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L
aw firm profitability
sounds simple enough:
revenue – expenses
= profit. And yet,
profitability can be a much-
understood and sometimes
dicey topic for lawyers and legal
professionals for a host of reasons.
Despite sitting on a goldmine
of financial data pulled from
complex billing and operational
systems, many firms barely
scratch the surface when it comes
to leveraging this information to
understand their profitability. And
they have been struggling with it
for some time. While many larger
firms have employed dashboards
or other mechanisms to shed light
on where their KPIs are being
met (or not met), some smaller or
regional firms need these tools
now, more than ever, to stay
profitable.
The reality is that most partners
have at least some level of
access to their firm's financial
information, including both direct
and indirect costs; however,
they often lack access to this
information in a readily available
format. This lack of access can
hinder their ability to make critical
HARNESSING
THE POWER
OF YOUR
BILLING DATA
BY LYNMARIE LANE
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