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How do firms leverage data and technology to respond to a changing landscape?Dublin September 4th 2019
Michael WarrenVice President, CRM Practice
Wilson Allen
Today’s Facilitator
Today’s Agenda
• How does this all sometimes feel• Market Trends – The market is changing• Managing the data life-cycle• The integration imperative• The business development imperative• The need to understand your clients’ business drivers• Closing the Client Feedback loop• The business intelligence imperative• Actionable Insights• Aligning our strategy
How does this sometimes feel?
Market TrendsTHE INCREASING IMPORTANCE OF DOING BUSINESS DEVELOPMENT WELL: Historically it has been neglected but a changing market makes this critical to firms moving forward
1
ANALYTICS AT THE FOREFRONT: Integration and broader use of firm data to inform actions. Delivered in real-time and in context
2
THE ADOPTION IMPERATIVEFirms are moving to “Zero Entry” data models, including AI, driving lawyer use and providing greater context. To free up lawyers to spend time on client development and billable work
3
CLOSER ALIGNMENT OF PROCESSBusiness processes need to be more closely aligned and data flows across them understood
4
CLIENTS ARE BETTER INFORMED THAN USClients are more demanding and their expectations of our knowledge and use of our data and experience are greater than ever
5
“CLOSED LOOP” CLIENT LIFECYCLE: The need to pull all data together to be able to deliver customer value and client development.
6
The market is changing
• Firms are asking themselves
• What business should we invest in?
• What clients should we target?
• How can we win those clients?
• How do we onboard that business?
• How do we resource and execute matters?
• How can we optimize matter execution?
• How are we measuring client perceptions?
Why is that?
• Firms have a history of working in silos
• Historically firms’ reporting has been very focused on the financials
• Risk and client-intake don’t often consider business development
• Business Development is becoming increasingly important in a highly competitive market
• Service providers are emerging who are providing your clients with resources to compare and contrast price
• All industries in which buy-side price data comparison is provided have been revolutionized
• Now that your clients have access to this data they are going to become more price sensitive, understanding the additional value you provide your clients therefore is critical for a firm’s ability to retain its clients
Clients know how to use our data
Are we focusing our marketing taking all the right factors into consideration?
What impact do changes in fee arrangement and client buying processes have on our profit?
Are we missing an opportunity to capture more information during the life of the matter?
How do we leverage the lessons learned and what our clients think about us?
Which opportunities should we pursue?
Is business acceptance entirely administrative in focus?
Can we change processes to capture the source of work earlier in the process?
Marketing Business Development Pricing Client
IntakeMatter
CreationReferral Tracking
ClientFeedback
Managing the data life-cycle
Managing the data life-cycle
• Re-designing data capture around business process is the first step to change
• What data can be captured passively?
• For example can we profile Work type based on who’s doing the work?
• Can we derive industry from elsewhere?
• What role can machine learning play in data management?
Source of WorkClient’s business objectivesKey contacts
Work TypeWork TeamSpecific requirements
Lessons learnedOther opportunitiesCross-selling
Skills developedExperience gainedBD opportunities
Managing the data life-cycle
• Firms are having to understand the wider business eco-system and all the data within that to meet their business objectives
• Alternative fee arrangements, increasingly demanding clients, flat demand means that you’re increasingly involved in pricing strategy
• Most firms don’t easily have the data to manage this process.
• Most client management systems offer little in the way of real value to the client, they’re administrative.
• How do you harness the data to understand the value you provide to existing client and how to win new ones?
Slide: courtesy of
Managing the data life-cycle
• Users are increasingly focusing on Client Development and the need to leverage internal knowledge to support this
• Access is needed to information across multiple systems
• However that presents a challenge as to how that data is collected
• …and to how the data is surfaced
ClientData
Data onConflicts &
Competitors
Data onOurExpertise
Data onfinance,mattersjobs & projects
ContactData
Data onOur staff &Expertise
Joining the dots
The integration imperative
Firm-wide data management
• Information flows need to be thought about in terms of processes NOT systems
• A common language is essential e.g. what is a client?
• Not all data has to be captured in one go e.g. client intake is actually NOT a great data capture point
Enterprise BI: Dimensional Measures
Workflow: Pervasive Across Systems
MDM: Consistent Reference Data
Taxonomy: Common Data Language
4
2
3
1
The integration imperative
• Data flows have too often been designed to capture unstructured data
• Data capture is often an administrative task
• Small changes to existing processes need to be considered to capture more structured data (e.g. referrals)
• Machine learning and technology can transform unstructured data e.g. matter profiling, time recording narrative mining, client segmentation
The integration imperative
• In most firms having data is not the issue, having access to the right data is the problem
• Small changes to data collection processes “upstream” can have beneficial impacts to data management downstream
• Systems have tended to be implemented in siloes without an appreciation of the flow of data across systems as part of critical business processes
• For example referral tracking in CRM and Source of business in client intake
The integration imperative
The Business Development imperative
Leaders & Partners
Practice & Sector 360 Intelligence
Strategy & Planning Unified LifecycleKey Client Management
Practice Mgmt & FinancePricingTime
RiskIntake
Conflicts TermsWalls
MarketingZero-entry CRM
RelationshipsExperience
Intapp PlatformUnified data AI Workflow & integration Third-party content Security
Strategy | Origination | Execution
Slide: courtesy of
The Business Development imperative
Improve CRM adoption and usage
Drive new business
Measure client traction
Gain client intelligence
Optimize Resource Alignment/
Manage relationships for long-term success
CRM Automation
Automatic Data
Capture
Automatic Data
Delivery
Better Client Retention
AccountGrowth
Predictive Key Account Reporting
Account Relationship Optimization
Relationship Intelligence
Relationship Mapping
Relationship Data SciencePlatform
Mail & Calendar
Phone (PBX, Mobile, Voice)
Specialized (e.g. Bloomberg)
Public(Social, blogs, web)
CRM, ERP &Financials
CRM Data Cleanse
Automatic Cleanse & Enrichment before CRM Implementation
Contact Data
AccountData
Slide: courtesy of
The Business Development imperative
Customer Value Management is a measure of a company’s clients’ view of the perceived value for money delivered by your products and services compared to that of your competitors. The key is understanding the “value” your customers derive from you rather than the value you derive from them, which is often the focus of CRM
The measuring of customer value management in other industries has a proven link to being able to predict buying behaviors and how to define go-to-market strategy i.e. if you can understand how you are perceived and the criteria used to make buying decisions you can respond to them more effectively
Studies show that there is a direct correlation between the value that your clients perceive in the services that you provide and their willingness to recommend you to others. Despite what those in a “people” focused business might tell you, client relationships and buying behavior is just as much SCIENCE as it is ART!
Understanding your clients
What?Understanding the function, interests and seniority of contacts is needed to understand how to target contacts effectively
BehaviorIntegrating CRM data with other systems is important to understand level of influence e.g. are they awarding you work, what is their role on those projects
AttitudeUnderstanding what your contacts and clients think of you is the ideal. This is what the integration of client feedback in to your data gives you. Sometimes client feedback tells you surprising things and sometimes it reinforces things you already knew but it carries more weight when a client you respect tells you
SegmentThe combination of all of this data enables you to have a strong understanding of who your clients are and the variables that influence how you interact with them.
Where?Understanding where they are located is important for those where jurisdiction and geographical segmentation is important
Who?Who are your clients, what sorts of organizations do they work for?
Understanding your clients
Understanding your clients
95%
95% of law firm clients say it’s important to have an open
channel of communication to provide feedback to their firm.
86%
86% say that when asked for feedback, their perception of
their law firm is positively impacted.
SOURCE: ClearlyRated 2018
Slide: courtesy of
Closing the client feedback loop
How likely are you to recommend our firm to a friend or colleague?
0 1 2 3 4 5 6 7 8 9 10
Extremely likelyNot at all likely
DETRACTORS PASSIVES PROMOTERS
Net Promoter®
Score% Promoters % Detractors
"Net Promoter, Net Promoter System, Net Promoter Score, NPS and the NPS-related emoticons are registered trademarks of Bain & Company, Inc., Fred Reichheldand Satmetrix Systems, Inc."
Slide: courtesy of
Closing the client feedback loop
0%
10%
20%
30%
40%
50%
60%
2015 2016 2017 2018 2019
29%
Promoters
Passives
Detractors
NPS®
SOURCE: ClearlyRated 2019
Slide: courtesy of
Closing the client feedback loop
SOURCE: ClearlyRated 2019
Slide: courtesy of
Closing the client feedback loop
NPS Drivers
The firm is proactive in their approach to helping me.34%
The firm delivers high quality, error-free work.27%
The firm delivers within the timeframe they say they will.12%
The firm has a thorough understanding of my needs.12%
= % impact on NPS when “Always”
The firm’s services are a good value given the cost.42%
Contacts at the firm return my phone calls and emails within 24 hours.
7%Slide: courtesy of
Closing the client feedback loop
STRATEGY EXECUTION DIFFERENTIATION
FieldingSurvey Design Online Profile Best of Legal
Industry Best Practices
Industry Best Practices
Survey Best Practices
Buyer Trends
Training Systems Integrations
Firm-Specific Consulting
Biz DevPlanning
Marketing Planning
Integrated Reporting
Acct-Level Strategy
Closing the client feedback loop
64%
CRM 81%
PFT 75%
PMS 60%
Closing the client feedback loop
Bus
ines
s / C
ompe
titiv
eR
elat
ions
hip
Competitive Intelligence
Customer Intelligence
Business Intelligence
Relationship Intelligence
Leverage your ConnectionsUse the talents, contacts, connections
and expertise of your firm and lawyers to engage and differentiate yourself.
Get a 360° view of your customersUnderstand your clients through tracking
and analyzing all of the touch points between your firm and your clients.
Customer Relationship Management(CRM)
Social Media(Social Networks, Social Search)
Business Intelligence(BI)
Competitive Intelligence(CI)
Grow ProfitabilityAssess and drive law firm performance across all areas that drive profitability
Marketplace InsightAnalyze the legal marketplace including competition, client share and prospects
BDBDiiBDBDii
Actionable Insights
• Firms need to be able to curate information in all of these quadrants
• There is often no connectivity between these
• Those driving this (usually BD/ Marketing/ CRM) have historically not had control over the data needed to deliver this
• Solutions need to be agile as the context for the question and the question itself will often change
Getting Enterprise BI Right: A value chain where every link is critical
DeploymentTechnology AnalyticFramework
Data
Actionable Insights
• Business Intelligence focus has been, like other systems, focused on technology and deployment
• Historically financially focused (the top left of the intelligence quadrant)
• What are the questions we are trying to answer?
• Where is the data going to come from?
• How do we transform it so that it’s meaningful, relevant and useful
Client Acquisition Cost Risk Evaluation Performance Client FeedbackClient 1 High High 20% Dir Margin PoorClient 2 Low Low 20% StrongClient 3 Moderate Moderate 20% Mixed
• What are we driving? Near term profitability? Lifetime client value?• Probably not. Probably utilization but…• How do we price without a full picture?• How do we staff without a full picture?• How do we have a strategy without a full picture?
Actionable Insights
• Business Strategy
• Billing Best Practices
BusinessIntelligence & Performance
BusinessDevelopment & Acceptance
• CRM• Deal/Funnel• Pricing
• Intake• Conflicts• Terms & Risk
• FMS/PMS• Workflow• Security
• Time Capture• Bill Creation
• Analytics• Reporting• Data
Architecture
• Resource Mgmt• Project /
Objective Mgmt
Consulting Services: Expertise, Guidance, Execution
Software: Ours & Partners’
• CRM Best Practices
• Risk Mgmt.Strategy
(or “strategic consulting”)
• Intelligence Strategy
• Implementation & Execution
Core WA Focus: BusinessOperations & Billing
Wilson Allen – Aligning our strategy to yours
Thank You