Best Practice Tips

Asked and Answered

By John W. Olmstead, MBA, Ph.D, CMC

Q. Our firm has been discussing how to handle one of our partners. We are a 12-attorney firm in Houston. One of our partners -- who is one of our highest fee producers and best business getter's -- simply won't follow firm policy or play by the rules. He won't turn in time-sheets in a timely manner, he is argumentative with others in the office, and not a team player. He is "me first" while the rest of the partners in the firm are mostly "firm first". We are trying to build a team based practice and this one partner is holding up our progress. Do you have any thoughts or suggestions on how we should handle this?

A. Dealing with "maverick partners" is always a challenge. Of course they seem to always be the heavy hitters and this makes it that much more difficult as often there are major clients and large sums of money at stake -- at least in the short term. This can also be major issues and large sums of money at stake in the long term if you don't deal with the maverick partner as well. In addition, you won't be able to achieve the vision and goals the firm is trying to achieve.

Asked and Answered

By John W. Olmstead, MBA, Ph.D, CMC

Q. We are a 4 attorney firm in Columbus, Ohio. Three of our partners are in their 60s and contemplating their exit strategies. We have a very profitable high profile practice and have been approached by a couple of very large firms concerning possible merger. We believe that this would be our best exit strategy. What mistakes have you seen other firms similar to ours make that we should avoid?

Asked and Answered

By John W. Olmstead, MBA, Ph.D, CMC

Q. Our firm is a personal injury plaintiff firm in Topeka, KS. Until two years ago we had two attorneys (both partners) and two support staff members. In early 2012 we added an associate attorney, increased our marketing investment, moved our offices and took on additional space, added five additional support staff members, and implemented a case management system. We currently have 500 open cases - up from 200 cases 2+ years ago. Revenues are up - but the two partners are each taking home $40,000 less than they were before the expansion. Our home-grown office manager runs the office. What should we be doing differently?

A. My first thought is that your revenues have not caught up with the overhead and the growth investments that you have made. (You should review your reports and verify this) Personal injury cases have a much longer revenue lag than does work that gets "time-billed" monthly. Some cases may be in progress for two years or so. So be patient, but don't be complacent.

Asked and Answered

By John W. Olmstead, MBA, Ph.D, CMC

Q. Our firm is a 24 attorney firm in the western Chicago suburbs. We have 10 partners - five are in their early 60s. We represent small to mid-size business clients. Recently we have been discussing the eventual retirement of the senior partners and approaches to client transition. We would appreciate your thoughts.