According to a study by Heidi K. Gardner, a thought leader in professional services, and Anusia Gillespie, a brilliant innovator, integration is essential for success. With 47% of lateral partners leaving their new firms within 5 years, it’s important to pay attention.
Firms bring on lateral partners with high hopes—for new clients, expanded practices, and fresh energy. But almost half are gone within a few years. From my work, here are some things that firms can do to turn that revolving door into a long-term investment:
1. Set Clear Expectations
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Have honest conversations before the offer is signed—about conflicts, compensation, and origination credit.
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Many laterals think they’re joining a cross-selling culture, only to land in an eat-what-you-kill environment.
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That disconnect repels people away.
2. Integration
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Make integration personal.
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Provide dedicated administrative support and assign real partners to guide the new hire, make introductions, and answer questions in a structured and organized way.
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If you plan to grow by continually adding laterals, it’s important to have a dedicated professional resource (aka talented staff) to make this work.
3. Support Business Development
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Help laterals grow their practices with internal support or an external coach.
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Concrete plans with SMART goals and clear targets make a real difference.
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Ensure that practice and firm leaders champion these practices.
4. Firm Culture
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Don’t just talk about culture—live it.
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Involve new partners early in client work or committee roles so they build relationships and feel included from the start.
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Provide them support to market themselves internally to their partners.
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Collegiality and collaboration are great words on a website, but unless they are put into place, they don’t count.
What’s worked best for your firm when it comes to lateral integration?
