Kurzman, Karelsen & Frank has deployed Legal55 for automatic time capture since August 2002. This article was written in December 2002.
By Lee Unterman, Managing Partner of Kurzman Karelsen & Frank
Our firm captured billable hours that attorneys were previously missing through installing an automatic time capture system called Legal55. Implementing this software measurably improved billable hours and client service while reducing administrative costs at Kurzman, Karelsen & Frank. This mechanical approach can change for the better the way we as a profession look at and manage our time.
In these times, clients are rightfully concerned about escalating legal bills, and are entitled to - and insist upon - a detailed accounting of the time spent on their matters. Yet, for decades lawyers have tracked time in largely the same manner - filling out paper timesheets as we go along (or after the fact) with a pen. Even as our 26-attorney firm computerized numerous office and work functions, we kept tracking time the old-fashioned way. There were a few exceptions who tried keying time directly into the accounting system, but even for them, the same problems remained: tardy timesheets, overlooking key time, and making sure to record the detail our clients demand and deserve.
In short, we were losing time. Time is our most valuable resource, and one of the biggest concerns at any firm is accurately and easily keeping track of billable and non-billable time. I was concerned that time was being missed and that too much energy was being consumed by managing the creation, collection and submission of timesheets. The paper sheets meant rework and lost time in data entry, and the paper itself could be lost or illegible, leading to redundant work. We had to dedicate staff time to rounding up the tardy timesheets. Even when electronic submission was tried, the manual process meant that activities could be forgotten or detail explaining what was going on might be omitted, creating slippage.
Changing attorney behavior is not easy - lawyers are, as a profession, relatively set in our ways. Instituting rules and guidelines for keeping "better" records helps, but it was obvious that just as technology had helped us on so many other fronts, there was surely a better way: something that could make capturing time less onerous.
Our firm decided that any such solution must meet three criteria. First, any new technology must be friendly and very easy to use without a steep learning curve. Second, breadth is extremely important; the system should cover many types of activity that comprise a lawyer’s working day. And third, the system had to integrate with our existing software both on attorney desks and in our billing and accounting system.
Our mission was accomplished in July, 2002, when Ray Deck, CEO of eGlean, Inc. in Boston, introduced me to his company’s product, Legal55. This system would automatically track time but not force our attorneys to change the way they worked. We discussed our firm’s needs and concerns with Mr. Deck, whose product was then in beta. We agreed to be a beta customer, and the system was installed at our office.
The system had two elements. Software was installed on our desktop computers that silently tracked time until activities were completed. A server provided by eGlean was placed in our computer room to co-ordinate the transfer of information between our telephone system, accounting program, and the software on attorney desktops. This combination minimized conflicts between the timekeeping system and our other network programs and freed us to focus on productivity gains.
The software requires almost no preparation by the individual- time is captured without intervention and presented to the attorney as activities are completed, at the end of the day, or at whatever time is convenient. The time captured related to the computer applications like Microsoft Office and Adobe Acrobat are in common use along with tracking phone calls and meetings. Even when the attorney leaves the computer and returns, the software asks about the time they were away, creating a complete record of the individual’s day, and helping attribute that time to appropriate clients and matters.
One of the concerns expressed when we started the project was that an automatic time tracker would be "big brother" and invade privacy. But we found that this was not the case: attorneys had control over whether to capture everything, only certain items, or even nothing. Those who wanted to use a paper timesheet could continue to do so - with the benefit of the information gathered, but not committed, by the automatic time tracker.
The software is intuitive, and most people in the firm needed little time to get up to speed with it. That simplicity when combined with excellent, concise training sessions by eGlean led to very fast software deployment. Legal55 is now on the desk of almost every attorney at the firm.
After the beta period, Legal55 met all our criteria for a new time capture system. The automatic time tracker was friendly to the point of being nearly invisible to the attorneys. Time was captured across the activities of a day in the office - computer, phone, meetings, and other actions with detail. With the permission of the individual, the resulting information made its way to the accounting system with very little effort.
The firm saw benefits almost immediately. More attorneys submitted their time electronically, reducing the hours spent on retyping and fixing handwriting-related errors. Because timesheets were submitted the same day or shortly after, administrative staff spent less time tracking down tardy timesheets. For the first time, we gained early visibility on the hours that could be billed for the month. Associates were glad to spend less time trying to figure out their timesheets. In our early analysis, we observed a significant decline in administrative costs related to timesheets.
The solution captured more time, with greater accuracy. The time we had been missing as a firm and subsequently not billing has been an eye-opener. One of our biggest concerns all along was how the introduction of automated timekeeping would affect the bottom line. Many attorneys found that the automatic program would prompt them for time that would otherwise have been forgotten. More importantly, the descriptive information provided by the system increased the accuracy of the timesheets, reducing our slippage. Across the firm, billable time increased measurably for those who had the software. Even including the beta period and rollout, the system seemed to pay for itself within the first ten weeks of use.
We have accomplished three important goals in implementing an automated time capture system. More hours are captured overall because activities that might have been missed are now tracked. We have increased profitability because of our improved time-billing accuracy. And we have been able to provide a higher level of service to our clients because attorneys are spending more time on actual work and less time wrestling with timesheets.
From a managing partner’s perspective, initiatives are best seen and not heard. When a program within the firm comes to my attention, it is usually because something is going wrong. Positive impacts show up on time reports and monthly statements. Legal55 met both standards and exceeded our expectations.
A re-edited version of this article appeared in the January, 2003 issue of the New York Law Journal Tech Trends