Helm life: Leadership lessons from global managing partners

Global law firms are big businesses, with multimillion-pound turnovers and thousands of staff. Operating in a rapidly-changing and competitive legal and commercial landscape, they must be dynamic, recruit and retain the best talent, win the most prestigious clients, maintain their shiny reputations and, of course, increase their profitability to keep their partners happy.

To avoid being buffeted about on the turbulent ocean of change, it is more important than ever for these great galleons to have a steady hand at the wheel. The role of managing partner has evolved in most firms from that of a figurehead post dolled out to one of the partners nearing retirement to a vital strategic position.

Those who step up to become law firm leaders often give up successful practices to drive their organisation's culture and business, with varying degrees of success.

Business oversight

For Nicholas Cheffings, global chair at Hogan Lovells, an essential element to achieving success as a law firm leader is being a respected practitioner.

"Without that, you don't get past first base, because it is vital to have the respect of your peers when leading them."

Accompanying a proven legal track record, he says, is the need for a "high degree of self-confidence" which is expressed without any hint of arrogance.

Roger Parker, managing partner for Europe, Middle East and Asia at Reed Smith, emphasises the need for direction, the ability to think strategically, knowledge of trends in the industry, and an idea of how to use these different components to create a coherent and organised plan.

"There needs to be a linkage with clients, their demands and requirements, to ensure there is an understanding of the general thrust of what the business needs to deliver to meet those demands and requirements," he says.

That must be coupled with a clear link in planning processes with the partners in the business to ensure alignment of the firm's strategic thinking, direction and development. Achieving all of this, he says, requires "organisation, big-picture thinking and good communication skills".

Possessing the financial skills to understand the business is a must for Richard A. Rosenbaum, CEO at Greenberg Traurig.

"It's amazing how many law firm leaders who are good lawyers and who become leaders because they were successful lawyers have never been in business and have no experience of running a business," he observes.

Rosenbaum notes that he prepared himself for becoming CEO in 2010 by taking courses on financial management.

Soft skills

Of course, law firm leadership is not all about hard-nosed business skills. Soft skills are vital; chief among these is active listening.

"It's different in other firms, but we are not a firm that does a lot by committee. Those in leadership positions are empowered to act, but it is very important to listen before acting," says Rosenbaum.

Cheffings echoes the importance of listening in order to gain a sense of what matters to others and insights into their expectations. But, he adds that "you need to be willing to make decisions which may not make you very popular with your colleagues".

Operating in the global marketplace, an understanding and openness to different cultures and backgrounds is also essential, says Rosenbaum. He notes that it is important to not let your own culture dictate how you react to different people and situations.

"Even across the USA there are different cultures, before you even consider foreign countries with different languages."

The ability to interact one-on-one with people is a critical skill that is often overlooked.

"There are people who are very smart; they have great academic skills, they are good strategists, but they cannot get into a room, be a human and have an interaction with another person," notes Rosenbaum.

Some lawyers, he continues, are not naturally comfortable with having that degree of interaction. But, he insists, "if people don't believe you are open and interested in them, it's hard to be effective".

Motivational leadership

To the essential leadership mix, Paul Rawlinson, managing partner at the London office of Baker & McKenzie, adds the ability to motivate others.

Focusing on strategy, growth and the all-important bottom line, it can be easy to overlook the main purpose of a law firm.

For Stuart Fuller, global managing partner at King & Wood Mallesons, the key to leading lawyers is to focus on the needs of clients.¹

"The voice of the client is the most important voice in the firm."

Fuller notes that, not only does he try to meet clients as often as possible, but in everything that the firm does, he asks "how does this affect our clients?"

The ability to communicate frankly and authentically is vital. Law firm leaders should "be positive and transparent about our opportunities and our challenges - speaking openly about both of them gives authenticity and builds confidence," he says.

Critically important, he adds, is demonstrating enthusiasm for the role.

"You really have to want to do the job because it can be lonely at times and you have to be robust and willing to take criticism. Commitment to the role is essential. The responsibility you have to others is too great to give it anything less than 100 per cent at all times," he says.

The need for high enthusiasm and commitment highlights another essential on the seemingly never-ending list of requirements for the role of global managing partner.

"You need energy and endurance," adds Rosenbaum.

Working across different time zones and dealing with the demands of clients, lawyers, recruiters and a myriad of others, he says, means working almost every waking hour.

"It really is non-stop. If you are not somebody who is up for that, it is not the job for you," he cautions.

Fuller agrees. "The pace is relentless - it's a seven days a week job and you're always 'on', so stamina and resilience are important qualities."

Because of this, he cites the ability to sleep on a plane as a crucial skill.

"I travel every week, and spend a lot of time visiting our offices around the world, and so being able to switch off and sleep on the flights is vital," he says.

Self-management

How do the lawyers elected to such high-flying roles deal with the stresses and pressures of the job? The answer to this question points to another personal requirement.

"A strong sense of humour and an ability to look on the positive side of everything," is essential, says Fuller, quipping that the latter is something that he is still learning to do.

Despite the pressures and responsibilities of the role, Parker notes that law firms do not, as standard, train up their lawyers for senior management roles.

"By the nature of the role, the person will have come up through the ranks of partner and is, in most cases, elected - they have not gone to business school."

He suggests a natural affinity for the role is preferable, but predicts that there will be a continued shift towards more professional management in future because of the amount at stake for firms.

Thrust into such high-profile business positions, Parker observes that many new managing partners are surprised by the complexity of the job. Often, it involves leadership, management, strategy, representing the firm to the media and clients, and dealing with the characters and motivations of individual partners.

For Rosenbaum, it is the loneliness of the job that had not occurred to him. "To do this job well, you have to have a certain distance from individuals and be objective - you can't make decisions based on friendships or social relationships," he says.

"People are relying on your fairness and trusting your objectivity. We don't make decisions based on politics or how long someone has been here, but on the facts, what is fair and ethical, the client's best interest and the firm's best interests."

The feeling of responsibility to so many people, he says, was another factor he had not anticipated.

"You wake up the day after you take the job and realise that it is not just the thousands of people who work here, but their families who are affected by the decisions that you make," he says.

Rosenbaum notes that he views this burden as "a good thing" that helps him to make the right decisions.

For Rawlinson, the greatest lesson has been to stick to his guns and limit what he takes on.

"I made a commitment to spend the bulk of my time with clients/externally and with the partners and have tried my best to keep to that," he says, noting that he relies on the wider management team to tend to other business.

The relentlessness and speed at which things come at him was something that Cheffings admits nobody could have adequately prepared him for.

"There is never a moment when there is nothing that needs your attention - something which isn't important to somebody."

He continues: "There has not been a single day when I have come into the office knowing exactly what I was going to do during the day and have left having done exactly that and nothing else."

The sacrifices involved with being a law firm leader is something that many don't anticipate.

"Whatever I've given to the firm, I've received more, but the years I've given to it are years that I wasn't with my family," observes Rosenbaum.

Advice for new MPs

So, what can new global managing partners learn from the experiences of seasoned law firm leaders?

For Parker, the biggest lesson he learnt in the role is the importance of trust and respect which, he insists, is a two-way street - the managing partner has to deliver.

He warns against going off on any 'strategic frolic of your own'.

"You have to take the partners with you. Remember it's the partners' business and you are the custodian of that business."

Adds Cheffings: "Probably the most important lesson to learn as quickly as possible is that you can, and should, say no to a meeting, lunch, dinner or pass the invitation on to somebody more suited to attend."

The temptation at the outset is to accept everything, but that is "simply not feasible". Rather, he advises, "you have to do enough of the right things".

Rawlinson's advice to new managing partners is to "trust your instincts". But the key, he suggests, is to "take quick steps to implement strategy and get some quick wins".

Backing this up, Fuller cites one of his favourite Chinese proverbs: 'The best time to plant a tree was 20 years ago; the second-best time is now'.

"I take from that you should trust your instincts and back the decisions that feel right; there is no need to overanalyse. And, that faster change is required, so managing our people's understanding of the need for change and its impact is key."

Cheffings' advice for those seeking a break from the storm is "I would tell my assistant to invent some one-two hour meetings and randomly disperse them into my calendar without telling me and then I would make the most of the moment when I was told that I had some free time".

Whether the voyage is plain sailing or the water is choppy, global managing partners should pay heed to Fuller's final words of wisdom: "It is what you make of it, so make sure you enjoy it."

Catherine Baksi is a freelance legal journalist

Reference

1. See 'Stuart Fuller: How he is creating a 'challenger' global law firm', Manju Manglani, Managing Partner, Vol. 16 Issue 2, October 2013

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