'Embrace the Same Tools' as Alternative Providers, Genova Burns Founder Says
"If a firm wants to compete today, it has to accept these trends and respond in-kind to these demands of the marketplace," Angelo Genova said.
March 20, 2019 at 10:00 AM
8 minute read
It's been more than a decade since Genova Burns' move to Newark in late 2008, and its founder says the move has helped define the firm's trajectory in the years since in two key ways: winning business and attracting talent. Also key, he says, is embracing clients' changing demands about legal service delivery.
*This is one in an occasional series of Q&As with New Jersey law firm leaders. The responses below were provided by Angelo Genova and edited lightly for style.*
Firm Name: Genova Burns LLC
Firm Leader: Angelo J. Genova, Managing Partner and Chairman
Head Count: 70 Attorneys
Locations: Newark, Jersey City, Tinton Falls and Camden, New Jersey; New York; Philadelphia
Practice Areas: Full service
Governance structure and compensation model: As managing partner, I direct our firm's daily operations in coordination with an internal management committee and a chief operating/chief financial officer. Together, we drive the firm's core functions. We utilize an annual review and committee model, apply firm-wide profitability and individual attorney profitability metrics and performance evaluations to assess compensation.
Do you offer alternative fee arrangements? At Genova Burns, we are guided by the ethical requirement that fees be reasonable. Towards that end, we regularly consider both traditional and new model fee structures. In that context we tailor such alternative fee arrangements to clients' needs and to the project to be performed.
What do you view as the two biggest opportunities for your firm, and what are the two biggest threats?
Upon moving our main office from Livingston to Newark more than 10 years ago, we knew then that the next generation of lawyers wanted convenient access to public transportation and a vibrant city culture. As we set out to attract new recruits, we were also interested in focusing our real estate and other practice areas on the urban market. We wanted to be part of the city's renaissance, and we share in the confidence exhibited by Newark business leaders and political leaders like former Mayor Cory Booker and current Mayor Ras Baraka. I have seen a steady increase in businesses interested in Newark due to the city's diverse assets, including high-speed broadband connectivity and a strong educational base to support the labor force. The logistics industry is a growth industry emerging for Newark, as the city continues to become a major logistics hub capable of supporting an explosion of internet retailers.
Some who have been in the legal service industry for as long as I have consider technology a threat, but I believe we must embrace it and see it as a benefit. Our firm understands that technology is a business tool that, if used properly, can increase the efficiency of any lawyer rather than displacing them. This has become a firmwide outlook that has greatly contributed to our ongoing growth. Due in part to technological advancements, there has also been a shift in our profession where potential clients are turning to non-traditional providers to mitigate the use of more expensive lawyers, for example e-discovery managers, accounting firms, etc. The best way to compete is to embrace the same tools, and if you do, clients won't look elsewhere.
The legal market is so competitive now—what trends do you see, and has anything, including alternative service providers, altered your approach?
Over the past few years, I have seen an increasing number of instances where both the public and the business community have become less comfortable with relying on conventional methods to meet their legal needs. Whether it is through data and e-discovery companies, or new software, consumers have a menu of options from which to choose, clients insist that we embrace technology and other efficiencies. We have responded. Key to all client services is same-day responsiveness—the hallmark of our firm. In addition to top quality substantive legal representation, creative problem-solving advice, and pragmatic solutions, clients will demand more at a lower cost. The trends I see are that a law firm must be more efficient, more cost effective and more practical in serving clients if it is to survive. If a firm wants to compete today, it has to accept these trends and respond in-kind to these demands of the marketplace.
Is your chief competition other mid-market firms, or is your firm competing against big firms for the same work?
A mid-market firm is not about the attorney complement in numbers; it is about the target market of the law firm. Genova Burns' target market is the privately-owned business, corporation, family enterprise, developer, state and local government entity and entrepreneur. Each seeks us out because we are practical problem solvers with reasonable fees. The Fortune 500 are starting to get the message that there exists mid-market firms like Genova Burns, that can get the job done at less cost with the same quality. So yes, our competition is everywhere, but our size is not a deterrent, it makes us nimble and attractive to all business sectors.
There is much debate around how law firms can foster the next generation of legal talent. What advantages and disadvantages do midsize firms have in attracting and retaining young lawyers, particularly millennials?
Genova Burns has the advantage of being headquartered in New Jersey's principal urban settings—Newark, Jersey City, and Camden. The next generation of lawyers and legal professionals want to work/live/play in the same place. Another critical advantage for our firm is that we have little choice but to place new lawyers into the legal arena in an accelerated matter. This means a rookie lawyer in our firm, a recent law school graduate, is more likely to be in the field taking a deposition or in court arguing a motion, as opposed to doing solely document review in the law library or computer research. This kind of front-line experience enables a very gratifying sense of progress and self-realization for our professionals. Our new lawyers interact with clients and get firsthand experience on what it is to be a lawyer from the start.
Does your firm employ any nonlawyer professionals in high-level positions (e.g. COO, business development officer, chief strategy officer, etc.)? If so, why is it advantageous to have a nonlawyer in that role? If not, have you considered hiring any?
We are big believers in the concept that there are many tasks and responsibilities at the firm which can be executed by non-legal professionals. For example, our CFO/COO, HR, IT, client service, marketing and office administrators have been led by non-legal qualified professionals in their field.
I think non-lawyers in the right jobs contribute greatly to our client service focus. From customer service to operations, we rely on a combined approach to keep our firm sensitive to the services we provide and the changing needs of our clients. Also, these individuals are experienced, trained professionals within their respective fields.
What would you say is the most innovative thing your firm has done recently, whether it be technology advancements, internal operations, how you work with clients, etc.?
Most recently, we formed a committee to develop a strategic plan for the utilization and integration of artificial intelligence in our daily operations. That committee has regularly met over the past six months to prepare an assessment and implementation report by mid-year. In terms of our internal operations, we are currently overhauling the existing billing system and have introduced various software and systems that produce a real-time analysis and other important metrics to insure and maximize efficiency and evaluate performance. This system also analyzes efficiencies of that time and how we can create models and paradigms for forecasting costs for legal services. We do all of this to benefit our clients in that it enables us to design more effective alternative fee arrangements.
Does your firm have a succession plan in place? If so, what challenges do you face in trying to execute that plan? If you don't currently have a plan, is it an issue your firm is thinking about?
We are engaged in an ongoing, active dialogue on creating a succession plan at our firm, and are currently identifying new leadership who would be charged to take on the risks and responsibilities of managing our firm well into the future. A firm is only sustainable beyond its founders if the founders show a willingness to hand off decision-making power to the next generation, and the next generation shows a willingness of accept those risks and responsibilities. Only then will a firm's legacy be a platform to take it to the next level.
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