As noted in Part 1 of this two-part series on strategies for leaner legal departments, when it comes to thriving under limited budgets and high expectations, it’s imperative for in-house legal departments to maximize their internal efficiency and resourcefulness. But streamlining inside operations is just one area that law departments must focus on to flourish while doing more with less. In this second part of our series, experts highlight the external aspect of the equation.
It’s no secret that working with law firms is expensive. According to the Fifth Annual Law Department Operations Survey, which InsideCounsel and Blickstein Group recently published in cooperation with Huron Legal, 70 percent of law department operations managers say their companies spend more than $10 million annually on outside counsel costs in the U.S.
Legal departments can also trim external costs—and possibly get higher-quality results—by shifting certain work from law firms to alternative service providers, such as legal process outsourcers (LPOs). These providers can complete a variety of legal tasks, including document review and contract management.