Lawyers Who Fail to Plan Should Plan to Fail
by MBA and MBA
Year end is the time most
companies undertake their annual planning process. Many attorneys, however, appear
reluctant to use plans, a technique that has proved reliable and profitable for other
businesses. Plans are the blueprints for starting, managing, growing, financing and
operating a business. You wouldn't build a house without a blueprint; neither should
you build a law practice without a plan. One of several plan types is the strategic
The strategic plan is the
foundation of most plans and is the first type an attorney should undertake.
Strategic plans outline the big picture- how you want your practice to look within three
to five years. Attorneys without a strategic plan may have more difficulty
accomplishing their goals, since they have not defined clearly their future. But a
strategic plan in your head is no substitute for a written plan, which clearly articulates
the various components in an organized and methodical manner.
The strategic plan, the
forerunner of all future planning, is a working document that should receive monthly
review. Now is the time to reflect on the past, define your future and develop a
strategic plan to ensure success. The strategic plan comprises four elements:
The mission defines who you are today. If you were riding in an elevator
and someone asked you what you do, you would respond with your mission. It usually
describes your practice.
The vision statement is critical and can be the hardest piece of the strategic
plan to quantify. The vision statement is a clear and unambiguous statement about
what the firm should accomplish in three to five years. Many attorneys give little
or no thought to their ultimate objectives, other that the source of their next paycheck.
Partners may find that their views of the future are dissimilar. Some want
the firm to grow, while others are interested in keeping the firm at the current size but
perhaps changing practice areas. Obviously, partners must reach a consensus before
the firm can move forward. From the mission to the vision, that is the
direction that you want to travel. Deciding how you get there is the next portion of
the strategic planning process.
To develop a strategic analysis, list the strengths and weaknesses of the firm's
internal structure. For example, a strength may be a large group of referral sources
or great rental rates. Next, list the opportunities and threats or circumstances
external to the firm. For example, the economy and upcoming legislation which would
affect a practice are in this category. Events which could be both threats and
opportunities also need to be included.
The analysis section dictates how you arrive at your vision, because it defines
your parameters and exposes challenges to be overcome. For example, if your vision
is to have three associates working for you and one of your weaknesses is delegation, your
vision will be restrained until you solve your delegation problem.
The goal section is where you
outline your plan to accomplish your ultimate vision. The goals can be specific,
such as making a speech at a particular organization, or they can be general, such as
developing cash flow projections for the year. Assign deadlines for completing your