Kenneth A. Grady Lean Law Evangelist, Seyfarth Shaw LLP Adjunct Professor, MSU College of The Evolution of the Practice of Law

2 Individuals Small Private Businesses Large Private Businesses Publicly Held but not Fortune 500 Fortune million 6 million 33,000 6, US Legal Market Segmentation Sources: William D. Henderson; The American Lawyer About 40,000 clients account for roughly $137.5 billion in legal fees. AmLaw 100 firms capture about $81 billion.

3 Source: Lawyer Metrics Percentage of NLJ 250 lawyers with the title Associate or Partner. Law Firm Re-leveraging

Source: Lawyer Metrics NLJ 250 law firms. Lawyer Stratification 4

Legal Market Outlook Relative Rates Growth Prospects PremiumRoutine Source: BTI Consulting Group 1 Real Estate 2 Environmental 3 Employment 4 Corporate 5 IP 6 Tax 7 Investigations 8 Regulatory 9 Bankruptcy 10 Restructuring 11 Media & Technology 12 Litigation 13 Securities 14 M&A 15 IP Litigation 16 Cybersecurity & Data Privacy 17 Class Actions 18 Bet-the-Company Litigation Higher Negative OPPORTUNISTIC PRACTICES PRIORITY PRACTICESTACTICAL PRACTICES CORNERSTONE PRACTICES

6 Partner Lateral Movement Source: Kinney Recruiting Litigation, Government Practice, Healthcare Bank finance, Environmental Law Chicago, Los Angeles, Washington D.C. San Francisco, Dallas, Atlanta “More than 75 percent of the largest U.S. law firms have hired 10 or more lateral partners over the last five years.”

7 Service Provider Concentration Source: LexisNexis Enterprise Legal Management 2014 Mid-Year Report 54% of companies in the data pool have 10 firms or fewer accounting for at least 80% of outside counsel fees

AmLaw 200 Firms Categorization 6 STRAGGLER S 164 AVERAGE JOES 24 PREMIUM 6 MEGA-FIRMS Source: The American Lawyer; Seyfarth Shaw LLP 8

Ken Grady has been recognized by the Financial Times for “chang[ing] the rules of engagement with external advisors.” He is Lean Law Evangelist for Seyfarth Shaw LLP, an Adjunct Professor at Michigan State University College of Law, and the former CEO of SeyfarthLean Consulting, LLC. As CEO of SeyfarthLean Consulting he helped clients better understand how technological, social and business forces are creating disruption in traditional service industries and worked with them to develop and implement solutions to take advantage of untapped opportunities. He was named to the Fastcase 50 which “recognizes 50 of the smartest, most courageous innovators, techies, visionaries, and leaders in the law.” As a general counsel and senior executive, Mr. Grady guided corporations through growth spurts, turnarounds, and transformational development. He has two decades of experience leading corporate lean innovation and transformation, and 35 years of experience in the legal industry including being a partner in an AmLaw 30 law firm. He received his lean training in Japan where his sensei was a pioneer of the Toyota Production System and member of the original Toyota Autonomous Study Group. Mr. Grady has delivered keynote presentations to corporations, associations, and professional organizations worldwide. He is acknowledged for tailoring his keynote presentations to each individual audience as he addresses relevant trends and offers practical guidance for turning opportunities into competitive advantages. He also leads workshops and seminars for organizations of all types, and has taught classes at leading universities. He is a well-known blogger on the topics of innovation, change and simplification. Mr. Grady has been quoted or profiled in many publications, including The Wall Street Journal, Crain's, Financial Times, The American Lawyer, and Corporate Counsel. He is a former Director on the Board of the Association of Corporate Counsel, and was a member of its Advocacy and Value Challenge Kenneth A. Grady Lean Law Evangelist Seyfarth Shaw LLP 131 S. Dearborn Street Chicago, Illinois