There’s gold in alumni networks. It comes in the form of very real benefits to law firms and other professional services like management consulting and accounting. The following are probably the most desirable advantages:

Recruiting – When you are competing for talent, an active alumni network can be an advantage that helps tip the scale in your firm’s favor. In today’s economy and work environment, employment is not the long-term commitment or guarantee it once was, making alumni networks more attractive.

Staff Referrals – Alumni can be good referral sources to help you fill openings or gaps in skill sets or experience, not to mention the alumnus him/herself return to the firm.

Business Development – Alumni networks facilitate word-of-mouth marketing, which most law firms and other professional services rely upon for business development. It’s true that people who go to competing firms are not likely to share new business leads. Yet alumni also move on to friendly firms or ‘enemy of my enemy’ situations. Some alums jump to the client side, taking general counsel or other positions at companies that could be potential new clients. Time passes and water flows under the bridge (assuming the bridge wasn’t completely burned down) and alumni networks help keep those metaphorical bridges in good condition.

Strategic Partnerships – Even if alumni cannot or would not hand over a new client lead, they are capable of recognizing ideal opportunities to work together on a client matter or to form an alliance based on complementary services and practice areas.

Other less tangible advantages include brand-building and goodwill. Alumni networks can pay for themselves many times over the effort it takes to build and leverage them. As for additional work, you don’t need to create, fund and staff a new alumni department. Much of it can be automated through your HR system or contact management system and facilitated by capturing alumni information when they are hired.