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FEATURES
02 Mar 2009

Steady as she goes in turbulent times

No one said it would be easy. Leading a business through economic downtimes can be a more acute challenge for smaller or medium sized firms than it is for larger commercial operations with multiple offices and wider practice areas. Steven Raeburn meets up with Miller Samuel’s managing partner Diane Cairney, and finds that attitude is as important as strategy.

One lesson that is being learned all across the business world at the moment is that running an organisation during the hard times is the true test of acumen, resolve, adaptability and leadership. In boom times, success is relatively easy. When the depression bites, survival -far less success- is not guaranteed. Rolling with the punches is also easier in a larger organisation, which may provide some buffering against the cold business climate. With well leveraged corporate firms cutting their cloth and surviving whilst small firms go under, firms in the middle tier of scale and turnover may have to work the hardest of all to maintain their position. Perched neatly in the captain’s chair of Miller Samuel, managing partner Diane Cairney has the bulk of the burden of responsibility on her shoulders.

More youthful than most who occupy similar roles, and one of the very few women in Scots law in the managing partner’s chair, Cairney has been part of a rare and distinct success. The phrase “punching above their weight” could have been coined as a perfect metaphor for the firm’s achievements, and -aside from a two year stint away- Cairney has been with the firm in its prior and present incarnations for some 17 years. She undertook her training there, and since Miller Samuel’s internal restructuring, is their first full time managing partner, working alongside chairman and co-founder Michael Samuel, relieved of client caseload responsibilities, and with the firm’s present and future success to secure as her key deliverable outcome. So, no pressure then?

“Michael Samuel is one of the founding partners of the firm and he has huge experience. He continues to fee earn, and has a very strong client base and longstanding relationships with clients. He splits his time between a fee earning role and the Chairmans’ role. I am quite spoiled. I can hide behind him a bit,” she says.

“We see him as the ambassador for the firm, promoting the firm and Michael will speak for the firm. It enables me to work behind the scenes, which is where I am more comfortable, and can focus on the more strategic plans of the business.

“The benefit of having someone in a sole managing partner role, as opposed to split with fee earning, is that you have a longer view. I am always trying to look at things for the forthcoming year, then three and also five years ahead, which has been the benefit of being able to clear up my time to do that. It gives me the chance to do what I need to do, and Michael has a very distinct role. He has been very supportive, and if I ever need to bounce an idea of anyone he is there, which is advantageous. The managing partner role could be quite a lonely place in other firms where you are working on your own. The benefit I have here is that I have Michael to share things with.”

Internal office politics and the inter-relations within a partnership can be a barrier to success if mishandled. In some cases, the answer to the question, “Who is in charge here?” is not an easy one to answer, and will depend on the problem or matter that needs addressing. Uncertainties can extend to affect fee and remuneration balances, firm strategy, purchasing decisions and staff policy, leading to the emergence of fiefdoms, rivalries, uncertainty and ultimately failure. Miller Samuel, with only eight partners and measurable success and a reputation beyond the usual for a firm of their size, appear to have avoided those pitfalls, and despite the economic depression, have recruited staff over the last year and are trying to consolidate their position.

“We are using this period as a period of growth and development. What has been happening in the marketplace has slowed us down, but the plans that we initiated two years ago are plans we are still working with, which we have seen come to fruition, so we haven’t changed our goals, our vision or our plans as a result of everything that is going on, which must demonstrate that we were right in the first place,” Cairney says.

“We want to maintain our identity. We are a very partner-led firm, and very approachable. We have recognised that we have certain traits that are very important to us, and which we want to ensure that we continue to have.”

Cairney’s lengthy tenure with the firm demonstrates not only commitment, but also ensures that she is steeped in its culture, and has probably had a significant role in shaping it. However she is sensitive to the flipside of the coin, and tries to ensure that she retains a useful perspective.

“I do remind myself a lot that I see everything through that, and I have to be objective. I always welcome external views. If you are too close, that can be a negative,” she says.

“One of the things people always say is that instinctively people hate change and lawyers are particularly bad. That is not my experience at all. I love change, and think every day you should be looking at what you can change for improvement. You should always be challenging what you are doing. I am really keen to always have a culture of change for improvement. The people I am surrounded with now are receptive to change, and I am not sure if that is because they were like minded, or because they have been exposed to a culture of change and can see the benefits of it.

“As we have had quite a bit of change, all of which has proved beneficial, people are now much happier with the culture.”

Something that seems to have worked positively for the firm has been engaging staff in the firm’s development, and keeping abreast of their feedback. It is a small step, but often overlooked in larger organisations or those where departments are divided or account to different partners within the firm.

“A few years ago we reviewed our client portfolio, and took a view that there were areas we wanted to focus on, and certain areas we wanted to move away from,” says Cairney.

“At first, people were instinctively cautious, but now they see they have better quality work, they enjoy it more, and we have a limited turnover of staff. They are also giving us positive feedback. They remember when they were doubtful about it.

“At any one time, we usually have three or four people waiting to find out if we have vacancies coming up here. That is really encouraging. We always seem to have a “shortlist” of interested candidates, so somehow our message is getting out.”

“We are in quite a secure platform and where we want to be in the present climate. We took on quite a few people last year, which I think was bucking the trend. The next important stage for us is growth and maximising the areas that we are in. We are diversified enough that there are areas we are seeing growth on just now. So it is making sure we tap into that. For this year, it is trying to be ready for when there is – hopefully – an upturn.”

On current form, it seems likely that Miller Samuel, who have development plans to consolidate in place, will still be around for that.
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