Last February (on Valentine’s Day as it happened and after sitting on it for nearly a year) I published an analysis of the situation of LexisNexis products after its acquisition of Time Matters, PCLaw, Juris and other companies, with a more generalized followup a few days later. How has this analysis held up and what is the current status of TM, PCLaw and the Certified Independent Consultant program?
While I am no longer “in the loop” as a Certified Independent Consultant, the consultant world is a small one and word gets around, so I have continued to monitor the situation as best I can.
First, virtually all senior management with any in-depth knowledge of either product have been dismissed. New managers have been brought in. Since LexisNexis is essentially in the business of selling books and on-line research materials, it is fair to say that you now have software divisions within LexisNexis that are being run by book salesmen. This is not a recipe for success.
One of the fundamental differences between the books and software is that LexisNexis views its research services (books) as fungible. So if a user switches from Lexis to West, they can always drop the price or offer other perks next year to get the user to switch back. Software, however, does not work like this because firms have a huge investment in their historical data (which in many cases is convertible to another program only with great difficulty). Switching from one program to another is a major undertaking, and firms are not likely just to “switch back.”
In addition, while the PCLaw programming staff is intact, LN disbanded the entire second-level support team and forced only a few of them to reapply for employment individually. Not a recipe for good employee morale! At Time Matters, which had had a stable programming core for 8-10 years, half the programmers have quit, which may explain why the service releases for Version 9 have been introducing new bugs and TM 9 still has some major bugs – in particular related records not updating correctly under certain circumstances. The loss of programmers at TM represents a tremendous loss of accumulated program knowledge and may indicate that Time Matters may actually not be capable of fixing the various bugs (even if it was motivated to), not to mention bringing out a new version.
After numerous consultants complained about the negative effects of yearly releases, LexisNexis apparently held some focus groups and got an earful about yearly releases as well as the cost of annual upgrades. So bingo, there will be no version 10 release of Time Matters or PCLaw this year. Marketing rules! Instead, they will focus (hopefully) on fixing bugs and improving the link between TM and PCLaw.
As far as consultants are concerned, Charlie Rogers, who was in charge of the consultant program, has been kicked upstairs into the position of product “champion” with in the Lexis Nexis Total Practice Advantage program. Many large companies have “champions” or “evangelists” for smaller divisions – Microsoft for one had a “legal evangelist” for many years. While I obviously can’t speak for LN, these are typically dead-end position with no real influence or decision-making powers. Such a position is probably alternatively preaching to the choir or preaching in the wilderness: either way it doesn’t amount to much.
Consultants meanwhile, have been assimilated to the LN sales process. They no longer get any real commissions on sales of products. Sales reps are “supposed” to use consultants to help them present the products. However, since sales reps get compensated ONLY for new sales and not for repeat sales or ongoing relationships, they have no incentive to do this and with perhaps a few exceptions this program has been a total bust. The very structure of the sales program ensures this – it is not a matter of good will. When I worked for a major consulting company there was a rule that the sales guys could not visit potential client without taking a techie (read: CIC) with him. Otherwise the sales guys would inevitably make promises that could not be kept/delivered. There are many reports of this happening with the LN reps.
My guess is that within 3 years the current CIC consultants program will no longer exist, at least not in a currently recognizable form. Already the CIC listserv has been forced to relax its censorship concerning problems with the program somewhat and Bob Fleming’s Elderlaw TM listserv has rebounded – Tom Rowe has even felt compelled to put in an appearance!
This is all very interesting, you may say, but what does it mean concretely? Should I upgrade? Switch? More on that to come.