2020VISION
Behind The Numbers, Ahead of The Curve Speakers
Gina Passarella Richard Caruso Hank Grezlak James Willer Patrick Fuller Editor-in-Chief Vice President & Editor-in-Chief Senior Analyst Vice President Global Legal Brands General Manager Legal Themes, ALM Legal ALM Legal Global Legal News Regional Brands, Intelligence Intelligence Law.com
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4 DataDriven Metrics Driving Discussion Law Firm Performance: Key trends
5-Year KPI Averages Per Firm - Climbed In Rankings 5-Year KPI Averages Per Firm - Declined In Rankings
34% 29% 26%
17% 16% 15% 16% 13% 11% 11% 7% 7%
0%
-3% -3%
-10%
Revenue Headcount Equity Partners RPL CPL Profit Margin PEP Female Partner Growth
6 Debt & Capital Calls
Held A Capital Call Firms Debt Free Percentage of Am Law 200 Firms Percentage of Am Law 200 Firms Uses of Debt
Firms Carrying Debt Held Capital Call Real Estate & Expansion
17% Technology-related Expenses 44% 56% 81% Matter-related Expenses
Attorney compensation, including lateral partner Did Not Hold hires Capital Call Debt-free
Source: 2019 Am Law 200/NLJ 500 survey
7 Leverage Models Continue To Shift
83%
Am Law 200 which increased the percentage of non-equity Equity Partners 56% partners as a share of their overall partnership in 2019 44%
Non-Equity Partners
17% Am Law 200 firms increasing the share Am Law 200 of non-equity partners for the second Share of Overall Partnership consecutive year 1999-2019
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020
8 EarlyReturns A look ahead on financials & emerging markets 2020: Forecast and Predictions
The Am Law 200: The 1 early numbers 2020: Financials 2 Full year predictions for 2020 Look Ahead
10 US NLJ 350 Non-HQ Office Growth By Market, 2010-2019
250%
200%
150%
100%
50%
0%
11 What Clients Want The Buyers Respond Meeting The Client Need
Direct, practical advice they can then take to 1 their business leadership A team of diverse people to bring a wide-range The GC’s 2 of solutions
Proactive monitoring of their business, warning Dream List of 3 of potential issue and where they can support Law Firm Horizon scanning for future areas that I need to 4 be aware of and need support Needs Technology and innovative support for internal 5 legal tech
13 UK: Panel Placement Trends
Legal Operations: External Consultancy: 4% Number of Panel 9% Rank Firm Appointments (2019) 1 Eversheds Sutherland 17
2 Pinsent Masons 12 General Counsel (or Internal equivalent): 65% 3 Addleshaw Goddard 11 Procurement: 22% 4 CMS 10
32% 5 Bevan Brittan 9
6 Capsticks 8 21% 21% =7 DLA Piper 7
14% =7 DAC Beachcroft 7
=9 Trowers & Hamlins 6
=9 Womble Bond Dickinson 6 Increase Unchanged Inaugural Panel Reduce
14 Legal Services Delivery Deregulation and Providers of the Future Changes on The Horizon
Emerging Delivery Model 1 Regulatory changes: Arizona and Utah ASPs Law Firms Big Four 2 Big Four and ASPs
Efficiency 3 ABS models: Lessons from the UK Price Predictability Cost Effectiveness Client Service Changing skills 4 Technology Innovation Multi-provider 5 Law firm tactics to drive change Proactive
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