Legal Process Outsourcing

The rising trends in LPM and their impact on the market

Working in the legal industry is fulfilling but tiring due to the complex nature of the work involved. Lawyers must meet numerous clients, have multiple meetings for each client, file reports, and meet deadlines. Thus, it can become challenging to keep up with the work pressure, especially for small legal firms that do not have a full in-house team to satisfactorily process all work-related tasks. Legal Processing Management (LPM) can be a hero in these scenarios as it can take up a significant amount of workload from legal firms. 

What is LPM or Legal Processing Management?

Legal Processing Management or LPM is the process of obtaining legal support services from a third-party provider on a contract basis. It generally involves sending legal work overseas to other lawyers in any other country. LPM is a form of BPO or Business Processing Management. Recently, the LPM sector has grown exponentially, with many legal firms management their projects. In 2021, the LPM market worldwide was nearly $11.6 billion and is expected to grow with a CAGR of 30.5% by nearly $61.7 billion by 2027. 

LPM is highly popular among legal associates due to its cost-saving effects and efficient and consistent legal services delivery. Since the legal sector is continuously growing, the LPM sector is poised for growth in 2023.

The Emerging Trends of LPM include:

  1. Increased technology and automation use
  2. Online dispute resolution is growing for more cost-efficient and faster settlements
  3. New service provider and market emergence
  4. Enhanced use of AI (artificial intelligence) and predictive analysis
  5. Streamlining legal processes and increasing efficiency
  6. Legal services are becoming popular and legal firms can outsource their work based on subscription

Impact of LPM on the Market

Legal firms deal in large amounts of data with their entities, resources, and cases. Thus, most legal companies remotely outsource any process or task that qualified staff can handle elsewhere. It allows the companies to free up their resources and time and concentrate these on other vital business segments.

Impact of LPM on the Legal Sector

  1. Cost Savings
  2. LPM can bring immense cost savings to the market. By outsourcing legal work to another nation, the companies can decrease their costs by up to 60%. Lawyers in other countries often demand much less every hour compared to their counterparts in developed countries. It also helps save on overhead costs, training, staff wages, and some full-time employee costs. LPM offers more flexibility to the market and provides cost-efficient solutions by comparing the charges and selecting the best one.

  3. Enhanced Quality
  4. Another impact of LPM on the market is the improved work quality because LPM service providers generally are a huge pool of knowledge and experience. LPM service providers can also access the latest resources and technologies to enhance their work quality. 

  5. Improved Efficiency
  6. Another enormous LPM impact on the market is improved efficiency. Whenever you outsource legal work to another country, it gets done much faster than the in-house team. It is because more lawyers are present to work on the same project and for longer hours compared to other countries. Thus outsourcing various legal matters will help you to focus more on core issues in your firm.  

  7. Offers Additional Support
  8. LPM offers additional support as it allows external providers’ resources and skills. In this way, the legal agency does not have to invest in training new employees or hiring experienced employees. Additionally, the third-party provider offers legal services, which are highly cost-efficient compared to maintaining a full in-house legal team. Third-party LPM providers provide competitive rates and reduced overhead costs.


LPM has become one of the most effective ways for legal firms to improve efficiency, save money and enhance work quality. If you are considering partnering with an LPM company for your legal processes, it is a good idea to conduct a cost-benefit analysis to assess if the cost justifies the benefits. But always remember, LPM is not a solution that fits into the concept of one size fits all. You must consider whether it is the perfect alternative for your business and move forward based on an assessment. Also, make sure that you choose the best LPM agency that aligns with your values and is aligned with your business goals.

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