The$Legal$Ops$Investor$ · The$Legal$Ops$Investor$ Workshop$with$small$group$ac9vi9es/exercises$

The Legal Ops Investor Workshop with small group ac9vi9es/exercises

Session Objec9ves

•  Iden9fy and discuss legal ops planning strategies in the context of budget

•  Provide prac9cal insights for achieving savings that enables future ini9a9ves

•  Tap par9cipants’ insights and experience

Session Agenda Introduc9on 10 min

Form groups 5 min

Group investment ac9vity 15 min

Groups share results 20 min

Discussion 20 min

Focusing on Wise Investments •  Many poten9al investments compete for limited budget

•  Budget is not the only decision-‐making factor, but oPen one of the most concrete

•  Legal ops leaders must invest wisely, which some9mes means making difficult choices

Other Factors

Risk management

Low hanging fruit

Groundwork / prerequisites

Sa9sfying stakeholders

Change management

Pacing Strategic direc9on

of company

(Covered at ACC Legal Ops 2015)

Legal Opera9ons Core Competencies

Communi-‐ca9ons

Professional Development and Team Building

Strategic Coverage Model

Data Analy9cs

Li9ga9on Support

Cross-‐ Func9onal Alignment

Global Data Governance /

Records Mgmt.

Knowledge Management

Strategic Planning

Financial Management

Vendor Management

Technology Support

Legal Opera9ons Func9on

Founda9onal

1

Advanced

2

Mature

3

= Linked to Greater Spend/Savings

Communi-‐ca9ons


Strategic Coverage Model

Data Analy9cs

Li9ga9on Support

Cross-‐ Func9onal Alignment

Global Data Governance /

Records Mgmt.

Knowledge Management

Strategic Planning

Financial Management

Vendor Management

Technology Support

Legal Opera9ons Func9on

Founda9onal

1

Advanced

2

Mature

3

Group Ac9vity

Founda9onal Advanced Mature

1 2 3

•  Par9cipants split into groups of 3–5 •  Each group is the legal ops leadership of an imaginary department •  Each group starts with a fic99ous budget to invest in legal ops ini9a9ves •  Handouts provide a menu of representa9ve ini9a9ves to choose from, each

with spend/savings associated •  Ini9a9ves are grouped into 3 main competency areas:

•  Groups choose ini9a9ves, making investments to save money or gain other strategic advantages.

•  There will be several budgetary cycles, so each ini9a9ve’s spend/savings impact will affect subsequent total budget available for further ini9a9ves

15 min to Invest Wisely…

Share results

Discussion

The Legal Ops Investor Handouts

Example Investments

Financial Mgmt.

• Undefined and ad hoc, using decentralized spreadsheets +  Centralized spreadsheets +  External spend budgets

managed within MM tools +  Centralized dashboards for internal and external spend mgmt.

Vendor Mgmt.

• Many firms used •  Spending widely distributed; no standardiza9on or benchmarks

+  Par9al consolida9on of firms +  Manual rate review on random sample basis

+  Full consolida9on and systema9c firm selec9on

+  Centralized rate review

+  Centralized rate review team with automated tools and benchmarks/analy9cs

Tech • MS Office and email • Outdated legal technology tools

+  MM/e-‐billing +  DMS +  E-‐signature

+  IP management +  Contract management +  Knowledge management

+  Dashboards/analy9cs +  EDD +  Legal Project Management

Comms • Ad hoc email only •  Palpable disconnectedness

+  Basic dept. web portal +  Occasional All Hands mtgs.

+  Comprehensive web portal +  Regular All Hands mtgs.

+  Regular All Hands, including annual offsite

Lit Support

• Default is use of law firms, who control scoping and rate sefng • No central KM or repor9ng

+  Expand in-‐house team to provide ac9ve lit mgmt.

+  Core li9ga9on repor9ng

+  Use internal/specialist providers for all e-‐discovery

+  Playbooks by lit type +  End to end legal project management

Coverage Model

•  In-‐house teams with all overflow to firms • Direct interac9on between legal and business stakeholders

+  Use of ASPs and targeted law firm staffing model

+  Intake workflow to triage and traffic work

+  Use of ASPs for lit/EDD

+  Automated workflow with self-‐service

+  Large scale, centralized support from ASPs

Data Analy9cs

• De-‐centralized ad hoc repor9ng from legal apps

+  Dashboard for single key app (e.g., MM or e-‐billing)

+  Dashboards for each legal app

+  Centralized dashboards for one‑stop repor9ng

KM •  Info resides in locally saved files and email +  Knowledge repositories

+ Workflow/automa9on +  Data capture +  Self-‐service

+  Machine learning and AI

Start

Strategic Planning Create a long-‐term strategy, aligning yearly goals and corresponding metrics.

Under-‐developed Developing Efficient Best In Class •  No 9me for strategic planning; fire figh9ng mode

•  No formal goals set or documented for department beyond annual budgets; everyone just “keeps their heads down”

•  Annual goals set for opera9ons func9on

•  Some level of strategic planning performed and metrics considered

•  Annual goals set; metrics iden9fied and tracked over 9me

•  Alignment with broader law department and corporate goals in fully documented strategic plan

•  Plan is visible within law department and accountability is shared

•  Metrics-‐driven mul9-‐year plan in place

•  Full awareness of plan with quarterly reviews rela9ve to goals, including key business clients

•  Planning includes elements of strategy, structure, change management, and culture

•  Plan is 9ed to team member performance objec9ves and has impact on compensa9on

Founda9onal

1

Financial Management Manage the departmental budget. Track accruals and forecas9ng. Work with

Finance to iden9fy spending trends, poten9al cost savings and efficiency opportuni9es.

Under-‐developed Developing Efficient Best In Class

Scope •  Undefined and ad-‐hoc •  Focus on external spend management

•  Focus on internal and external spend

•  Focus on total cost internal, external, seklements, headcount)

Budge9ng and Forecas9ng

•  Non-‐standardized criteria for when budgets and forecasts need to be set

•  Criteria set for which makers require budgets and forecasts

•  Standard process, frequency and dedicated team for external spend

•  Fully comprehensive internal and external budgets and forecasts

Technology •  Individually managed spreadsheets and decentralized tracking

•  Centralized spreadsheets •  External spend budgets managed within MM tools

•  Centralized dashboard and targets for internal and external spend mgmt.

Visibility and Tracking

•  Undefined metrics and lack of access

•  Defined metrics but difficult to gain access

•  Defined metrics and frequent access, but manually generated

•  Defined metrics, frequent access and automated dashboard-‐driven

Iden9fying Opportuni9es

•  Reac9ve analysis and fire ex9nguishing

•  Consistent frequency and scope of macro-‐analysis

•  Consistent frequency and scope of micro-‐analysis

•  Automated scorecards and alerts (traffic lights)

Founda9onal

1

Vendor Management Create a partner management program to ensure quality outside counsel and

vendor support at the right rates and under op9mal fee arrangements. Hold regular business reviews. Nego9ate fee agreements. Drive governance of billing guidelines.


Number of Vendors Retained

•  Many firms used; highly distributed spending

•  Fewer major firms; perhaps 70-‐30 split

•  Consolida9on and concentra9on; firms matched with the nature of the work

•  Consolidated to core teams that know your business very well at few law firms

Reten9on Prac9ces

•  Unstated criteria for reten9on; siloed decision making

•  Guidelines, approved counsel list

•  Periodic RFPs and compe99ve bidding

•  Preferred Provider Program, historical data used to driven selec9on process

Fee Arrangements

•  Hourly billing with some discounts

•  Extensive use of discounts, plus some fixed fees and incen9ves

•  Non hourly arrangements consistently considered

•  Well-‐defined, data-‐driven process to iden9fy AFA opportuni9es and measure their success

Rate Review Process

•  No standardiza9on or centraliza9on; no benchmark data; rates at TK level

•  Defined 9meline, but allow excep9ons; no tools; some benchmarks

•  No excep9ons to defined 9meline, centralized review team; tools used

•  Centralized team u9lizing automated tools to nego9ate using benchmarks/analy9cs

Performance Management

•  No consistent process for communica9ng feedback

•  Sporadic mee9ngs with vendors to discuss goals and feedback

•  Defined process and cadence to provide feedback and lessons learned

•  Consistent sharing of vendor scorecards, mee9ngs to conducts aPer ac9on reviews

Founda9onal

1

Technology Support Create a long-‐term technology roadmap including leading tools and drive

high levels of data quality and user adop9on.


Technology Roadmap

•  Non existent •  Business objec9ves defined and key preferred techs iden9fied

•  3 year plan broken into horizons with effort costs

•  5 year strategic map with how tech will support objec9ves with planned effort, costs, convergence and integra9ons

Caliber/ Scope of Tools

•  MS Office and email •  Second 9er legal products no longer/not considered market leaders

•  + MM/eBilling; SharePoint; eSignature; Document Mgmt

•  Most tools are considered among market leaders

•  + Integrated MM/Claims; Legal Hold; IP Mgmt; Contract Mgmt; Knowledge Mgmt; GRC

•  Tools are market leaders

•  + Dashboards/analy9cs; EDD; Intake/Workflow/Self Service; Legal Project Management

•  All tools are market leaders

Quality of Data

•  De-‐centralized and non standardized tracking of info.

•  Much of it lies in email or unstructured forms

•  Defined, but limited, standard tracking elements

•  Limited compliance and completeness;

•  Rule-‐based valida9on of standard informa9on tracking

•  Complete within systems, but not across systems

•  Standard core data across systems •  Aligned with legal department repor9ng metrics

•  Complete, synched and clear primary sources of records (no issue of redundant data)

Level of User Adop9on

•  Most tools only used by support staff

•  Akorneys using core tools for basic tasks, but opt out of significant usage

•  All levels are using core set of tools

•  All level are using tools, leveraging analy9cs, and represented in tech steering commikee

Founda9onal

1

Communica9ons Work collabora9vely to create consistent global processes, from on-‐boarding to regular departmental communica9ons, to sophis9cated all-‐hands offsites.

Under-‐developed Developing Efficient Best In Class Priori9za9on •  Ad Hoc

•  Completely reac9ve •  Understood as a need •  Limited priori9za9on

•  Regular considera9on and a priority

•  Core part of the strategic plan & high priority

Responsiveness •  No real connec9on to the team reflec9ng a lack of understanding of the need to address cri9cal company or org changes

•  Ac9on limited mostly to cri9cal events and then only on an ad hoc basis. Limited considera9on to messaging

•  Apprecia9on of the need and value; Plan mostly based on events rather than part of a strategic plan

•  Plan in place ahead of events. Key messaged 9ed to goals, strategy and mission/vision

•  Immediate ability to respond to cri9cal company or dept. events

Methods & Cadence •  Ad Hoc email only

•  Team feels a lack of clear communica9on from the GC and GC Staff

•  Regular email •  Irregular All Hands Mee9ngs

•  Basic web portal •  Team has some sense of key ini9a9ves

•  Regular email •  Regular All Hands •  Comprehensive portal

•  Irregular All Hands Offsites

•  Weekly Chalk Talks •  Comprehensive Web Portal

•  Monthly or Qtrly All Hands

•  Annual Legal All Hands Offsite •  Team feels fully informed & can speak to key corp & legal goals

Onboarding •  No specific effort by the legal team; reliance on company onboarding

•  Limited and Ad Hoc by Region and Office Loca9on

•  Standardized across regions with no local

•  Standardized Global Onboarding Processes specific to legal w regional varia9ons

Advanced

2


Deliver improved GC Staff and overall team performance by globalizing the team and crea9ng a culture of growth, development, collabora9on and accountability.

Under-‐developed Developing Efficient Best In Class Roles and Leveling

•  Tied to corporate structure only; no dept.‑level defini9ons

•  Basic outlines of roles for senior akorney posi9ons only; rarely used by legal

•  Well defined roles with considera9on across dept used for promo9ons

•  Clearly defined by level and role; used by mgmt. during annual review and promo9ons; team sees correla9on to promos and reviews

Management Focus on Career Development •  Ad hoc. Not seen as a

priority

•  Developing guidelines and used for senior akorney roles;

•  No apprecia9on for the power of tools and HR instruments

•  All levels of legal mgmt. leverage tools and par9cipate in dept. planning

•  Part of dept. planning

•  Leverage mentoring •  Leverages clear succession plans •  Uses clear consistent feedback •  Core to dept. culture

Organiza9onal Structure

•  None or Ad Hoc changes made to retain talent. Org structure has odd roles and 9tles used to retain talent at various 9mes

•  Limited use of org structure to create cross-‐training and other prof development opportuni9es

•  Clear focus with some effort to leverage structure

•  Clear focus with extensive use of matrix and other structures where appropriate

Tools & HR Instruments

•  No use of Myers Briggs, TKI, 5 Dysfunc9ons or other tools; failure to acknowledge the need

•  Use of tools and instruments for GC Staff only

•  Use by GC Staff and other managers; work with HR to iden9fy key tools

•  Used broadly across the dept. to drive op9mal team performance as needed

•  Part of common language

Advanced

2

Cross-‐Func9onal Alignment Create and drive rela9onships with other key company func9ons, such as HR, IT, Finance and Workplace Resources. Represent the Legal organiza9on in industry groups.


Influence

•  None or limited •  Interac9ons are on an “as needed” basis with no real alignment

•  Basic rela9onships w Finance and IT support very basic dept. needs

•  HR & REW rela9onships address issues real 9me but w/o any favors

•  Basic alignment

•  Strong rela9onships support day-‐to-‐day opera9ons, especially in IT, Finance & HR

•  Support from partner is reac9ve rather than proac9ve

•  Able to leverage partners to drive legal dept. strategy

•  Other func9ons come to legal ops with informa9on in advance of “ac9vi9es”

•  Receive special favors •  Partners help drive strategy

Extent of the Rela9onship

•  None or limited •  No real understanding of the value of internal 9es to other key func9ons.

•  Has some understanding of the need

•  No dedicated legal team contact or ad hoc/rota9onal assignments not including legal ops

•  Legal Ops owns the rela9onships and has developed them at a basic level

•  Meets regularly with Finance and has solid rela9onships with IT and HR

•  Has basic 9es to key Exec Staff EAs

•  Legal ops leader has deep rela9onships with all x-‐func9onal teams, esp. finance, IT, HR and REW, & security, comms, and other HQ and client group leads and Exec Staff EAs

•  Legal ops x-‐func9onal connec9ons serve as an early warning system

Advanced

2

Li9ga9on Support Support e-‐discovery, legal hold, document review.


Coverage •  Reac9ve teams managing li9ga9on

•  Legal support to business to establish compliance frameworks

•  Proac9ve post-‐Li9ga9on reviews to improve opera9onal risk mgmt.

•  Mature use of li9ga9on alterna9ves

•  Advocacy to shape external agenda •  Legal have proac9ve role in Informa9on governance agenda

Resourcing •  Default to use of law firms

•  In-‐house team grown to provide proac9ve li9ga9on management and oversight of law firm’s use of vendors/staffing

•  Role for Lit/EDD PM

•  Use of law firms aligned to li9ga9on risk

•  Send all e-‐Discovery to internal/specialist providers

•  Full use of alterna9ve providers for non-‐advisory (EDD, med legal, court repor9ng)

•  External counsel integrated with each other and in-‐house team

Cost Control •  Law firm driven scoping and rate sefng

•  In-‐house driven scoping of li9ga9on strategy

•  Demand firms present alterna9ve pricing or solu9ons

•  Use of AFAs for major li9ga9on; Formal budge9ng; consistent invoice review; Billing rules drive KM across en9re legal ecosystem

•  Analy9cs support instruc9on decisions and law firm staffing models

Opera9ons & Infrastructure

•  No central KM plaporm or repor9ng or processes

•  Core li9ga9on repor9ng established

•  Data reten9on, legal hold, and data destruc9on policies

•  Playbooks established for different li9ga9on types; Formal tools for budge9ng; Central repository of briefs, pleadings and research

•  End to end legal project management method defined and used

Technology •  Legal holds managed via email and MS Office

•  e-‐Discovery and legal hold plaporms in place

•  Experimenta9on with machine learning; Legal project management tools used internally

•  Machine learning e-‐Discovery widely used

•  LPM tools mandated externally

Advanced

2

Data Analy9cs Collect and analyze relevant data from department tools and industry sources, define objec9ves to provide metrics and dashboards, that drive efficiencies and

op9mize spend, etc.


Analysis of Departmental Data

•  Undefined scope of metrics and/or performance measures

•  Defined set of metrics and performance measures

•  Quarterly genera9on and review of departmental metrics

•  Automated and real-‐9me visibility into key metrics / variance

Analysis of Industry Data

•  No access to industry data •  Access into general departmental surveys •  Access into peer aligned departmental surveys

•  Access into area-‐specific analy9cs and benchmarking (spend, contracts, IP, e-‐discovery, etc.)

Dynamic Dashboards

•  Ad-‐hoc and de-‐centralized repor9ng from legal applica9ons

•  Robust dashboards for a single legal applica9on (likely MM/e-‐Billing first)

•  Robust dashboards for each legal applica9on

•  Automated and centralized single-‐point of repor9ng across the department

Data-‐Driven Decision Making

•  Re-‐ac9ve request and analysis of informa9on relevant to the work

•  Established knowledge bank or data with manual search

•  Established analy9cs plaporm boas9ng relevant metrics

•  Integrated data recommenda9ons based on work at hand

Mature

3

Coverage Model Drive departmental efficiency by appropriately matching the nature and

risk of the work with the right level and type of resources; be that internal, outside counsel, or managed services, LPOs, and other service providers.


Demand Management

•  Direct business stakeholder to legal interac9on

•  SharePoint accessible matrix to assist “who to call” for what

•  Intake workflow or legal front gate to triage work to appropriate party

•  Automated workflow & intake, including self-‐service & auto-‐assignment based on coverage, type, complexity

Coverage •  Inconsistent legal responsibili9es for various types of work

•  Legal partners with business & suppor9ng func9ons to develop clear governance, processes, and risk standards

•  More proac9ve engagement with the business and alignment based on type and loca9on

•  Fully collabora9ve partnership, accessibility & interac9on points depending on type/complexity of work

Resource Alloca9on

•  Inhouse teams and overflow to outside counsel

•  Targeted law firm staffing model and targets for various major areas of work (focus on external resource alloca9on)

•  Alloca9on of tasks to appropriate level of internal resource; considera9on of alterna9ve providers; OC used for exper9se

•  Business self serve where appropriate, legal manages excep9ons/ bespoke makers’ extensive use of paralegals and ecosystem of alterna9ve providers

Use of Alterna9ve Service Providers

•  Non-‐existent •  Use of secondees for specific individual gaps and/or large low complexity projects

•  Strategic use of ASPs for li9ga9on and/or EDD

•  Centralized and strategic use of ASP powered centers for contracts, due diligence, IP, compliance and legal ops

Mature

3

Knowledge Management Enable efficiencies by crea9ng seamless access to legal and department

ins9tu9onal knowledge through the organiza9on and centraliza9on of key templates, policies, processes, memos, and other learnings.


People •  No resources with KM included in responsibili9es

•  Por9on of someone’s role includes KM expecta9ons

•  Dedicated resource to drive KM culture

•  Dedicated team driving KM best prac9ces and ac9vely publicizing lessons learned

Processes •  No formal process to capture and reuse knowledge

•  Basic expecta9ons communica9on around use of KM tools

•  Clearly defined and documented expecta9ons for work product reuse

•  Consistent communica9on around new content

•  Ac9ve process to iden9fy, capture, and publicize best prac9ce materials and content

•  KM update is agenda point in all key items for proac9ve KM

Technology

•  Driven by spreadsheets and word processing tools, i.e. email and MS Office

•  Central open access knowledge repositories with limited self service or categories

•  End to end tools fully embedded to facilitate workflow, escala9ons and data capture; Extensive self-‐service tools

•  Machine learning & AI capabili9es to drive further efficiency & improvements w/ robust workflow and KM system linking all members of ecosystem

Mature

3

Global Data Governance / Records Management Create a records management program including a record reten9on schedule, policies and processes.


People

•  Records Management resources focused on file room maintenance

•  No informa9on governance resources

•  Someone has responsibility for Informa9on Governance but not a formal 9tle

•  Informa9on Governance lead with visibility across law department and company

•  Records and Informa9on Governance team with senior representa9on in law department and across company

Processes •  No defined records processes outside of Reten9on Schedule

•  Data governance processes defined but no accountability for implementa9on

•  Processes defined and implemented

•  Monitoring for compliance

•  Thorough data classifica9on, governance, and disposi9on process

•  Fully enforced through technology and management oversight

Technology •  Basic file management system in place

•  Automated enforcement of reten9on schedule

•  Advanced tools for both records reten9on and email archiving

•  Leading edge technology for informa9on governance and records reten9on; integrated with all relevant legal systems for automated disposi9on

Mature

3

Documents

The$Legal$Ops$Investor$ · The$Legal$Ops$Investor$ Workshop$with$small$group$ac9vi9es/exercises$