TLOMA Today

The TLOMA Conference Committee, once again, did not cease to amaze! Kudos to the team of Samantha Scimmi, Sarah Dovaston, Michelle Bilboe, Lauree Bangs, Katie Donaldson, Amanda Hinsperger, Nikki McCourt, Colleen McHugh, Emily Moore, Itzel Rendon, Karen Gerhardt and Courtenay Brodie for their dedication, devotion and countless hours for an incredible 3 days in Niagara. This conference would not be possible without them and their efforts.

As President, I am extremely proud and humble to be working alongside this team. This year's theme of Innovate, Collaborate & Elevate really shined through with captivating speakers and panelists, a record setting attendance from exceptional speakers and engaging our engaging delegates!  I have been to numerous TLOMA conferences, but for some reason, there was something different about the conference last week. You could sense the excitement in the exhibitor’s hall from both the Business Partners and our Delegates. Our sponsors really kicked it up a notch. It could have been the mentalist at the Forge booth, or the psychic at the Purves Redmond, or just a simple AI picture at the Pace booth.  All things we have never had before at the conference.



Here’s hoping that the 2025 Conference at White Oaks can be bigger & better!

Don't forget to register for the upcoming fall events:

October 10, 2024 - TLOMA MARKETING SIG - Public Relations: Raising the Bar for Your Firm
October 23, 2024 - TLOMA Facilities SIG Event - Insights and Inspirations for the Legal Office
November 7, 2024 - TLOMA Finance SIG
November 19, 2024 - TLOMA Finance SIG
November 28, 2024 - Holiday Networking Event - CN Tower - SAVE THE DATE, Details to follow.  (This is a members' only event)
December 3, 2024 - TLOMA Human Resources SIG - Unmasking Imposter Syndrome

Pat Carrano
TLOMA 2024 President

Welcome fall! This time of year has always prompted me to reflect, consider new endeavours and refocus on my professional goals. It likely ties back to my youth with the return to the new academic year - new classes, textbooks and the learning opportunities that generally followed.  

As I watch the leaves slowly change colour, I have paused and reflected on the mentors who have influenced and positively impacted my career. I have been fortunate to encounter great leaders in a variety of settings who made time to invest in my development and helped me create opportunities for continued growth. In all cases, these individuals generously gave their time, shared their expertise, made introductions, celebrated successes and passed the tissue box or shared a glass of wine when things didn’t go according to plan.

To pay it forward, I have sought opportunities to give back by engaging in formal mentoring through professional associations, internally as an employee and now with my clients as we navigate practice challenges. In addition, I conduct informal mentoring as I connect with young professionals looking to land their first full-time role and in my discussions with experienced professionals looking to explore the next chapter in their careers.  

Over the last few years, I have been fortunate to engage with licensing candidates pursuing the Law Practice Program (LPP) to meet the requirements to be called to the bar in Ontario. For those not familiar with this alternative to articling, the LPP delivers a dynamic, eight-month program (4 months of training and 4 months of work experience) that prepares law school graduates in the licensing process to succeed in their legal practice and careers.  

Unlike an academic program, LPP candidates are assigned to a virtual firm and with the guidance of a mentor and legal subject matter experts they engage in simulated client matters. Throughout the training, candidates delve into legal issues, draft legal materials, and are assessed before practicing lawyers on all the LSO experiential competencies. Post training, candidates secure a work experience position, working under a supervising lawyer, and build on their training to add value to the practice.     The candidates are a diverse group of individuals that range from recent law school graduates to experienced professionals looking to secure a work experience that brings the training to life.

My role, as part of a broader team, is to engage and mentor candidates through the process of securing the work experience. Much like my mentors, I look to identify networking opportunities, develop interviewing skills and celebrate success as they both secure and complete the work experience. Even better – it’s awesome to see their LinkedIn updates as they continue to build their legal practice post call to the bar.

Perhaps you are now reflecting on mentors who positively impacted your career. Or wish you had secured a mentor along the way. Whatever the case may be, consider how your firm could positively impact an LPP candidate by providing a work experience to help them launch their legal career.  More information is available by following this link  LPP Employer.

  

Quit the AI theatrics and get on with the business of legal service.

I’ve had it. Had it with the legal industry’s incessant blither blather, adjective-laden hyperbole, and histrionic pearl-clutching – hello, law firms – pertaining to the perils and rarely the pluses of artificial intelligence.

The continuous and roiling notions around AI, its impact on the legal market, and how services will need to be offered, provided, and priced strikes me as a crazy collision of Marx Brothers movies, “A Day at the Races” and “A Night at the Opera.” Wacky, zany, and clear over the top.

AI will – and should – drastically affect how law firms the world over conduct business. Still, it’s becoming more difficult to assign much validity, never mind credence, to the yakkety-yak and handwringing over business advancements verses practice threats of this technological tool.

It all makes for a lot of noise. Much of that noise pertains to if and how AI is being adopted, and rings with the deafening chime of “us too.” This tiresome cacophony is an overreaction seeded in a desperate fear-of-missing-out hope that clients, prospects, and perhaps potential lateral talent will feel some degree of assurance that whatever-firm-is-doing-the-chiming is in the know and actively adopting AI. 

But is it really? To what end? And whose benefit? 

Adoption and Adaptation
When AI – like any other technology – flows directly and transparently through a law firm to its clients, that will be the true test of how well artificial intelligence is being adopted and adapted within the legal services sector.

But let’s not stand on one leg and wait for that to happen.

Why? Because lawyers love to admire a problem. As a problem, AI is ripe for the picking and being picked apart.

Among the problems AI creates is its impact on pricing, which will now and forever affect current and prospective business. And as a result, the billable hour is finally on trial for its life. 

Yet, while many law firms and legal service companies are aware of this and are experimenting with AI for a myriad of purposes and to various extents, it is utterly astonishing that there are prolific name-brand law firms continuing to choose to be myopic to the point of willful blindness, and instead electing to dither and kick the can down the road.  

Good luck with that. 

AI’s impact on how the global legal service industry conducts business and prices services has been signalling its impending arrival like a light in a tunnel for years. Yes, that light is an oncoming train. So, your choice is clear: get on the train or under it.

Solution-Based Pricing

According to a recent study, Thomson Reuters 2024 Generative AI in Professional Services: Perceptions, Usage, and Impact on the Future of Work, 58 per cent of legal professionals said they don't believe GenAI will impact the rates they charge clients. What tommyrot. This 58 per cent of legal professionals had better think again because it’s fair to expect that 100 per cent of their clients will think about whether those rates will be paid in full, in part, or at all.

This is why smart law firms are shifting – even if it’s in stages, and slowly but surely – from hourly rates to various solution-based pricing structures that leverage the efficiency of Al and enable transparency that underscores client trust.

After all, value pertains to expertise, experience, and smarts related to strategy, future-state thinking, problem solving and, better yet, proactive issue avoidance. 

Value does not pertain to run-of-the-mill tasks, such as drafting and reviewing – never mind the perverse cottage industry of such disbursements as paying for photocopies and phone calls – for which no client should ever pay big (or small) bucks and is often why they rightly push back hard or refuse outright when such items appear on an invoice.

Value and Worth

Value is a measurement of worth. In a service-based industry like legal, worth is determined by how much more value a client receives from you than you receive from them in payment. 

And payment is only a small factor of an ongoing value exchange. That’s because a deep, trusting and valued relationship has far greater worth than money can buy. This is why the most valuable relationships are priceless. 

Here’s a personal-professional illustration of value and worth: 

Rarely am I paid for the time and effort to draft, edit, and publish my thought leadership material. However, the combination of expertise, experience, and smarts plus investment necessary to create the depth and range of intellectual property contained within my articles, webinars, and keynote presentations results in an ability to attract and select only those clients with whom I wish to engage – and be fairly and well-compensated via solution-based pricing – for mission-critical strategy work. 

This high calibre work has two key hallmarks. For me, it sits dead-centre within my four smart strategy pillar wheelhouse. For clients, it enables full access to strategic legal market thinking and future-state problem avoidance. Value is realized because what clients receive is worth more to them and their business than what I am paid. Of even greater worth are mutually deep and trusting relationships that lead to being each other’s first call.

And therein lies the compound advantage of sophisticated work, solution-based pricing structures, and relationship worth.

Structural Shifts
In non-traditional law firms, structure is usually minimal or flat, which enables easier adoption and adaptation of AI and solution-based pricing.  

However, for traditionally structured law firms, the double whammy of a global pandemic recovery and all it continues to entail plus the impact of AI and its effect on pricing is a serious threat to solvency. We are witnessing this now and will continue to do so for some time to come.

A related issue is that, in the chronically short-sighted traditional law firm environment, concerns around AI’s impact on the bottom line far eclipse problems around its effect on if and how young lawyers will learn legal ropes. 

The ‘if’ part of this conundrum is very real and more concerning than the ‘how’. In many instances, AI is already grinding through low-level work that used to be the prevue of how new lawyers learned about legal practice, and it’s doing so at a fraction of human cost and time. 

The upshot is that this lowest level of traditionally structured law firms will either be tightly compressed or completely lopped off, and the traditional pyramid structure will be significantly diminished. 

Why? The hard truth is that even though lip service may be paid to the traditional new lawyer apprenticeship process, next to no law firm will dedicate full attention to this concern until current and future solvency is secured, and answers to the ever-present profits-per-partner (PPP) questions are wrestled down. 

Go Big or Get Gone?

This is one of the reasons I believe global and big law firms are seeking market advantage by becoming even bigger. I’m talking about that ridiculous more-is-better chestnut of "lawyer headcount” rather than hardcore business principles around market strategies, distinctiveness, and EBITDA that are hallmarks of commerce and economic growth.

I commented as much on LinkedIn recently in response to this story that, without the AI angle, could have been written 20 or 30 years ago when law firm size was all the rage the first time around. And now, much like often-repeated fashion trends such as bellbottoms, turtlenecks, and gold chains, here we go again.

Obviously, AI’s efficiencies are scaring many law firms to death and perhaps because of it more law firm deaths may happen literally.

Whether AI will directly result in law firm failures remains to be seen. Still, we’re at a reckoning point where it is realistic and reasonable to expect that life in the legal market will be tougher and more demanding than it has ever been – and that’s saying something.

My Recommendation 

The Internet changed the world; AI is flattening it. 

For the love of all that’s Holy, knock it off with all the annoying Sturm und Drang around AI. Instead, figure out – right now – how best to adopt and adapt AI as part of your structure and culture. Price services and offerings accordingly – in whole, in part, or in stages – and get on with the business of doing business. 

Granted, doing so will require an ongoing investment of time and money along with change management, determination, and grit. However, not doing it will have adverse consequences, perhaps not immediately but most certainly in due course. 

The choice is yours.

If not doing it is your choice, then feel free to surrender to the operatic hysteria, faffing about, and déjà-vu-all-over-again nonsense. And while you’re at it, flop on a couch and cocooned in a haze of blitheful indifference, enjoy the antics of the Marx Brothers. 

This article first appeared on Slaw.

In the fast-paced financial landscape of the legal industry, the pursuit of the “perfect” candidate can feel like chasing an illusion. Many finance leaders within legal firms focus intently on finding specific hard skills in resumes, believing this will ensure success. However, with new tools and methodologies constantly emerging, it’s nearly impossible to find a candidate who meets every technical requirement. Instead of fixating on hard skills, consider shifting your focus to three timeless traits that can genuinely elevate your team: Aptitude, Willingness to Learn, and Curiosity.

Why These Traits Matter in Legal Finance

1. Aptitude: The Foundation for Adaptability
Aptitude refers to an individual’s natural ability to acquire new skills and absorb knowledge quickly. In the legal finance sector, where regulations, technologies, and best practices are continually evolving, a team member with high aptitude is invaluable. They can quickly learn new legal software, understand intricate financial data, and adapt to changing market conditions, ensuring your firm remains competitive and compliant.

When you manage a busy law firm, it can seem like your plate is constantly full. From managing client communications to scheduling meetings and keeping the office running smoothly, the demands on your time are constant. How can you lighten the load and help your team work more efficiently - without losing the personal touch that clients expect?  

That’s where chatbots can make a difference. Imagine having a virtual assistant that handles routine tasks instantly, allowing your staff to focus on higher-priority work. Chatbots don’t replace humans; instead, they support your team, helping the office run like clockwork. With the right approach, chatbots can become your law office’s best ally. 

Streamlining Client Communication 

Your clients expect timely responses, and chatbots can help deliver that. With a chatbot in place, routine questions like “What are your office hours?” or “Where is your office located?” can be answered instantly, 24/7. This not only saves time for your staff but also ensures that clients get quick responses, even outside of regular business hours. 

By using chatbots to handle these straightforward inquiries, your team can focus on more important tasks like responding to client emails or preparing case files. While these bots will never replace the personal connection you provide, they can make sure that no question goes unanswered. 

Scheduling and Appointment Management 

One of the most time-consuming tasks in any office is scheduling meetings and appointments. Chatbots can assist by handling initial appointment requests, checking availability, and even sending confirmations. For example, when a client requests an appointment, the chatbot can suggest available times based on your team's calendar, reducing back-and-forth emails. 

This automation takes a tedious task off your staff's plate while still allowing them to have full control over the final scheduling. You’ll find that it simplifies things for both your team and your clients, making the process more seamless. 

Boosting Internal Productivity 

Chatbots aren’t just for client-facing tasks; they can also help your internal operations. Need a quick update on case statuses, important deadlines, or office policies? A chatbot integrated into your firm's systems can provide those answers instantly. For example, a team member can ask the chatbot about a client’s next court date, and the bot can pull that information without anyone needing to search through files or databases. 

By using chatbots for these types of internal queries, your team can save time and stay organized. It’s like having a helpful assistant who’s always ready to answer questions, making the day run a little smoother. 

Improving Client Intake 

When a potential client first contacts your firm, their experience can set the tone for the entire relationship. A chatbot can assist with the initial intake process by gathering basic information, such as the client’s name, contact details, and the type of legal assistance they’re seeking. This helps you ensure that no leads are lost and that your team has everything they need to make follow-up calls. 

This doesn’t mean you’re replacing the human touch, but it does mean that your staff has all the relevant details upfront. This allows for more meaningful conversations when they do reach out to the client. 

Personalizing the Experience 

One of the biggest concerns when using chatbots is the loss of personalization. However, chatbots can actually enhance the client experience by remembering client preferences or past interactions. For example, if someone reaches out with a question about their case, the bot can provide relevant updates, such as upcoming appointments or document submissions. 

By programming chatbots to handle more personalized tasks, you maintain the professional, tailored service that your firm is known for. It’s about using technology to support, not replace, the connections you build with clients. 

A Supportive Tool, Not a Replacement 

At the end of the day, chatbots are there to make life easier for both you and your team. They can handle simple, repetitive tasks, allowing your staff to focus on what matters most—building client relationships and delivering excellent service. When used wisely, chatbots can become your office allies, helping to boost productivity and keep clients happy without ever taking away the human touch. 

Ready to Make Chatbots Your Office Allies? 

By embracing chatbots as a helpful addition to your office, you can improve both client communication and internal productivity. These tools offer a way to lighten the load for your team, leaving them more time to focus on the aspects of their work that really matter. It’s all about balance—using chatbots to support your law firm’s success without sacrificing the personal service that makes your firm stand out. 

At Inderly, we provide strong and reliable legal tech solutions to law firms across Ontario. By implementing strong security measures and customizing technology to meet the unique needs of your practice, Inderly helps ensure that client data remains protected while chatbots improve efficiency. 

For more information about how our services can transform your practice, head to our website for short informational videos. 

Legal bookkeeping software is essential for managing the financial aspects of a law firm, ensuring compliance with legal industry standards, and maintaining accurate client records. With the advancements in technology, legal bookkeeping software has evolved and continues to do so. I have found that all legal bookkeeping software options (at least the more popular ones) fall within one of three main categories: 

The Three Types

1. Desktop-Based/Legacy
2. Cloud-Centric Hybrid
3. Cloud-Centric Integrated

Desktop-Based/Legacy 

Desktop (or “legacy”) legal bookkeeping software refers to traditional software installed directly on a law firm's computer or server. 

Key Features:

• Installed and runs on the firm's local machines, providing full control over the system and data.
• Can be accessed without an Internet connection, ensuring uninterrupted access to critical functions.
• As a long-standing staple in the legal industry, it has evolved over the decades to provide a wide range of robust features and functionality.

Drawbacks:

• Upfront costs for licenses and hardware.
• Requires IT support for maintenance and troubleshooting.
• Susceptible to data loss if not consistently backed up externally.
• Access is typically restricted to the office environment (unless remote desktop solutions are used).

Cloud-Centric Hybrid

This type of legal bookkeeping practice management software is a cloud solution that works in conjunction with accounting software like QuickBooks or Xero.

Key Features:

• Hosted in the cloud, providing accessibility from anywhere with an Internet connection. 
• Regular backups ensure data integrity and disaster recovery.
• Continuous updates are automatically installed, enabling the software to consistently improve without any effort from the user.
• Less reliance on in-house IT for maintenance.
• Typically, lower initial costs to get started.

Drawbacks:

• Requires a reliable Internet connection.
• Designed as a SaaS subscription-based product; month-to-month pricing can accumulate and increase over time.
• Requires a separate accounting package like QuickBooks or Xero therefore users need to manage two systems and two sets of transactions.

Cloud-Centric Integrated

This all-in-one cloud-based legal bookkeeping software provides a fully integrated solution hosted entirely in the cloud. Unlike its Hybrid counterpart, above, these platforms are designed to offer comprehensive functionality in a single, cohesive system.

Key Features:

• Includes all the Key Features of the “Cloud-Centric Hybrid”.
• All functionalities, including accounting, are hosted within the program, reducing the need for multiple software programs.

Drawbacks:

• Includes all the Drawbacks of the “Cloud-Centric Hybrid”.

Additional Questions to Consider

In addition to the more obvious factors, here are some questions to consider when evaluating your options and deciding whether to switch platforms:

1. Does the software offer a trial period or demo version before committing?
It’s helpful to test the software and workflows before committing.
2. What is the process for migrating from your current system to the new software?
Can the provider assist with data migration, and how smooth is the transition expected to be without causing significant downtime? Are there any costs for the migration process?
3. What level of customer support is included and are there any additional fees for training or post-migration support?
It's important to know what kind of support is available, especially if your team requires help during the onboarding process or troubleshooting issues.
4. What kind of customer support is offered, and during what hours?
Legal bookkeeping can be time-sensitive, so understanding the availability and quality of customer support (e.g., 24/7, live chat) is important to help ensure timely issue resolution when needed.
5. Does the software require a minimum multi-year commitment?
This can be risky if the software doesn't meet your firm’s expectations, so understanding the contract terms upfront is essential.
6. If choosing an option with a separate accounting system (Cloud-Centric Hybrid), are there any potential drawbacks?
Familiarize yourself with any potential issues such as data synchronization problems between the practice management software and the accounting program.
7. What are the integration features (particularly from a long-term perspective)?
Investigate how well the software integrates with third-party apps. Some legal bookkeeping programs are designed with advanced integrations in mind, which can be increasingly valuable especially as AI technology evolves.
Furthermore, asking a colleague if they have any firsthand experience or opinions about the software options you’re considering can be helpful. Alternatively, consulting a legal bookkeeping professional can offer specialized insights to help you make a more informed choice.

Conclusion

Selecting the right legal bookkeeping software is a decision that can greatly impact your law firm's efficiency and financial management. Evaluate each option carefully, considering your firm’s specific needs—such as cost, scalability, integration, and customer support—to ensure that the platform you choose will serve your long-term goals. By taking the time to carefully assess your firm's needs and by seeking insights from peers, legal bookkeeping professionals or other trusted sources, you can confidently choose software that will support your firm's growth and efficiency for years to come!