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CCCA_V6No2_Q&A_Faure-FIN_CCCA_V6No1_Q&A_Faure 5/23/12 11:58 PM Page 28 Cover particular conclusion; for example, you must converge into one appropriate use.The most common outcome I have seen in the law firm or you must have flat fees or even, in fact, you must application model is that the same resources are employed, but reduce your spend. The conclusion that you drive toward is more effectively. The number of in-house and outside counsel entirely dependent on what the objectives of your organization remain the same,but they are employed in the key areas where the are, [what] yours as general counsel [are]. But the methodology return for that dollar is much higher. that you work through has a universal application. What can the Robert Wright’s book [Nonzero: The Logic of Human Destiny] legal department of a medium-sized company in a single juris- describes [how] increased levels of communication, co-operation diction learn from this model? It is the very same methodology: and trust will produce a non-zero win-win relationship [as to define and measure what that department’s objectives are in its opposed to a zero-sum game: I win, you lose.] [This involves] full context, the context being the stakeholders: the clients, regu- communication, co-operation and trust in the sense of trans- For example, if the analysis shows that there has been dispro- “ lators, customers, the legal staff and so on. parency whereby the law firm sees the internal workings of its clients and is able to advise in a proactive way on things that it Q According to your approach,business improvement begins with suspects may not be optimal. assessing the quality of in-house staff.You’ve identified 11 person- ality traits that are relevant to work-related issues. [For example portionate amounts of unfair dismissal claims in a certain coun- whether an individual is an introvert or extrovert; or a big picture try or [region], the law firm can respond to each emergency and or detail person.] bill by the hour for something going wrong or it can take the How do they improve business? proactive step whereby the client co-operates with the firm to A Business improvement begins with a definition of the impera- actually discuss HR procedures so the law firm can see where it tives of a department and, once again, they may vary from compa- might proactively help the company avoid problems rather than ny to company.The measurement is how you are doing against it, just responding every time the phone rings. By being proactive and then the analysis of where you might improve. The NLP and genuinely co-operative, the law firm is going to be in the [Neuro-linguistic programming] traits lend themselves toward front seat, the ideal position for forthcoming work even if it maximizing both personal potential per lawyer as well as personal extinguishes the repetitive issues it knows it can assist the client satisfaction: the individual’s output and the way they build rapport, with. The most mutually profitable partnerships have higher lev- develop presence and, most importantly, interact with others, but els of communication, co-operation and trust. also their personal satisfaction in that environment. Essentially, one By the way, the reverse also applies. I have been involved in would hope while their personality traits are relevant to work,they examples where instead of just pitching fees, flat fees, hourly fees should essentially be helpful for all activities and personal relation- and so on at a client, the law firm actually shows the cost struc- ships. Certainly there is no better or worse personality traits out of ture around the clients’ work: the law firm has been transparent the alternatives described, but the key to improving business is to in saying: “This is our cost structure to support you. We wish to improve both personal relationships and communication skills, make a profit after this relationship and we trust that you are not both in terms of how you communicate outward , how you hear going to make us lose money in this relationship and with that other individuals and, hopefully, thereby to appreciate and enjoy trust, can we set a fee structure that ensures we make a profit one’s own work. when we do the right thing, but we are not just pitching high numbers at you so you can cut us down; we are showing you our Q Is there a trait that you would consider crucial to success for in- cost structure internally.” That is high transparency and a high house counsel? degree of communication, co-operation and trust. A No, the eleven are completely neutral and, in fact, every in- house counsel has all eleven. I think what is really important for Q What lessons have you learned about how to manage change general counsel and managers are to ensure they have a balance. from the human side of the equation? A I have the simplest answer to your last question.The single les- Q You talk about a value pyramid approach to legal services where son is that we are all incentive-based. We are incentive-based the most skilled resources focus on the areas of highest risk and whether you are managing people or advising other companies financial/legal exposure.Would this dramatically reduce the need and other general counsel in law firms or whether you are hiring for outside counsel? law firms.The key dynamic that will set the willingness or resist- A It would entirely depend on where outside counsel is current- ance to change is often the incentive you have.You will appreciate ly being used.This is part of the “analyze-and-improve” part.You that conservative, traditional lawyers simply do not see the incen- define what your pyramid is,you measure where your resources are tive to change. It is not as though intellectually we do not under- currently being employed and then you analyze whether that’s stand the economy,globalization,price pressure;it’s that we do not 28 CCCA Canadian Corporate Counsel Association SUMMER 2012