The Client Audit Gambit

Gary R. Garrett, Ph.D.

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• Publié par: Enne
• Nombre de lectures: 8
• Langue: English

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THE CLIENT AUDIT GAMBIT  BY  GARYR. GARRETT Copyright © 2003 Gary R. Garrett Directing a firm marketing program has become a common job component for most law firm managers.Many law firms have advanced from the tentative decision to create a brochure to adopting sophisticated techniques of client maintenance and development. One such tool is the client audit. It is critical that your clients have a vehicle for communicating how they feel about you, your firm and the legal work performed on their behalf.Client perceptions of your legal services are usually somewhat different than lawyers perceive they are, or at least, cast a different light on the working and personal relationship between client and lawyer.Only by asking clients can the firm and its lawyers actually determine what their clients think.This is the logic upon which the client audit program is based. Lawyers dream up any number of negatives when considering a client audit program. Commonlywe are told that the clients won't like it as a matter of principal; that client judgments about legal issues are illfounded; that the discussion will be focused on minor and annoying criticisms; and that lawyers are not trained or temperamentally suited to interviewing clients.All these objections and fears can be true but overcome if the audit program is properly conducted. The results of audit reviews are generally positive.Clients are usually impressed and honored that their lawyers would ask them about performance and related issues. Business people, small clients and large, all appreciate the opportunity and the time given to opinions about their legal counsel.In short, audits demonstrate a "we care" approach so often overlooked in the lawyer client relationship. Most lawyers find that the following are direct benefits of a client audit program: •client is bonded to the lawyer in a nonthreatening way. The Personal and professional relationships are reaffirmed.Too often the only time a lawyer has contact with a client is when things are going badly.The audit provides a positive opportunity to meet and talk that is unrelated by design to current legal problems.

 TheClient Audit Game  Page2 • Informationabout how the client is doing and what business plans they have is gathered leading to potential work.The lawyer can update the client on legal issues and trends that the client needs to be aware of but that are not immediately emergent.This form of briefing is a critical preventative activity much appreciated by clients and ultimately produces work for the lawyer. • Smallirritations as well as major ones surface such as problems with your telephone system or the young associate who is rude and does not communicate well.This is an excellent opportunity to identify quality control problems. •issues surface such as the pending retirement of a CEO and Longrange identification of those being considered for the job.Such information forewarns the lawyer and allows time to cultivate the contenders. • Clientsshould be viewed as a firm asset and given that message through the audit program.The audit offers the opportunity to introduce the client to new attorneys and firm capabilities. Procedurally, client audits should be carried out by the responsible client lawyer and another firm member.Some firms have opted to conduct a completely unbiased interview by excluding lawyers who actually work with the client.This approach may be counterproductive and can thwart many of the benefits discussed unless it is carefully thought out.Although some have argued that the independent audit is more productive a number of clients find it artificial and threatening and come away wondering if their lawyer is in some kind of trouble.If you believe that there is a problem with a partner deal with that issue and don't involve the client. Interviews are best held onsite with the client in a relaxed setting that allows for a frank, uninterrupted discussion.Don't fall into the trap of setting too tight a schedule or of meeting in a location not conducive to business such as a bar or noisy restaurant. Providing an agenda beforehand is recommended.This allows the client the opportunity to think through the issues to be discussed and frame responses.Plant hidden questions into the agenda that will identify potential problems.Always, for example, ask the client if you can use them as a reference.If the answer is equivocal probe for the reasons.Try to separate professional matters from the audit function if you expect to bill for a portion of the meeting. The meeting should involve those client representatives that you work directly with

 Strategiesfor Better  Profitability  Page3 and their superiors.It is always advisable to err in including too many as opposed to too few individuals.Since the CEO or Chairman is conversant with the overall directions of a business they are invaluable participants to the process, but not at the expense of those who direct work, such as inhouse counsel or financial vicepresidents.The interview is best accomplished in person as opposed to over the phone or through questionnaires. These two methods of client contact have their place, but not for a client audit that almost always requires the personal touch. In selecting clients to be audited the firm must be selective.The old rule that 20 per cent of your clients provide 80 per cent your revenue is a good measure of how many clients to interview given limited resources of time and people.Select only those clients who are really important to the firm's practice.Obviously, never advertise such a program to those that are not to be included.Also be aware of the smaller clients whose potential to the firm is growing.They will not forget your personal interest in them in later years. A wellmanaged client audit program in combination with other sophisticated marketing techniques will enhance your practice and increase both lawyer and client satisfaction. Whynot give it a try?It is a marketing gambit that is worth the risk. 0111A