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Legal Mosaic Essays on Legal Delivery

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<str<strong>on</strong>g>Legal</str<strong>on</strong>g> <str<strong>on</strong>g>Mosaic</str<strong>on</strong>g>: <str<strong>on</strong>g>Essays</str<strong>on</strong>g> <strong>on</strong> <str<strong>on</strong>g>Legal</str<strong>on</strong>g> <strong>Delivery</strong><br />

alternative to law firms for certain tasks. Their DNA springs from this<br />

market need, and their structures, ec<strong>on</strong>omic models, and approaches<br />

to delivering legal services are fundamentally different than law firms.<br />

Service providers tend to be more client centric than law firms; they do not<br />

gauge success by profit-per-partner (PPP) because there are no partners.<br />

They have a corporate structure and- unlike law firms whose approach to<br />

legal delivery has remained largely static, service providers offer a seat at<br />

the management table for technologists and business experts as well as<br />

lawyers. This inter-disciplinary approach to legal delivery plus investment<br />

in technology and process has enabled them to steadily gain larger market<br />

share and to migrate up the complexity chain of outsourced tasks.<br />

In-house legal departments have also grown in size, influence, and,<br />

portfolios during the new millennium. Many of them bear striking<br />

structural and operati<strong>on</strong>al similarities to the law firms. And while many<br />

in-house departments have succeeded in reducing overall legal spendin<br />

part because they do not have a partnership model and typically possess<br />

superior knowledge of their clients’ business- they generally focus<br />

<strong>on</strong> reducing legal cost rather than innovating its delivery.<br />

Even so, corporate legal departments, not law firms, are, with legal<br />

service providers, driving change in the delivery of legal services. For<br />

example, many large corporate departments are segmenting buying decisi<strong>on</strong>s<br />

am<strong>on</strong>g the General Counsel, Chief <str<strong>on</strong>g>Legal</str<strong>on</strong>g> Operati<strong>on</strong>s officers,<br />

and Procurement Departments. And other, n<strong>on</strong>-legal silos within corporati<strong>on</strong>s-<br />

notably IT- are now involved in the vetting of legal suppliers.<br />

Engagement of legal services, <strong>on</strong>ce a cozy, relati<strong>on</strong>ship-driven process,<br />

has become a more disciplined, competitive, and value-driven <strong>on</strong>e reflective<br />

of the ever-expanding legal supply chain. Metrics are finding<br />

their way into buying decisi<strong>on</strong>s and supplier evaluati<strong>on</strong>. And while this<br />

process remains focused principally up<strong>on</strong> cost, it is <strong>on</strong>ly a matter of<br />

time before clients measure outcome too.<br />

5

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