The most widely read magazine for Canadian lawyers
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18 N O V E M B E R / D E C E M B E R 2 0 1 6 w w w . C A N A D I A N L a w y e r m a g . c o m L E G A L I N N O VAT I O N N O W O P I N I O N • Is this something that I (or someone I know) would use? • Is this something I would invest in as a business? • Is this something for which I would be willing to provide my own labour — mental, emotional and otherwise — to make a success? • Would I enjoy being a participant in the building of this thing (venture, product, solution, conference, etc.)? • It's important to know your motiva- tions and you should always start with a capital "W" — Why? Most of the time, I like this stuff because it captures my imagination about the art of the possible. That's what I find exciting — the manifestation of something new where it did not previ- ously exist. My guilty pleasure is novelty and shiny objects because I value things that are unique. At the same time, how- ever, I know that innovation needs to do more than just be new. It needs to be better and in the interests of the player that matters the most, which usually, alas, is not me. In business, it is always the client that drives the Why. In process optimization and daily working life, there are only three fun- damental classifications of value. You should be asking yourself which of these three types of value you are engaged in before starting any project, task or breath. This should strike the consciousness of each individual as they go about their day and the organiza- tion as a whole as they plan out their strategic investment of time, money and human capital. The three types of value are: Client Value Add: This is the root of the offering to clients and the ultimate Why of a commercial enterprise. Typi- cally, when engaging law firms, clients are seeking advice and domain exper- tise that is not readily available by other means. This could include support in processing transactions, navigating legal systems or interpreting obliga- tions and rights. Clients pay for these items (directly). Business Value Add: The account- ing and IT departments don't go to the core offering of a business, but they are necessary to maintain operations. These inputs factor into the cost of the ultimate deliverables and eat into margin. Clients pay for these items (indirectly). Non-Value Add: This is everything else and the overwhelming majority of activity that goes on in most organiza- tions and processes. Clients pay for these items, involuntarily, of course, and in many instances, the provider may not be aware of the insidious ele- ments of their operation that do not contribute to the client or the business. As much as law firms are begrudg- ingly adopting project-management, onshore and offshore delivery centres, lean process improvement and other measures that are revolutionary for the legal industry, one shouldn't be sur- prised if the reaction from clients is a yawn. Yes, the mantra is that all of the changes that are happening are the result of client pressures; however, the inputs in the value chain are not rel- evant to the end user. was recently at a dinner with some colleagues and the discussion turned to outside interests and passions. Some were into outdoor activities; others loved watches and fashion. When asked what makes my heart sing, I said legal inno- vation. Notwithstanding the collective eye roll of my fellow diners, it came from an authentic place. I love innovation and the incredible pace of change happen- ing across all aspects of the economy, and obviously I have a particular interest in the legal services industry. When it comes to legal innovation in the form of business models, process, technology, products or services, my filter is to ask the following questions: While shiny new objects can be fun, the real value in innovation is in the output By Jason Moyse I @jasonmoyse Value beyond novelty