Firms must create a pro-active client retention and client generation culture. Typically, lawyers will say: “I don't have time to pursue any more business. I'm busy with client work. I bill 1,650 hours a year now.”

A senior partner of a large European law firm told me recently: “This economic boom we are having is not going to last forever. I realize this. My challenge is to get more of our lawyers to understand this.”

As part owners in the business, partners have a responsibility to help grow the firm - especially when times are good economically and generating work for others is easier. Partners need to demonstrate a positive attitude toward client development both for their own sake and that of younger lawyers.

A pro-active attitude sets the tone for generating new business. Lawyers who consistently work on matters that they do not find stimulating or rewarding have no one to blame but themselves. Pro-active lawyers invest time to get closer to existing clients, and increase their universe or prospective clients from which they can select the work they want – while bringing for others work that the lawyer chooses not to take on himself or herself. A key ingredient is knowing how to identify and to qualify prospects. Too many lawyers invest an inordinate amount of tine pursuing clients that are not realistic candidates nor are they profitable to service. Principles of client development may be summarised as follows:

· Of all the marketing and client development activities in which firm partners can invest their time and energy (and the firm's money), an effective face-to-face client review programme is the most beneficial to the lawyer, the client, and the firm.

· Glossy law firm brochures have less value than they did several years ago. The most effective type of law firm brochure is one created by the lawyer at his or her desk that is based on previous communications, face-to-face when possible, telephone when not possible, with the prospect. Information obtained during communications is then used by the lawyer to construct targeted, messages aimed at resolving specific issues the prospect faces that were identified in the communications.

· Today's competitive market has resulted in a more sophisticated consumer of legal services, more concerned with productivity than with long-established relationships and more sensitive to accountability and costs.

· Nurture the concept that existing clients are the center of your firm's economic universe by producing service strategies for top clients.

· Overhead costs comprise a greater percentage of law firm operating expenditures than ever before, including investments in information technology, malpractice insurance, marketing, recruiting, and rising first-year lawyer salaries.

· Approximately 10% of all law firm clients are ready to leave their existing provider. They are waiting for an attractive overture from another law firm who can demonstrate service and/or pricing difference.

· Client satisfaction is the most visible means of repeat business. If you are not measuring client satisfaction – face-to-face for your top clients - you are at risk of losing work within specific practice areas. Most dissatisfied law firm clients do not leave the entire firm; clients cease giving work to specific practice specialties with whom they are not pleased.

· Identify potential clients appearing to have a high level of growth, high profit potential, and low level of competition.

· Law firm facilities are distribution centres to provide services to clients and, therefore, quality control of work product and service delivery needs to be managed firm-wide.

· Often the most productive billing partner is desirable for committee membership, which may run counter to the firm's business generation interests.

· Cold-calling on clients by lawyers is increasing in frequency in Europe. Firms engaged in cold-calling are likely calling on someone else's client. Firms need a strategy to protect the work they have with their top clients.

· Firms lacking an effective business development culture risk losing quality associates and junior lawyers to competing firms. Partners share a responsibility for generating the type of work that will attract and retain quality young lawyers.

· Build your firm's marketing and client care around an effective client relationship management programme.

· Don't assume that every client partner is an effective manager of client relationships. Ask your clients what they think of the partner in charge of the client relationship. The person asking the client should not be limited to the lawyer working for the client. The firm's top clients need to be interviewed, face-to-face, by the senior most partner who is not doing work for that client. An effective face-to-face client service quality review requires only about 90 minutes per year.

· The effectiveness of requests for proposals (RFPs) in communicating the specific needs of the prospective client are only as effective as the ability of the person or persons who developed the written proposal request. Seek opportunities to communicate – preferably in person – with principals of the requesting client to determine underlying reasons for the RFP.

· Hold client relationship managers accountable for growing the client relationship wherever possible.

· Firms lacking an effective client review programme are missing significant opportunities to demonstrate that client satisfaction is the number one concern of the firm and to generate new business.

· When you are unsuccessful in competitive bidding, find out the reasons and correct them. When you are successful in winning new business find out why and build upon those factors.

· The two most prevalent reasons for client defections: price and lawyer attitude

· The foundation of effective client development remains: skills; achievable strategy ; and follow-through . If one of these is missing in the firm's marketing and client care mix, the firm is wasting its time and money in seeking new business.

· Many law firms talk about cross marketing; few do it well. Strategic client service planning is a proven method for ensuring effective cross marketing of firm services. In this planning process, lawyers who service specific top clients meet, follow a defined agenda, and communicate with each other regarding issues of importance to the client and to the law firm. The result is a more profitable relationship for the law firm, the lawyers, and the client.

Byron G. Sabol is an international law firm and professional service firm business development and client relationship management consultant. www.Byronsabol.com