Here's a generalization that is constantly affirmed in my work as executive director of the State Bar -- lawyers as a rule hate change. The ongoing turmoil in the legal marketplace has thus proven to be the source of acute misery for many of us, even those whose economic well-being has not been directly threatened by the changes underway in the provision of legal services. For those of you who fit the description of change-averse I offer this intriguing and ultimately encouraging reflection from the Harvard Business Review, "Why We Can't See What's Right In Front Of Us":
The most famous cognitive obstacle to innovation is functional fixedness — an idea first articulated in the 1930s by Karl Duncker — in which people tend to fixate on the common use of an object. For example, the people on the Titanic overlooked the possibility that the iceberg could have been their lifeboat. Newspapers from the time estimated the size of the iceberg to be between 50-100 feet high and 200-400 feet long. Titanic was navigable for awhile and could have pulled aside the iceberg. Many people could have climbed aboard it to find flat places to stay out of the water for the four hours before help arrived. Fixated on the fact that icebergs sink ships, people overlooked the size and shape of the iceberg (plus the fact that it would not sink).
Just as some very smart people lost their lives in the Titanic tragedy, some very smart lawyers have gone down with law firm ships that, just a short while ago, were thought to be unsinkable. The chances for survival go up significantly for those who are not afraid to scan the horizon and think creatively about change.
A survey 792 large law firms by legal consulting firm Altman Weil suggests that law firm leaders are already starting to adjust their thinking. Reporting on the survey in "Law firm leaders expect permanent change to the industry," Inside Counsel says there has been a radical shift in attitudes since 2009, and summarizes the survey results as follows:
- 92 percent of respondents believed that there will be more price competition in the long-term, as opposed to 42 percent in 2009
- 46 percent expect that outsourcing legal work will become a permanent fixture, compared with 12 percent in 2009
- 80 percent anticipate more firms will adopt nonhourly billing, whereas only 28 percent believed that in 2009. (This might not be a bad thing, though. InsideCounsel’s own career expert, Mike Evers, explained in a recent column why nonhourly billing may make for happier lawyers.)
- 68 percent of those surveyed expect there will be fewer equity partners in law firms, as opposed to 2009, when only 23 percent thought that would be the case
- Law firm leaders gave themselves a median rating of 7 out of 10 on their confidence to deal with these upcoming issues
- Respondents felt that in the face of these challenges, sustaining and growing profitability was their biggest concern