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What is still missing to close the gap between law firms and legal departments?

For more than two decades, corporate legal leaders have been telling their external counsel what they expect, yet the disconnect persists. Perhaps the problem lies less in the Law and more in how value is created and delivered
By Heidi Maldonado

Is it possible to narrow the expectation gap between legal departments and law firms?

I have been working in the legal market for over 25 years, and for as long as I can remember – at least the last two decades – I have heard about the misalignment between legal departments and law firms. While this issue has certainly existed for longer, two decades provide ample context for this article.

Since then, legal departments have evolved and grown alongside their companies, becoming more sophisticated and demanding in how they tackle legal and strategic challenges, whether through internal resources or external support. At least, that is what their representatives share with the market year after year through various channels, including the numerous, popular studies regularly published based on interviews with hundreds of general counsel and other legal leaders from companies of all sizes and locations.

Despite this wealth of feedback from the corporate world, setting aside the direct input received from clients in day-to-day interactions, the misalignment persists. The causes vary widely, but much like the “men are from Mars and women are from Venus” concept, I believe the issue stems from the fact that law firms belong to the realm of legal practices, whereas companies belong to specific market sectors or industries – and geographies, of course.

All signs point to this being the precise location of the gap: corporate legal leaders frequently cite a lack of strategic alignment between their external counsel and their business objectives. This clearly stems from a lack of understanding – whether intentional or not, and to varying degrees – of the company’s specific sector or market context and related aspects. It is no surprise, then, that managing partners at Brazilian law firms (and certainly those in other countries) make comments like the following:

  • “I want to have deep knowledge of the client’s business. Perhaps even know the client’s business better than they do themselves, so that we can add significant value.”
  • “Understanding the client’s business is what truly creates a competitive edge. That is where we make all the difference.”
  • “Each lawyer is encouraged to act as a business partner to our clients, gaining a deep understanding of their industries and needs.”
  • “Even though lawyers may be highly specialized in specific markets and industries, they must understand the client’s business.”

It remains to be seen to what extent these aspirations translate into practical reality (and one that is acceptable in the eyes of clients), but the fact is that the role of the general counsel is undergoing significant transformation within the corporate environment. The modern legal department is currently less focused on law for law’s sake and (much) more on law in service of the business. Its leadership has evolved to act as a blend of trusted advisor and growth enabler for the business, challenges for which any help is welcome – the gap persists but offers opportunities for those who know how to seize them.

In this landscape, corporate legal leaders want, more than ever, to trade the usual, ceaseless stream of generic communications for information that is tailored to their specific circumstances. Above all, business leaders seek to understand what is truly relevant, how it impacts their operations, including current and future plans, and what actions or reactions should be considered.

When clients do not receive what they are looking for, it is natural for them to reconsider their loyalty to long-standing law firms in favor of those that do deliver. Consequently, the processes for selecting and hiring external professional service providers are becoming increasingly complex and competitive. This is precisely why we can state that corporate clients have rebalanced their relationship with law firms and, in a sense, have taken the lead in that relationship.

Despite this disruptive context, there are certainly lawyers successfully building enduring relationships and business partnerships with the companies navigating this brave, inevitable new world. It was precisely to identify them that the DCM Insights team conducted the first market study on business development within professional services firms – including law firms, which represented the largest segment, it is worth noting. With nearly three thousand participants, all partners in their respective businesses, the findings were published preliminarily in 2023 in the Harvard Business Review and definitively in 2025 in the book The Activator Advantage: What Today’s Rainmakers Do Differently.

This pioneering initiative identified five distinct rainmaker profiles, including the Activator, the name given to the most successful of the five in generating business, an exceptionally distinctive, proactive and collaborative professional. These qualities, among many others, make this profile the one best aligned with the way corporate clients – in all their complexity, sophistication and high standards – seek, select and acquire professional services.

The Activator is, in essence, what we call a super-connector. Their network of contacts and priority relationships, established both in the market and within their own firm, is their greatest strategic asset – the platform through which they generate new business and which, invariably, demands constant attention and dedication.

This intentional building of a robust network also extends to events, whether hosted by the firm or by third parties. Regardless of the host, if an event is relevant, the Activator views it through a strategic lens, guided by clear business-generation objectives.

More than simply amassing connections, the Activator seeks to “activate” them regularly by sharing new insights and ideas – such as new ways to grow, cut costs or minimize risk – addressing issues that current and potential clients might have overlooked, forgotten or simply lacked the time to evaluate on their own. In this context, and whenever possible, they seek to involve other partners from their firm, an approach highly appreciated by clients.

In short, the Activator is a professional who strives to deliver value to current and potential clients by involving the right people, both inside and outside the firm. To achieve this, they consistently employ a cohesive set of behaviors, mindsets and habits that span the internal/personal and external realms – the firm, current clients, potential clients and the market at large. It is the interplay of these unique elements that fosters a more favorable environment and yields better results for everyone involved.

From the perspective of general counsel and corporate clients in general, several attitudes characteristic of Activators stand out:

Connection (behavior)

Business happens between people, each representing their organization’s interests as well as their own personal and career interests. For this reason, Activators prioritize establishing and maintaining connections both inside and outside the firm, with their partners, business leaders and other figures across the broader market who can contribute to their business and vice versa. What matters most here is the quality and potential depth of these connections, rather than mere quantity.

Value creation (behavior)

Having a network of potentially valuable contacts is highly beneficial, but investing in those contacts to maximize the chances of closing new business is even better. To this end, Activators focus on a select, manageable group of connections – roughly 20 to 30, depending on the situation – and work diligently to “activate” them by regularly creating and sharing value. It is worth noting that this can be business value and/or personal value, as the latter can foster the former in unimaginable ways.

Other-focused (mindset)

Since every company is made up of people and it is with them that we interact to develop opportunities, we must have genuine empathy for the company representatives sitting across the table. Above all, they are human beings with a wide range of personal and professional interests. Guided by this logic, Activators seek to gain a deep understanding of the broader business context of every current or prospective client they interact with. They also aim to learn about the individuals within those companies, including their career goals, particularly regarding their current roles.

Stakeholder management (habit)

Taking contact management a step further, Activators recognize that a major risk regarding long-standing, financially significant clients is relying on a single point of contact – usually someone in a leadership role. That person could suddenly be let go or simply leave the company, creating a relationship void that could negatively impact business continuity. To avoid this and other unfavorable situations, Activators seek to develop contacts with multiple representatives from the same company, professionals with varying roles and levels of influence over the hiring of external service providers.

Relationship development (habit)

Since merely establishing connections within a company does not guarantee successful business outcomes, it is necessary to cultivate them effectively, transforming them into mutually beneficial relationships. In this context, and bearing in mind the previously mentioned prioritization concepts, Activators aim to create and circulate value – aligned with the company’s business and/or the needs of its representatives – as part of the process of turning initial (or superficial) contacts into genuine (and deep) relationships and, consequently, identifying potential opportunities and, whenever possible, converting them into concrete business deals.

Insight development (habit)

Another way to create value for clients lies in developing distinctive insights, a demanding activity requiring surgical focus. To this end, Activators seek to create and share insights that resonate with their recipients – whether broad (applicable to a market sector, for instance) or specific (tailored to a particular client) – thereby fostering a healthy dialogue between the issues clients are currently considering and those they should be considering, among other perspectives.

I could certainly share much more about Activators, but I believe the ideas above are more than sufficient to spark a set of relevant reflections, reflections that, in turn, lead to actions better aligned with the expectations of corporate clients.

The Activator is arguably the most successful professional profile before the corporate market today and the good news is that any lawyer can benefit from following this path, even the most seasoned practitioners with years of partnership under their belts. If we accept that what got you here won’t necessarily take you where you need to go next, why not incorporate some Activator attitudes into your business development practices and bridge the corporate client expectation gap?


 

Marco Antonio Gonçalves is founding partner of Betwixt Conhecimento & Consultoria and Managing Director of DCM Insights for Brazil and Latin America

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