Pinsent Masons unveils FY20 results and reports on its transition to becoming a purpose-led business
Multinational firm Pinsent Masons has reported its FY20 results against four new headline benchmark metrics signalling a step change for the business following the launch of its refreshed strategy.
The firm’s strategy to become a purpose-led professional services business with law at the core was unveiled in autumn 2019. Following its launch the firm, which employs 500 staff in Glasgow, Edinburgh and Aberdeen, committed to using new metrics to measure progress.
Managing partner at Pinsent Masons, John Cleland, said: “Our refreshed strategy commits us to measure and communicate performance and progress by reference to metrics that reflect our purpose and measure our impact on our colleagues, clients and communities. This means measuring – and valuing – much more than just revenue and PEP. We’ve chosen four headline metrics that we believe will hallmark our progress and at the same time be meaningful for colleagues, clients and a wide set of stakeholders.
“The pandemic has accelerated a cultural and behavioural shift across the business community. We run the risk of alienating clients and future recruits by judging success primarily by reference to turnover and equity pay. Those are probably the two metrics our current and future stakeholders care about the least. It’s time to start the process by which we change that.”
|Strategic metric||Progress and key stats|
|Our colleagues trust us and advocate for us||– A firmwide employee engagement survey found that the firm has an employee net promoter score of +35.
– Top five inclusive employer ranked by LGBT charity Stonewall in its Workplace Equality Index
– Launch of the firm’s Spark Board – a body comprised of junior members of the firm’s fee earning and business operations teams that works alongside the firm’s global board aimed at providing diversity of thought at a strategic level
|Our clients trust us and advocate for us||Interviews of 367 clients during 2019 carried out by independent research company Acuigen found that:
– 94% of clients would recommend the firm.
– 92% of clients ‘extremely’ or ‘very satisfied’ with the standards of service
– 92% of clients ‘extremely’ or ‘very satisfied’ with the quality of advice
– 96% of clients impressed by the commerciality of the firm’s approach.
|Our business works better for the communities within which we operate||– 30% reduction in energy consumption across the UK network since 2014 – beating 2020 target of 20%. The firm reduced energy consumption per occupied square foot by 12%
– Transitioned to acquire 100% renewable electricity for all UK offices
– Through its commitment to Inspiring Young Lives and long-term partnerships with charities, schools and volunteering programmes, the firm has helped to make a difference to over 28,000 children and young people in FY20.
|Purpose-led business growth||– Revenue: £495.9m, an increase of 4% this year.
– Profit per equity partner: £546k
– The firm strengthened its position as a professional services business with law at the core with the acquisition of freelance legal services business Xenia and legal services business Xenion and launched its D&I consultancy Brook Graham in Asia.
“From a financial perspective, I would characterise FY20 as satisfactory given the disruption in a number of our markets; whether that be Brexit and political turmoil in the UK, protests in Hong Kong, US/China trade wars, US/Iran tensions impacting the Middle East or bushfires in Australia,” Cleland commented.
Katharine Hardie, Chair of Scotland and Northern Ireland, said: “The year ahead will present challenges the like of which we have not seen before. Despite obvious headwinds brought about by Covid-19, we’re encouraged by the momentum we’ve found going into the new financial year.
“In Scotland, landmark deals in the past year led by our teams in Glasgow and Aberdeen, have included Ithaca Energy’s $2 billion acquisition of Chevron North Sea and the sale of football club Hibernian FC to US businessman Ron Gordon. Our Edinburgh office played a pivotal role in advising Winchburgh Developments on a first-in-kind private equity and public sector investment into a £1 billion housing development, for which the team was awarded Property Team of the Year at Legal Week’s UK legal awards. The project will deliver one of the largest, most complex and ambitious place making projects in the UK.
“We firmly believe that if we continue to do business in the right way and for the right reasons, our business will come through this year strong, united and better than before.”