How Offshore Legal Process Outsourcing Ensures Law Firms Market Growth?

Offshore Legal Process Outsourcing

“I want to attract more clients”- Dream of every business owner. And the ultimate solution to excel in the market is “Offer quality service to clients at a much cheaper price”.

Even legal industry has the same goal and strategy to acquire more clients. But why they are still lagging behind? In a field where competency is essential, legal firms and other business entities often have intricacy meeting that certain demand due to shooting rates of legal professionals. As consumers keep on scaling down the prices, legal firms are also looking for strategic options that would help them to squirrel their money, while ensuring that the quality of their work is either sustained or enhanced.

As the end result, many law firms explored the benefits of offshoring some of their legal tasks to legal process outsourcing (LPO) service provider.

How is Legal Offshore Outsourcing Affecting the Legal Market?

The LPO market is experiencing a proliferation growth in the market due to a cumulative need for law firms to standardize their services while keeping their expenses to a minimum. In 2015, the global legal process outsourcing market was valued at $2.35 billion and The Asia Pacific Regional legal process outsourcing market accounted for over 65% share in 2015. According to the recent research cited by Grand View Research Inc, a consulting firm reported that “By 2024 LPO industry will grow up to $27.19 billion”.

There are many services provided by LPO companies of which e-discovery, a legal service primarily involves document review earned largest revenue share of over 24.5% in 2015.

In What Terms LPO Contributes to the Market Growth of Legal Firms?

Faith and positive metaphor of the firm are the greatest factors to acquire, attract and retain both new and existing clients. Legal matters are very delicate as the data shared by the clients should be handled carefully with safety by the legal institutions. Moreover, clients choose a trustworthy lawyer and handover their case. In such scenarios, LPO offshoring help law firms in providing quality service by increasing their productivity and operational efficiency. As it enables them to focus on their core legal aspects and fulfill their client’s demand. The legal professionals are afraid of losing their jobs, as in 2015, 79,000 legal jobs based in U.S were estimated to move offshore.

LPO offshore firms have highly qualified professionals that vigorously work as per requirement, thereby enabling law firms to focus more on understanding the case of the clients and improving relationships with them.

Is Offshoring a Viable Option?

Offshoring is defined as “The moving of various operations of a company to another country for reasons such as lower labor costs or more favorable economic conditions in that other country”. India, Philippines, and China are the main hubs that provide outsourcing services to various industries across the world that too at cost-effective prices.

It’s been years now, many law firms prefer outsourcing services to streamline their non-core legal process, but still, some of the legal firms hesitate to do so. As they misbelief that getting jobs done outside their own country can be risky with concern to confidentiality and security of data, the difference in legal systems and regulatory policies, and different languages being used. They consider onshoring or nearshoring is still a better choice.

Since it doesn’t pare the cost as wages of those service providers is similar to the in-house team. This means that onshoring is a productive option as they only give law firms time to manage their core aspects but doesn’t help them to reduce their costs. On the other hand, offshoring helps you in every aspect of saving money to improving the relationship with your clients.

Pros and Cons of Legal Outsourcing

As every rose has thorns, in the same way, there are advantages and few disadvantages of offshoring legal services.

Let’s start with the pros:

  • Cost saving– In America and European countries hiring a professional paralegal or litigator to perform certain legal tasks, with respect to their field of knowledge costs a lot more as compared to the lawyers of India. This enables law firms to offshore their legal tasks that too an affordable cost, which helps them to increase profit margins and improve business efficiency.
  • Available 24/7– By offshoring, you can gain the advantage of different time zones. For example, if you are outsourcing to India; your night is India’s day, so you can get round the clock services for your outsourced tasks and stay ahead of your competitors.
  • Better focus on core business tasks– With offshoring legal services, you can easily focus on your core operations including understanding the case, meeting with clients, going for trails in the court and a lot more.

Here are few cons:

  • Data breaches due to poor confidentiality– Law firms are very much concerned about their client’s data and at any cost, they don’t want to lose their clients trust in their firm. This often stops them from outsourcing legal work, however, LPO providers are compiled with strict regulation when it comes to confidentiality of client information. Before outsourcing, you should go through their privacy policy norms.
  • Cultural obstacles– Offshoring work to international market leads to cultural and language barriers that could affect communication between onshore and offshore teams.
  • Hidden costs– Most of the time, law firms face hidden cost difficult while outsourcing including employee turnover, quality control, vendor profit margins, or rising operating costs. You should ask your provider to provide you with a detailed list of their costs for your awareness.

But choosing that one reliable partner is essential from so many options available in the market. Be strong with your decision and keep all the aspect in mind before offshoring with LPO Company.

If you are looking for a reliable LPO firm in India, then look no further than Legal Support World. It is one of the leading legal process outsourcing firm helping lawyers and law firms across the world, with their reliable legal services. For more info contact us at or call at (646)688-2821.