Legal Process Outsourcing

How Legal Process Outsourcing Drives Scalability and Adaptability

The legal business environment can be dynamic and unpredictable, and organisations need help aligning growth and operational efficiency. In addition to fluctuations in workload, legal businesses face an overwhelming volume of administrative and repetitive tasks that can take over a significant portion of the working hours of legal experts, diminishing their effectiveness and job fulfilment. Legal process outsourcing (LPO) has become a viable option for organisations looking to enhance their operational efficiency and improve subject matter expert productivity while optimising spending and having the flexibility to adapt to volatility and scale up or down as needed. Let's take a comprehensive look at the far-reaching impact of LPO.

LPO can be considered strategically crucial at an organisational level as it adds value by allocating the right people to the right job based on their strengths. Legal department or law firm associates can do routine low-level work but at the cost of reducing the time spent on their core function and diminishing job satisfaction. There is a considerable cost and efficiency value-add in transferring this work to an LPO provider who excels at it. In complicated litigation matters or compliance reviews, sudden workload surges can leave firms with insufficient expertise. LPO companies can handle these unexpected requirements and promptly provide legal subject matter experts on short notice. Outsourcing is also a good option in instances that involve particular litigation or regulatory review aspects in which a firm lacks proficiency. Law firms can expand their portfolio of services at optimal costs by seeking specialised skills from an LPO provider, ensuring sustained growth in volatile markets.

There can be multiple instances where firms face a shortage of talent due to a variety of reasons. Firms may see a sudden uptick in litigations or mergers with an accelerated time frame. The legal sector has also faced instances of rise in attrition, such as the post-COVID quiet-quitting. There can be occasions where tight deadlines may not be conducive for recruitment, even if the organisation wants to increase its headcount. Legal services outsourcing can resolve talent woes during times of instability. LPO can act as the buffer against personnel turnover, workload surges, and knowledge drain. Organisations might undergo cyclic peak periods, and LPO equips them with the flexibility to scale up or down their operations optimally. Outsourcing facilitates customisation to changing legal requirements without the burden of fixed personnel costs. Organisations can use LPO to adapt seamlessly to fluctuating demands and ensure employee engagement and satisfaction. Organisations may need to handle many case types, and LPO can provide access to the required diversely skilled professionals. When firms look to expand internationally, LPO providers with a global footprint can provide local support in different geographies and ensure a smooth transition to becoming a multinational corporation.

AI and automation have had a transformative effect on legal processes and functions. Most legal departments and departments are reluctant to embark on a technological overhaul due to the implementation costs involved in the purchase, training, support, and transition to a new system. Engaging the services of LPO providers at the forefront of technology adoption enables organisations to derive the advantages without the cost and pain involved in upgrading. AI-enabled solutions cover the spectrum of legal processes like document review, due diligence, eDiscovery, contract management, and matter management. LPO allows firms to improve their legal operations using the latest technology and enables them to check out the impact and ROI of adopting technology before investing.

Compliance management is a complex process due to the wide range of regulations based on sector and country. Legal associates need to proactively track and handle changes in regulations, requiring the set-up of a resilient compliance management process. Compliance processes are primarily administrative, repetitive, and time-consuming. An example would be immigration filings for international employees. LPO providers have a skilled talent pool that is competent at ensuring regulatory adherence and mitigating risks. LPO firms have the processes and tools to analyse existing protocols, documents, and data to derive insights about potential risks. They can design compliance processes based on best practices customised to an organisation's requirements. Outsourcing compliance management enables employees to focus on their core competencies and deliver optimal customer value.

LPO providers have a well-trained, skilled, and experienced talent pool with an in-depth understanding of legal processes and workflows. LPO can be a game-changer for businesses looking to scale, maximise efficiency, and minimise costs. The global LPO market will touch $30.26 billion in 2026.

How can Infosys BPM help?

Infosys BPM’s Legal Services Outsourcing group can be your partner in automating and standardising your legal operations. Our legal process model, supported by the latest technology, maximises productivity and profitability.

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