NOTICES

Using Project Management
for Faster Turnaround of
Legal Work

Tips on how law firms can manage their projects so as to maximize efficiency and consequently, their gains.

In the current economic climate, many of us have already experienced that clients are demanding even faster turnaround times, while still demanding the same level of accuracy and completeness. On the other hand, good lawyers and staff are difficult and expensive to find, recruit and retain. How can you deliver in this competitive environment with your existing resources?

In other highly competitive jurisdictions, firms have started using project management to get faster turnaround. Project Management dominates large construction, engineering and military developments - but how can it help lawyers?

A project within a legal environment has the following characteristics:

1 Defined beginning and end;

2 Use of specifically allocated resources;

3 Produces a unique outcome;

4 Follows a planned/organised approach;

5 Usually involves teams of people; and

6 Always has a unique set of stakeholders.

What Project Management is

Project Management is all about planning now for the future. This is a tried and proven methodology that works and it is not rocket science. The artistry is in the application - having knowledge, experience, confidence and aptitude to manage the 'big picture'. Project management is simply the name given to the process that brings together the planning, scheduling and resourcing aspects necessary to successfully complete the project. It does, however, need diligence and resolve to carry out the plan and a high level of communication is required to ensure everyone involved in the matter is aware of their role in the outcome.

Let's see how that could apply to your practice:

1 Litigation: Management and better control over deadlines relating to a matter from commencement to completion including, pleadings, review of research, preparation of submissions; and

2 Transactional due diligence: Better management of document collection, preparation, review and reporting deadlines.

Who hasn't had an experience where two (or more) partners assigned different work to the same lawyer, or two (or more) lawyers assigned work to the same staff, all due at the same time, resulting in missed deadlines and unhappy clients? Or a situation where everyone thought that someone else was monitoring the deadlines … but no-one actually did, resulting in disaster?

That's where Project Management comes in.

When Project Management is Used

The discipline applies to a project: an activity that has a defined beginning, end and set of outcomes, which are usually related. For example: Litigation matters, Arbitration matters, Acquisitions, Sales of Business.
A project is different from a process, where the focus is to refine a task or tasks that are to be repeated, perhaps often. For example: Internal accounting processes, Leave Application procedure.

Certain activities will mark themselves out as indicators of a project:

1 Resources are specifically allocated to the work of a project; eg, you assign a new litigation matter or arbitration matter to a specific partner or team.

2 The required end results are defined closely and given goals that specifically address quality and performance; eg, the client wants to win the case, or the client wants to complete the sale of the business within three months.

3 The activities appear to require a planned, organised approach to meet the objectives; eg, in litigation, documents need to be compiled for discovery, and evidence prepared for affidavits. Even discovery can be a project in itself, or a sub project to the litigation project.

4 There is a matrix of stakeholders, eg, clients have demands, the courts have demands, your opponent has demands, your staff have demands.

Do you see which of your work might be carried out as projects? If so, you may want to read on to see how project management could help you have better control over your work.

Principles of Project Management

The essence of Project Management is to bring a greater and more detailed sense of planning to the project.

Team approach

Project planning should be done as a team. As well as individual ability, successfully running a project relies on establishing an integrated project team of both internal and external resources, and on in-depth planning and open and effective communications.

Let's be realistic, rarely does an individual lawyer have the time or inclination to identify all the requirements of the project, phases, tasks, subtasks, resources, risks and other requirements. That's where more heads are better than one - and even small practices or solo practitioners can 'rent' additional heads (other lawyers or legal project managers) for the planning stage.

Most litigations run in a similar fashion so templates can be created and reused in other litigation projects again and again.

Managing any large activity is often best tackled by focusing on control of the process and the work at hand from day to day - dividing the activity into smaller activities until practical manageable levels are reached.

Cost, resources, quality

Factors that must always be considered in advance are:

1 The likely cost of each resource - Would you hire additional lawyers or staff, how much would that cost including benefits, and what happens after the project ends? Should you take on additional office space to house documents? Should you get additional ad hoc help like discovery support teams? Can some of the tasks be outsourced to specialist information managers?

2 The availability of each resource--lawyers and staff work capacity, the availability of space to house documents, the timing and cost of alternative resources eg off-site or on-line storage.

3 Estimating the quality and output of human and equipment resources - whether you already have a strong team of good lawyers and staff supporting you, or if you want to mitigate the risk by getting ad hoc professional help such as litigation management experts.

Stakeholder relations

Everyone has their own expectations about end results to the project. These must be managed particularly well if you wish to ensure successful (on time and on budget) completion. Stakeholders can be both internal (your boss, your staff) and external to a project (clients, courts, counter parties, opposing counsel). Regularly update all stakeholders throughout the life of a project.

How to Use Project Management

The methodology of Project Management is to impose a structured development process around the key stages of the project:

1 Project identification;

2 Planning and development;

3 Monitor and manage (or project execution); and

4 Project closure.

Project identification

Examples of project identification are those such as litigation reaches the discovery stage; a proposed asset sale requires due diligence; a restructure is announced, with tax and property consequences.

Planning and development

This is the stage at which a detailed analysis of the project is performed. To be done properly, this stage itself should be achieved through a series of activities:

1 Verify the project brief

Gather all key information to facilitate the detailed planning of the project. You are writing - or verifying - the brief of instructions. The list of issues to cover is extensive, and includes:

a Precisely confirming the business objective and closely defining requirements and expectations;

b Identifying stakeholders (parties) and resource requirements (eg, number of lawyers needed, office space needed);

c Assessing any limitations and assumptions, and identifying possible risks;

d Setting the major project tasks (eg, 'draft the Defence'; 'compile the Discovery');

e Developing matter and document management strategies;

f Selecting the project team - resources (internal and external) that are the most appropriate for this project's requirements.
2 Confirm the project detail by discussing with all stakeholders

3 Scope of the project

This includes:

a a project communication plan;

b a risk management /contingency plan;

c performance monitoring rules; and

d briefing the project team and stakeholders.

The risk management/contingency plan includes legal issues, commercial risks, resources, timing or other issues. Risks identified this way can be handled through planning contingencies.

Monitor and manage

This is the active stage of the project. The progress of tasks requires monitoring through formal progress reviews with the project members and stakeholders, on the dates set in the planning stage. The focus is to monitor and enforce the fundamental performance indicators of time, cost and quality.

Project closure

This stage involves finalising or delivering on the project's objectives and evaluating the project's performance and success. It's also an opportunity to debrief with your client (and even get further work). Capture what went well, what didn't, what tools were useful and any other issues for your team to take note of issues/problems faced and solutions used.

Project Management is Not Just Software

Right now if you want to rush out and buy project management software, remember: Buying Fast & Furious Xbox doesn't make you an F-1 driver, and buying Microsoft Word doesn't make you the next John Grisham. Project management is a skill that needs to be learned by doing, and you would be safer learning from someone experienced in the field, or even letting them help you manage the project using their tools. Then you can evaluate what tools could help you to manage your project.

You Don't Have to Run Project Management Yourself

On the other hand, you don't have to read this article, throw your hands up and say 'It's too hard, we'll just do what we've always done and get by somehow'. However, if you want better control over your work, gain the benefits of project management and win the admiration of your clients, you can take the first steps by identifying staff in the firm who could undergo Project Management training. In the meantime and if you want to get moving immediately you can get help (and precedents) from legal project management professionals, who will have the correct technology tools to support your projects (matters).

Most importantly, the old saying 'he who fails to plan, plans to fail' has been true time and again in legal work - so a small investment in project management can save you endless pain, and can also reap solid rewards in better control of work, more efficient use of existing staff and satisfied clients who are happy to sign off on their bills.

Sandra Potter¹
Derek Begg
Benjamin Ang
Potter Farrelly & Associates
E-mail: ben.ang@potterfarrelly.com
www.potterfarrelly.com

Notes
1 Sandra Potter is the Managing Director of Potter Farrelly & Associates and has run many projects for the legal profession over a 20 year career in legal information management. Derek Begg is the Manager - Melbourne at Potter Farrelly & Associates and has practised extensively as a commercial litigation solicitor. Benjamin Ang is the Director - Asia of Potter Farrelly & Associates, and has years of experience as an IT Director running projects, and as a litigation lawyer in Singapore.