Orellium Future Strategy 03 Is the Billable Hour dead?
Mar 4, 2024
34:44
After generations, has the Billable Hour finally met its match?
In this episode we discuss one of the most debated topics in the Professional Service Sector - the Billable Hour. For generations, the Billable Hour has dictated and underpinned the PSF commercial model. No element of the commercial model has more influence than the Billable Hour.
With the advent of very visible, technology driven, efficiencies, can the Billable Hour survive as the principle method for pricing services? Can Professional Service Firms change the model without severe adverse impacts - particularly if they have significant, long-term, fixed cost bases?
We explore some options available to PSFs and why we don't believe any PSF can delay starting to explore alternative pricing and commercial models. PSF partners and leaders can see what is coming. They should not miscalculate the time they have to start adapting or the amount of time they have to do so.
Based in London, with a global reach, Orellium Advisory Services offers pragmatic advice to professional firms, legal departments, and forward-looking companies. We ensure clarity of purpose and precision in practice.
Rob Otty, CEO, is a seasoned leader known for his direct, collaborative style. He was a former CEO of Norton Rose Fulbright South Africa, and subsequently Global COO and CFO of Norton Rose Fulbright. Since 2014, Rob has written and commented on the emerging opportunities and challenges of AI in the legal sector. He excels in managing global projects and portfolios, with expertise in technology integration and organizational design.
Jonathan Otty, Chief Strategy Officer, blends outcomes-based planning with creative flair. Transitioning from academia to professional services, he's committed to future-proofing the sector through innovation and unconventional thinking. Whether strategizing for business or scaling mountain peaks, Jonathan brings vibrant colour to the grey. LinkedIn · Website · Connect with Robert on LinkedIn · Connect with Jonathan on LinkedIn
In this episode we discuss one of the most debated topics in the Professional Service Sector - the Billable Hour. For generations, the Billable Hour has dictated and underpinned the PSF commercial model. No element of the commercial model has more influence than the Billable Hour.
With the advent of very visible, technology driven, efficiencies, can the Billable Hour survive as the principle method for pricing services? Can Professional Service Firms change the model without severe adverse impacts - particularly if they have significant, long-term, fixed cost bases?
We explore some options available to PSFs and why we don't believe any PSF can delay starting to explore alternative pricing and commercial models. PSF partners and leaders can see what is coming. They should not miscalculate the time they have to start adapting or the amount of time they have to do so.
Based in London, with a global reach, Orellium Advisory Services offers pragmatic advice to professional firms, legal departments, and forward-looking companies. We ensure clarity of purpose and precision in practice.
Rob Otty, CEO, is a seasoned leader known for his direct, collaborative style. He was a former CEO of Norton Rose Fulbright South Africa, and subsequently Global COO and CFO of Norton Rose Fulbright. Since 2014, Rob has written and commented on the emerging opportunities and challenges of AI in the legal sector. He excels in managing global projects and portfolios, with expertise in technology integration and organizational design.
Jonathan Otty, Chief Strategy Officer, blends outcomes-based planning with creative flair. Transitioning from academia to professional services, he's committed to future-proofing the sector through innovation and unconventional thinking. Whether strategizing for business or scaling mountain peaks, Jonathan brings vibrant colour to the grey. LinkedIn · Website · Connect with Robert on LinkedIn · Connect with Jonathan on LinkedIn