A business strategy is a set of guidelines that helps the firm’s leaders make decisions and allocate resources in order to reach their goals.
This is a nice, neat and tidy little definition for what can sometimes become a complex process. It is best to keep the development of your strategy as simple as possible. The way to develop a sound business strategy is to define the goals you want to achieve, assess where your firm is now and make a list of the things that need to happen to get from here to there.
That isn’t the Harvard definition but it is probably more effective because it will help you visualize the transformational process necessary to take your firm to the next level and beyond.
A solid business strategy is critical to the success of a law firm. Attorneys must set solid business strategy as the foundation for the growth of their law practice.
At many law firms there is often confusion about the difference between “strategy” and “tactics.”
Occasionally, they are used interchangeably. This is incorrect.
Strategy is focused on the “big picture” – the overall plan, how the firm will achieve organizational goals and objectives. It involves deciding what area of the law in which to specialize, what type of clients to attract, what billing methodology to employ, etc.
Tactics are activities specifically created and selected to achieve specific and measurable outcomes. Tactics are the actual ways in which the strategies are executed. Examples include publishing client newsletters, conducting educational seminars, exhibiting at trade shows, etc.
Law firms must set a solid strategy and execute on tactics that consistently deliver the desired results.