In a recent survey, corporate legal professionals across the globe identified their top concerns, and 74 percent of respondents stated that “regulatory and governmental changes” are critical issues. One way to resolve this concern is through strategic outsourcing to alternative legal service providers (ALSPs).
ALSP businesses take legal processes, break them down, and perform them more efficiently. For example, ALSPs may use software to review documents, instead of using junior associates. Or, for short assignments, an ALSP may provide contract lawyers to the in-house company to assist with litigation or compliance. Without the structure and hierarchy of a law firm, these businesses have more flexibility in operations.
Law firms and legal departments both use specialty ALSPs so attorneys can focus on complex projects rather than spending time on mundane tasks. Legal departments appreciate ALSPs because they allow work to be done during peak times (for example, when an influx of documents must be reviewed) without the cost of increasing the headcount permanently.
Moreover, ALSPs allow departments to fill gaps of expertise in their teams. If an in-house team has little experience with contract management, they can still take it on with the help of an ALSP. ALSPs also have the technology to deal with large datasets and repeatable processes, which saves the legal department from having to invest in such infrastructure.
Cost reductions from outside counsel and improved efficiencies within the department are the most frequently used tactics for cost control. ALSPs will likely become increasingly common as more corporate counsel discover their cost-saving potential. If you’re interested in strategically outsourcing legal tasks to a trusted partner, reach out to the team at Legalinc today.