In a new video posted today on the Legal Executive Institute blog, Mike Abbott, vice president of Client Management & Global Thought Leadership at Thomson Reuters, discusses the recently released “2018 State of Corporate Law Departments”.
The report, released this week by Thomson Reuters and Acritas, cites three areas of potential strength among corporate law departments and suggests that those departments which embrace innovation, are data-driven in their strategies, and strive to work collaboratively both inside and outside the company tend to be more successful. The report analyzed data and research from Thomson Reuters Legal Tracker, Acritas and the Corporate Legal Operations Consortium (CLOC).
In the video, Abbott speaks to both Chris Maguire, managing director of the U.S. Corporate segment at Thomson Reuters, and Lisa Hart Shepherd, chief executive officer of Acritas, about what findings they thought most interesting from the report.
Maguire comments on the divergence of legal rates the data showed, and how it indicates that the salaries of non-lawyer personnel, such as paralegals, were “moving up the food chain” and becoming more valuable to companies compared to years past. “We see that corporations are recognizing that work and are willing to pay for it,” he said.
The report also listed 21 separate key metrics that corporate law departments could use to measure their performance and improve their efficiency and effectiveness. Hart Shepherd said that among the items listed, such metrics as tallying your department’s total legal spend (and comparing it to revenue) and mapping how much of that spend is done internally and externally are most important.
“We’ve seen an efficient range of 40% to 70% of work done internally that tended to produce the most efficient outcomes,” Hart Shepherd said.
Download your free copy of the “2018 Report on the State of Corporate Law Departments” here.