If you are running a law firm, there are various metrics you need your employees to meet in order to keep your law firm running smoothly. The metrics can relate to areas such as client satisfaction, retentions, account receivable, billable hours or other productivity numbers.
Based on the particulars of your law firm, some metrics might be more important than others. But, generally speaking, all of these items referenced above are necessary for the success of a law firm.
Versus just hoping that all these matters will invariable work out, the reality is if you want a successful law firm, you need to measure these metrics. You then need to look at them, study them, take proactive action as necessary and inform your employees regularly where they stand.
To do this, you need the necessary practice management software to measure billable hours and accounts receivable. You need to survey your clients to measure client satisfaction. And you need somebody measuring the number of new cases your law firm is bringing in and closing at the same time — among other items.
The law firms that measure these items will generally stay at least on a level plain at a minimum, if not move in an upward trajectory. The reason is that is various metrics begin following to fall, the firm can tighten up, change course and make necessary adjustments as necessary.
On the other hand, law firms that don’t measure these items, and simply hope for the best, can all of a sudden find themselves in a bad spot. For example, client satisfaction, retentions, account receivables, billable hours or other productivity numbers could fall quickly or over a long-period of time and law firm management not realize it in time to make the necessary adjustments.
While computing numbers, figures and graphs and updating employees may not be a fun task, it’s necessary and important. So, be sure to measure the important metrics in your law firm, take necessary action and update your folks accordingly.
If you have any thoughts, feel free to share them below.