General business development issues

Why being credible is critical to the success of your business development efforts

A huge part in the success of your business development efforts lies in what I like to call your: ‘Credibility Score‘.

So for my most recent BD Tips Wednesday post on LinkedIn, I walked through why credibility is so important to the success of your business development activities.

Below it a repeat of that post, but before we go there though, why is credibility an issue?

Information overload

The internet has resulted in information overload. We all have access to way too much information.

But ‘information‘ is not the same as ‘knowledge‘ – and professionals work (or should be working!) in a knowledge economy.

Which leads to a bigger problem from the client perspective: with so much information out there, how do I know who to trust?

QED: Credibility!

The ‘5’ Bs on building credibility with your clients

Be ahead of the pack

Industries change and so should your knowledge and skills. Keep up with the latest trends, technologies and practices in your field.

If you can show that you’re aware of new developments and can adapt your approach, you’ll be seen as a credible forward-thinking partner.

Be transparent

The starting point in any attempt to being credible is open and transparent communication.

Be honest about what you can and cannot do.

Talking up what you can do for a client and under-delivering on that talk damages your credibility. So keep it simple: Deliver on what you say you can deliver on!

Be reliable

The easiest way to building long-term credibility is by consistently delivering on your promises. Reliability and consistency in performance over time create a strong foundation of trust. Make sure you follow through on timelines, deliverables, and commitments.

If something goes pear-shape, take accountability for it and work to quickly resolve it!

Be honest

Always tell the truth, even when it’s difficult or uncomfortable. If you make a mistake, admit it. People respect honesty, and owning up to your shortcomings is an important way to build trust.

Also, always maintain ethical standards in your dealings with your clients.

Be committed

Focus on building relationships rather than simply making deals. The more you invest in your client relationships, the more credible and trustworthy you appear.

Regularly check in on your clients, even when you’re not pitching something new.

Being genuinely interested in your client’s long-term success will enhance your reputation as a credible partner.

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As always, get in touch if you need help with your business development strategy and activities.

Richard & GSJ

☎️ +61 449 679 986

📩 richard@gsjconsulting.com.au

Why having a watercooler in your office is critical for Business Development

You’d be amazed at the amount of work I have won for my partners just standing next to the watercooler chewing the fat!

To many it seems like a waste of time, so for this week’s BD Tips Wednesday I thought I’d outline ‘5 Reasons You Need To Have A Watercooler In Your Office‘.

1. The Icebreaker

The biggest benefit of small talk is that it serves as a buffer, an icebreaker.

Small talking around a watercooler allows you the double-whammy of not only being able to chat freely, but do so knowing that you’re very unlikely to be judged for the whacky business development ideas you throw out there!

QED: the watercooler is a great place to road test some of your more bizarre business development ideas!

2. The Power of Small Talk

Everyone loves to chat – it’s human nature (trust me, I know – and anyone who knows me well will gladly verify)!

But, small talk is a lot more than just causal chat. It can be the start of a meaningful relationships. It’s also the start of great insights. Because chit-chat/gossip helps break down barriers – you become human to others and that makes people more comfortable talking to you – which in turn makes them more comfortable doing business with you!

3. Common Ground

Ever wondered where you’re going to turn to next, only to have a chat with some of your colleagues at the watercooler and come away inspired?

Yep, common ground. Common interests. Common desires. Really, really important in the early phases of a business development pursuit.

4. Network

Central to the success of your business development initiatives is the ability to start, develop and grow a network. This network of shared interests starts by developing relationships with people – and a good place to start that is at the watercooler!

5(a). The Trusted Advisor

Every watercooler has a trusted advisor – the person we all wait to go and speak to.

The font of all knowledge is found at the watercooler.

Become that font of all [BD] knowledge!

5(b). Small business enterprises

For the SME firms out there – the watercooler is a coffee shop. It’s a chamber of commerce. It’s a gathering point.

Because small talk acts as a bridge between formal business objectives and an individual’s need to build trust!

As always, get in touch if you need help with your business development strategy and activities.

Richard & GSJ

Use the GROW model to grow your book of business

In my most recent BD Tips Wednesday post on LinkedIn, I shared a professional development growth model that has been around since the 1980s and used relatively frequently by coaches such as me.

It’s called the GROW model, named in honor of the GROW acronym, and I thought readers of this blog might like to read about it:

  • Goal
  • Reality
  • Obstacles and Options, and
  • Way forward

Grow

Where:

Goal = The end point. Where you want to get to. Your Goal. This needs to be structured/set-out in a way where it is obvious there is a finish line.

Reality = Warts and all – where are you now? How far do you need to travel to reach the ‘Goal’? Is the ‘Goal’ pie in the sky or a reality?

Obstacles and Options = What Obstacles are in the way of you achieving your ‘Goal’? Once the Obstacles have been identified, do you have Options to deal with these Obstacles that will allow you to achieve your Goal?

Way forward = Last but not least, what action steps need to be put in place in order for you to achieve your Goal. In other words, what is the Way Forward!

Using the GROW model in your business development planning should add a little bit of perspective around the realistic nature of you achieving your Goal. It not only identifies what your Goal is – which is a great start in business development, but its also sets parameters around this so you clearly know when you have completed the Goal.

Bringing it all together

What I particularly like though is it highlights what the challenges will likely be and allows you to start working through how you can overcome those challenges – rather than waiting for the challenge to hit you on the nose!

Don’t get me wrong, GROW is not the only business development strategy tool you can use – and we will certainly be covering off others on BD Tips Wednesdays of the future, but it is a very useful tool to keep in your toolkit!

As always, get in touch if you need help with your business development strategy and activities.

Richard & GSJ

Using Microsoft’s Outlook and To Do to supercharge your Business Development efforts!

Success is the product of daily habits – not once-in-a-lifetime transformations.

– James Clear, Atomic Habits

Just as James Clear wrote in his best selling book Atomic Habits, success in business development is the sum of your daily habits and not a once-in-a-career pitch win!

To this end, while most professional services firms employ sophisticated Client Relationship Management (CRM) platforms, my experience has been that the greatest success in building daily business development rituals and habits comes from utlising the existing tools you have and are already familiar with – namely your Microsoft ‘Outlook’ and ‘To Do’ apps.

So for this week’s BD Tips Wednesday post I thought I would take a very high-level look at how you can be using Microsoft’s Outlook and To Do apps to advance your business development efforts:

Tips with using Outlook for your Business Development

  • Block-out 15 minutes each morning in your Outlook diary to post and comment on social media platforms, such as LinkedIn.
  • Block-out 15 minutes each lunchtime to call or email 1 client, prospect or referrer to catch-up and see how they are doing and whether there is anything you can be doing for them.
  • Use your Outlook email scheduling function to write marketing emails at a time more convenient for you (in my case 11pm!), but to be sent when they are more likely to be read by your target audience (say, 8am the next day!).
  • Use the email ‘categories’ function to organize your business development and marketing emails by campaign, client or project. This should make searching for emails in the future much easier [trust me, Future You will love Present You if all you do is do this!].
  • If you are working as part of a team, sync your Outlook calendar with the other members of your team so you can easily see when team members are free.
  • Schedule time each month in your Outlook diary to review and assess how your business development activities are fairing and determine if you need to make adjustments to your strategy/methodology.

Tips with using To Do for your Business Development

  • Schedule To Do reminders for re-occurring tasks, like writing and scheduling your social media posts.
  • Set To Do reminders ahead of time for important dates and events. An example here might be to schedule a reminder in your To Do app that the birthday of a client is coming up next week and you need to send them a handwritten card!
  • Use your To Do app to schedule follow-up reminders for people you meet at events, emails you have sent that have not been responded to, or actions you have promised to complete.

Used properly, your Microsoft Outlook and To Do apps can be very powerful business development tools. Ones which are typically very much under utilised by most professionals.

As always, get in touch if you need help with your business development strategy and activities.

Richard & GSJ

[Note: This post was first published on my LinkedIn BD Tips Wednesday page]

Directory season is coming!

While it may feel like we are doing directory and award submissions all year round, the formal season for directory submissions is upon us. Over the next six or so months, you can expect your partners to get you working on submissions to:

  • IP Stars (September – October)
  • Chambers (December – January)
  • IFLR (January – February)
  • WTR1000 (February – March)
  • Legal 500 (May – June)

So I thought it might be helpful if we take a deep dive in to the joys of whether or not to submit for that directory listing!

Should we even bother submitting?

Great question!

To be honest, if you’re just starting out and have not submitted to a directory before, then the answer is probably “no”.

The Return On Investment (ROI) – particularly now that private equity has an investment in directories such as Chambers and Best Lawyers, is low at best.

On the other hand, done right (see below for some helpful hints) you can get some useful material for your marketing collateral – such as client feedback quotes to use in capability statements and tenders.

At the end of the day though, directories have nailed the ego trips (aka endorphins) of lawyers and so the decision of whether or not to submit might be out of your control, so…

If you are going to submit, do it right: Some helpful hints

  • Be selective: First off, don’t go for every directory/award submission possible. Best selective and go for those where you know the research is done properly.
  • Don’t pay-to-play: Some directories/awards require you to pay a fee to boost your ranking or use client feedback in your marketing collateral. Resist the urge to pay for a better ranking or award!
  • It’s a long game: Most people [read: partners] think that by submitting a response the world will change over night and they will go from Rank 3 to Rank 1. Unless you have had a dramatic change at your firm, like a big hitting lateral hire – that is not going to happen! Shifting the dial on your directory ranking is glacial, and goes some way to explaining the comments on the ROI above. So if you are looking to invest time in directories and this is tied to your ranking rather than the brilliant client feedback you might get, then look to a 3 to 5 year timeline and make sure you cover off the partners to be profiled comment below.
  • Referee feedback is vital: Referee feedback is vital to the success of your submission. Get good referee feedback that can be published in the directory and you’ll reap the benefits. What does this mean? Well you’ll be tempted to put the most senior people forward as your referees (such as General Counsel or Chief Financial Officer), but that’s not always the best strategy as they are either too busy to respond to the researcher’s queries, or else have too many firms asking them to be a referee so don’t provide feedback on any. Much better to use a more junior referee who will be delighted to have been asked to provide feedback and give [hopefully] gushing feedback that can then be used by the publication and subsequently by your Marketing and Business Development team!
  • Case studies: Typically you can submit up to 20 case studies. If you mark all of your case studies as being “confidential”, then you won’t be listed – no matter how impressive those case studies are! Why? – again, the directory publisher will have nothing to publish. So make sure you give the directory publisher material to work with.
  • Referee-2-case study: Try and link the referees you provide to the case studies you are submitting. You’d be surprised by how may submissions I have seen where there are 20 referees and 20 case studies and absolutely no link between the two. You need to ask yourself what message you are sending the researcher if you are not willing to provide a referee that is linked to the case study you are submitting?
  • Partners to profile: You are probably thinking this is a no brainer – profile your most senior partners! But, that would be a mistake. Why? Well, in all likelihood they would have been profiled in any event. Much better for you would be to select a mix of partners from senior to junior to profile that shows your firm has in place a good succession and continuity plan – that you will be in business for the next 100 years, not just the last 100 years!
  • Submit on time: Yes you can get extensions, but they are not looked upon favorably so make sure you submit both your submission and referees on time.

Evaluation criteria

The evaluation criteria for most directory/award submissions are:

  1. So what/Who cares? – Why is your case study important? What sets it apart from other deals that year? Was it the biggest deal that year? Was it the first time something like this had been done? Try and work-up a case study that answers: “So what, Who cares?”.
  2. Validation – This is the client feedback section, so make it count. TIP: Don’t use the same referees every year, kind of looks like your practice might be a little stale!
  3. Peer review – Most people walk past the section where you are asked to nominated peers from other firms you worked with. Again, that’s a mistake. Peer review is a really important part of the evaluation criteria. And why would it not be? – Nothing better than having a lawyer at another firm say how good a lawyer you are and how they wished you worked with them!

Should AI be writing your directory submission for you?

Now, if you have read this far, and want to know whether there are any benefits in AI helping you draft (at least in the first instance) your directory submission, then take a look at an article I contributed to earlier this year on: ‘Why AI should be writing your directory and award submissions‘ [Note: you’ll need to provide an email to get this. If you don’t want to do that, DM me].

And finally

As always, get in touch if you need help with your directory submissions or if you just need them peer reviewed.

And if you are submitting – best of luck!

Richard & GSJ

*this post was first published to my LinkedIn account as a BD Tips Wednesday post

Allied Services

One of, it not THE BIGGEST problems with the billable hour💲is this: you don’t make any money 💰 when you and your team is sleeping 🛌.

So how can you ‘fix’ 🔨 this?

One way is to have a team that doesn’t sleep 💤 – go global!

Another way is to write a book 📖 and hope you’ll make your millions on the royalties 🤑 (and that can work, ask John Grisham).

ALLIED SERVICES

But, a more recent trend, is for law firms to offer clients what are known as “allied services” – or “adjacent services“.

Only, in most cases, there is absolutely no aligned or adjacent service being offered.

So, what is the point of this post?

Well here is a tender✍ for an allied/adjacent service lots of law firms really could be offering their clients:

‘Provision of Annual Member Meeting Services (AMM)‘.

It’s not legal work, but boy does it have adjacent opportunities.

https://lnkd.in/gq8ubVF2

And how many law firms out there don’t have events teams who are experts in project managing and holding events that they could monetarize the expertise of while leveraging and cross selling other ‘allied services’ – such as their lawyers?

Value Added Services

Bet I can guess on one hand how many law firms will go for a tender like this because this is a ‘free’ value added service.

Big mistake.

Get in touch if you want to chat about the “allied services” your firm is offering.

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Thomson Reuters Institute: Australian Law Firm Midyear Market Update

Last week (22 February 2024) Thomson Reuters Institute published its midyear market update on Australian law firm’s financial performance. Overall the sector remains robust, posting year-on-year “growth” of 7.2%. “Growth” here being defined as:

A measure of total billable hours worked by the average law firm

Leaving aside the flaws in that definition, if we are to use it as a yardstick for year-on-year growth and a like-for-like comparison globally, then the Australian legal sector looks positively healthy – particularly so for those practising Dispute Resolution (9.5% growth year-on-year, although I question the low starting bar here as DR has suffered a number of negative years as a result of COVID) and “General” Commercial (7.5% growth year-on-year; and while no definition of “general” is provided it clearly doesn’t include M&A, which sits in a different bucket).

Black clouds?
If there is a black cloud around the numbers it’s leverage and expenses.

As the chart above indicates, leverage between partners, senior associates, associates and lawyers still looks out of shape when compared against firms in other jurisdictions.

What this chart indicates to me is that partners (in particular, equity partners) are still doing way too much of the billable work and not pushing the work down to more junior lawyers (which might be understandable if it was salary partners looking to make equity; but kind of suggests it is equity partners looking to retain equity points – maybe a post for another day!).

Having said this, it might also be a trait of the Australian legal market. We often don’t follow the 10-20-30-40 leverage model here in Australia.

A potential second black cloud is on the expense-side: lawyer renumeration.

While this appears to have cooled – down from 13% growth in 2023 to 7.3% growth in the first half of 2024, for those of us who work in this market day-in, day-out, there is an acknowledgement and acceptance that mid-level lawyers (those between 4 and 8 years PQE) are rare as hen’s teeth.

And the reason for that is simple – most see Australia as a small fish bowl and want to spread their wings in Asia, London or New York.

Who could blame them!

Some come back, many don’t.

But what it does mean is this: we pay a premium for mid-level [good] lawyers here in Australia!

The last black cloud has to be lateral partner movement.

The Thomson Reuters midyear market update doesn’t include a section on lateral partner movement, but it should. Not only because it would make for interesting reading, but also because it’s a good indicator figure.

As always, get in touch if you want to talk through any of the above.

rws_01

5 Reasons why your business development team should be working on your business strategy and not just putting out fires!

A recent article in the Global Legal Post by Ben Edwards: ‘Law firm marketing and business development teams spend more time firefighting than on strategy‘ threw up some very interesting – if not predictable – stats:

  • Two thirds (65%) of marketing and business development teams [in law firms] are spending more time firefighting then developing strategy
  • 80% of that 65% spend at least 2/3rds of their working year extinguishing fires, over providing strategic thinking
  • Just over half (57%) have a seat at the head table [when it comes to strategy input]
  • 69% of respondents said they spent most of their time on addressing short-term issues rather than focusing on long-term initiatives.

And the number #1 reason given for why law firm marketing and business development teams were running from one fire to another – a lack of investment in resources.

All of which leads me to ask this question:

Do law firm partners value the service they get from their business development and marketing teams?

Another way of putting that question is this:

Do law firm partners understand the strategic value that their business development and marketing teams can provide?

Because the evidence would suggest that they don’t.

By putting – let’s be frank – high paid personnel on firefighting tasks, your firm will not be getting good value for money.

So here are my 5 reasons why your business development team should be working with you on your firm’s strategy and not just putting fires out:

1. Industry focused

    Most business development professionals are laser-focused on industry expertise. They understand a particular industry sector – such as energy, resources, financial services, FMCG, property – and by and large stay in their lanes. As such, many have a deeper understanding of what is happening in that industry sector than the partners they work with.

    2. Market knowledge

    Really good business developers are on top of market trends and competitor intelligence. They should be able to tell you what your competitors are up to, how your competitors are ranked in the market, which clients your competitors are acting for and the relevant lateral movement in your sector.

    3. Relationship Building

    A critical skill of good business development professionals is building relationships. They should be able to not only tell you who the General Counsel at client and target clients are, but also who the lead procurement team will be on a pursuit or tender opportunity.

    4. Data analysts

    A good business developer should be able to look at a set of data and provide you insights. For example: should you be worried if the number of instructions you are receiving is on the decrease, but the value per file is significantly increasing?

    5. Results driven

    Every good business development professional will tell you they are only as good as their last result! By nature, they are very results driven and don’t rest on their laurels.

    So there you go, my 5 reasons why you need your business development team working with you on your next strategy day rather than just putting out fires!

    Also, get in touch if you need help with any of the above.

    rws_01