Summary of the case

The case is about the evolution of the law office of Jeter, Jackson, Guidry and
Boyer. In 1992, David Jeter and Nate Jackson started a small general law practice
near Sacramento, California after spent five years in the district attorney’s office.
While they began the small partnership, there are only two attorneys and a paralegal.
But, now it has grown to a firm that has more than 27 people in three different towns,
which consist of 18 attorneys, 3 paralegals and 6 secretaries. 3 out of 18 attorneys had
become partners.
After some period, for the first time in the firm’s existence, the partners felt
that the overall operation of management has lost control. Several factors had grown
far beyond anything that the original partners had ever imagined. Then, attorney Jeter
called a meeting with partners to discuss about the matter. Before meeting, opinions
and proposed solutions were seek from the entire staff. Thus, the formal decision of
the meeting is to create a new position, which is General Manager of operations with
specific job descriptions. The general manager has to submit an annual report to the
partners with specific action plans for improvement and change.
Therefore, a search committee is formed and after two months, the committee
offered Brad Howser, who is a longtime administrator from the insurance industry
seeking for final career change and a return to his California roots, the new position.
However, Howser stated clearly that he would only commit to five years employment
and then likely retire. In the beginning days of Howser in the firm, he did not change
anything but he more likely to observe the operations and get to know well with staff
in the firm. About six months in the firm, he become more outspoken and assertive
with the staff and started to change by establishes several new operational rules and
procedures. He began by changing the regular working time. He is very strict on the
new regulation implied. He does not care the staffs’ explanation and hurt them deeply.
Furthermore, he shortens the length of time that it took to receive payment for
services rendered to the firm’s clients. There are clients paid their bill in 30 days,
60days and even 120 days. Howser composed a strongly worded letter demanding for
immediate payment in full or else legal action might be taken on those who did not
respond. Although some payment were received soon after letter had been sent out but
there are more letters and calls to complaint about the letter receive especially the
customers, whom had been with the firm since its inception.
Howser is given a budget on advertising and promotion for purpose of
expanding client base as well. One of the paralegals suggested that he might need to
consult several attorneys who knew well about the local market to plan the
expenditure but he refused it and decided working alone because he says most
attorneys know nothing about marketing. Besides, Howser had weekly staff meeting
to try bringing all people together to form a team. Howser and most of the time
talking about successful management techniques proven in insurance industry ran the
meetings hour-long.
In enhancing community relations, Howser is very generous with many local
groups such as historical society, garden clubs, recreational sports programs and
others by issuing checks and authorized donations more than $25,000 in less than 6
months. He believes these will payoff well in the future to the firm. In controlling
cost, he reviewed each line item carefully. His intention is to increase revenues by
cutting down expenses. He reduces attorney’s budget for travel, meal, and
entertainment, which is considered unnecessary by Howser. Then, he proposed that
one of the two full time administrative assistant positions in each office should
changed to part timer with no benefit and also posting new rules regarding the use of
company assets.
After completion of first year of his tenure, he submitted a summary report to
the partners with what are required. The partners are impressed by his changes and
performance in his position. They think they have done the right thing by hiring
Howser as the general manager. But however, the firm previously that is high morale
has now waning and disgruntled employees often meet up. This has reduce the
employees performance severely.
For marketplace, the partners did not expect the drastic increases of new
clients and also did not expect to experienced shrinkage of existing client base. The
partners discussed with Howser regarding the situation and Howser told confidently
that it is a normal scene and in long term it has no doubt in achieving its entire goal.
In the end, the partners are considering the decision of creating a new position
and should they rely in Howser in his way of management. What they have started
seems like wise, logical and smooth sequence of events which has turn to become
crisis.