The Head Hunter’s Corner | Author: Dan Scott
The Lateral Partner Questionnaire (LPQ) is a critical component in a law firm’s hiring process, but it is often used in a way that’s not helpful. All too often it’s introduced too early in the process and becomes an impediment rather than a facilitator.
The LPQ is a document that takes us through a prospect’s last few years of historical billings, breaking things down by rates and other factors. Most firms have their unique version they’ve developed over time, and most head hunters will have their own for those that don’t. They’re typically between 15-25 pages long and are very detailed.
But bringing in a lateral partner is not just some kind of transaction. It’s about finding a new home, and is an incremental process of learning about each other. To use a dating analogy, don’t ask a prospect to meet your parents on the second date.
My philosophy is that the process of hiring should go through the ‘Substantive’ issues first, then address the ‘Procedural’ ones. The substantive issues need to be resolved or no one will be willing to go through the hassle of addressing the procedural ones (don’t get me wrong, procedural issues are important; they include things like first year compensation)
In my experience the critical substantive issues are as follows:
First from the prospective of the lateral:
“Will I be more successful, and will I be happy?”
- There needs to be a clear path to greater success, i.e., the differences in the new firms’ business model will create more revenue or efficiency. This is often the most intense part of the process, where the prospective lateral has a lot of meetings with lots of people.
- Will I be ‘happy’ sounds warm and fuzzy, but includes objective issues, such as an understanding of how success is defined and rewarded.
Moving their practice to your firm is going to be a hassle, and they’ll need to feel strongly that it’s worth it. No one is going to be willing to fill out an LPQ until they’re fairly certain that they want to go through the drama of an exit. And let’s be clear, it’s often pretty dramatic. I’ve got some crazy stories about what happened after someone gave notice.
From the perspective of the acquiring firm the two substantive issues are:
Will this person or group make our firm more successful, and, do we want to be partners with them?
- As a firm is getting to know more about the skills, experience and clients that this lateral brings to the table, they must clearly see that their contribution will make the whole firm more successful.
- And that last one actually is warm and fuzzy. They have to like each other or it just isn’t going to happen.
Then, and only then should an LPQ be put in front of a prospective lateral.
Doing it too early puts a roadblock in the process. A lateral won’t fill it out unless they’re pretty certain that your firm is the right place for them.
Let’s be clear, this is an invasive document. It can’t be delegated for obvious reasons, and involves revealing information that is usually not shared with an outside party. Getting the information to fill it out is usually difficult.
I’ve had far too many situations where a firm expects to have an LPQ completed between the first and second meeting. Trust me when I tell you that they won’t do it, even if they don’t say so; in the vast majority of circumstances the process is effectively ended and a potentially valuable lateral will not be hired. They’re not going to spend a week gathering information and filling out the form if they aren’t already convinced that you’re a good fit for them.
So my advice to my client firms is to be patient. If it’s a good move for the lateral they’ll get you the information you need at the appropriate time, but rushing things just decreases the likelihood that you’ll secure a valuable prospect.
