Running a successful law firm in the United States (U.S.) is rarely a walk in the park. Consider this: you need to fulfill the (sometimes uncalled-for) requests while finding the best methods to stay ahead of the competition.
To free yourself from doing paperwork and managerial hell, employing a legal process outsourcing (LPO) could be the service you need. By delegating these administrative tasks, you can focus on what you love: practicing law.
Can’t wait to take these mundane chores off your plate? Read on to understand what LPO is and whether this would benefit your firm.
What Is Legal Process Outsourcing (LPO)?
LPO allows you to delegate some legal tasks to qualified service providers, usually to professionals abroad. With their expertise, you no longer need to enter information into your database, pore over hundreds of pages of documents, and do other repetitive tasks. You can also assign them more specialized chores like contract drafting and legal research.
Offshore legal work has been existing for years. But only recently it’s gaining popularity in the U.S. because of the overwhelming tasks and requirements they face daily.
Do Law Firms Need Legal Outsourcing Firms?
US law firms are among the ones that can benefit from LPO the most. The diversity in the country’s economy and legal landscape makes legal chores a daily struggle. It makes staffing for legal firms make sense for any firm.
With this legal landscape, LPO providers can offer multiple services to relieve law firms from their routine and sometimes rarely performed workload, such as;
- Administrative tasks. These are repetitive work like document review, data entry, and file management
- Specialized legal services. These are jobs that workers with legal experience do such as contract drafting, contract review services, legal research, and litigation support.
- IT support. Like any modern business, law firms require reliable computers and internet connections. For this reason, they need network maintenance, software installation, and data backup services.
- Marketing and business development. Law firms must launch website design, social media management, lead generation, and other marketing activities to get more clients and dominate the competition.
- Accounting and finance. These constitute bookkeeping, payroll, tax preparation, and other financial tasks.
- HR and recruitment. Firms only do job postings, résumé screening, and interview scheduling when they need new employees.
- Customer service. Answering phone calls, responding to emails, and resolving client inquiries can be addressed outside the law firm.
Benefits of Partnering with Legal Outsourcing Firms
Considering hiring outsourced legal services? Here are some legal outsourcing benefits you can enjoy:
Cost Reduction
The countries where most LPO providers are located, such as India and the Philippines, have lower labor costs. They charge more than half the rate of those in the U.S. This means bigger savings from benefits, payroll, and office rentals.
Fast and Efficient Results
LPO providers often specialize in certain legal tasks. With this, you can expect their tasks to finish faster with enhanced efficiency. Knowing this, you can now concentrate on essential activities like consultations, formulating better case strategies, and improved business growth.
Opportunity for Scaling
LPO offers the flexibility to choose only the required tasks you need to outsource for a specific period. This feature allows you to scale up or down the services you wish to delegate. Moreover, outsourcing can save you from the stress of hiring and laying off employees.
Access to Services Outside Your Expertise
Small law firms who can’t afford to hire in-house personnel can benefit from this work arrangement. Say your firm specializes in civil law, and a new case calls for a comprehensive tax computation. You can hire an LPO provider whose expertise is in taxation to complete the task within a limited time.
Improved Work-Life Balance
Having an LPO partner lets you enjoy more time for personal and family activities. The same is true for your employees. Freeing up your firm from some workload will foster a better work-life balance for your firm.
Challenges in Legal Services Outsourcing
Despite the numerous benefits LPO brings, it also poses many concerns to law firms, like
Data Security and Confidentiality
In our digitalized world, data breaches and other security issues are a grave concern. Don’t let your sensitive client information get compromised. Not only that, you should also check their track record in maintaining confidentiality. Remember, a single data leak can tarnish your company’s reputation for life.
Quality Control
Quality is often a major concern when hiring legal outsourcing firms. These companies might have no strict quality assurance in place. Even if they have QA, their standard might be inferior to yours. To avoid this, request references and research their portfolio. If you’re already onboarded, set up clear communication channels to monitor progress and address concerns.
Cultural Differences and Communication Barriers
Cultural differences can pose a challenge, particularly when ensuring the accuracy of communication. Misunderstandings due to cultural differences can prevent a smooth collaboration. To ensure steady communication, setting clear expectations and regular feedback are crucial. You should also factor in the difference in time zones and find the best schedule to meet and collaborate.
Grow Your Law Firm for a Brighter Future with LPO
If you’re finding ways to reduce costs, increase efficiency, and focus on growing your practice, obtaining outsourced legal services could be your firm’s lifesaver. These companies offer diverse services to make your work less stressful. By carefully selecting a qualified and trusted provider and establishing clear communication channels, these companies can be your partners for long-term success.
Schedule a consultation with one of our outsourcing experts in legal services. We’re here to assist you in assessing your firm’s needs and identifying the right outsourced legal services solutions. Additionally, we will guide you in gearing up your law firm to make it competitive and future-proof.
