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  Capital Connection

September 2021

Capital Connection is published monthly for members of the Capital Chapter of the Association of Legal Administrators to provide information for the education and benefit of legal administrators, law office managers, managing partners of law firms, and other law related associations. Capital Connection is not engaged in rendering legal, financial, or tax counseling or advice through this publication. The contents of all articles, letters, and advertisements published in Capital Connection should not be considered endorsements by the Capital Chapter of ALA nor the opinion expressed therein of any products advertised.  Contributing authors are requested and expected to disclose financial and/or professional interests and affiliations that may influence their writing position. Articles and materials accepted for publication are subject to editing by the editorial team and become property of the Capital Chapter of the Association of Legal Administrators. Links to Capital Connection may not be shared without permission from the Chapter. 
Editors: Amy Walkowiak; Emmanuel Adedigba
​Contributing Editors: Robert J. Bieber; Ana Sobalvarro; Suzanne Zimmerman; Courtney Leonard
Newsletter Designed By: Jessica Davis


In this issue:
  • President's Message
  • Cybersecurity Lessons from One Year in a Hybrid Work Environment
  • Spotlight: Frontline Managed Services, Gold Business Partner
  • Managing Up: A Career-Long Journey
  • Spotlight: Office Movers Express, Gold Business Partner
  • Next Generation Leaders Event Recap – Rule 5.4 Discussion
  • September 2021 Diversity Observances
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President's Message

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Robert J. Bieber
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Cybersecurity Lessons from One Year in a Hybrid Work Environment

Ana Sobalvarro
HR & Firm Operations Assistant, Bookoff McAndrews
Chair, Next Generation Leaders Community


As legal administrators, we are charged with keeping up with industry standards and managing projects in various areas of a law firm’s business. That is part of the excitement of our field. Due to the pandemic, 2021 came in with a wave of concerns around cybersecurity. We are now faced with more urgent challenges in a different, oftentimes hybrid work landscape. With remote work becoming accepted as part of the “new normal,” it’s tougher than before to ensure our teams are working safely. We strive to strike the right balance of systems and tools that provide both flexibility and security.  This raises questions like:
  • Is firm hardware securely configured?
  • Are business-related accounts being appropriately protected?
  • How do I protect my firm’s sensitive information, and importantly, client information?
  • What are the associated business costs of making sure my firm is cyber secure?
  • Do I understand how systems are being used by different teams? Are there processes that can be streamlined in a way that would be safer?

The business case for detailed cybersecurity measures in our firms is strong. We have the responsibility to protect clients’ data, and in many instances, large clients are requesting confirmation that their legal service providers have certain cyber measures in place. With client requests and questionnaires increasing in frequency and detail, how do we ensure we are not caught off guard?

As a non-cyber security professional, I’ve come up with a few tips for how to navigate this topic:
  • Reach out to ALA business partners like FusionTek and All Covered to see what guidance and services they could provide your firm.
  • Take an inventory of your systems – who provides your computers, phones, etc.? What about internet service providers and cloud service providers? Are systems like DocuSign, Slack, or Microsoft Teams being used? How are those user accounts configured?
  • Identify potential security concerns – a few common ones include shared user accounts, weak passwords, and a lack of multi-factor authentication.
  • Work with your IT provider and other service providers to determine how you can increase security measures at little to no additional cost. For example, DocuSign Corporate allows an admin to require multi-factor authentication for all user accounts. The same goes for Zoom and other meeting providers.
  • When you are faced with a client cybersecurity survey, use it as a learning opportunity – this may be the first time you hear of a new industry trend as a non-cybersecurity professional. It is useful to take notes on what clients expectations are in order to help drive any potential changes forward.

Cybersecurity is without a doubt an overwhelming topic to get acquainted with. However, I hope with these beginner tips from a fellow legal administrator, you may have a bit more confidence facing this business priority head-on. A special thank you to ALA Capital Chapter business partners at  FusionTek and All Covered for their guidance as I begin to delve into this topic.
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Optimizing Payment in the Intake-to-Cash Cycle of Client Relationships

Suzanne Zimmerman
Vice President of Financial Services, Frontline Managed Services

From the moment a client signs on to be represented by your firm, each step of establishing and defining the relationship can be crucial to ensuring a quicker cash cycle. Accelerating the cash cycle improves overall payment realization because shortening the time between billing and receiving payment is a key driver to ensure the firm gets paid in full or at all. Thinking about each stage of the client’s relationship with the firm’s billing department as an opportunity to improve the payment process (and client relationship) will lead to better results. When the payment process spans from initial intake to payment (the “Intake-to-Cash Cycle”), firms can expect better financial management and better, longer-lasting client relationships. 

The steps in the Intake-to-Cash Cycle include:

  • Intake
  • Onboarding/Maintenance
  • Pre-Bill Edits
  • Submission
  • Rejection
  • Appeal
  • A/R Collection
  • Cash

Intake 
Valuable time can be lost during the billing process if the appropriate information is not collected and distributed to the appropriate parties at the time of client engagement. This can include basic information like how the client would like the firm’s billable work to be represented on an invoice. Creating client billing guidelines at intake and sharing those with working timekeepers on an ongoing basis is crucial to make sure expectations are set from the beginning to prevent costly appeals or rejections.

Onboarding / Maintenance
Clients will maintain several relationships with the firm beyond their relationship partner, and that includes the billing department. Establishing the appropriate points of contact for any given client could involve considering a number of skillsets – are they using an eBilling service that requires both dedicated billers to handle their invoicing and an eBilling specialist and platform to monitor payments? Ensuring each client has the appropriate team, processes and payment solution in place at the outset is key to a smooth payment cycle. The “Maintenance” aspect of this step never ends, as it is important to revisit the client needs based on feedback or any issues that may arise during the billing, eBilling or accounts receivable process. 

On average, timekeepers who understand and follow client requirements can shorten the cash cycle by up to 30 days.

Pre-Bill Edits
It is important to distinguish between time entry and billing. While all timekeepers should follow established guidelines, there is still work to be done in the billing department to convert that information into an invoice or eBill that conforms to the client’s preferences and all compliance requirements. Further, establishing a process wherein any edits from timekeepers are returned to the billing department in a timely manner is crucial to keep things moving. Another strategy is to divide prebills such that those from the firm’s top billing (and likely highest producing) are the first to be reviewed and would have a shorter return time expectation.

Submission
While we’ve discussed the importance of both establishing processes in line with a client’s preferences, having the right point of contact for each client and making any important revisions before submitting, it all comes together at when submitting the invoice or eBill. While it may be tempting to have the client’s relationship partner as the point of contact for every touchpoint, establishing a point of contact in the billing department delivers value at the front and back-end of the transaction. Partners that do their own collections lose billable time, and indirect contact with an accounts payable point of contact is detrimental for quick turnaround and leads to an inconsistent strategy.

Rejections and Appeals
While all the above advice aims to avoid any rejections or appeals, they are inevitable and should also be addressed in a timely manner. eBilling teams are more tech-enabled to monitor, track and follow up with timekeepers to help meet rejection and appeal timelines. However, when the traditional billing team is asked to handle these eBilling functions, they may fall through the cracks and become delayed due to the billers’ other responsibilities. Without the ability to track well, rejections are often found 60 days later than they should be, and when the billing department is too busy to appeal short or rejected payments, the result can be losses of 10+% of collections realization. Separating billing and eBilling can help focus the department to recover rejections with successful appeals.

A/R Collection
Measurements for effective accounts receivable management include the amount of the portfolio’s bills aged less than 60 days, the percentage of payment realization and the dollar amount of write-offs and write-downs. To limit the lost revenue from aging invoices, firms should consider establishing a mandatory collection turnover to the A/R team after 45 days, management oversight with an escalation process and segmentations in the A/R department based on the age of outstanding bills (e.g., expert in negotiations for bills exceeding 180 days). Meet regularly with partners and other client contacts to discuss statuses and to formulate strategies.

Cash
The billing cycle is as much about client service as any other part of the law firm relationship. Establishing processes and relationships that keep the client happy are crucial to optimizing payment realization, and creating an effective team structure and, again, processes when there are hiccups along the way will make the communications and collections process smoother – leading to a longer, happier client relationship – and more cash for the firm’s bottom line. 

Suzanne Zimmerman is the Vice President of Financial Services at Frontline Managed Services. She may be reached at [email protected]. 
 

Managing Up: A Career-Long Journey

Ana Sobalvarro
HR & Firm Operations Assistant, Bookoff McAndrews
Chair, Next Generation Leaders Community


For early career professionals and those entering a new role or organization, it is only natural to be wary of accidentally stepping on toes. On the flip side, it is beneficial to demonstrate value by anticipating the needs of one’s team. “Managing up” can help strike the right balance between overstepping boundaries and adding value to one’s role.

A Slack blog post defines managing up as “the art of building a better relationship with your manager in order to influence decision-making.” More specifically, managing up consists of providing guidance for your manager, getting on the same page as far as projects and priorities, and setting communication standards. While the gut reaction to the word “management” is that it should come from above, it can be beneficial for a subordinate team member to initiate the management process. This investment can prevent misalignment, miscommunication, and stress in the long run. Furthermore, it is a small yet impactful way to exercise leadership skills no matter how much experience you have.

While there are plenty of great resources available on the topic of managing up, here are a few personally tried and true approaches that can especially benefit those who are early in their legal administration career:

1) Put yourself in your manager’s shoes – What could make their job easier? To take it a step further, you can do the same for colleagues on other teams you interface with – what is something you know they need from you, and how can you get it to them before they need to ask?

2) Highlight your own strengths – When it comes up in conversation with your manager, share if there was a recent or past project or task that came easily to you. This will help give your manager an idea of what you excel at. Another added benefit is that this can help create a framework for ways in which your responsibilities can grow over time.

3) Troubleshoot problems on your own as they arise – Before bringing an issue you’ve encountered to your manager, come up with a few options to alleviate or resolve it. That way, you will only need to ask for your manager’s opinion or approval, rather than asking them to come up with a solution for you. 

4) When you need something, just ask – There are going to be times when you do not have the information needed to move a project forward. In those instances, trying to find a workaround is not ideal. The best demonstration of leadership in that instance is to ask your manager for what you need in a clear and timely manner. 

As the chair of the Next Generation Leaders community, I think our community would greatly benefit from learning more about this topic. What is your experience with managing up? Do you have any tips you would like to share with the community? If you have any thoughts you would like to share, or other topics you would be interested to discuss in the community, please email me: [email protected].
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Ten Effective Ways Law Firms Can Optimize Their Office Space

 Courtney Leonard
VP Marketing & Business Development, Office Movers Express


For nearly two decades, law firms have been consolidating office space and maximizing efficiency, but following the year of COVID-19, many have accelerated those efforts, evaluating how to reduce their office space footprint while supporting productivity. With some employees remaining in a part-time work-from-home arrangement and many expecting an increased level of flexibility from their employers, how are law firms boosting efficiency and keeping everyone safe? 

In a recent white paper, we asked Office Movers Express General Manager Jim Durfee to help answer this very question. As part of that discussion, he identified ten of the most effective ways to optimize office space for a law firm. Let’s take a closer look:

1. Ask the Right Questions 
There are no hard and fast answers to office optimization. So it’s important to start by asking key questions about how you currently use your space. Common questions to consider include:
  • Which rooms or spaces are most popular with your employees and why? Is there a conference room that is used more than another? Evaluate why this is. 
  • Are there spaces in your office that no one is using or that remain empty more than half the time? Can these be removed or consolidated with other space?
  • Are your meetings being accommodated? Do you have more ad-hoc than scheduled meetings and where do they typically occur?
  • What is the breakdown in where your employees work? Are they primarily in the office during business hours? At home? Shifting from desk to other spaces in the office?
  • What equipment is being used consistently, and how does it support productivity? Are you using the big conference room with the projector? Or are people usually on their laptops watching via screen share? 

2. Move Storerooms to the Basement 
Storerooms of all kinds are moving to the basement or being removed entirely. This includes supplies, mail and mail supplies, and storage for other materials that may not be needed on a regular basis. Evaluate how the current space in your office is being used, and if a room is frequently unused, empty, or out-of-date due to technology improvements, consider whether it can be moved or eliminated. 

3. Equalize Office Sizes 
Rooms used to be designed to indicate who was in charge. If you entered an office space, you knew who the boss was based on the size of the offices. That’s less the case as many offices have focused on equalizing office sizes to avoid inefficiencies. While this will depend on the structure and culture of your firm, eliminating unused space in large offices can help improve efficiency dramatically. 

4. Address Persistent IT Closets 
IT closets remain a persistent challenge in many firms. The parts and materials needed by IT need to remain on-site, but it can create excess clutter. Some firms are addressing this by moving the supplies to the basement or coordinating with off-site providers to get parts and supplies on-demand. 

5. Remove Enormous Conference Table 
The conference table itself is an inefficient use of space, taking up entire rooms, often in windowed corners of the floor. Smaller conference rooms, open collaboration spaces, and meeting hubs are being implemented to offer those meeting options in the form they are most likely to be used. "

6. Reconsider Massive Paintings and Art Installations 
Paintings and art installations are still common on many law firms, representing the taste and aesthetic of the firm, but many of the open, welcoming spaces in which they might have been displayed in the past are being removed. Consider whether current installations and paintings are necessary. 

7. Install Glass Boards 
Interactive glass boards are being installed to replace whiteboards and make for a more efficient space for groups to collaborate. Rolling whiteboards and blackboards are far less common, as glass boards are a more efficient use of space. 

8. Consider TV and Screen Placement 
Hanging screens, large TVs, and monitors are decreasingly common as people can participate in meetings or watch training sessions on their own monitors via conference software. That said, there are more frequently TVs mounted in shared spaces for collaboration. 

9. Support Work from Home Initiatives 
With the majority of workers saying they get more done at home, and COVID-19 resetting our relationship with remote work in general, consider the benefits of supporting a work-from-home initiative for your employees when it makes sense. Upgrades to networks to support secure access at home, productivity tools, and open office places that support people spending time in the office when necessary, can reduce the total amount of space needed without impacting productivity. 

10. Measure People Not Space
Supplemental to shifting work patterns, work within the trends currently sweeping through modern offices. Open floor plans are being replaced with flexible floor plans that focus on the space people need when they need it. Forget about a certain amount of square footage per person, and consider the way in which those people will use the space. 

This means, of course, that how much space you need will depend on your firm. It requires a more proactive approach to the way in which you optimize that space. Different types of workstations for different tasks and types of employees are needed. “Quiet areas for focused work, open space for robust collaboration, booths for hushed conversations, and phone booths or pods for private conversations are increasingly common for this reason. You may even consider an elastic office model or coworking supplement to scale your workspace as needed.” 

Getting the Most from Your Office Space
Whether you are restructuring following the impact of COVID-19 or have been actively optimizing office space for several years, it’s important to maximize efficiency in ways that will reduce costs and support employee productivity.

Learn more from Jim’s take on office efficiency optimization in 2021 in our white paper, Maximizing Office Efficiency Post-Covid. Download a copy here. 
 

Next Generation Leaders Event Recap – Rule 5.4 Discussion

Ana Sobalvarro
HR & Firm Operations Assistant, Bookoff McAndrews
Chair, Next Generation Leaders Community


In May, Catalina Mejia and I hosted a discussion focused on changes to ABA rule 5.4 and what they could mean for the future of law firm management. If you were unable to attend but are curious to learn more, I hope you find this below recap of our discussion informative.

What is Rule 5.4?
In basic terms, Rule 5.4 is a framework that lays out the parameters in which a lawyer can ethically practice the law. To view Rule 5.4 in its entirety, view this American Bar Association page. The rule explicitly states that “A lawyer shall not form a partnership with a nonlawyer if any of the activities of the partnership consist of the practice of law.” This traditionally has meant that non-lawyers cannot own part of a law firm. However, in 2021 Arizona was the first state to eliminate Rule 5.4. This has sparked discussion on whether other states may follow suit. While there is controversy around Arizona’s changes and the impact on the rest of the country, there are positives that could come from Rule 5.4’s absence. In DC, the latest news on the topic is from 2020, when the DC Bar Committee began gathering comments and holding discussions around potential changes to the rule. However, it is important to point out that in DC, “a lawyer may practice law in an organization with a nonlawyer partner, provided that . . . the organization’s sole purpose is providing legal services to clients . . .” While this makes DC’s Rule 5.4 less restrictive than the overarching ABA rule, it is not as lax as Arizona’s elimination of Rule 5.4 altogether.

What could the elimination of Rule 5.4 mean?
Eliminating Rule 5.4 could potentially have significant impact on the way law firms are managed. Since nonlawyers could obtain equity in law firms, this could open the door to legal management professionals to have the equity in the firms they help manage. In the same vein, law firms could recruit nonlawyer managers by giving them an equity interest in the firm’s profits. In this way, the future of Rule 5.4 is of significant interest to ALA’s member base. 

Changes to Rule 5.4 could also alter the landscape of the legal services market. It could open the door to law being publicly traded and could open the door to direct investment in law firms. Interestingly, “startup” AI-focused law firms could also enter the playing field, a concept which is currently being tested in Utah. Naturally, such dramatic changes in the market could result in increased competition in legal services overall. That could mean: 
  • More law firms could enter the market if there is an option for a non-lawyer to be a partner in the firm. This would increase competition, consequently driving down the cost of any legal services impacted by the change. In addition, big accounting firms could begin to offer legal services. 
  • Law firms would strive to exceed client expectations more than they already do since clients would have the power to seek out better and cheaper services if necessary.
  • With increased competition and increased investment in law firms, there would be a push for law firms to leverage technology to increase efficiency. This could lead to more law firm-focused tech services.

The above is only a snippet of the changes that could be tied to the elimination of Rule 5.4. While DC continues to weigh the pros and cons of such a change to its ethics rules, observers can watch how the change plays out in Arizona and other states much closer to a decision point, such as Utah. 
 

September 2021 Diversity Observances

Hispanic Heritage Month is observed from September 15 to October 15. This month corresponds with Mexican Independence Day, which is celebrated on September 16, and recognizes the revolution in 1810 that ended Spanish dictatorship.

Click here to view the full list of September observances
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Administrative Committees

Communications and Media Relations
As members of the Newsletter and Media Relations Committee, Chapter members participate in producing the award-winning Capital Connection. Members gather to brainstorm new ideas for editorial themes for upcoming editions. The newsletter reports Chapter business activities such as Community and Committee news and provides information about upcoming educational and other events. It also includes articles of interest to members and other legal management personnel, collected, authored and/or edited by members of the committee. This committee also works with other legal associations and the media to ensure that ALA and the Capital Chapter are represented in the legal industry.

Contact:  Amy Walkowiak (Chair), [email protected]; Emmanuel Adedigba (Co-Chair), [email protected]
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Diversity, Equity & Inclusion
The mission of the Diversity, Equity & Inclusion Committee is to advance the concepts of inclusiveness and acceptance in every organization by providing all Chapter members with information so that they can merge these concepts with their firm's policies, procedures, culture, and relationships to be more equitable and inclusive.  We not only strive to raise awareness, but also to increase our sensitivity in the areas of diversity, equity and inclusion and more closely reflect the diversity of our community at large. Having a more inclusive and diverse legal community will improve the quality of our organizations’ workforces and respond to our clients’ requirements for diversity. The DEI Committee meets on the first Wednesday of each month and we welcome all members to join us for discussion on how to further our mission in our firms and in our Chapter.  
 
Contact: Denise Verdesoto (Chair), [email protected]; Angela Tyson (Co-Chair), [email protected]
Salary Survey
The Salary Survey Committee is responsible for maintaining, updating and running the local survey each year. They review the positions listed, the job descriptions, and the benefits questions to ensure that the survey remains relevant to the end users. The members of the committee also promote the survey within the Chapter to stimulate participation. 

Contact: Herb Abercrombie Jr. (Chair), [email protected]; Valerie Williamson (Co-Chair), [email protected]



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Member Experience
The Member Experience Committee will establish a welcoming environment for new members to be integrated into the Chapter through a formal Ambassador Program. Ambassadors will provide support and guidance to new members through their first 12 months of membership, ensuring new members realize benefits of membership and become ambassadors of the Chapter. If you would like more information and/or are interested in becoming an Ambassador, please contact the Chair or Co-Chair.

Contact: LaVerne Anenia (Chair), [email protected]; Kim Santaiti-Potter (Co-Chair), [email protected]


Educational Communities

Small Firm and Branch Office Administrators
The Small Firm and Branch Office Administrators Community focuses on a broad range of topics of interest to local administrators who must coordinate with other offices of their firms, as well as to provide administrators of law firms with 35 or fewer attorneys educational opportunities through vendor presentations, idea sharing and open forums specifically designed for those who work in smaller firms.. The Community's monthly luncheon meetings, held on the fourth Tuesday of each month at 12:30 pm, provide a venue for members to discuss issues of common interest, share ideas, and network. Members are encouraged to raise topics and to recommend speakers. 

Contact: Starr Pratt (Chair), [email protected]; Lodora Barnes (Chair), [email protected]
Listserv: [email protected] and [email protected]
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Legal Operations
The members of the Legal Operations Community represent a cross section of legal expertise from functional administrators to branch office managers. The Community meets on the second Thursday of each month at noon. We welcome all members to join the section, especially if you are an administrator in a small law office and you have to wear multiple hats. We can provide you with many best practices to run your operation smoothly.

Contact:  Janelle E. Rynes (Chair), [email protected]; Giovanni DiLuca (Co-Chair), [email protected];
Listserv: [email protected]

Human Resources
The Human Resources Community operates as a venue for educational information on global human resources issues.  While the Community is mostly comprised of HR professionals, any member is invited to participate in the meetings which typically take place on the second or third Wednesday of each month.  The meetings feature industry speakers or roundtable discussions on topics such as recruiting, benefits, strategic planning, performance management, career pathing, retention and other matters of interest.

Contact: Brenda Simoes (Chair), [email protected];  Julie Hooper (Co-Chair), [email protected]
Listserv: [email protected]

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Next Generation Leaders
The mission of the Next Generation Leaders Community is to support our next generation of leaders and close the gap faced by our association and the legal industry as a whole by providing a community for Millennial legal managers and new managers in the legal field with a focus on mentoring, education, and networking. To accomplish this goal, the section hosts monthly meetings, pop-up events, and educational sessions, and provides 2-way mentoring opportunities. 
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Contact: Ana Sobalvarro (Chair), [email protected];  Catalina Mejia (Co-Chair), [email protected]
Listserv: [email protected]
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