What does it take to be truly national? Piper Alderman managing partner Gordon Grieve thinks his firm has the key.
Gordon Grieve does not always know how to pick a winner. Grieve is a loyal supporter of rugby league's North Queensland Cowboys, currently the bottom-placed team in the league. "I grew up in North Queensland and it's all rugby league up there," he says apologetically.
Fortunately, Piper Alderman is faring somewhat better than the NRL's cellar dwellers. Indeed, in the current environment of mid-tier expansions, Piper Alderman's growth from its Adelaide roots to its current national status is one worth noting.
The growth of Piper Alderman's litigation practice mirrors the firm's own evolution from a respected but somewhat limited Adelaide firm to a national player. In the 1980s boom, South Australia was home to high-flying corporations such as the now notorious Bond Corporation.
The state was hit particularly hard by the 1987 sharemarket collapse and the 1989 property market collapse. "Back in those days, you had to commence proceedings in the state where a company was incorporated, so South Australia ended up with massive litigation which ran through most of the 1990s," says Grieve. "So South Australian firms with a strong litigation practice did well out of that era; our firm grew significantly on the back of that period."
When the firm opened a Sydney office in 1998, it retained that emphasis on litigation. "The vast proportion of commercial litigation still happens in Sydney," says Grieve. The Sydney office has subsequently grown from three lawyers in 1998 to over 60 at present.
As with Piper Alderman's other expansion offices, it has been a case of organic growth rather than growth by acquisition. While the firm does not rule out acquiring smaller firms of about three partners or less, it is restrained in this area by concerns that such expansion might dilute the firm culture or diminish the prospects of internal promotions.
The Sydney expansion was followed up with a new Melbourne office in 2000 and a Brisbane office in 2004. "Part of the growth strategy was looking into how we could get more work from our existing clients in new jurisdictions, and of course we also brought new clients on board," says Grieve. "I'd say the growth was split about 50:50 between those sources."
The firm, for example, has a 60-year relationship with BHP which evolved as it picked up dust diseases work in new jurisdictions.
The missing piece in the expansion puzzle, as Grieve freely acknowledges, is undoubtedly Perth. "Our expansion priorities are to open a Perth office and to expand Brisbane," says Grieve. The firm already has Perth clients on board, including engineering firm Neptune Marine and gold miner Newmont Mining.
As for the immediate future, Grieve sees a silver lining in the clouds brewing over the Australian economy. "Property and general corporate work may slow, but litigation work will increase," he says.
Truly national
The point of distinction between Piper Alderman and its rivals, says Grieve, is what he describes as the "truly national" aspect of the firm. "How many of the big [six] firms have partners in, say, Adelaide?" he asks rhetorically. "If you're a partner at Piper Alderman, you see the business in terms of the whole firm, and not just one city. The same goes for our marketing, HR or business development people."
It is an interesting point. Rather than starting from a Sydney or Melbourne base and expanding into smaller markets, Piper Alderman has expanded in reverse order and is less prone to criticism of being an east-coast-centric practice. There might also be cost savings, too. The firm does all of its word processing and day-to-day accounting out of Adelaide, traditionally a less-tight employment market.
A result of the "truly national" firm culture is that lawyers make themselves available to travel to, say, Perth to visit clients, and expertise is not wedded to one particular office. It is a boon to those who like the occasional change of scene but, as Grieve ruefully admits, it can take a personal toll. "I'm lucky to have an understanding wife," he laughs.
There is an interesting moment when ALB asks Grieve about his most prized accomplishment at Piper Alderman. "The Beach Petroleum case," he says without hesitation. That case, started in 1991 and still in progress, is noteworthy, but it is an unexpected answer from a managing partner who has an array of other achievements to draw upon, including the establishment of the Sydney office and seeing 13% growth last year.
It is an answer which says a lot about Grieve's style of management and his continued engagement with the practice side of things. "I still spend about half my time on practice," he says. "Doing the work is a way of keeping my feet on the ground."
When asked whether he prefers the management work or the practice work, he tactfully explains that both are tremendously rewarding.
However, there is no mistaking the gleam in his eye when he expounds on Beach Petroleum. "It was an incredibly complex case which took us all over the world," he says. "If I could get another case like that one, I'd be right out of management and straight into the case." He's joking, of course. Or, at least, half joking.
Grieve's first job was picking watermelons in North Queensland. He soon changed to a different type of field - studying law at the University of Queensland. He then made the move to South Australia, where he held a number of key roles in corporate regulation and prudential regulation.
The management experience he gained in the public service was to serve him well in his current role. "The challenges of managing people in the public service and managing people in a law firm are the same," he says. "It's all about getting the best out of the people around you. It's about being consultative and knowing what's going on in the firm."
But Grieve admits that the law firm environment suits him better than the public service: "There's more scope to reward people financially for good performance, and a lot more flexibility." ALB
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Fast facts: Piper Alderman
- Full-service, commercial firm with offices in Sydney, Melbourne, Brisbane and Adelaide
- 53 partners and approximately 150 lawyers
- Formed in 1988 through merger of Adelaide law firms Aldermans and Piper Bakewell & Piper
- Key clients include ANZ, BHP, Holden, Telstra
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