Tag Archives: document management

legal process outsourcing

Legal Process Outsourcing Seen As a Permanent Trend in Legal Industry

Outsourcing of specific services is a trend that has swamped nearly all major sectors of trade and commerce. The obvious benefits are being cashed in, so much so that outsourced services are almost running in tandem with mainstream services. However, it took a while for the legal sector to really imbibe the full benefits, though legal outsourcing has its roots in the 1950s when the patent process was all that was outsourced. The first hesitant steps of LPO (Legal Process Outsourcing) were seen in the United States, Canada, Israel, the Philippines and India but legal process outsourcing became a permanent trend in the legal industry just after the global crisis when law firms faced a survival battle. Cost cutting became the need of the hour and what better way than to outsource selected legal services.

Even though LPO is here to stay there is a subtle difference between industries. While in such sectors as tax preparation and insurance whole chunks of activities are outsourced, in the legal sector a lot depends on whether the outsourcing is within the country or offshore. This is because basic legal work has two very important factors – research, preparation and writing of briefs and documentation on one hand and court appearances on the other. Hence, if the outsourced company is within the country comprehensive services can be delegated and legal luminaries of the parent law firm can focus exclusively on client interaction and new business. But if the outsourcing is to an offshore agency, the physical job of presenting the case in court has to be in the control of the law firm.

What then are the main areas of legal outsourcing services that have made outsourcing a permanent trend in the legal industry?

Dealing with extra work – The legal industry witnessed an exponential growth of business, especially after the global recession and melt down in recent times when even countries felt the heat. There was a rush for hiring expert and professional legal help more so for real estate industry related cases. During this period, legal firms found it advantageous to parcel out routine activities such as research and documentation and focus on representing the client in court. This enabled them to take on more business than the strength of their legal team would have permitted in normal circumstances.

•Advent of specialised outsourcing agencies - Legal process outsourcing services really took off on the back of the rise in expert service providers with each of them specializing in a particular aspect of the legal process thereby offering cutting edge efficient services. Legal firms realised that multi outsourcing their work to different authoritative firms helped them get top end quality work done at highly reduced costs. Hiring equally talented and proficient legal experts for separate areas of specialisation would definitely be a very costly proposition. 

Read Also :  Legal Process Outsourcing – How Can It Help Busy Attorneys?

The points given here are just examples and not comprehensive in nature of why outsourcing is a permanent trend now in the legal industry. The common denominator running through them is that all legal outsourcing services are available at very affordable rates

Review & Management services

Review And Management Services: How Can it Benefit Legal & Business Firms?

Review requests often overwhelm the lawyers working in a legal or business firm. A significant amount of time is spent in negotiation and drafting of such contracts, which is a grueling process due to high volumes.  They demand considerable capitals for drafting, reviewing and managing contracts, and the process as a whole is a critical one.  Organizations need to improve their capability to cater to the demand for contract legal- liability advices, edit and improve service in order to decrease risk, such as unintentional obligations which result in unapproved contract changes, propagation in languages that increase the chances of unexpected breaches and missing deadlines related to price appreciation or restitutions.  Firms equipped with management software require for human resources to cater the need.

Outsourcing review and management services can solve this problem by providing proficient teams of lawyers. The dedicated team of lawyers helps their clients by reengineering the contract review process, implement contract management technology to support ongoing contract creation, review and negotiate all requirements.   Outsourcing firm’s trained lawyers draft, review and manage the high volume and routine contracts at half the wages paid to an in house team. As a result, the in- house team can focus on priority tasks. Outsourcing helps the firms to get the work done definitively, start conscripting and review standards until you are comfortable with all the processes and staffing.

By outsourcing document review services to a vendor overseas the legal and business firms can benefit immensely. Some of the benefits are listed below:

  • Reduced Costs: Outsourcing document review and management services to a firm cuts down their costs drastically. They need to pay a fraction of an amount as compared to the in house team. Overhead cost is reduced to nearly 50% as compared to that of an onshore lawyer.

  • Increase high- value capacity:  Legal and business firms can take off the extra burden of their lawyer’s shoulders. Once they are free of routine, low-value work they can focus on priority tasks, high-value and billable activities.

  • Manage rights and responsibilities:  Legal outsourcing companie can help by summarizing executed contracts, recognizing key terms, date and creating efficient contracts databank. This ensures the organization to realize its responsibilities and take benefit of their rights.

  • Risk Management: Business outsourcing companies specialize in their tasks with global delivery platforms and provide attention round the clock to decrease turnaround time.  Consequently, this allows the legal and business firms to submit their contracts for evaluation.

  • Boost Confidence :  Once the low- importance work is outsourced to an external vendor the in house team is longer burdened under redundant contract requests. As a result, they can focus on tasks of higher- importance, and it increases their job satisfaction and boosts their morale. Overall, this helps the firm to reduce their overhead costs and liability.

  • Leverage language resources: Outsourcing firms with multilingual contracts legal process delivery centers, they can support ongoing contract reviews and negotiate effectively in multiple languages.

  • Business Transparency: Outsourcing firms work on a fixed price per contract or total engagement fixed pricing. This adds more transparency in the process and business houses can benefit greatly.

Read Also :  Document Review Services- The Most Daunting Step Of Litigation

Therefore, by outsourcing document review services, legal and business firms can manage their continuing privileges & responsibilities and ensure compliance with the innumerable factors impacting global regulations.