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Metrics, Metrics, What Are the Metrics?
Recently, while speaking with a new client, the question of “How do we evaluate our partners?” came up.
The participating event was a mediocre 2012, which produced a diminished profit pool for distribution at year end. The management committee was confronted with its annual Solomon-like task of dividing the reduced profits and was forced to abandon its normal lenient approach to partner evaluations that had grown up over many years of lush profits and a desire to promote collegiality and the “one firm, firm” approach that was popular among organizational development consultants in the 1990s.
My client, a mid-sized general practice firm headquartered on the East Coast has a 100-year history of representing premier clients at premium fees. The firm's culture and compensation philosophy was one that long remembered past contributions, was slow to recognize developing trends and reluctant to penalize current misbehavior.
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