QA Jon Kenton With any innovation you need to be open to the idea that it might not work and embrace that fear of failure

In our latest Q&A, Corrs Chambers Westgarth chief operating officer Jon Kenton discusses the firm’s decision to create Orbit, an innovative new model for the Australian market that delivers legal expertise to meet the temporary in-house legal demands of its clients and other businesses. Operating since the start of this year, it also brings together a high-calibre team of lawyers seeking a more flexible way of working.

Why did the firm decide to set up Orbit?

“A few factors came together. Obviously, we’ve spent a lot of time working with our clients, to build a stronger relationship with in-house counsel and work out how to better meet their needs. We could see that they had a real need for quick access to high-quality lawyers. That was apparent in terms of short-term secondment requests, or just through phone calls saying ‘can you help us?’ At the same time, we were very aware that there’s a group of lawyers who probably don’t want to work in a permanent role, whether that’s to do with flexibility or personal ambitions. They wanted a different engagement. Then, it was about putting those two things together – building up this team of really high-quality lawyers who are available at short notice to in-house counsel. We thought as a law firm that we had the ability to recruit and identify high-quality lawyers because it’s part of our core processes to interview and select talent and we also have a very rich client base. So we felt we could provide that link between the client and the lawyer.”

Orbit has been running for about six months now. What feedback are you getting?

“It’s been very positive. When you launch something new, you’re not sure how things will work out. We’ve been really overwhelmed by the positive feedback and the number and quality of the clients who are contacting us for assignments, as well as the quality and range of lawyers who have contacted us to show interest in joining our team.”

We understand Orbit is based on a model that has been tried and tested in the United States and the United Kingdom. Is that correct?

“That’s right. But it was the first model of its kind to be launched by an Australian law firm.”

Does Orbit reflect a changing legal market in which a lot of power had shifted to in-house counsel?

“It would be an unwise law firm that isn’t trying to really focus on its clients’ needs. I have reflected on this and talked to people about this and would say that over time the market has moved away from a supply-driven model to a demand-driven model. We are also seeing greater consolidation in the legal market and greater competition. So I think the law firm of the future needs to make sure it is very focused on client needs – and not to lock itself in to what it thinks those needs should be or how they should be met.”

How is the model bedding down?

“What has pleasantly surprised us is the really high quality of the lawyers who have contacted us. Being the first to launch this type of business in Australia we were not quite sure how it would be received. So we’ve been overwhelmed by the range, quality and number of lawyers who have contacted us. That is reflected in the work that we can then meet from a client point of view. When clients come to Orbit and talk about what sort of roles we could fill, I think they’ve been surprised at the quality we have on offer. There was some misunderstanding at the beginning that it was going to be about low-level, inexperienced lawyers, but clients are finding that this is a high-quality experienced offering.”

How many lawyers are in the team?

“It’s just over 50 now, and we have the capacity to grow.”

What key challenges have you faced?

“When you are trying anything new or setting up a new business, there are bound to be challenges. First, when you do something that is a bit different you don’t know if it will succeed. There is no track record that you can look at and say it’s bound to work and this and that will happen. So with any innovation you need to be open to the idea that it might not work and embrace that fear of failure. I am pleased to say, we faced that fear and it is progressing very well.”

Many firms worry about taking risks. How has Corrs handled that aspect of Orbit?

“I’m fortunate to work in a firm that really is very focused on innovation and is aware that if you are going to do things differently that there are risks. Having said that, there’s a lot of work internally to (process) the idea, to ensure the partners are happy with the idea and then to have them embrace it. The other aspects we thought would be difficult would be to build the pool (of lawyers) and to get client engagement. But, fortunately, those things haven’t actually been that difficult in that we have had great feedback from the clients and lawyers.”

Did the partners take much convincing?

“The partnership is open to new ideas and approaches. We actually have a Head of Innovation reporting to the executive, which shows our commitment to innovation. The main thing is making sure you talk to everyone across the firm so they understand exactly what the idea is. Once you sit down and explain to people what you’re doing and why you’re doing it and how it works, they are much happier.”

At the recent World Masters of Law Firm Management conference in Sydney, presenter Richard Susskind commented that many firms are not prepared to take risks. How has Corrs managed to break that mould?

“As a firm we are very willing to embrace new ideas and implement them. I’m sure as a firm we’d always like to be innovating more and faster, but if we didn’t have that drive I’d be concerned. As mentioned, we have a Head of Innovation and we have an ‘Innovation Hub’ we are launching to really try to bring out ideas across the firm. We ran a think-tank called ‘InQbator’ last year where we asked the staff to come up with ideas. It’s about realising that the people at the top of the tree aren’t the ones that have all the ideas.”

So there is a lot in the pipeline?

“Well, hopefully we are creating a culture of innovation across the firm. I wouldn’t say that we are finished – I’m not sure that we will ever feel that we are finished. But we are certainly willing to embrace innovation and it’s incredibly motivating to know that there is always something different to do.”

Has it been difficult to align Orbit with the firm’s other service lines?

“It’s been complementary to our other services. That was one thing that we talked about with the partners before we launched to discuss how it would fit in – is there a clash or not? It’s a different business so it will have its own set of clients. Some of those clients will be Corrs clients and what the partnership is now clearly seeing is that Orbit adds to rather than subtracts from the services that we provide for clients.”

There is a lot of debate within in-house legal teams about pricing models. How does it work with Orbit?

“The important thing is to focus on the value of the assignment and then to make sure you have the billing process that fits that value. I don’t get too concerned about whether it should be fixed fee, whether it should be capped, or whether it should be time and materials. Those discussions can sometimes be a little two-dimensional. You need to assess what the task is, sit down with the client and work out what’s the best option for a particular assignment.”

On the lawyer side, how important is it to provide work flexibility?

“There are people out there who want to engage in a very different way to the traditional work styles. At Corrs, we have all kinds of flexible options, from part-time work to working from home and a whole variety of other options. Some people want a very different engagement. They don’t want a permanent role at all. They want to engage when they need to engage and they want to have flexibility. That’s part of the changing nature of society and we are more than happy to support that.”

Where does Orbit go from here?

“It is early days, and there are a lot of ideas that we have sitting in our strategic plan. But right now we are going to continue to build the client base and the lawyer pool and keep talking to them as part of the Orbit business and really work out what they are looking for and develop it in response to that.”

Do you expect copycats?

“It’s not something we focus on. We are just focused on making Orbit the best we can and it’s up to other firms to decide if they want to enter this space.”