Key learnings from the last three years: Utilizing Technology
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Our utilization of technology has had a significant impact on our way of doing business. As many of you know, for pricing our projects we use AltFee, which is interwoven into everything we do. It has transformed our pricing system from a static manual system into a dynamic, collaborative platform and dramatically improved our approach to pricing projects up front.
Over the years, AltFee has added numerous features that allow us to scope and price projects confidently, with everyone in the firm participating in pricing. Some of the key takeaways from the past three years with respect to utilizing AltFee’s pricing technology are:
Data. We get good data on how the firm is doing generally. We can see at a glance how much we have priced, which clients have resulted in the most pricing (hence work) and how we are doing in “learnings” (continuous learning and recalibration).
Continuous learning. As we have gone along and learned, our approach to scoping and pricing has clearly evolved for the better. For example, our description of what we will specifically do for our price (scope) is much more detailed, improving our ability to convey value to the client.
Value based pricing. We no longer price every commodity-like transaction at exactly the same price. Value can be very different even if the work seems more or less the same.
For example, in a simple incorporation there is one shareholder, one director, one class of shares and no name for the company. There is a certain value attached to this product. In contrast, an incorporation with five shareholders, three directors, a robust share structure set up to accommodate restructurings, and a name (that perhaps needs trademarking considerations), is still an incorporation, but the value of the work involved to accomplish this same outcome is quite different.
Consistency, efficiency and collaboration. All the pricing information is kept in one place and is accessible by everyone when the next project comes up. This definitely creates consistency for clients and the firm in how we approach pricing.
Simply put, the benefits of utilizing technology are efficiency, consistency and providing a vehicle for continuous learning. With the beginning of a new era emerging (as the tidal wave of AI reshapes the legal industry), a new approach to pricing that relies more on a firm-wide approach will be necessary, and we are excited to be leading the charge.
Until next time,
