If you look at the business model of law firms over the last 50 years, has it altered? Yes
The pair want A&O to stay ahead of the curve both with technological changes and business transformation, which will include meeting the changing aspirations and motivations of millenials who want more flexible career paths.
The firm has an innovation committee and management is encouraging a culture of innovation.
Ballheimer says: “If you look at the business model of law firms over the last 50 years, has it altered? Yes, along with every other industry it’s altered profoundly. The changes mean that the opportunities increase.”
As part of this, Peerpoint is likely to expand to the US at some point.
“Clients are universally positive about Peerpoint,” Ballheimer says. “We’ve expanded into Asia and over time it will expand into the States as well. The demand is there as it works for us and our clients.”
As both made clear before they were elected, growth of the firm’s US practice will form a central plank of targeted investment, with Europe seen as “90% built”, allowing for some expansion in Germany, France and Spain.
Everyone makes a lot of noise about US capabilities but we have to be flexible
“We’re a niche player in the States,” admits Ballheimer. “In the US area, we have to have the best client offering for the core parts of our product mix. Have we got to do it in a way that others have done it? No. But we’ve got to have core area expertise, absolutely.”
He adds: “I would say we will look at any opportunity that makes economic sense in terms of cultural fit and client needs. It’s about having the best client proposition out there. We will look at the right opportunities that will enhance our offering in a culturally appropriate way.”
Dejonghe stresses the market forces at play, such as Donald Trump’s possible election as President of the US, which mean their plans need to be flexible.
He says: “Everyone makes a lot of noise about US capabilities but we have to be flexible to political changes and other factors.”
US work currently accounts for £250m of the firm’s global revenue and while the plan is for this to grow, the firm is not setting a target.
Much of the focus for management, whether looking at the US or elsewhere, will be joining up what is already there and ensuring that partners are cross-selling and using existing offerings such as Belfast and Peerpoint consistently.
As Ballheimer concludes: “In terms of our network, it’s much broader than anyone else’s. It offers an immense opportunity in our top-line growth – it’s all about us working as a team and hunting in packs.”
