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Automate, Outsource, or Own?
Data driven resourcing decisions for the modern legal team
Introducing Brightflag
PRICING
ANALYTICS
Sample customers:
Brightflag is a platform for legal operations addressing the needs of modern legal teams.
E-BILLING
INVOICE REVIEW
REPORTING
Strategic Management of Legal
• Regular Matter Updates
• Invoice Review
• Budget Recalibration
Active Management
• Resourcing Decision
• Choose Firm
• Agree Scope
• Agree Pricing
Matter Inception
• Resourcing / Pricing
• Financial Reporting
• Vendor Choice
• Panel Selection
Analyze Data
The Data Feedback Loop
LegalTeams:
40%Law Firms:
60%
Traditional Resourcing Mix
Efficient Legal Resourcing
In House Counsel
ALSPs / LPOs
Automated
Law Firms
• Highly repetitive and low complexity
work
• High importance or niche practice areas which
firms have expertise in
• High importance or core legal matters
• Low impact an low risk work
Change in Resourcing Mix
In House Counsel
ALSPs / LPOs
Automated
Law Firms
26% compound annual
growth rate for Legal Process
Outsourcing
Source: Deloitte,The resurgence of corporate legal process outsourcing
In House Counsel
ALSPs / LPOs
Automated
Law Firms
• 57% say outsourcing enables
focus on core business
• What are the trends for in
house work with risingALSPs
& LPOs?
Impact on In House Legal Work
Source: Deloitte 2016 GlobalOutsourcing
Factors In Your Resourcing Decision
Team Capacity &
Geography
Complexity ofWork
RiskAssessment
Budget
Strategic Importance
of work
How do you think about weighting factors when deciding to resource legal work?
Managing Outside Counsel
Source: Stout, www.stout.com
Are these metrics you would use for
performance review or benchmarking?
• Hourly rates by matter type, timekeeper,
and region
• Staffing leverage and efficiency ratios
• Matter and portfolio level budget to
actuals
• Percent of invoice adjustments
• Percent of spend that is AFAs
• Qualitative law firm performance ratings
Are comparative reports useful?
Relationships In Outsourcing
Source: Deloitte 2016 GlobalOutsourcing
89% leverage their current provider(s)
always or sometimes for additional
services when outsourcing.
70%
19%
11%
Sometimes Always Do not
Alternative Fee Arrangements
77%
53%
42%
21%
25%
67%
52%
44%
27%
26%
0% 20% 40% 60% 80% 100%
Fixed Fee
Capped Fee
Blended Rate
Performance / Rewards
Contingent
2016 2017
Source: 2017 LitigationTrendsAnnual Survey, Norton Rose Fulbright
Most Commonly Used AFAs
37%
57%
1%
6%
Increase Stay The Same Decrease Don't Know
AFA Usage Going Forward
Will The Resourcing Mix Change In 5 Years?
LegalTeam
Law Firms
?In House
Counsel
ALSPs / LPOs
Automated
Law
Firms
Building Your In House Team With Data
• Regular Matter Updates
• Invoice Review
• Budget Recalibration
Active Management
• Resourcing Decision
• Choose Firm
• Agree Scope
• Agree Pricing
Matter Inception
• Resourcing / Pricing
• Financial Reporting
• Vendor Choice
• Panel Selection
Analyze Data
The Data Feedback Loop
What Should We Automate?
In House Counsel
ALSPs / LPOs
Automated
Law Firms
22% of work carried out by
lawyers could be automated
Source: McKinsey Global Institute, 2017
Thank You
Any Further Questions?

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Chicago Event 2019 - PowerPoint

  • 1. Automate, Outsource, or Own? Data driven resourcing decisions for the modern legal team
  • 2. Introducing Brightflag PRICING ANALYTICS Sample customers: Brightflag is a platform for legal operations addressing the needs of modern legal teams. E-BILLING INVOICE REVIEW REPORTING
  • 3. Strategic Management of Legal • Regular Matter Updates • Invoice Review • Budget Recalibration Active Management • Resourcing Decision • Choose Firm • Agree Scope • Agree Pricing Matter Inception • Resourcing / Pricing • Financial Reporting • Vendor Choice • Panel Selection Analyze Data The Data Feedback Loop
  • 5. Efficient Legal Resourcing In House Counsel ALSPs / LPOs Automated Law Firms • Highly repetitive and low complexity work • High importance or niche practice areas which firms have expertise in • High importance or core legal matters • Low impact an low risk work
  • 6. Change in Resourcing Mix In House Counsel ALSPs / LPOs Automated Law Firms 26% compound annual growth rate for Legal Process Outsourcing Source: Deloitte,The resurgence of corporate legal process outsourcing
  • 7. In House Counsel ALSPs / LPOs Automated Law Firms • 57% say outsourcing enables focus on core business • What are the trends for in house work with risingALSPs & LPOs? Impact on In House Legal Work Source: Deloitte 2016 GlobalOutsourcing
  • 8. Factors In Your Resourcing Decision Team Capacity & Geography Complexity ofWork RiskAssessment Budget Strategic Importance of work How do you think about weighting factors when deciding to resource legal work?
  • 9. Managing Outside Counsel Source: Stout, www.stout.com Are these metrics you would use for performance review or benchmarking? • Hourly rates by matter type, timekeeper, and region • Staffing leverage and efficiency ratios • Matter and portfolio level budget to actuals • Percent of invoice adjustments • Percent of spend that is AFAs • Qualitative law firm performance ratings Are comparative reports useful?
  • 10. Relationships In Outsourcing Source: Deloitte 2016 GlobalOutsourcing 89% leverage their current provider(s) always or sometimes for additional services when outsourcing. 70% 19% 11% Sometimes Always Do not
  • 11. Alternative Fee Arrangements 77% 53% 42% 21% 25% 67% 52% 44% 27% 26% 0% 20% 40% 60% 80% 100% Fixed Fee Capped Fee Blended Rate Performance / Rewards Contingent 2016 2017 Source: 2017 LitigationTrendsAnnual Survey, Norton Rose Fulbright Most Commonly Used AFAs 37% 57% 1% 6% Increase Stay The Same Decrease Don't Know AFA Usage Going Forward
  • 12. Will The Resourcing Mix Change In 5 Years? LegalTeam Law Firms ?In House Counsel ALSPs / LPOs Automated Law Firms
  • 13. Building Your In House Team With Data • Regular Matter Updates • Invoice Review • Budget Recalibration Active Management • Resourcing Decision • Choose Firm • Agree Scope • Agree Pricing Matter Inception • Resourcing / Pricing • Financial Reporting • Vendor Choice • Panel Selection Analyze Data The Data Feedback Loop
  • 14. What Should We Automate? In House Counsel ALSPs / LPOs Automated Law Firms 22% of work carried out by lawyers could be automated Source: McKinsey Global Institute, 2017
  • 15. Thank You Any Further Questions?