Last week’s post (The Dollars are in the Details) was the second of this series. It offered a recommendation that is strong firms adopt high-level strategic account management (SAM) programs, which require budget considerations beyond the conventional. In today’s installment—the last in this group of edited excerpts from SAM-Legal: Turning Key Clients into Strategic Accounts / A Guide to Law Firm Strategic Account Management (© 2021 LawVision, Inc.) by Steven M. Bell & Silvia L. Coulter—we define what exactly is meant because of the tested truism: it requires money to generate income.
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Throughout (this series), along with the list below, we now have described important components of the strategy that is SAM-Legal. No doubt, an engaged team leader can conjure ideas in addition to the categories we mention below. Each SAM-Legal team leader will develop a plan that is highly tailored and specific to her or his SAM-Legal client.
Here is a list of expenditures commonly encountered in SAM-Legal programs.(* from this list
Research — Can the preliminary and continuing research essential to mount a SAM-Legal initiative be accommodated by in-house support teams who presumably currently have access to tools such as for example research resources, data compilation, and client industry-specific publications (digital and hard copy)? Or even, that will conduct these activities and get these resources? The firm’s information resources and/or business development professionals will learn how to acquire and plan for these extensive research tools.
Training — As we discussed in a earlier section, lawyers along with other professionals at law offices don’t necessarily arrive “out for the box” utilizing the credentials that are proper training to lead and participate in SAM-Legal initiatives. Firms should anticipate the costs associated with acquiring the necessary lead-off and continuing training requirements for each team that is SAM-Legal. What’s going to bring on this training and what is going to its cost be?
Happen to be the customer — no effort that is SAM-Legal be undertaken absent consultation and collaboration with the client. Although much communication with clients will occur over the telephone or virtually, a meeting that is face-to-face the client(s) is considered the most effective, and far preferred. How team that is many will attend? How much will the kickoff client visit cost? For this category, consider type of transportation, lodging, and meals (or other entertainment). Later in the development of the SAM-Legal team strategy, it may be appropriate for team members, perhaps the entire core team, to spend time on-site with the client(s) — another category requiring potentially sizeable budget as we have suggested.
And how about client happen to be what the law states firm? If it is always to occur, that will pick the tab up? If the law firm opts to pay for client travel, what is the estimated cost?
Finally, in the Travel to Client category, we strongly recommend at least an service review that is annual. Your client is very important into the future associated with firm; therefore, client service reviews ought to include in-person participation of senior firm leadership, up to the chair that is firm
For all of these travel projections, a travel that is firm’s or travel provider will help estimate and shape a majority of these costs. The purpose listed here is that the recommended amount of travel, on at the very least three occasions through the year, is really a material budget that is out-of-pocket that must certanly be estimated and included in the SAM-Legal budget plan.
Team-planning travel — it is critical that at least the core client team get together in person at the kickoff, and annually or more thereafter, to research and prepare for the years-long campaign ahead as we have suggested. The costs related to gatherings of teams of five or more lawyers and support professionals may be material if they are located in different jurisdictions as with client-related travel. A major sports or entertainment event, or a firm retreat in addition to expenses for ground transportation, airfare or train fare, lodging, and firm meals, consider a team-building exercise that might involve an off-campus event such as an industry colloquium. If your law firm is anything like the ones we have encountered, a united team gathering is going to be capped off with celebration in the hotel restaurant and bar. Make sure to include that expenditure within the budget, as well.
Consultants — it definitely is feasible for a team that is SAM-Legal conduct its business totally in-house, particularly if the law firm is well-endowed with the necessary support professionals who can design, lead, and facilitate team meetings; conduct business and competitive research and analysis; apply team-motivational techniques; provide strategic, leadership, sales, and account management training; advise on approach and follow-up strategies; craft proposals and pitches; create annual reports for the team; provide industry insights; and more. If a firm does not have requisite support resources to handle these potential needs, consider which consultants fit that is best the requirement, and build to the budget the required consultant fees.
Time is money — thus far, we now have spoken about out-of-pocket costs, but those who have worked in a statutory law firm knows that time is money. In parallel with all of the out-of-pocket calculations described above, consider the time commitment and the cost that is concomitant of hours which is needed to implement this program. Begin with the true number of hours available. Perhaps the team that is SAM-Legal should be able to devote the lion’s share of his or her hours to launching and operating this program. That will never be the exact same for many united team members. Early in the planning and preparation stage, it’s important to make a candid assessment of the client that is available hours for the lawyers and professional staff that will be engaged. Can the envisioned program be accomplished within the time that is available? If not, can firm leadership make available the additional hours that will be required, and if not, how will the program that is SAM-Legal adapted or right-sized to support the hours that exist?
Just as funding for SAM-Legal is very important, the quantity of time that may be contributed can be an consideration that is extraordinarily important particularly given the fact that lawyer time is part of the profit calculation of any firm, and also that the use of client development hours is a precious commodity at performance-evaluation and compensation-adjustment season. Each team member’s investment of time had better be worth it to the firm, firm leadership, and each team member.
Source link The time and effort required to prepare accurate and revenue that is reasonable out-of-pocket budgets for the SAM-Legal exercise is certainly going to waste in the event that investment just isn’t actually expended wisely. Don’t feel the trouble of preparing a budget unless the master plan is always to rigorously follow it and use it fully. Spending money can be difficult for those who are footing the bill. However, there also is prescience that is great the old saw: “It takes money in order to make money.” It, spend it, and spend it wisely with an eye always on creating results that benefit the firm and the client.(* if you budget)
