How to Sabotage Your Firm’s Strategic Plans

September has begun, and it’s back to school time. Although some firms don’t think about planning until December or January, I think the start of a new school year is a good time to consider planning.

Jonathan Stein posted on September 1 about strategic plans over on The Practice. Jon says that it’s important for law firms to have strategic plans, and I agree. I also think it’s important to put those plans in writing and share them with the rest of your firm so that everyone knows the direction and can plan their own activities accordingly.

Jon also says that continuity of leadership is necessary to execute the plan. He says that in firms that have a new leader or managing partner every year or two, the plans can last only a year or two. Jon further suggests that attempting to continue an old plan with a new managing partner will be ineffective. I disagree. If the planning process is done properly, the entire firm leadership should be on board with the plan and the direction the firm is taking. If the individual managing partner changes, the whole plan doesn’t necessarily have to change – nor should it if the plan was well thought out, ‘buy in’ of key firm players was obtained, and the plan was properly communicated to the firm.

The problem isn’t necessarily one of a change in leadership; it’s one of poor planning practices:

• Strategic planning is done by a small number of individuals who are relatively insulated from the rest of the firm.
• The firm’s strategic plan is really based on the individual interests or agendas of a limited number of partners, rather than on the health of the firm as a whole.
• The entire process, from beginning to end, is conducted in secret, if at all.
• The plans are not written down
• Communication is poor – the rest of the firm isn’t kept ‘in the loop’ about the firm’s direction or the reasons why the firm is undertaking (or foregoing) certain activities.
• Firm leadership fails to obtain buy in for the plan from key firm players within the firm.

All of these practices lead to lack of cohesiveness in the firm’s activities, marketing, style and presence. And that means the chances of fulfilling the firm’s goals are limited at best.

That being said, change is also a significant part of the planning process. Some plans are specifically designed for the longer term, and some for the shorter term. But either kind of plan needs to be reviewed periodically to ensure that the goals and direction of the firm continue to be realistic in light of changing markets, shifts in clients’ needs, hiring and firing of staff and professional talent, among other issues.