Issue link: https://epubs.iltanet.org/i/7694
www.iltanet.org The Business of Law 11 controlling costs with legal Project ManageMent and they will sour everyone in the practice on the idea of project management itself. "TooLS" of The MinD: The LPM fraMework The focal point of legal project management is the delivery of value, not just legal services. LPM drives value to the client, of course, but also increases value to the practice. In a firm, that value comes in the form of clearer control over profits and an increased ability to deliver the nonroutine work that clients are willing to pay highly for. Don't forget that clients, no matter how much cost pressure they may be applying, need firms to be successful. They need to know that when they require specialized legal work, and when there's a lot at stake, you'll be there to support them. In-house, that value comes from being able to deliver more and/or stronger legal services to the many corporate departments you serve. If budgets are flat or down and yet demands continue to increase, only through a rigorous focus on value-added legal work can you meet your corporate obligations. Legal project management provides a framework for delivering maximum value. The techniques summarized above are one part of the process, perhaps the most important part, but they won't work in isolation. One key activity is inculcating at least an overview of business and fiscal literacy in practice attorneys. Law can be a calling, indeed a noble calling in support of civilization and the rule of law, but the practice of law is a business. Today, all attorneys must participate in a practice's profitability. Understanding the practice's business doesn't mean becoming an accountant or getting an MBA any more than LPM means morphing into a professional project manager. It doesn't even require significant knowledge of math. But it does require learning a few basic concepts such as opportunity cost and return on investment. Another important concept to understand is risk exposure. All projects have risks, usually more risks than you can reasonably manage. A good project manager examines the project's exposure to each risk and then works to mitigate those risks with the greatest exposure for the practice or the project. Risk exposure is easily tracked via a spreadsheet, though more sophisticated tools are also available. SofTware TooLS for LegaL ProjeCT ManageMenT Some software tools — such as those for managing risk, sharing knowledge and communicating within the team — can add value without requiring an inordinate investment of attorney time. • Spreadsheets: A series of simple spreadsheets can be the project manager's most important software adjunct. For example, a risk spreadsheet helps minimize the effect of unplanned events. For each potential risk the team sees on a given project, define a rough probability of occurrence and the cost to the project should it occur. Together, these two factors — probability times cost –– equal the risk exposure. Spend more energy mitigating and managing risks that create higher exposure. In addition, for each risk, track the mitigation plan, or how to