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Empty drug capsules made by a subsidiary of Pfizer. As an alternative payment structure DLA Piper is paid a flat fee for all the work he carries out for the pharmaceutical giant in the year photo: MARK LENNIHAN

Bankers are confronted with new rules on bonus payments.There in the hedge funds away the previously rooted "two and 20" system; and financial advisors are moving towards a profitable, model rather than transactional due to the review of retail distribution.

It may seem a strange statement of the Chief Executive of one of the largest law firms in the world, but the legal profession is far behind the curve; lawyers and legal firms must evolve and embrace the changed market conditions. There will be circumstances where billable hours are justified, my belief is that relevance decreases significantly, and it will quickly become an anachronism.

These last two years saw a separate flight of value and quality - not only in the legal profession, but worldwide enterprise one corollary of this approach - and strain that the financial crisis has put on businesses - was a holistic advice desire consulting, as opposed to the individual in silos, delivered services on a transactional basis.This means that firms have to change their relationships with their customers so that they become their trusted business advisors, working in partnership with their clients.De obviously, this process must be reflected in the cost model.

My own business sees more customer demand to be paid a fixed fee basis "chosen", or arrangement fees capped as opposed to the billable hour.Firstly, he established a culture of collaboration based on trust, where the good amount of time is taken for important business decisions rather than a race against the clock in the interest of keeping a lid on costs.

There is a cynical view of lawyers who - rather as a gas expanding to fill its container - the scope of the work as billable hours expand to fit the maximum budget.Eradication affected units of time for retainer would immediately put an end to this perception.

Secondly, and perhaps more important still, it would generate a system based on prevention rather than healing would head problems - legal, regulatory, compliance, financial - the theory is that widely embraced and implemented correctly implement col.Ma would in UK Corporate wheels rotate much more smooth and critical, cost much more effectively.

It y has a fierce competition on the market and less than firms structure themselves so that they are positioned to respond to what they will fall.We believe that the global nature of the world business means more that those with a great geographic footprint are more able to fill the role of the legal or de l'entreprise "Adviser" customers mondiaux.exigences client are will be increasingly multi-national and cross-border, of course, be able to meet global demand more quickly and seamlessly.

Pfizer is a good example of a company seeking a modern to care for his Piper juridiques.DLA advice means part of Pfizer almost two years - legal Alliance arrangement focuses on achieving best value and quality for the client to a greater collaboration between business and the client and among the 18 participating companies.

In the alliance, a dish for all the work it does for the entire - closing arguments calls year combinations produced the gouvernement.Les investigative responsibility annual fee is paid for each participating company enterprises are invited to partner closely with Pfizer and, developing a better understanding of its business, provide advice more efficient and proactive souvent.Cette provision was pioneer and I encourage active other companies — and law firms — to explore this way affaires.gérées effectively, it is mutually beneficial.

In my opinion, billable hours are the scale of the 20th siècle.Tout as faxes were replaced by e-mails such as how to conduct the business communication, so too business pay should be its own bond forward into the modern era.

Law firms need to catch up with other sectors of professional services that have used the model years - fixed costs otherwise may be left behind.

Sir Nigel Knowles is the head of the joint Executive and managing partner of DLA Piper legal services Office

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