How Legal Technology Will Change the Business of Law
Powerful forces are reshaping the corporate legal-advice market, including price pressure
from clients and the digitization of legal data. Legal-technology solutions can help law firms
succeed in this new era, but only if they understand the tech landscape and redefine key
elements of their business model.
Mapping the Legal-Tech Landscape
The legal-tech landscape comprises three solution categories: enabler technologies facilitating
the digitization of legal data, support-process solutions infusing new efficiencies into
case-management and back-office work, and substantive law solutions supporting or replacing
lawyers in executing core legal tasks in transactions and litigation cases.
Legal Tech’s Impact—Today and Tomorrow
While legal tech began with the automation of standard legal tasks, it’s moving toward
supporting more bespoke, specialized activities performed by lawyers. It’s also capitalizing
on opportunities presented by big data analytics, helping lawyers capture valuable insights
from large data sets.
Next Steps for Law Firms
To safeguard their market share and profitability in a market transformed by legal tech, law
firms must rethink two elements of their business model: their value proposition (including
their service offerings and revenue model) and their operating model (including their cost
structure and organizational structure). The right decision for each element will differ for “big
law” and “small law” firms that focus on standardized cases.
Legal Tech’s Impact on Individual Roles and Legal Education
In the future, the business of law will require fewer general support staff members, junior
lawyers, and generalists—and more legal technicians and project managers. Accordingly, law
schools may need to offer courses on legal tech and case-management processes. Law firms
can offer on-the-job training to help lawyers leverage legal-tech solutions and executive-education
programs focused on legal-tech literacy. Read the report by clicking here