President's Message Inside

Inside 2Q2010 2...Strategic Planning for Law Departments: Top Ten Nuggets from the Knowledgeable 4...How (and When) Health Reform Will Affect Employers 6...Chapter Photos 8...Upcoming Programs 8...ACC News 8...Welcome New Members FOCUS President’s Message Ken Christman Spring – at last! Sarowitz, Zeris, Ledva & ACC Docket Over the past few weeks, residents Meyers LLP. Their topic In addition to our local of Western Pennsylvania have finally was “Proportionality: CLE programs, one of seen the first welcome signs of Spring. How to Control the Costs the benefits of chapter Temperatures are rising, the days are of E-Discovery.” While membership is our getting longer and the snow has finally members were attend- national magazine, the melted. For most of us, the winter was ing the program, their ACC Docket. It is avail- challenging, to say the least. It included families and guests were able in both printed record snowfalls, extensive power given the opportunity to form and online. Each outages, hazardous driving conditions, tour Roboworld™ — the monthly issue contains school closings and two-hour delays, world’s largest and most comprehen- a variety of articles of interest to in- and numerous other cancellations and sive robotics exhibit. Among other house counsel. postponements. For the first time in things, visitors could test their skills recent memory, we had to postpone by playing air hockey with a robot. The March issue, for example, contains one of our CLE programs due to After the conclusion of the program, an article which was co-authored by inclement weather. members and their guests were treated Larry Silverman, general counsel for to a special presentation in the Buhl the Pittsburgh Pirates, on “How You Chapter CLE Programs Planetarium entitled the “Skies over Can Safety Use Social Media with We are nearing the end of our first pro- Pittsburgh.” Employees.” Among other things, it gram year that featured a new format discussed the importance of having a — more CLE programs at different There is one remaining CLE pro- carefully-crafted corporate policy on times and locations. This was intended gram before the traditional sum- social networking by employees using to better meet the varying needs of mer break. On June 8, our luncheon company computers. It also listed a our members, especially those whose program will feature a presentation by number of points that such policies offices are not located in the downtown Meyer, Unkovic & Scott LLP entitled should include. area. Judging from the attendance “Drafting Effective Dispute Resolution at these programs, the new format Agreements for International ACC Annual Meeting appears to be a success. Commercial Transactions.” The speak- Another benefit of ACC membership ers will be Russell J. Ober, Jr., and is the opportunity to attend the Annual In March, for example, we held an Patricia L. Dodge. Meeting (am.acc.com). This year’s evening, cocktail-hour program at Annual Meeting will be held in San the Carnegie Science Center. The This program promises to be interest- Antonio, Texas, Oct. 24–27. In addi- presenters were Peter Mansmann of ing and informative. I encourage you tion to offering unparalleled oppor- Precise Inc. Litigation Technologies to attend. tunities for networking, the meeting and Jennifer Keadle Mason of Mintzer, provides a wide assortment of CLE continued on page 9 Strategic Planning for Law Departments: Top Ten Nuggets from the Knowledgeable Frederick J. Krebs, President of ACC, Deborah M. House, former Vice President & Deputy General Counsel, ACC In these days of extreme competition and value statements, identifies strategic issues, plan to facilitate communication and corporate belt cinching, chief legal officers, progresses to the development of strategic alignment. like other heads of corporate business goals and objectives, and finally to the cre- units, are increasingly being asked to ation and implementation of an action plan And make sure you have the right people at engage in the corporation’s strategic plan- to meet the identified objectives. While the table when you do your internal depart- ning process. The corporation’s business the process should not be tortuous or any ment planning. You should involve appro- goals, and the internal departmental goal element belabored—it does require some priate staff in your planning process. And of providing the best and most economical important work that should not be avoided. once you develop the goals, objectives and legal services possible drive this process. Perhaps most importantly, you should action plans make sure that all staff gener- understand the end goal and what you ally understand the where, why, how, what, We recently interviewed nine current or need to achieve. As one CLO put it: “plan and when that underlie those plans, and former chief legal officers based in Europe, from the future backward” and another align their goals and activities appropriately. Canada and the US, from a wide variety of said simply: “think before you plan!” Note too that outside counsel may be appro- industries to gain their insight into the law priate participants in this process especially department strategic planning process. We 3. Align with and participate in if you anticipate they will be important gleaned the following nuggets of wisdom the company’s (client’s) strategic participants in achieving your goals. from their planning experiences. planning. While the level of sophistication of strate- 4. The right horse for your 1. One size does not fit all. gic planning may vary from company to course. Your strategic planning process should company, as a general matter our business While we hesitate to compare in-house take into account that the needs of com- partners are ahead of us in the strategic counsel (as one of our interviewees did) to panies/organizations (clients) will differ planning department. This fact can be used equines, the underlying analysis attached significantly and will constantly be subject to the distinct advantage of the legal depart- to this phrase makes a good point. Your to change. As a result, what they need and ment because aligning with the corporate best attorney may not be the best attorney what you do will vary greatly. For example, goals facilitates the creation of the strategic for the jobs required by your strategic if a company is in an aggressive acquisition plan for the legal department (to say noth- planning. It does not mean existing staff is mode, or implementing a new brand, or ing of enhancing counsel-client relation- not competent. Rather, consider this--even downsizing—all of those needs will drive ships). For example, if the client determines a Kentucky Derby winner is not going the legal department’s plan. The strategic that one of its goals is to invest in a new to perform well in the Grand National plan for the legal department should also foreign market, that goal will direct the Steeplechase or as a performing Lipizzaner take into consideration the history/status/ legal department’s plan as it determines Stallion. As corporate goals and legal structure of the department (what it is and how it will support that endeavor. department goals change, you must con- what it should be) and how that will affect stantly reassess your department. Do you the delivery of legal services. It is important to stress, however, that have access to the right skills sets to get the legal department’s strategic planning the job done and if not, how will you get Creation of the strategic plan also pro- should not be simply a reactive endeavor. them? Perhaps you need more generalists vides a valuable opportunity for in-house Rather, it is vital that the legal department and fewer specialists or vice versa given counsel to not only respond to their secure a chair at the table of the corpo- new corporate needs. And do not limit clients’ needs, but to be pro-active as well. rate planning process and contribute to this evaluation just to in-house counsel; it Moreover, client input can help determine that process. For example, if the client’s applies to outside counsel as well. how in-house counsel respond to client strategic goal is to move into a new for- needs (e.g., how important legal news eign market that is subject to a legal and 5. Understand your client’s should be communicated). It can also be regulatory framework that makes outside business. used to manage client expectations. investment very difficult—that fact needs This cannot be said often enough as it to be brought to the attention of the client applies to everything that you do. If you . There is no substitute for during the strategic planning process- not do not understand how the business works careful thinking and planning. afterwards. That will not happen unless then you cannot help your client go where Although approaches may vary, traditional counsel is at the table. On a more mun- it needs to go; you cannot be a true busi- strategic planning contemplates a progres- dane note, several CLOs noted that the ness partner. And this applies from start sive analysis and undertaking that typically department’s plan should be written in to finish, including how your client makes starts with the creation of clear mission and the same style and format as the company money, the business climate in which it continued on page 3 Western Pennsylvania Chapter FOCUS 2Q10 continued from page 2 to demonstrate this. At the bottom of the 10. Strategic planning can be operates, and the legal and business risks pyramid is data, the next layer up is facts, more than strategic planning. that it faces. the next ascending layer is knowledge, and Use the planning process to achieve other the pinnacle component is wisdom.

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