Understanding the Key Performance Indicators or KPI's to measure when assessing your law firm performance is vital to success.
It's important that your firm determines what is required to successfully execute it's strategy and then select the key performance indicators that help you know how you are progressing toward those goals. With mass amounts of data there are millions of different KPI's you could report on. Finding your sweet spot in the middle is best. Too many could become confusing and very time consuming to look at to make a decision, but you must keep in mind that no single KPI will provide all the answers firms seek. Collective vision is required. You should ensure that there is a balance of leading and lagging KPI's. Why? This will enable your firm to act in a preventive mode as well as measuring progress. Key performance indicators are simply a tool. They are no substitute for the use of common sense and good judgment when it comes to the management of your law firm, but can greatly aid in the decision making process.
Many law firms ask us what KPI's they should be measuring, so we put together a small guide. With profitability being a very important and leading topic of discussion for many of our clients we provided six very important profitability metrics. The Key Profitability Metrics Cheat Sheet will explain:
- What metrics you should be tracking
- Why you should be tracking these specific metrics
- How you can use the metrics for success
Identifying what you should be measuring gives you the ability to increase efficiency and profitability at your firm. Click the image below to download your copy of our key profitability metrics cheat sheet for law firms.
BigSquare is the leading provider of Business Intelligence for law firms and professional service organizations. We focus exclusively on law firm reporting, law firm BI, law firm profitability and law firm analytics.