, working with key stakeholders, to frame their innovation strategies around these two rather different goals – that is, facilitating or disrupting the schools’ existing objectives – and, further, to be agile leaders in this era of dynamic change.

Click to enlarge / Match the data-enabled deliverable, service or product to stakeholder needs.

How should legal teams get started with data?  Here’s a prescription, along with a #RealTalk diagnostic.


In Post 066, I shared that law firm and law department leaders often ask me how to get started with data analytics. I also shared that I usually respond by asking about their most important strategic objectives.

For today’s post, I will play doctor and take a cut at a framework to serve as a prescriptive roadmap. The above graphic is the result. It visualizes a practical framework to think structurally about high-value applications of data.


To Design a Value Proposition for Data Analytics, Start with Clear Thinking Around Needs

As with any new idea, tool, service or product, the key to designing a successful value proposition is to think deeply about the needs of the intended end-user.

Decision support, when applied to sufficiently high-stakes contexts in both the business of law (e.g. new business models for legal service delivery) and practice of law (e.g. litigation finance), likely offers the highest probability of generating material economic returns or a strategic leap forward for the sponsoring organization. Of course, identifying the decision opportunity and shaping the analytics approach requires a high threshold of domain knowledge as well as technical expertise across both data engineering and data science competencies — hence the need for a multi-disciplinary team.

Execution support. That said, for the time being, the most widespread data efforts in the legal market probably still focus on fairly familiar products around business intelligence, operational dashboards and financial reporting.  While there is plenty of opportunity here for useful deployment of data-informed decisions and actions, the pace of innovation here is unlikely to hit a drastic inflection point due to the heavy burdens around process improvement and change management for data handling, on an organization-by-organization basis.

Persuasion. Broadly in the world, the art of storytelling has gotten almost as much adoration as data science in recent years, but this is one area that hasn’t gotten much traction in legal. (Let’s see if 2019 brings us a bit more ✨ sparkle.)


Common Complaints, Pain Points & 😱💀 Horror Stories 👻🤡

As with many other topics about new and evolving capabilities, dialogue about data in the legal industry can be confusing and contradictory. There is a material level of hype (Big 📊 Data 🤯 disrupting 🤯 Big ⚖️ Law!!) – paired per usual with the requisite cynicism and skepticism (LOL 😆 lawyers can’t speak data 😖😰🙄).

In the abstract, I 💖 data. Full stop. 😍

Out in the real world, however, my adoration for data has many disclaimers, disclosures, and exceptions — particularly when it comes to the legal industry.  In this section, I address a few of my misgivings about the current state of data usage in the legal vertical, drawing not only on my own experiences but also the most common complaints I hear in my travels.

1. We Have the Data Sets We Deserve (but Not Always the Ones We Need 🦇)

This is often how it starts. Because most legal organizations are in possession of some data assets, and because data-informed or data-driven methods are all the rage these days, many organizations embark on directionless and costly exercises to squeeze insights from the data they already have.

Common scenario, full of traps.

Conversations that begin this way are hugely concerning to me.  What I hear in this exchange is “sure, I’d love to see something interesting or cool because it sounds like it’s free.”  That’s not a cost benefit equation with a high probability of a happy ending, for two reasons:

  1. Overvaluing existing data assets without regard to data quality or sufficiency (more on this a bit)
  2. Underestimating the cost and effort required to extract business value from those assets

On the business of law side, both data sufficiency and data condition are material concerns. A point worth noting here is that much of the existing business data in the legal industry oriented around cost to the buyer: most of the readily available data sets across law firms and law departments tend to come from time-and-billing systems and provide the history of transactions, essentially as accounting events. Of course, these data sets often suffer from material quality issues that require time and money to resolve.

Very few law firms and law departments have comparable depth or volume of data oriented around value delivered. In other words, there are precious few readily available and reliable systems of record that capture the history of legal events through which the service provider created and delivered value to the buyer of legal services. On a per-organization basis, more practice management or experience database solutions are emerging to help create this record, and in very few cases correlate those events directly to billing data. However, in 2018, such efforts are relatively nascent, particularly relative to the time-and-billing systems that have served law firms as their primary mission-critical system for many decades.

In such instances, the upside potential of the project often has a hard ceiling — yet issues with data condition can mount, not just in hard dollar expense but also time lag and overall drag on the organization. Particularly in projects without a sharp focus on the end-goal, those costs and subsequent adverse impact on the organization can be significant: not least, the potential for change fatigue and mounting resistance to future endeavors involving data.

In short, designing an analytics program at scale represents a material investment of organizational resources.  To secure sufficient ROI on such an effort, analytics must meet a higher bar than simply being interesting — analytics must be useful. And the overall utility and value proposition of the data effort should, whenever possible, be articulated at the outset, not while a costly effort is in flight.

2. Mostly Neglected Everywhere: Assessments of Data Sufficiency

My favorite question format on the GMAT is unique to the exam: data sufficiency. (Yes, it is weirdly 🤓🤓🤓 to admit I have a favorite question type on standardized tests. For inquiring minds, I 💕 logic games on the LSAT and analogies on the SAT.)

I provide an example below:

Source: PrepScholarGMAT

For everyone whose eyes glazed over, that’s OK. Data sufficiency enjoys a flavor of notoriety even among the b-school crowd. The question doesn’t directly test for quantitative problem-solving aptitude; the provided problem (in the example above, the ratio of full-time to part-time employees in Division X and Company Z) is usually asinine and beside the point.

Rather, data sufficiency questions test aptitude for metacognition: how to 🤔 think about 🤔 thinking. Correctly answering a data sufficiency question is at its core an exercise in logical reasoning, in addition to a test of content understanding of number properties and statistics. More precisely put, this question format demands rigorous and structured thinking about the underlying method of problem-solving, and most importantly the ability to correctly identify the factual inputs required to generate insights relevant to the problems or objectives at hand.

This represents hard work for our brains that feels unnatural, because the exercise of evaluating data sufficiency requires that we focus on the white space — something beyond reacting to or dealing with the facts and numbers that are right in front of us. This question asks us to think categorically and descriptively about whether we might need facts and numbers that are not readily available.

This is a very specific type of thinking that we don’t often practice in the legal industry. We ought to.

3. Data Sets Have Origin Stories, but We Often Ignore Them

Most data sets don’t simply appear out of thin air via immaculate conception. In some way shape or form, most data sets are generated by people.

In most brick-and-mortar businesses and product-heavy sectors, sensors do much of the work around collecting and gathering data, often unobtrusively in the background. The same is true for high-tech platform plays where data on user behavior turns out to be the core product to be monetized.

That said, the legal services market is still a services-first category, and our industry still relies heavily on manual data inputs. As a result, busy and stressed people are clicking buttons or filling out fields to generate many of our data sets, particularly in intra-organizational initiatives in knowledge management and practice data maintenance. This type of data work demands accuracy and precision, which are two areas where humans tend not to excel. These tasks also tend to comprise the more tedious and soul-crushing components of anyone’s job: data upkeep/maintenance is usually the “one last thing” on the checklist or to do list before quitting time, and on most days, these tasks probably don’t get done. 🤷‍♀️

Particularly because we tend to function in environments that produce low-fidelity data, understanding the means and mechanics of data collection is a critical prerequisite to defensible analysis and interpretation. Too many teams working with data in law firms and law departments function as database (or spreadsheet) administrators, overwhelmed with the mechanics of data collection and cleaning without a serious attempt to engage with the content of the data sets — i.e. what the data says and what it all might mean.


The Root Cause Diagnostic: New & Different Methods Require More & Different Skills (but Not in One New Super-Lawyer)

Out in the real world, using data to actually solve real problems is much 😓 harder and more 😩 effortful than a day of GMAT prep, and the requisite skills are both valuable and rare. The ability to identify the needed inputs and assess the best method of obtaining them are skills we don’t associate directly with data analysis. These upstream competencies in fact-finding and fact collection are skills taught in research, investigation and intelligence work — across academic, enforcement, military and corporate traditions.

In practice, work to assess and achieve data sufficiency tends to look both non-linear and messy, because it is. In addition to a firm grasp on the mechanics of research design, the team must bring to bear some depth of domain knowledge (content understanding of the specific facts and data points relevant to the problem at hand) and environmental familiarity (the ability to navigate the available universe of sources and to assess each information source for reliability). Lastly, this type of work benefits from a few specific attributes: intellectual curiosity, resourcefulness, and tenacity.

Often, generating original and useful insights requires multiple cycles of hypothetical reasoning followed by factual investigation. Formulating smart and specific questions to explore requires creative and open-ended thinking rooted in meaningful understanding of the problem, and actually going out to verify what is happening out in the real world requires a willingness to engage in legwork.

All this is a tall order. In 2011, McKinsey predicted that “by 2018, the U.S. alone could face a shortage of 140,000 to 190,000 people with deep analytical skills as well as 1.5 million managers and analysts with the know-how to use the analysis of big data to make effective decisions.”  See “Big Data: The Next Frontier for Innovation, Competition, and Productivity,” McKinsey Global Institute, June 2011.  Fast forward to this year: big data and analytics has topped the skill shortage list for the 4th year running in the annual Harvey Nash/KPMG CIO Survey, and two-thirds of IT leaders say this shortage is “preventing them from keeping up with the pace of change.” See “Big Data Skills Shortages – and How to Work Around Them,” Computer Weekly, June 2018.

A 2017 analysis by PwC echoed McKinsey’s 2011 prediction, noting that the overall talent need will be “mostly for business people with analytics skills, not just analysts.” See “What’s Next for the Data Science and Analytics Job Market?,” PwC Research and Insights, January 2017.

The grid above sets forth their recommended skill inventory mapped to jobs across two categories: analytics-enabled business roles and more technical data science roles. This is an instructive model for legal practitioners and legal educators alike: increasingly, there is a need to rethink the boundaries of the legal practitioner role, either as “data-driven (legal) decision makers” or “data-enabled (legal) analysts.”

I particularly favor this PwC model because it sidesteps a couple of familiar traps. Once in a while, Law Twitter revives the debate over whether lawyers should learn to code (strong opinions abound). I’ve never been fond of how this question is framed. Firstly, I’m not sure it’s helpful to debate whether all lawyers should learn to code. Secondly, I think the question lacks nuance and specificity about what level of conceptual literacy or practical prowess “learning to code” would or should comprise. (As for my two cents on the “learn to code” debate, I agree 🙌 with Jason Barnwell’s hilarious tweet below.)

What the PwC skill grid accomplishes in one visual is to remind us that the full complement of analytics skills modern organizations need must be spread across several jobs. Analytics is a team sport. What’s more, the PwC grid also communicates very effectively that each distinct role demands a differing mix of skills.

Click to enlarge / Don’t try this at home alone 😱

Modern law, too, is increasingly a team sport. Legal teams are particularly challenged to field a high-performing team that brings together the full complement of necessary skills, for several reasons. In the current state, the vertical not only has a skills shortage but no real pipeline strategy to attract high-caliber analytics talent. See Post 066 (talent shortage as structural barrier to innovation).  That talent shortage is exacerbated by the extreme fragmentation in the industry. See Post 051 (key graphic). Indeed, as a mental exercise, I’d be willing to lay 10-to-1 odds that there simply aren’t 200 qualified candidates to lead serious data analytics initiatives at each of the Am Law 200 firms.

The industry relies on pockets of brilliance for thought leadership (Dan Katz of Chicago-Kent & LexPredict and Evan Parker of LawyerMetrix come to mind). However, advancing analytics-enabled thinking at scale will require a much larger talent pool and/or a more creative market-making solution to help scale the limited supply of talent to a broader swath of demand.


A New Hope, Always: the Legal Industry Isn’t Actually That Far Behind the Curve

Before I close, though, let’s take a slightly different look at the state of data analytics in legal — because tech products represent one pathway to scaling the promise of analytics on a one-to-many model.  See Susskind, The End of Lawyers? (2010) (introducing one-to-one and one-to-many terminology). Certainly as of late, more and more legal tech and content players are focused on data applications with the potential to arm legal practitioners and business stakeholders to make better legal and business decisions faster: these efforts currently coalesce around natural language processing, from extraction to categorization and reasoning. Some of these component technologies are already baked into mainstream products in legal research and document intelligence categories:

Click to enlarge / Partial view of the Research and Document Intelligence categories

Many of these products are still likely enjoying success in early markets, but both categories seem poised on the cusp of penetrating mainstream markets. The Research category demonstrates an unsurprising level of consolidation given the longstanding oligarchy of incumbent content publishers. The document subcategories are still fairly crowded, particularly in the diligence engine subcategory: whether a clear winner will emerge, it is too early to say.

One last noteworthy point is that the legal vertical may represent a fairly optimal lab environment to test frontier technologies in the more advanced NLP subcategories like machine translation. In that sense, the perpetual notion that the legal industry is perennially behind everyone else may be a bit fatalistic — and signals in the marketplace suggest that there is likely sufficient interest from both capital and the buying market to drive those experiments forward, particularly in the upmarket segment of Big Law:

  • Eigen Technologies, which works closely with both Linklaters and Hogan Lovells, raised a $17.5m Series A round in June of this year, with Goldman Sachs as lead investor. See “Eigen Technologies Raises £13m,” finextra.com, June 11, 2018.
  • Luminance raised a $10m Series A round in late 2017 with Slaughter and May on its investor roster. See “Slaughters Ramps Up Luminance Investment in $10m Round,” The Lawyer, November 29, 2017.

So, is the legal industry really a decade behind everyone else in how we use and consume data to make decisions? While it probably feels that way to many market participants, I take a slightly more positive view. The advance guard is certainly charging forward. As for most of us in the middle of the pack, I’m here to tell you that many of our frustrations and complaints are commonly heard outside the legal industry.

What I do think we need to improve might be our attitudes: more willingness to invest in attracting new technical talent and more attention to developing the talent we already have by way of education and training would probably go a long way.


What’s next?  See Introducing contributor Dan Rodriguez (076)

Credit: Institute for the Future of Law Practice

A handful of farsighted legal employers are seeking to build a better talent pipeline. You’re invited to join them.


Practicing lawyers have long complained about the content of legal education – too much theory, not enough practical skills. If you’re one of those lawyers, do you also believe in the power of markets to improve the value of goods and services? If so, what market signal are legal employers sending to legal education?

As someone who has studied this market for more than 15 years, here is my paraphrase: “We want to hire smart, hardworking, and diverse law graduates, ideally from highly ranked national law schools or those at the top of their class at regional law schools.”

This describes how the majority of law firms, federal judges, and prestigious public interest employers sort through resumes. This is an observation, not a judgment. Information costs are high. Even for pedigree skeptics — and there are quite a few in the legal profession — the road of least resistance is to favor candidates with strong academic markers.

This leaves legal education in a bind – if we build it, you won’t come. Instead, legal education expends enormous energy, and a lot of scholarship dollars, to move up in a rankings competition where quality is determined primarily by pre-law credentials. Indeed, over the last 20 years, there has been a consistent .90+ correlation between schools’ median LSAT scores and their U.S. News rank. This is an input-driven market that does not materially reward improvements in legal education. How do we fix that?

Call to Action

If you are legal employer, here is a simple, low-risk way to send a powerful signal to law schools: Hire an IFLP intern.

IFLP (pronounced “I-flip”) is the Institute for the Future of Law Practice, a nonprofit created by innovative legal departments, law firms, legal service companies and law schools seeking to build a better talent pipeline. IFLP’s core initiative is a 3-week skills boot camp for law students followed by internships (10-week) and field placements (7-months) with IFLP employers. In 2018, 40+ students from five law schools participated in the program. In 2019, we hope to expand to 90+ students from 15 law schools. See 2019 IFLP Curriculum and Internship Program. The long-term goal is to make future IFLP curriculum and internships available to all interested law schools and law students.

This will happen if legal employers send a clear market signal.

If your organization hires an IFLP intern, you are supporting the creation of a curriculum that maps onto the demands of modern law practice:

  • Basic accounting, finance, and industry analysis. According the After the JD Project, law graduates two and seven years into practice report lack of business training as the most significant shortcoming of their legal education.
  • Introduction to legal operations (data, process, technology, design). Legal budgets are not keeping up with the growth in legal complexity. The emerging field of legal operations is dealing with this challenge head-on. The profession needs more operationally aware lawyers.
  • Real-world case studies and simulations. Knowledge can be taught in a classroom, but skill acquisition requires practice within a relevant context. IFLP designs experiential modules so that students can efficiently acquire both knowledge and skills.
  • Teamwork, communication, collaboration, feedback, leadership. Sophisticated law practice has become a team sport. This is reflected throughout IFLP’s curriculum.

If you hire an IFLP intern, you’ll get the benefit of a well-trained law student who takes work off your plate. Your lawyers and professional staff will also react with curiosity rather than defensiveness to the skills and know-how of IFLP interns. This can soften the soil for future change initiatives; it also reflects how a truly effective talent pipeline can deliver second-order benefits to all stakeholders.

If your organization becomes an IFLP employer, you are helping to align the interests of legal education with the long-term needs of clients. Indeed, this is part of being self-regulated profession. IFLP is just trying to make this easier.

IFLP Wave One Launch

If you’d like to learn more about IFLP, please consider attending (or sending someone from your organization to attend) IFLP’s Wave One Launch, which takes place on Wednesday, Sept.12 in Chicago (in Loop) from 5:30 to 7:30 pm. Registration details here.

During the 60-minute program, IFLP instructors from legal departments will discuss their talent needs. Speakers include:

You’ll also learn about the history of IFLP (our initial pilot was in 2014), hear from past and current students, learn how clients and law firms have used internships to create win-win benefits, and obtain information on the supervised internship program (no supervision, just results) in conjunction with Elevate Services. Again, see 2019 IFLP Internship Program.

Industry pioneers behind this effort include IFLP founding sponsors Chapman and CutlerElevate, and Cisco, as well as IFLP employers Archer Daniels Midland (ADM), Auto-Owners InsuranceBryan Cave Leighton PaisnerFenwick & WestHermes LawHonigmanNeota LogicOrrickRelativitySeyfarth ShawThompson HineUnivarColorado LawIndiana University Maurer School of LawNorthwestern University Pritzker School of Law, and Osgoode Hall Law School. In Canada, IFLP industry pioneers include BlakesBennett JonesKiraMcCarthy Tetrault, and Olser.

Thank you for reading. Now let’s increase the market signal to legal education. For additional information, please reach our to IFLP Program Director, Lisa Colpoys at lcolpoys@futurelawpractice.org.


Originally published on LinkedIn on August 23, 2018.  Republished here to help spread the word. wdh.


What’s next? See Legal Evolution’s 2018-19 publication schedule (065)


We lack the experience and vocabulary to describe what is happening in the entry-level legal job market.


Below are four charts that provide context to NALP’s recently released Class of 2017 data. But first, here are some key highlights from NALP’s press release and Selected Findings:

  • Overall employment: 88.6%, up from 87.5% in 2016.
  • Bar passage req’d jobs: 71.8%, up from 67.7%
  • Private practice jobs: 54.4%, up 1.5%
  • Median salary:  $70,000, up $5,000
  • Law firm median: $117,000, up $13,000
  • Hiring in 500+ lawyer firms: 4,606, up 368 jobs

These favorable statistics account for the press release headline “Class of 2017 Notched Best Employment Outcomes Since Recession.”  Similar headlines followed in the legal press.  See, e.g., “Median salaries for new law grads jump to $70K as BigLaw boosts hiring of newbie lawyers,” ABA Journal, Aug. 2, 2018; “Job Market for Law Grads ‘Surprisingly Strong,’ NALP Finds,” Law.com, Aug. 1, 2018; “Law grad salaries rise as big firms up their hiring,” Nat’l Jurist, Aug 3, 2018.

A simple, positive story, right?  The NALP materials contain other other facts, figures, and observations that reveal a much more complex market.  However, they can’t be reduced to pithy takeaways that are both accurate and helpful. To truly understand these data, we have to invest quite a bit of additional time and effort.

The four charts below are designed to partially bridge this gap. (Charts can be downloaded on Slideshare.)


Chart 1. Jobs in private practice continue to decline

Drawing upon the NALP press release and select findings, the news reports cited above all emphasize the increase in BigLaw hiring. In Chart 1, the supporting data are inside the orange circle.

Yet, when the Class of 2017 is viewed in a longitudinal context, the most striking feature is the continued decline in the total number of private practice jobs. Granted, jobs are down, at least in part, because the supply of entry-level talent is down.  Some employers hire more when talent is plentiful and cheap. However, it is not accurate to say that law firm hiring has rebounded from the recession. The recession was 10 years ago, yet the number of private practice jobs is lower now than at any time since the beginning of the recession.

Those of us in legal education need to understand why this is happening. See Post 057 (solving difficult problems require accurate understanding of root causes).


Chart 2. “Good news” is produced by fewer grads

As shown in Chart 2, over the last seven years, law school has become a lot less attractive to prospective law students. The class of 2017 had 34,922 graduates, which is the lowest level since 1982.

The higher employment rates for the Class of 2017 are due to smaller classes rather than an increase in the total number of jobs.  The complexity of this job market can be seen in the first paragraph of the Commentary and Analysis written by NALP’s executive director, Jim Leipold:

[Good news:] The employment outcomes findings for members of the Class of 2017 are surprisingly strong. Most notable is a bar passage required employment rate that jumped more than four percentage points from the previous year, and a private practice employment rate that has now increased for six years in a row. [Complexity:] Undergirding the strength of the employment outcomes, however, is a smaller class and not more jobs. For the fourth year in a row the employment rate has been shaped by a smaller number of jobs and a smaller graduating class size. The employment rate has risen because the falloff in the size of the graduating class has been larger than the falloff in the number of jobs secured. Notably, like the two classes that preceded it, this class secured fewer private practice jobs than any class since 1996.

This is important information, but what exactly are we supposed to do with it? It’s great that a higher proportion of students are getting better employment outcomes. But does the continued slide in law firm jobs require some type of collective action or response?  If so, who would make this call and what would they advise?  Unfortunately, we have no ready answers.  This is our conundrum.  Cf. Post 056 (discussing likelihood that law is entering a period when we will need lawyer-leaders to handle very difficult organizational and industry-wide problems).

Based on fall enrollments in 2015-17, we can forecast with reasonable accuracy the graduating classes in 2018-2020. All of them are likely to be smaller than 2017.  Thus, in terms of employment rates, we can expect three more years of “good news.”  We should use that time wisely.


Chart 3.  Relationship between law school debt and lawyer salaries

Chart 3 shows the relationship between law school debt and starting salaries, which are useful proxies for cost and perceptions of future earning potential. Since 2010, average student debt has rapidly outpaced entry-level salaries. This divergence is the simplest explanation for the massive drop-off in law school enrollment.

Fortunately, we are finally at a point where debt loads are headed downward while median salaries are tilting upward. The remaining gap, however, remains very large compared to the early to mid-2000s. Until these lines are brought closer together, those of us in legal education are going to struggle to grow our enrollment. This is very hard work, as it requires increasing the value of legal education — in the eyes of students and employers — without increasing our base costs.  In short, this is a design problem. A good number of law faculty understand this; hence the growing emphasis on innovation. See, e.g., Law School Innovation Index.


Chart 4. BigLaw will not save us

One of the NALP findings latched onto by the legal press was the increase in hiring among 500+ lawyer firms — up 368 jobs, or 8.6% from the prior year.  However, the data in Chart 4 suggest that BigLaw is unlikely to power a recovery for law schools.  Although the number of lawyers working in 500+ lawyer firms has increased significantly over the last 11 years (+36%), associates appear to be waning in importance. We see this through the shrinking proportion new-hires within large law firms.  Why is this happening?

A partial answer is that firms are finding it harder to sustain organic growth. See, e.g., Georgetown Law, “2018 Report on the State of the Legal Market” at 14 (“Since 2008, the overall growth trend for demand for law firm services has (with certain spikes and dips) been essentially flat to negative in every year.”); MacEwen, “It’s [not] The Economy. Stupid,” Adam Smith Esq., Aug. 5, 2018 (showing large drop-off in annual revenue growth after 2008). Because many lawyers and firm managers associate size with safety, growth through mergers and lateral partner hiring has become a dominant strategy.  The idea is to focus on groups of lawyers who can pay their own way in the current fiscal year.

One of the primary consequences of this strategy is that firms are relying less on associates and more on staff attorneys, counsel, and non-equity partners. See Henderson & Parker, “The Diamond Law Firm: A New Model or the Pyramid Unraveling?,” Lawyer Metrics Industry Report No. 1 (2013). First-year associates require higher salaries; more training and supervision; engender greater client pushback; and often leave before the firm recovers recruitment costs. Thus, large firms are finding ways to get by with fewer of them.

The orange trendline in Chart 4 also reveals another factor that is likely impacting entry-level hiring in the 500+ lawyer category: the number of 500+ lawyer firms is increasing.  In 2010, there were 76 firms with 500+ lawyers. By 2016, the number increased to 87.  A year later, it jumped to 91. Indeed, in 2007,  65.5% of the lawyers in the AmLaw 200 worked in 500+ lawyer firms; by 2017, this percentage increased to 75.5%.

Are the largest firms hiring more entry-level lawyers? Or are the mega-firms just taking up a larger share of the total corporate market? The latter trend would explain why entry-level hiring in 500+ lawyer firms is up while the total number of private practice jobs is at a 22-year low.


Conclusion

For many of us working in the legal field, we treat the NALP data as something we passively consume. Every year we do so without much thought or effort.  This is a conditioned response based on several decades of uninterrupted prosperity. In our experience, things have always worked out, so we can count on that pattern to continue.

Yet, the practice of law is changing in very significant ways, primarily because clients are changing how they buy legal services. There will be no shortage of opportunities for lawyers, legal educators, and recent law grads who get out into the field and obtain insight into what these clients really need. Those insights will tell us what to do.

(Charts can be downloaded on Slideshare.)



The Difficult Problem Framework is a simple tool that requires continuous learning and objectivity. Part II of a two-part series.


The framework above was developed to solve very difficult problems related to organizational change, particularly those now facing the legal field. I realize the framework looks laughably simple. That said, it’s harder to apply than you might think.

Part I (056) summarized my Deliberative Leadership course at Indiana Law, which gave me the opportunity to learn about and reflect on these topics.  In Part II, I explain Difficult Problem Framework (DPF), starting first with the basic mechanics of how it works and then providing examples drawn from Deliberative Leadership and other materials.

One caveat: Initially, this post will seem more focused on decision-making than leadership.  The goal, however, is effective leadership that has a chance at solving difficult problems. As you will see, the leadership part is already within our grasp. Effectiveness, however, requires more of a set-up.

Box 1: accurate assessments and root causes

Box 1 is the space where someone — a leader / innovator / change agent — seeks to understand a difficult problem and identify its root causes. Thus, Box 1 is primarily about fact-gathering and reasoning. To do it right, we observe the problem, locate relevant data and research, ask questions, listen, reflect over a period of days/weeks/months/years, write out our analysis in a clear and ordered way, and remain on the lookout for disconfirming evidence that reveals faulty assumptions or conclusions. In this respect, feedback loops are especially valuable. Cf. Chris Arygris, “Teaching Smart People How to Learn,” Harv. Bus. Rev., May-June 1991 (discussing double-loop learning).

Box 1 has two potential failure points. First, our assessment of the present is inaccurate due to insufficient fact-gathering, faulty unstated assumptions, lack of rigor, or something else (1A failure). Second, after constructing what we believe is an accurate analysis, we never leave Box 1, as we believe the hard part, or important part, is done (1B failure).

Readers may laugh when I say that Box 1 activities are similar to writing a peer-reviewed academic article. As we all know, however, academic journals are filled with symposia articles on problems that remain unsolved. Obviously, something is missing. That’s a 1B failure, the most common type for those of us in the academic crowd.

In contrast, practicing lawyers band together into firms that place a heavy emphasis on revenue generation. This leaves little time to read, reflect, and understand difficult problems that are one or more steps removed from the immediate demands of client work.  Despite being liberated from timesheets, in-house lawyers are not much better. In both contexts, daily responsibilities thwart deep systems thinking. This dynamic keeps the entire profession stuck in a rut of 1A failure, as we are trying to solve our most systemic problems with after-hours resources.

The image below captures our dilemma (H/T Casey Flaherty).

 Box 2: change strategy

Box 2 is about effective change strategy. Here, the operant conditioning of law school gets in the way, as we spend most of our time learning how to construct arguments that could prevail in a court of law. If we do it well, our reward is law review membership and a high-paying job. Yet, it’s also a problem-solving approach based purely on legal authority.  That’s a big limitation.

Even if a client’s life or business problem might turn on question of law, most clients can’t afford to engage the wheels of justice. And even they can, few leave the courthouse feeling good about the experience. Thus, lawyers with large practices eventually build out a toolbox of nonlegal skills. In fact, Shultz & Zedeck documented 26 different tools. See “Identification, Development, and Validation of Predictors for Successful Lawyering,” LSAC Final Report, Sept. 2008.

If we move on to organizational problems — e.g., law firms, law schools, legal departments, court systems or regulators struggling to adapt to changing time — and we are paying any attention at all, we soon observe that stakeholders are seldom won over by reasoned arguments. In fact, they may not even show up for the meeting. If they do, their head may be elsewhere. For those who show up and listen, they’ll likely want to modify our ideas with some of their own. Suffice it to say, no one leaves these meetings with a quorum for change.

Several years ago, I learned this lesson the hard way, as I was part of a team building and selling evidence-based tools to lawyers. See Post 004 (discussing Lawyer Metrics); Post 016 (same). Straightforward presentation of data, even when connected to bottomline results, is not effective to win over a group of well-credentialed professionals. Cf. Daniel Kahneman, Thinking, Fast & Slow 227-29 (2011) (discussing hostility to algorithms, particularly when they demystify professional judgement). These experiences eventually drove me to diffusion theory and the insight that innovation adoption occurs through a social system where innovators and early adopters go first. When these two groups benefit, the rest of the social system follows. See Post 004 (presenting theory); Post 007 (providing detail).

Diffusion theory, however, is but one of many theories and frameworks that can improve our odds of desirable change. I’ll give a few examples below, many of which are not only connected with leadership, but also meaning, purpose and fairness. But for now, the core point is that Box 2 requires us to continuously learn new ideas and reflect on how they might connect to our difficult problems. This is no less time-consuming than the Box 1 analysis.

Difficult problems and decisionmaking

To summarize: We can only solve a difficult problem if we can accurately assess its root causes. This requires a major investment of time and resources to get right (Box 1). Thereafter, we need to formulate an effective change strategy that goes well beyond explaining/publishing our analysis (Box 2). The purpose of the DPF is to keep these two activities separate and analytically distinct.


Correct root causes + right change strategy = chance at success

Going a bit deeper, solving difficult problems is a thinking person’s game where the biggest risk factors are (a) self-deception that causes us to underinvest in learning, fact-gathering and reflection, and (b) bias and distortion in how we evaluate information. Through work ethic and mental training, we can mitigate these risk factors, but never completely. On this score, I’d recommend four “applied” resources: Charlie Munger, 24 Cause of Human Misjudgment (1995) (75-minute audio); Daniel Kahneman, Thinking, Fast & Slow (2011); Randall Kiser, How Leading Lawyers Think (2011); Ray Dalio, Principles: Life and Work (2017).

Let’s now move from the abstract to the concrete.

Box 1: what are my assumptions?

The example below is based on an assignment in Week 1 of my Deliberative Leadership class.

Imagine you are an executive at General Motors in 1984. For reasons of cost and quality, the company has been losing marketshare to the Japanese. You’ve given this a lot of thought and concluded that the root cause of GM’s woes is an old, expensive and undisciplined workforce protected by overly generous union contracts.  Until that gets solved, the company cannot effectively compete with companies like Toyota, GM’s most formidable Japanese competitor.

This problem set is based on New United Motor Manufacturing, Inc. (NUMMI), which was a joint venture between GM and Toyota launched in the mid-1980s at an old GM auto plant in Fremont, California. Basically, this came about because Toyota was making great inroads in the U.S. market. To preempt a protectionist backlash, Toyota needed a plan to shift some of its production to the U.S. and learn how to adapted to U.S. workers. For GM, it was an opportunity to learn Toyota’s lean production methods, which combined world-class quality with world-class efficiency. This story is expertly told in a 1-hour podcast produced by This American Life. See NUMMI 2015, episode 561 (July 17, 2015).

The first part of the episode details the problems that existed at the GM Fremont plant prior to its closure in 1983 — pretty much non-stop drinking, drug use, absenteeism, and antagonism toward management.  According to Bruce Lee, who ran the western region for the UAW, “It was considered the worst workforce in the automobile industry in the United States. And it was a reputation that was well earned. Everything was a fight. They spent more time on grievances and on things like that than they did on producing cars. They had strikes all the time. It was just chaos constantly.”

In negotiating the re-opening of the Fremont for the NUMMI joint-venture, the UAW demanded that GM and Toyota rehire a substantial portion of the old Fremont facility workforce (it would turn out to be 85%).  Remarkably, Toyota was willing to go along.  According to NPR automotive correspondent, Frank Langfitt, ” Toyota execs believed their system would turn bad workers into good ones.”

The rest of the episode tells the story of how, under the Toyota production system, the Fremont facility went on produce world-class quality on par with the rest of the Toyota system.  What changed everything was the inclusion of workers in a team-based process of continuous improvement. For the first time on their careers, these old, tired workers were asked for their ideas on how the cars could be made better and more efficiently.


1A Failure

NUMMI is a vivid example of a 1A failure. The root cause of the problem was not the people; it was the system. For me, this lesson hit close to home because during the early 1980s, I was a college student living in Cleveland, Ohio. Pretty much the entire region blamed the workers and union for the decline of the industry.

The lessons of NUMMI are supported by others materials assigned during Weeks 1 and 2, such as Batman, This American Life, Episode 544 (Jan. 9, 2015) (expectations in our head have a profound effect on the physical and social world); Viktor Frankl, Why Believe in Others, Ted.com (video) (Jewish-Austrian neurologist who survived Nazi concentration camp and wrote Man’s Search for Meaning exhorting group of Americans to elevate their expectations of others and thus enable them to reach their full potential); Carl F. Braun, Management and Leadership (1948) (leader of C.F. Braun & Co., an international engineering and construction company, outlining the principles of human respect, dignity, and collaboration that underlie the company’s financial and technical success).

As these excerpts suggest, perhaps the root causes of organizational and institutional malaise are not exclusively gaps in logic or analytical rigor. Rather, a major root cause could be lack of clarity around purpose and, until that gets resolved, worry over status, hierarchy, and security.

Box 2: the missing link

I’ll admit that it wasn’t until that fourth year of Deliberative Leadership that I realized that there was a second box.  The turning point was this spring when Alli Gerkman, Director of Educating Tomorrow’s Lawyers, visited by class.  One of her selected readings was an article on an internal study by Google’s People Analytics group, dubbed Project Aristotle, that attempted to identify the attributes of high performing teams. See Charles Duhigg, “What Google Learned From Its Quest to Build the Perfect Team,” N.Y. Times Magazine, Feb. 25, 2016.

Google had long observed wide variations in team performance.  If it could isolate the factors consistently associated with high performance, perhaps they could be scaled across the entire organization.  Yet there were many false starts. In particular, Project Aristotle invested a lot of time and resources looking at how team compositions based on personality, skills or background affected team performance.  “No matter how researchers arranged the data,” wrote Duhigg, “it was almost impossible to find patterns — or any evidence that the composition of a team made any difference.”

Eventually this led the Aristotle team to the social science on group norms. One line of this research suggested that norms within groups may produce a “collective IQ” that is distinct from the intelligence of any single team member.  This hypothesis proved to be the missing link in Google’s research.

So, what is the cultural factor that explains high-performing teams at Google?  Psychological safety.


“Google’s data indicated that psychological safety, more than anything else, was critical to making a team work.”

According to Professor Amy Edmondson of Harvard Business School, who conducted much of the group norm research relied upon by Project Aristotle, psychological safety is a ‘‘shared belief held by members of a team that the team is safe for interpersonal risk-taking. … [and] a sense of confidence that the team will not embarrass, reject or punish someone for speaking up.” Edmundson, “Psychological Safety and Learning Behavior in Work Teams”, 44 Admin. Sci. Quarterly 350-383 (Dec. 1999). From the outside, a psychologically safe group might appear free-flowing and chaotic. Yet, because of group norms, the members are very good at allocating airtime equally and truly listening to one another.

This past spring, I gave two talks on leadership, one to group of young lawyers and another to a group of students from several law schools. In both talks, I explained the Google research, presented the definition of psychological safety, and asked audience members to anonymously complete a notecard that said whether their workplace or law school was psychologically safe (“yes”, “no”, “something in between”).  I then collected passed along the basket of notecards, letting each person draw a random card. Finally, I polled the results by having audience members raise their hands.  In both cases, less than 1/3 reported feeling psychologically safe. That’s a problem.

Connecting it together

For all four years of Deliberative Leadership, I have assigned a well-known article on authentic leadership. See Bill George, et al., “Discovering Your Authentic Leadership,” Harv. Bus. Rev. (Feb. 2007).  It’s an attractive thesis — that the most effective leaders “demonstrate a passion for their purpose, practice their values consistently, and lead with their hearts as well as their heads.”  Yet, the Google article got me to think that perhaps the authentic leader’s effectiveness flows from the group norms they foster, especially psychological safety.

One of the repeat readings in my class (picked by more than one guest lawyer) is True North: Discover Your Authentic Leadership, which is basically the book version of the HBR article.  It’s primary author is Bill George, former CEO of Medtronics who now teaches at Harvard Business School.  True North was picked again this year, in close proximity to Alli’s article. Thus, I took the opportunity to to better understand the book’s methodology.

Below is a graph from True North that, the authors claim, fits the pattern of many of the 125 leaders in the study.

Often, according to the authors, authentic leaders are forged during a period of extreme hardship. Through the “crucible,” leaders finally develop the courage and confidence to live by their own values.  Perhaps one way to establish a psychologically safe workplace is for the boss to explain difficult decisions in the context of their own learning, including painful failures and setbacks.  I’ve had my own crucible moments in life. At age 55, I can say that crucibles really do burn away our allegiance to things that are stupid and really don’t matter.

In terms of Box 2 change strategy, the Google research and Bill George’s authentic leadership are connected together with the work of Chris Arygris, the late, great HBS professor who focused on organizational behavior, organizational learning, and change management. In a 1991 article in the Harvard Business Review that was later republished as a HBR Classic, see “Teaching Smart People How to Learn,” Arygris discusses his work with elite management consultants. The primary theme is engrained defensive reasoning that keeps very smart professionals from learning why many of their engagements continually fall short of desired results for them and their clients.  Arygris reports many heroic efforts to change this dynamic that all end in failure.

Arygris then relates the story of a CEO of a large organizational-development firm who was so disgusted with the pattern that instead of preparing for an upcoming meeting, he decided to script out the failure in advance.  He divided his work into two columns. On the right side, he wrote out the likely dialogue that would take place.  On the left side, he wrote the thoughts and feelings that he would likely have during the meeting “but that he wouldn’t express for fear they would derail the discussion.”  Then, instead of having the meeting, he used the time to analyze the scenario with his direct reports.

What happened next was an honest dialogue in which the CEO became privy to the honest but unspoken views of his entire team. Then they could finally hear him with a new set of ears. Finally, real progress could occur.

Below is a stylized version of Aygris’s recommended approach, which I use in my Deliberative Leadership class:

This is a potentially useful Box 2 tool. Do you have the courage to give it a try?

As legal organizations and institutions struggle mightily to adapt to rapidly changing times, there is renewed and growing interest in the topic of leadership. I am confident great things are going to happen as a result.

What’s next? See Legal Services Landscape Report (058)


This is a two-part series on leadership.  For lawyers and legal educators, the big test is now.


The first time I heard “smooth seas make poor sailors” was from Fred Bartlit, one of the founding partners of Bartlit Beck.  I thought Fred was providing a guidance on how to become a great trial lawyer, i.e., through experience.  But Fred corrected me and said he was making a larger point.  Fred had been a U.S. Army Ranger and had led a platoon of soldiers in the early days of Vietnam.  He was talking about the value of perspective, emotional control, making choices with consequences, and filtering out noise. His Army experience had given Fred a very valuable general tool that could be applied to anything, including a career in law.

That conversation took place a decade ago when the legal profession and legal education were still riding high.  After the financial crisis in 2008-09, bleak job numbers and high debt loads gave rise to the scam blog movement followed by relentless negative coverage in the New York Times and Wall Street Journal.  With so much bad press and a weak entry-level job market, applications went into a free-fall. In the fall of 2012, Brian Tamanaha published Failing Law Schoolsfollowed by Steve Harper’s The Lawyer Bubble in the spring of 2013.

Law professors and law school deans were unprepared for the depth and magnitude of the change. Moreover, there was evidence that things might get worst, as lawyers were now discussing the likelihood of a permanent market shift in how law was being practiced. Through decades of prosperity and growth, we had been conditioned to believe that an endurable normal would eventually return.  But what if that wasn’t true? How would we know? Could the old guard be counted upon to make the call? If not, what then?

These questions were very much on my mind. Thus, in the fall of 2014, I convened a small, diverse group of Indiana Law alumni to discuss the topic of leadership. There was broad consensus that the legal profession/industry was entering a period of transformation and that these challenges were a microcosm of broader issues affecting our social, economic, and political institutions. I repeated the quote I heard from Bartlit and asked, “Where will the leaders come from?”

I also asked the group for their help in creating a course on leadership at Indiana Law. Everyone agreed to pitch in, but they scuttled the proposed name. “How about ‘Deliberative Leadership?,'” offered one seasoned alum who was CEO of a large company. “Before anyone agrees to lead,” he explained, “they should reflect on leadership in a deep and deliberate way.”  That seemed like advice designed to win over a group of lawyers. And it did.

You know more about leadership than you think

During the course of those meetings with alumni, I conducted an exercise that mimicked the only formal leadership training I ever had. The exercise asks two sets of questions:

  1. Identify a person who has had a major positive influence on your life. What did you learn from them? How did you learn it (e.g., through words or behaviors or some combination)?
  2. Identify a leader from your past who you decided to follow. Why did you decide to follow them? What were their sources of authority (based on job title, work experience, moral character)?

The purpose of this exercise is to surface the fact that we already possess keen insights on leadership by virtue of our life experience.  In modern times, leaders don’t have power or influence without the benefit of followers. Thus, who have we decided to follow? Invariably, the answer has a strong overlap with who has had a positive influence on our lives.

As an acknowledgement of the alumni who participated in my working group, I wrote up the results and shared it with them. See Summary of Leadership Exercise Conducted with Indiana Law Alumni, Indianapolis, IN, Oct. 23, 2014. I continue to use this exercise. And each year, I get essentially the same results.

Deliberative Leadership at Indiana Law

After I wrote up a detailed course proposal, I submitted it to the Indiana Law’s Educational Policy Committee.  On the eve the committee vote, I asked my colleague, the committee chair, if he thought the course was a good idea. He said, “Over at the business school, they have faculty who are experts on this topic.” After a slight pause that gently pointed to my lack of qualifications, my colleague commented on the thoroughness of the proposal and the customary deference given to tenured faculty. “Let’s see how it goes.”

One element of a high quality course is the quality of teaching.  A second, more subtle element is course design — i.e., how the classroom is run and the mechanisms for student learning.  In this case, I believed it was crucial to avoid the familiar role of professor as subject matter expert.  I didn’t know very much about leadership, and my students knew it.  But I had sincere curiosity and a few ideas on how to make the class work courtesy of the alumni working group and a few other resources.

Designing the course

Consulting with practicing lawyers, including former students, in your course design can be both a rewarding and humbling experience.

Perhaps the most humbling was an observation make by a former student who was the youngest member of the alumni group. She had just started a clerkship on the Indiana Supreme Court.  Prior to law school, she was a grade school teacher through Teach for America.  In reviewing my detailed course proposal, my former student remarked, “have your thought about learning objectives?”  After I wrote them up, she edited them, making them active and specific.

Another source of valuable input came from a former student who was still at the law school during his summer bar prep. Over lunch with a group of fellow grads, I explained that I was worried that students in my new class would sit back and become spectators. That very act, I said, would undermine the entire endeavor.

My former student replied, “why don’t you use a Harkness diagram.”  Having no idea what he was talking about it, he told the story of how, as a poor kid from Chicago, he ended up at the elite Phillip Exeter Academy in New Hampshire.  He also explained that most of the pedagogy at Exeter requires students to “lead the class.” The instructor’s role is to formulate the reading assignments and track the discussion as it takes place around a oval-shaped Harkness table.  Below is an example of a Harkness diagram:

In tracking the class discussion, the balance of airtime is immediately apparent. My student told me that the Exeter format had forced him into critical thinking at a very young age and that nothing in his law school experience had come close to a similar level of classroom engagement.  Suffice it to say, I adopted the method.

Students in charge

As I continued to ruminate on how to design this new leadership class, I was struck by my student’s comment that students at Exeter “lead the class.” This echoed one of the observations in the Carnegie Foundation’s Educating Lawyers report that law school stunts student development by elongating the process of passive classroom learning and delaying the act of applying the knowledge in context.

Reflecting upon these insights, I decided that a cornerstone of Deliberative Leadership would be student-led classes.  Students would be divided into five teams of four.  After the first two weeks, which I would lead (and fully exhaust my then-limited knowledge of leadership), the student teams would be in charge. Each team would be responsible for two classes. One based on readings selected by lawyers I would invite to class.  And a second based on a topic and readings selected by each team.

This course design has many benefits and very few downsides. Among the benefits is the use of crowdsourcing to identify leadership materials worthy of inclusion in class.  Thanks in substantial part to the many lawyers who have been invited to class, I have built up quite a library of articles on leadership and, much to my surprise, a handful of especially valuable resources on followership. (Gary LeClair of Post 053 was a guest in 2015. His handwritten annotations on a followership article left a big impression on students.  In 2018, an alum of the 2015 class returned and quoted LeClair: “Don’t manage your time; manage your energy.”)

A second benefit of the student-led crowdsourcing method is the opportunity to observe patterns. When the same resources get selected over multiple years, or when the same themes get drawn from disparate readings, some of the best working tools are revealed.

A third benefit is to get inside the heads of my students, who are now typically more than a quarter century my junior. Over the years, topics selected multiple times include overcoming fear (invariably one of the best classes), stress management, creativity and innovation, diversity in the profession, work-life balance, saying no, and the impact of the billable hour culture. How can I influence what I don’t understand?  When I want to learn about my students — a very powerful future demographic — all I need to do is show up and listen.

Assessment

This post is not long enough to fully explain the course’s assessment system. If you’re curious, see Deliberative Leadership syllabus.  However, there is one fairly unusual assessment method that consistently advances the course’s learning objectives.

The class meets once a week for two hours over the course of a 13-week semester.  Starting with Class 1, I circulate a half-sheet assessment rubric that is loosely based on the “hotwash” debriefing method I learned from Jeff Carr, a well-known general counsel who no shortage of opinions on leadership (albeit backed up by a track record of impressive department results). The rubric is pictured to the right [click to enlarge].

For the first two weeks, the student are grading me, albeit with useful formative feedback that I can reflect on and apply in the future. The complete feedback is collated and posted for everyone to see.  Starting in week 3, students are assessing the class organized by the student teams. This is designed to feed the “double-loop learning” method pioneered by Chris Arygris and Donald Schon.  Double-loop learning is the road to practice mastery. And, as I demonstrate to my students, it can be retooled for leadership.

It is somewhat comical and sobering to see the initial reluctance of students to read and digest feedback on how peers perceive them and others. Students are reluctant because processing feedback is difficult emotional labor. It can also be rationalized away as a “soft skill” that can be put off to a day that never comes.  Yet all day long, the perceptions of others is what determines our fate, including our fitness to lead.  Through this iterative process, I am trying to show my students that their future success is largely within their own control.  The major limitation is not intelligence, which they in abundance.  It’s a willingness to continuously observe and learn. Cf. Kiser, How Leading Lawyers Think ch. 8 (2011) (discussion of “perpetual learning,” often through feedback loops, as key to trial lawyers who consistently outperform their peers).

Call to Action speeches

The last week of class, students are required to deliver five-minute “call to action” speeches on any topic of their choosing.  The speech has to be written out in advance.  Five minutes is roughly 750 words.

This is a course requirement that almost didn’t make the cut, as some of the younger members of the alumni group voiced concern that a speech in front of peers would be a source of major student stress.  Yet, that objection was shot down by a mid-career female partner at a large law firm who remarked, “Last week, I had to give a speech to my fellow partners on the need of the firm to put substantial resources into its diversity efforts. I can tell you, I wish someone back in law school had forced me to give a call to action speech.”

In the four years I have been teaching Deliberative Leadership, one of the most startling aspects has been the evolution of each class into a community of professionals who have learned to respect and trust one another, even when they differ widely on important issues. Prior to the class, the students tend to have opinions of one another, albeit developed from a distance. But after listening to their peers over the course of 12 weeks, they learn that their fellow students are much deeper and more interesting than they ever imagined.  Thus, during the Call to Action speeches, the room is filled with energy, as students root for each other.

Although it was not my intention, Deliberative Leadership may have become one of the few law school classes where someone’s earnest pre-law personal statement can be taken out and re-read as something real, vital, and important. Occasionally I get lucky. That was the case here.

Part II

Through four years of Deliberative Leadership combined with additional life experience, I have developed a framework to aid leaders in solving very difficult problems — the kind that now confront legal education and the legal profession.  I will discuss that framework next week in Part II.

What’s next? See Studying leadership before the big test, Part II (057)

Legal education is in the early stages of remodelling and renovation. Thus, we are living through a period of messiness. Evidence of this is a virtual Symposium at PrawfsBlawg, a forum of law professors for law professors.  The symposium is called “The Futures of Legal Education.”  The organizer is Dan Rodriguez, dean of Northwestern Law and a legal educator with an excellent track record of leadership.  Dan was inspired by an epic five-part series on legal education by Pitt Law Professor Mike Madison at Madisonian (Part I here).

There is no way to summarize or boil down the conversation except to say (1) all the contributors are legal educators, and (2) the desire to do good is pervasive and sincere.  Design thinkers might counsel us to try rapid prototyping, but in the legal academy, our go-to move is a symposium.  Fortunately, several of the posts reveal real progress at home institutions.

There is not a lot overlap between the readership of Legal Evolution and PrawfBlawg.  Thus, I am republishing my contribution here, in part because it explains the paucity of recent Legal Evolution posts (which will soon change), and in part because because my post reflects a Legal Evolution perspective.  I hope you enjoy it.


“Every good idea sooner or later degenerates into hard work.”

This quote comes from writer Calvin Trillin, but I first heard it from NYLS Dean Rick Matasar over a decade ago as he shared some realism regarding innovation, in legal education or elsewhere.

I wanted to participate in this forum earlier, but alas, I was stuck doing hard work that followed a good idea.  A handful of innovators, including myself, have created a new nonprofit called the Institute for the Future of Legal Practice (IFLP, called “i-flip”).  Details online here.  I have been matching IFLP law students with summer employers. Unless this gets done well and quickly, the IFLP idea will fail.  So writing about the future of legal education had to wait.

I’ve been reading all the symposium posts and wholly appreciate the growing intellectual ferment.  Legal education is going to transform itself. I’m confident we’re in the early days of something great.

To help the cause, I would like to share a story about another idea that degenerated into nearly a decade of hard work.  The idea came from the initial publication of NALP’s bi-modal distribution, which revealed some very peculiar features about the market for entry-level legal talent.  We can argue over how we define legal ability or potential, but there’s little doubt it’s normally distributed.  Therefore, as noted by Harvard economist Greg Mankiw, labor markets should not have two distinct modes.

That insight led to the creation of Lawyer Metrics (now LawyerMetrix, owned by AccessLex Institute), an applied research company that, among other things, sought to bring analytics and measurement to legal hiring.  Of course, to make the idea work, we needed clients.  In the early days, I was very fortunate to be placed in front of the Chair of an AmLaw 50 law firm. To prepare, I circulated a four-page, single-spaced Moneyball memo.  I also created a PowerPoint.  Because I had sailed through tenure at Indiana on the strength of my empirical work on law firms, I was confident I could impress.

Yet, the meeting did not go well.  The Chair was certainly receptive, but she found my approach “too academic,” both orally and in writing. God love her, she was kind enough to tell me so.  If I wanted to do business with her firm, it was entirely up to me to close a very large communication gap, as she had other tough business problems to solve.  Suffice it to say, you don’t get too many one-hour meetings with law firm chairs. That was beginning of a steady diet of humble pie.

Around that same time, Marjorie Shultz and Sheldon Zedeck used gold-standard IO psychology methods to empirically derive 26 lawyer effectiveness factors.  See LSAC Final Report. One of the key takeaways was that academic predictors (LSAT, UGPA, 1st year grades) were correlated with only a handful of the effectiveness factors, with some of the relationships being negative (e.g., UGPA and practical judgment; LSAT and business development).  In contrast, a handful of well-validated assessments (e.g., Hogan Personality InventoryHogan Development Surveybiodata instruments) had much better correlations with lawyer effectiveness, and all of them were positive.

The Shultz-Zedeck findings strongly supported the business premise for Lawyer Metrics, which I documented in a lengthy 2008 memo.  But that is not the point of this story. If I scored myself on the effectiveness factors, I came up short.  For Lawyer Metrics to have any chance of surviving, I had to develop skills that were far beyond what tenure required.  Acquiring those skills (more specifically, attempting to acquire them) was the hardest and best thing I have ever done. However, on the front end of the “good” idea, I saw none of it coming.

I am not going to risk obliqueness here.  The narrative on legal education won’t materially change until one or more markets get moved.  And there is an ocean of distance between a good idea to better legal education and one’s ability to plan, finance, and execute that idea in a way that redistributes things that law schools care about (e.g., jobs for students, applications, philanthropic dollars, prestige, etc.).  What are the odds of that happening if we approach these challenges in our familiar academic way?

In Post 37, the wonderful and thoughtful Mike Madison asks the question, “How do we bring non-academics [legal tech, legal practitioners, access to justice advocates] meaningfully into the dialogue?”

My answer is simple.  We don’t. This is because academic dialogue is not what is needed.  Instead, we leave the building and visit these legal industry stakeholders in their natural environment.  We bring sandwiches.  We observe what is happening.  And we ask thoughtful and respectful questions, so we can come closer to seeing the world through their eyes.  Then we go back home and build prototypes that fit this new world.  Then we repeat.

This journey starts very messy. That is more than okay. What I am offering is a friendly admonition that our symposium won’t have an impact unless it degenerates into hard work – work likely beyond our current academic skill set, though hard work can fix that too.

Many thanks to Dan, Mike, the PrawfsBlawg editors, and the many contributors for a thoughtful month of dialogue.

What’s next? See My long history of law firm scorecards (047)

I am pleased to introduce readers to the Institute for the Future of Law Practice (IFLP), a new nonprofit collaboration between law schools, law firms, corporate legal departments, NewLaw service providers, and legal technology companies.  Details of this new venture can be found online at www.futurelawpractice.org.

Per the picture above, IFLP (“i-flip”) will be hosting training bootcamps in May 2018 in Chicago (at Northwestern Law) and Boulder (at Colorado Law). The bootcamps are designed to prep law students for sophisticated legal and business work settings. Each student admitted to the program is paired with a legal employer for either a 10-week summer internship or a 7-month field placement. All internships and field placements are paid. The IFLP program currently includes four law schools — Northwestern, Colorado, Indiana, and Osgoode Hall (Toronto) — though the plan is to build an infrastructure that will support and serve a significantly larger number of law students, law schools, and legal employers.

Rather than summarize the contents of the IFLP website, I am going to use this post to answer four questions:

  1. What problem is IFLP trying to solve?
  2. How will IFLP be successful?
  3. Where did IFLP come from?
  4. How can industry stakeholders become involved?

1. What problem is IFLP trying to solve?

Legal education and the legal profession are at an inflection point where traditional models of education and practice no longer fit the shifting needs of the market. The biggest driver of change is increased complexity. Historically, the legal profession has dealt with complexity through specialization and division of labor.  However, the legal profession is now at a point where its members need to learn new tools and methodologies that were not, and are not, part of traditional legal education.

Unfortunately, law schools are unable to make this transition on their own. This is because (a) the shift in practice requires an integration of law with problem-solving methods that are not legal in nature (e.g., data, process, project management, technology, and team-based collaboration); and (b) the state of the art for these new approaches to practice are currently being developed in the field by practitioners and other allied professionals.

IFLP can help fill this void by identifying industry-leading practitioners and distilling their know-how and experience into an organized body of knowledge that can be taught to law students and mid-career legal professionals.

2. How will IFLP be successful?

IFLP will be successful if it can create training and internship programs that serve law students (through high-quality employment) and legal employers (through a rich pool of applicants with an expanded set of skills and knowledge). In its simplest form, our goal is to use education to build demand for new and better pathways to sophisticated modern practice.  The larger the demand, the clearer the signal to legal education on how to retool to meet the needs of a changing market.

IFLP is fortunate to have an anchor set of legal employers who want to create a talent pipeline that combines traditional training in substantive law with foundational training in data, process, technology, and business  (T-shaped lawyers). Further, as we develop IFLP curricula and training modules, these resources can be used to cost-effectively upgrade the skills of mid-career professionals.

IFLP is designed to be an intermediary organization that coordinates the interests of law schools and legal employers. We want to improve the content and quality of legal training in ways that widen the pathway to practice.  Under the best case scenario, students, law schools, and legal employers will converge on an industry standard that better serves the interests of all stakeholders. A half century ago, organizations like NALP, LSAC, and NCBE sprang up to fill an important industry gap. Similarly, in 2018, IFLP fills a pressing industry void.

3. Where did IFLP come from?

The founders of IFLP were inspired by their experience with the Tech Lawyer Accelerator (TLA) program at Colorado Law.  Since 2014, approximately 80 students (most from Colorado Law, some from Indiana Law) have participated in a 3½ week bootcamp at the end of their 1L or 2L year. The TLA focused on technology, process, and business skills, with students spending the balance of their summers in 10-week paid internships. In some cases, the internships were extended to seven months (the summer and fall of students’ 3L year). Colorado Law’s TLA is the foundation for the first iteration of IFLP. For additional background on the TLA, see Post 018 (summarizing topics covered in the 2017 TLA).

During four years of operation, TLA has garnered very favorable feedback from students and employers. But more significantly, we received “pull” from several employers to expand the program’s breadth and capacity.  In response to this pull, a small group of us conducted a needs analysis during the fall of 2017. This involved the formation of several exploratory committees drawn from our professional networks. One committee focused on law schools; a second on legal employers; and a third on the viability of an ongoing nonprofit business model.

Based on the feedback we received, in late 2017, we made the decision to go forward with the creation of IFLP.  As we embark upon this journey, we are very grateful for the support of our volunteer board.

4. How can industry stakeholders become involved?

IFLP is not an exclusive club.  However, to be successful, we have to meet a market test. This means offering an educational product that is valuable to students and employers while also generating revenues in excess of operating costs.  In our first iteration, we are limiting participation to a small number of schools. We need to work through the myriad of issues associated with cross-school collaboration. This is complex and requires us to go slow.  The goal, however, is to create a foundation that can support future growth.

At present, we are most in need of legal employers. If your organization wants to co-create a world-class educational program that can fill your need for world-class talent, please contact us.  We are also in need of industry sponsors who are willing to subsidize IFLP in its early days.  We are fortunate to have a handful of benefactors who are getting us off the ground.  The payoff is affiliation with a promising nonprofit working to align the interests of industry stakeholders. Announcement of our full roster of participating organizations and sponsors will occur later this spring.

For law schools and law faculty, we encourage you to visit the programs in Boulder and Chicago.  We value your input and are willing to share what we are learning.  With success, we will be able to expand to include more member schools.  If you are interested in getting involved, please contact us at this link.

What’s next? Lucy Bassli shares her thought process behind her major career move (044)

If a successful large law firm faced an Innovator’s Dilemma, what would it look like?

On the one hand, the firm has a wonderful set of endowments: (1) longstanding and lucrative relationships with industry-leading clients; (2) a business that requires very little operating capital yet generates significant cash and profits; and (3) an established brand that makes it the safe choice against upstart new entrants.  On the other hand, when the traditional service offerings hit a plateau that is likely permanent, the firm struggles to use its superior endowments to reinvent itself in a way that locks in another generation of prosperity. The graphic above depicts the problem.

Many law firm leaders understand the innovator’s dilemma and worry about the timing and execution of reinvention. Thus, at numerous firms, there are internal innovators, or “intrapreneurs,” who are running carefully vetted projects designed to deliver tangible benefits to their firms. In its idealized form, this strategy raises awareness through small wins, which, in turn, create buy-in and momentum for more ambitious change.

We were fortunate to have three law firm intrapreneurs as guest lecturers during Week 5 of “How Innovation Diffuses in the Legal Industry“:


For a summary of Week 2 guest lectures (Pangea3, Practical Law Company, Hotshot), see Post 032. For week 3 (consultative sales at Thomson Reuters), see Post 034. For Week 4 (a deep dive into Axiom), see Post 036.


To set reader expectations, there was a lot to cover in this class. With three great guests, we ran out of time to probe each story with equal depth.  Also, for the purposes of publication, I need to disentangle the principles and lessons of intrapreneurship from the organizations where our guests have worked. The risk is that a discussion of context will be construed as criticism, and criticism was far from the spirit of our discussion.

To resolve this tension, I use the two problem statements below to meld together common themes. After that are specific highlights of each speaker’s remarks.

Problem statement from within the law firm

When we apply innovator’s dilemma and intrapreneurship concepts to law firms, the underlying subtext is that highly educated and successful partners are, as a group, ill-equipped to adapt to a changing legal market.  Assuming this problem statement is true — and I believe it is — why would it be true?

The problem is certainly not lack of creativity.  Within their substantive specialties, lawyers routinely come up with ingenious solutions.  Rather, the challenge is a confluence of experience, perspective, and incentives that create a powerful mental frame that is very difficult for long-time insiders to overcome.

Specifically, for several generations, lawyers in corporate law firms have carried on their craft within a simple business model that required very little time or attention to maintain. In most cases, if lawyers just focused intensively on their clients’ problems, the economic results got progressively better. This was (and is) powerful operant conditioning. As a result, for many law firm partners, the macro-trends of the legal industry are abstractions that carry very little weight.  The only market that matters is the tiny slice each particular partner serves.

Unfortunately, in very few instances are clients speaking with one voice.  In fact, voices vary by adopter type. See Post 013 (providing examples of two major corporate clients expressing completely opposite views on the need for change). Innovator and early adopter clients are drawn to new ways of legal problem-solving, though they’re in the minority.  Similarly, some early majority clients are pushed toward innovation because they can no longer afford solutions provided by traditional law firms, see Posts 032 and 036 (2008 recession led to surge in adoption for Pangea3 and Axiom).  But a sizable portion of the legal market is content with brand firms billing by the hour. If “my clients” feel differently next year or the year after, we can deal with it then.  This narrow client-centric approach is strongly reinforced by most law firm compensation systems.

The above description explains the paradox of the highly successful law firm unable to play its superior hand.  Thus, the innovator’s dilemma is a real strategy dilemma for virtually all large law firms.

Problem statement from the client side

Although clients don’t speak with one voice, the environment they are operating within is becoming more complex, global, and regulated.  This, in turn, is changing the structure of the corporate legal services market — i.e., the macro-level trends that many partners wave away as irrelevant to their practice.

Arguably, the biggest change is growth of corporate legal departments.  For at least the last 20 years, corporate clients have adapted by growing their in-house legal departments and insourcing more repetitive or lower-stakes work that formerly went to law firms. See Post 003 (showing 1997 to 2016 employment trends for lawyers working in government, in-house, and private law firms).

With more and more legal departments becoming the equivalent of large law firms embedded inside corporations, we’ve witnessed the rise of the legal operations movement (CLOC and ACC Legal Ops) and the rise of the “Type 6” client. See Post 005 (presenting a typology of law firm clients).

Legal operations as a profession and field is coming into being because many large corporate clients need more sophisticated methods and systems for managing legal cost and legal risk.  The ascendency of this role is strong evidence that the business-as-usual law firm billable hour model is on a slow but permanent decline, at least for operational “run-the-company” work that accounts for the majority of the corporate legal services market. See Post 034 (discussing trend through the lens of Axiom); Post 010 (discussing trend through the lens of the managed services industry).

The graphic below depicts the market transformation.

In general, legal complexity increases with economic growth.  For about 100 years, we’ve coped with this problem through division of labor and specialization.  This approach created the large law firm. In more recent decades, as the growth-complexity line has steepened, law firms reaped higher profits.

Yet, we have reached a point where division of labor and specialization are no longer a match for the geometric growth of legal complexity. Although clients and law firms experience this pressure as a cost problem, the root cause is lack of productivity gains.  See Post 001 (discussing systemic problems created by lagging legal productivity). To meet this productivity imperative, the legal industry is starting to migrate to new methods of legal problem-solving that are based on data, process, and technology. Indeed, these pressures are why NewLaw exists, financed in large part by venture capitalists and private equity.


NB: All the analysis and charts above frame a structural problem from the perspective of organizational clients. For this group of clients, the problem of lagging productivity is leading to market-based responses, albeit slowly. For individual clients in the PeopleLaw sector (roughly one-quarter of the legal market and shrinking), lagging legal productivity manifests itself through self-representation or people failing to seek any type of legal-based solution. See The Decline of the PeopleLaw Sector 037. In short, these are two distinct problem sets.


So the question is very simple: for large corporate clients, who is going to create the new paradigm? There are three contenders:

  • Legal departments through more legal operations and in-sourcing;
  • Law firms by skillfully playing their superior hand; or
  • NewLaw, which has data, process, and technology as its core competency but has the challenge of being new and unfamiliar.

The answer is likely to be some combination of all three. Yet, it is also likely that many law firms will fall victim to the innovator’s dilemma and be among the losers.

The challenge for law firms is that the business opportunities of a structural market shift require partners to make business judgments about macro-trends at the same time they are under pressure to acquire, bill, and collect hundreds of thousands of dollars or more in legal fees for the current fiscal year.  Unfortunately, this problem can’t be fixed by changing a comp system to reward a long-term focus, as those with a short-term focus are free to leave and take their clients with them.

Kubicki: Intrapreneurship inside a law firm

Among my three guest lecturers, Josh Kubicki has given the most thought to intrapreneurship as an applied discipline. See, e.g., Kubicki, The Intrapreneur’s Dilemma, Medium, Aug. 20, 2014.  During his guest lecture, Josh asked us to envision a simple corporate pyramid that consists of the CEO (at the top), the C-Suite (layer 2), vice-presidents (layer 3), directors (layer 4), managers (layer 5), and line workers (base of the pyramid). “Obviously, we know who’s in charge.”

“Law Firms,” noted Josh, “are much flatter.” He then picked up a grease marker to draw a stylized law firm org chart.

At the top of the pyramid, which may not be a pyramid at all, are partners who are also owners. Although partners are not the CEO, they do tend to act as CEOs of their own practice, particularly if they keep a lot of other lawyers busy.  However, increasing performance and enterprise value of the firm require collaboration across the partner / owner / CEO class.

To do this well, the law firm intrapreneur has to find ways to break down the partitions between partners — the blue lines above — without engendering fear or resistance.  Further, the intrapreneur has to do it with little or no formal authority.  “No matter what your title is, the intrapreneur is part of the professional staff paid for by revenue-generating lawyers.  So the only tool you have is your ability to make someone’s life better in a relatively simple and low-cost way.”

This reality is why Josh relies heavily on design thinking in all his change initiatives.  Josh drew the diagram below, which he called “the trifecta.”

Innovations start as an idea in an innovator’s head.  Once we move to implementation within an organization, however, we move into people’s daily experience — busy people whose job it is to serve others. Even if an innovation will, in theory, make the organization better off, implementation will fail if individual stakeholders have a negative experience that makes their job harder. Thus, successful innovation (Phase I Initiation + Phase II Implementation, see Post 015) is actually a series of properly designed sub-innovations.

A successful sub-innovation requires making the complex very simple, culturally compatible, and highly advantageous to the end-user, ideally with a very fast return-on-investment. Cf. Post 008 (presenting the key factors in Rogers rate of adoption model). If the coordinated sub-innovations all result in a good individual experience, the larger innovation has a chance of being successful. Seen through Josh’s eyes, the effectiveness of the law firm intraprenuer is less about individual brilliance than empathy, listening skills, patience, and budget, as doing this type of work “is very labor intensive.”

The intrapreneur’s intellectual gift is that, for a variety of reasons, they are not stuck inside the frame of the traditional model, often because of some prior life experience that gives them an outsider’s view. (For one of Kubicki’s transformative life experiences, which he discussed in class, read his Intrapreneur’s Dilemma.)  Yet, Josh was emphatic that humility is the single most important attribute for intrapreneur effectiveness. “If something works, congratulate the adopter for their insight and move on.”

Josh described some of the wins of his team but it would be counterproductive to publish them on the web, as Josh believes the credit goes to the entire Seyfarth Shaw organization.

Eric Wood: making partner as a technology innovator

One of the reasons I am carefully chronicling my class is that I want to create a contemporaneous record of how the legal profession navigated the shift from a world of lawyer specialization to one based on multidisciplinary collaboration.  I am confident that Eric Wood’s story is going to be replicated by hundreds of young lawyers who begin their careers at law firms. Yet, Eric was the first to blaze this trail.

Eric is the Practice Innovations and Technology Partner at Chapman and Cutler.  The key word here is partner.  Eric is a 2008 graduate of the University of Chicago Law School.  After a stint at Cleary Gottlieb in NYC doing capital markets work, Eric moved back to Chicago and joined Chapman as a banking and financial services associate.  However, several years ago, Eric quit doing client billable work and instead focused all of his attention on technology-based initiatives.  During this time, his formal title remained associate. And earlier this year, he was promoted to partner.

Practice Innovations and Technology Partner is a new role within a law firm. During his portion of the class, Eric described his work as primarily “R&D” that fell into three major buckets:

  1. Writing code to build legal expert systems and automate the drafting of documentation for a wide range of legal matters.  Often this includes the design of web interfaces so the systems are relatively intuitive for the lawyers, clients, and other personnel who use them.
  2. Designing new technology products and managing their development, release, and maintenance. Often this involves finding ways to scale innovations across multiple practice groups, including via the development of new staffing models.
  3. Other knowledge management and technology projects, such as building transactional metadata databases and data visualizations, evaluating vendor products, and researching technological developments that might affect transactional practice (e.g., blockchains and crypto currencies).

Eric has no formal training in a technical field.  His undergraduate training is in political science and environmental studies.  Instead, he attributes the initial development of his technical abilities in computer coding and database structures to a desire to impress his friends with fantasy basketball data visualizations. That hobby required a lot of scraping of data from websites followed by computational analysis.

Yet, Eric’s work in the legal field enabled him to see cross-over applications. Prior to law school, as an AmeriCorps volunteer with Wyoming Legal Services, he helped build web content to reach the agency’s far-flung clientele. “We had to scale seven lawyers for the entire state, and it was obvious that only technology could do that.”  Likewise, many late nights as a NYC transactional associate gave Eric many ideas for how to automate unpleasant, time-consuming grunt work.

In 2013, as Eric continued to improve his technical skills, he decided it was time to find a outlet in the legaltech world.  However, during this time period, the firm’s Chief Executive Partner, Tim Mohan, began bringing in outside speakers to explain how the traditional practice of law was on the brink of a major shift.  So Eric requested a meeting with Mohan to explain some of this ideas.

Mohan immediately embraced what he heard and Eric stopped doing billable. Now do the math — taking Eric off the billable track is roughly a million-dollar decision ($500/hour x 2,000 per year).  Yet, what is the price of failing to reinvent?

Relatively quickly, the decision proved to be a wise one.  For example, one of Eric’s projects was the automation of closing document sets for finance transactions.  The market no longer pays full price for the organization, indexing, and tabbing of the full deal documentation, yet this work still needs to be done and delivered to the client in a polished, professional, and timely manner.  “What used to take weeks now takes a minute.”  At roughly $500 in staff time (with wide variations based on the size and complexity of the deal) x 3,000 closings per year, this single project is saving the firm roughly $1.5 million in labor that can be allocated to other value-add projects. And that is just one example.

With the encouragement of the firm’s leadership, Eric regularly gives internal demos that have generated significant curiosity and broad buy-in among partners.  Eric notes that these internal sales were often predicated on the quality advantages of technology — of increasing transparency of changes to complex forms and reducing opportunities for error. Yet, the economics are also very attractive.  Chapman and Cutler is a highly specialized financial services firms that does approximately 40% of its work on a fixed-fee basis.  In this context, technology and process enable the firm to continue to charge less than many rival firms while protecting or improving its margins. This is exactly how innovation is supposed to function.

In addition to Eric, other transactional lawyers at Chapman have begun to invest in technical skills, with several automating significant portions of their practice. Part of this transition is made possible by an accounting system that treats “productive” hours related to firm innovation the same as client billable work. Eric gave the example of one  associate who has logged hundreds of productive hours over the past few years working on projects with Eric and his team. In short, Chapman is building more internal capacity.

This is a remarkable story. But can it be replicated by other other law firms?

I think the answer is “not easily.”  First, a firm needs someone like Eric Wood who possesses both deep legal domain knowledge and strong technical skills. Second, the stars have to align so that a leader like Tim Mohan can enable such a person to focus full-time on innovation and execution. In competitive markets, half-time efforts seldom win.  Third, it undoubtedly helped that Chapman and Cutler is a “small” large firm (~230 lawyers) that is focused on a single industry. This makes it culturally and logistically easier to implement change.

Beckett’s business mindset

As noted in Legal Evolution’s foundational posts, innovation is strongly influenced by connections between different social systems. Being on the edge of two or three systems is more valuable than being in the center of one. This is because multiple perspectives enable a person to transcend the dominant local frame and see problems with fresh eyes.

In addition to knowledge of law, all of our guest lecturers possessed a second or third frame for viewing the world. However, the most pronounced example was Jim Beckett, who acquired his legal frame after working five years in sales and distribution in the food industry, helping to grow market share for companies like Frito-Lay and Haagen Dazs.  During this time, Jim was following the advice of his father, who was impressed with Jim’s people skills and aptitude for business. Ironically, Jim’s father was a lawyer, working in-house at KFC.

Then, several years into Jim’s business career, his father had second thoughts.  “Jim,” his father said, “Law doesn’t have enough people who truly understand how businesses work.  If you get a law degree, you’ll go a long way.”  So, as an older student, Jim returned to Indiana University to go to law school.

Jim shared that law school was very difficult for him because the level of abstraction was so far removed from the practical problem-solving he was used to. It wasn’t until he was a law firm associate that we was able to meld the two perspectives.

The business frame, however, remained the dominant perspective.  For example, Jim discussed how he got his first in-house job at Brown & Williamson (a large tobacco company that later become part of RJ Reynolds). “I was the only lawyer they interviewed who could discuss the business issues that were at the core of the company’s legal work.” Further, rather than pursue upward mobility in the legal department, Jim asked to move to the business side, eventually running an RJ Reynolds operating unit in Puerto Rico.

Jim’s multiple perspectives in law and business was one of the reasons that John Crockett, chairman of Frost Brown Todd, recruited Jim to return to Louisville to run business development for the firm. Roughly 10 years earlier, Jim and John had worked together at the firm as billing lawyers. Jim was hired despite his warning that long-term success was going to require significant change, which would make some of Jim’s efforts controversial.

While the firm implemented many client-centric initiatives, Jim eventually became convinced that he could do more good by helping clients focus their purchasing power. Thus, in the summer of 2016, Jim left Frost Brown Todd to become the CEO of Qualmet, a technology company that provides legal departments with a scorecarding methodology that collects, organizes, analyzes, and shares feedback with their outside service providers.

During his lecture, Jim spoke with passion about what happens when lawyers get in full alignment with clients. “All lawyers want to do a great job. Unfortunately, very few are getting the information they need to take their practice to the next level.”  Jim believes that structured metrics and dialogue will enable clients and law firms to smoothly transition into the world of data, process, and technology.  Jim see this as not as a question of “how”, but “when.” Today’s CEOs expect their GCs, CLOs and in-house teams to drive business value that aligns with their respective company goals and objectives. Jim wants to bridge the “value” gap and sees 360 performance management as a critical piece to accelerate alignment. “Value creation is no commodity,” Jim observed, “So all stakeholders will benefit when performance is properly measured.”

Qualmet’s scorecarding methodology is closely related to Dan Currell’s post on the necessity of active outside counsel management. Convergence alone can’t deliver the desired results. See Post 031.  Thus, scorecarding will be the topic of a future post.

What’s next?  See “The Lawyer Theory of Value” by Casey Flaherty (040)