Amid increasing demands and limited resources, general counsel are focusing on technology adoption, shifting work in-house, and reevaluating the selection and management of outside law firms.
The survey indicates a decline in spending on outside counsel relative to revenue, down to 0.14% in 2023 from 0.17% in 2022. Legal departments are implementing measures such as stricter internal guidelines, annual rate reviews, data analytics, and consolidation of preferred providers to manage costs.
The survey also notes a stabilization in legal operations head count growth, with an increased focus on exploring AI and automated workflow technology to enhance efficiency. While the interest in AI has risen significantly, the actual implementation remains cautious, with only 18% of law departments having already implemented AI tools.
This is a summary of an article originally published on Law360.
- Legal operations
- Outside counsel management
- Law Department Benchmarking Survey