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Legal as Growth Enabler

Legal Department transformation - From Cost Center to Profit Center

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The legal industry has undergone tumultuous change since the past decade. With the recession hitting hard on the budgets and the ever-growing regulatory challenges facing an organization, legal departments are now making their case for being more than just a mere cost center and proving to be a revenue center. According to the Cost of Compliance 2017 Report, Thomson Reuters captured 52,506 regulatory alerts from over 750 regulatory bodies averaging more than 200 updates a day.

With the seismic shift of the legal department’s position in a business, the role of a General Counsel (GC) has also evolved multi-fold. From being a reactive leader to a more proactive decision maker, GCs today are not only a legal advisor but a strategic leader making legal the best-run function in the organization.

The transformation that we see today is not only limited to the legal aspects of a business but also includes a strategic and financial perspective to it. With the increasing regulatory issues facing a business, legal and compliance are not just a headache of the GC. Investors, board members and senior management are also actively taking interest in having a holistic view of all compliance issues, making the GC a bridge between legal and business.

GCs are aware of tech adoption advantages:

Along with a drastic paradigm shift among the legal departments in becoming a strategic partner in business, General Counsels are also being viewed as business leaders in not just mitigating legal risks but also delivering value towards the organization. To bring this revolution, transformation is imperative in united workflows leading to holistic visibility and control over legal functions with focus shifting from manual work to strategic-oriented work.

Evolving role of in-house counsel
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Technical to strategy

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Perimeter to the core business decisions

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Perimeter to the core business decisions

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Fewer functions to more functions

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Reactive to preventive

GCs are increasingly becoming conscious of the role played by technology in bringing efficiency, cost-effectiveness in their departments, and delivering data-driven insights to enable better business decision-making. Besides the evident advantages, GCs have also realized the potential of legal technology in enabling cross-functional efficiency and dialogue among various departments, i.e; legal, sales, procurement, supply chain etc. GCs are envisioning technology to enable counsels to integrate in the day-to-day operations of the business they support. GCs who have implemented a tech-enabled solution have worked in both collaboration and in real time with the business to deliver not just efficient legal work but also quicker sales cycle, impacting directly the bottom and topline of the business.

Agile GCs who have paved a path for their future successors in becoming the next business leaders of the organisations, have employed technology in not just improving their workflows but also capturing significant data across the platform and functions to become proactive in delivering business process improvements. An integrated platform enables GCs to leverage the current processes and data and turn them into actionable insights, delivering value to the overall business. With a comprehensive view of entire legal spend, risk areas and efficient workflows on a single dashboard, GCs have been able to hold true the phrase “To do more with less”.