Featured Image

May 3, 2023

Corporate Social Responsibility in Legal Ops

The need-to-knows of corporate social responsibility and how it impacts legal operations. Explore this article to start building CSR into your legal operations.

Dear Legal Ops!
Welcome to this week’s Let’s talk about Legal Ops, offered by Newton. We tackle corporate legal departments, speed up processes, and career growth. Please send us your questions; in return, we come back with real insights and actionable tips.
If you find this post valuable, don't miss the chance to check out our latest posts.

Subscribe to get access to more posts like these!

Corporate social responsibility (CSR) is an increasingly important aspect of business, encompassing a wide range of initiatives that go beyond traditional business objectives.

Due to the nature of the topic – which we’ll delve into in this blog – CSR is increasingly falling into the scope of legal departments. With this in mind, it is critical for in-house legal teams to understand the role that CSR plays in the company’s overall strategy and to ensure that wider CSR initiatives are aligned with legal requirements and best practices.

In this article, we’ll provide an overview of CSR and why it is important for businesses to consider. We’ll also explore why in-house legal professionals need to care about CSR, how it can impact legal teams and how you can start building CSR into your legal operations.

In this article, we will cover the following:

What is corporate social responsibility?

Corporate social responsibility (CSR) is a concept that refers to a company’s responsibility to contribute to sustainable development and to take into account the social and environmental impacts of its business operations. CSR is a broader framework that encompasses the ethical, social, and environmental responsibilities of companies – commonly known as ESG in the legal space – towards their stakeholders, including employees, customers, suppliers, and communities where they operate.

The evolution of CSR

The concept of CSR has evolved over time and has become an essential aspect of modern business practices. CSR activities can range from implementing sustainable business practices to reducing environmental impacts and investing in local communities. Some companies take it a step further by supporting causes related to social justice, diversity, equity, and inclusion.

Where CSR initiatives were originally driven by those with an interest in these topics, it is now a company-wide commitment with responsibility for CSR being shared across various departments. In-house legal teams have a key role to play in helping to ensure that CSR is integrated into the company’s operations, and that the business is acting in a socially responsible and legally compliant manner.

The benefits of CSR

The benefits of CSR are vast, both for companies and their stakeholders. CSR initiatives can enhance a company’s reputation, strengthen its brand image, and improve customer loyalty. Additionally, CSR activities can help reduce risks associated with social and environmental issues, improve employee satisfaction, and attract and retain talent.

In fact, 88% of employees believe it’s no longer acceptable for companies to make money at the expense of society at large.

However, the benefits of CSR are not solely selfless. It’s also about building a sustainable business model that creates long-term value for all stakeholders. In the long run, companies that embrace CSR are likely to be more successful, as they are better equipped to respond to social and environmental challenges and adapt to changing stakeholder expectations.

From a legal department perspective, the enhanced brand reputation that accompanies CSR commitments can help to attract and retain talent. This can result in a higher-performing and more engaged legal team.

Strong CSR programs can also help to reduce legal risks and liabilities, as companies that are committed to social responsibility are often seen as more trustworthy and reliable by regulators, customers, and other stakeholders. This can help to mitigate legal risks and liabilities associated with non-compliance with laws and regulations, as well as potential reputational damage resulting from unethical behavior.

Finally, CSR can provide in-house legal teams with the opportunity to take a leadership role within the company, by providing legal expertise and guidance to support the development and implementation of CSR policies and initiatives. This helps to position the legal function as a strategic business partner, elevating the profile of legal within the business.

Why should in-house lawyers care about CSR?

Lawyers, particularly in-house legal teams and general counsel, should care about CSR for several reasons.

Risk management

CSR issues can pose significant risks to companies, including legal, financial, and reputational risks. By addressing CSR issues proactively, in-house legal teams can help minimize these risks and protect the company’s interests.

Compliance

Many CSR issues are subject to legal requirements and regulations. In-house legal teams play a crucial role in ensuring that the company complies with these requirements and avoids legal liability.

Reputation

A company’s reputation is closely tied to its CSR performance. By promoting CSR initiatives and addressing CSR issues, in-house legal teams can help enhance the company’s reputation and build trust with stakeholders.

Competitive advantage

Companies that are committed to CSR can gain a competitive advantage by differentiating themselves from their competitors, attracting customers who prioritize social and environmental responsibility, and enhancing their brand value.

Employee engagement

CSR can also be an important factor in attracting and retaining talent. In-house legal teams can help support employee engagement by promoting CSR initiatives and creating a workplace culture that values social and environmental responsibility.

In essence, CSR can help manage risk, ensure compliance, enhance reputation, gain competitive advantage, and promote employee engagement. By prioritizing CSR, in-house legal teams can play a critical role in advancing the company’s social and environmental goals and promoting ethical behavior.

The four types of CSR

To deliver CSR programs effectively, it’s important for legal teams to understand the four types of Corporate Social Responsibility (CSR).

1. Environmental Responsibility

This type of CSR involves a company’s efforts to reduce its environmental impact, including reducing carbon emissions, conserving resources, and minimizing waste. In an in-house legal context, environmental responsibility can include compliance with environmental laws and regulations, advising on sustainability initiatives, and managing environmental risks.

2. Ethical Responsibility

This type of CSR involves a company’s commitment to ethical business practices, such as transparency, honesty, and fairness. In an in-house legal context, ethical responsibility can include advising on compliance with laws and regulations, developing codes of conduct and ethics policies, and managing legal risks associated with unethical behavior.

3. Philanthropic Responsibility

This type of CSR involves a company’s charitable contributions and community engagement initiatives. In an in-house legal context, philanthropic responsibility can include advising on charitable giving, ensuring compliance with tax laws and regulations, and managing legal risks associated with corporate giving.

4. Economic Responsibility

This type of CSR involves a company’s commitment to creating economic value for its stakeholders, including shareholders, employees, customers, and suppliers. In an in-house legal context, economic responsibility can include advising on corporate governance, financial disclosure, and compliance with laws and regulations related to business operations.

For in-house legal teams, it is important to understand the different types of CSR and how they relate to the company’s legal obligations and business objectives. By working closely with other departments, such as sustainability, finance, and human resources, in-house legal teams can help ensure that the company’s CSR initiatives are aligned with its legal obligations and business objectives. Additionally, in-house legal teams can provide guidance on legal compliance, risk management, and stakeholder engagement, helping the company to build a strong and sustainable CSR program.

CSR has become an increasingly important issue for businesses in recent years, and it is no different for legal operations. In this section, we’ll explore what CSR means for legal operations and how legal teams can enable and support CSR initiatives.

One way that legal operations can support CSR is by ensuring that the company’s legal operations are conducted in a responsible and ethical manner. This includes ensuring compliance with all relevant laws and regulations, as well as implementing best practices that support sustainability and social responsibility. For example, legal teams can help ensure that the company’s contracts include provisions that require suppliers and vendors to adhere to the company’s CSR policies and standards.

Legal teams can also play a key role in supporting the company’s CSR initiatives by providing legal guidance and advice. This includes identifying legal risks and opportunities associated with CSR initiatives, reviewing and drafting policies and procedures, and providing guidance on legal compliance requirements related to CSR initiatives. Legal teams can also assist with reporting on CSR initiatives and ensuring compliance with relevant regulations.

Another way that legal operations can support CSR is by promoting transparency and accountability. Legal teams can help ensure that the company’s CSR initiatives are accurately reported and disclosed to stakeholders, including investors, customers, and the general public. This includes providing legal guidance on sustainability reporting standards, ensuring compliance with relevant disclosure requirements, and assisting with the preparation of CSR reports and disclosures.

In summary, CSR is an important issue for legal operations, and legal teams can play a key role in enabling and supporting CSR initiatives. By ensuring that legal operations are conducted in a responsible and ethical manner, providing legal guidance and advice, promoting transparency and accountability, and supporting the company’'s overall CSR strategy, legal teams can help drive sustainable growth and create long-term value for stakeholders.

Governance through a CSR lens

Corporate social responsibility (CSR) and corporate governance are closely related, as both are focused on ensuring that companies operate in a responsible and ethical manner. In this section, we’ll explore the relationship between CSR and corporate governance, and provide some examples of how governance can support CSR initiatives.

Corporate governance is the system of rules, practices, and processes by which a company is directed and controlled. Good corporate governance is essential for ensuring that companies operate in a responsible and ethical manner, and that they are accountable to stakeholders.

CSR is an important component of corporate governance, as it ensures that companies take into account the social and environmental impact of their operations. By implementing CSR initiatives, companies can demonstrate their commitment to ethical behavior and corporate citizenship, and enhance their reputation with stakeholders.

One example of how governance can support CSR is through the establishment of a board-level CSR committee. This committee is responsible for overseeing the company’s CSR strategy and ensuring that it aligns with the company’s values and goals. The committee can also provide guidance on how to address any legal or ethical issues that arise, and ensure that CSR initiatives are effectively communicated to stakeholders.

Another example of how governance can support CSR is through the establishment of a code of conduct or ethics policy. This policy sets out the company’s standards for ethical behavior, and provides guidance on how employees should behave in various situations. The policy can also include provisions that require suppliers and vendors to adhere to the company’s CSR policies and standards.

Finally, governance can support CSR through the establishment of reporting and disclosure requirements. By requiring companies to disclose information on their CSR initiatives and performance, stakeholders can make informed decisions about the companies they choose to invest in or do business with. This can help incentivize companies to prioritize CSR initiatives and enhance their reputation with stakeholders.

In summary, corporate governance is an essential component of CSR, as it ensures that companies operate in a responsible and ethical manner. By establishing a board-level CSR committee, a code of conduct or ethics policy, and reporting and disclosure requirements, companies can demonstrate their commitment to CSR and enhance their reputation with stakeholders.

Building CSR into legal operations can be a daunting task, but with a strategic approach, it can be achievable. In this section, we’ll provide a strategy for how in-house legal teams can build CSR into their legal operations.

1. Identify CSR goals and values

The first challenge lies in identifying which areas of sustainability need the most attention from the legal department.

The first step in building CSR into legal operations is to identify the company’s CSR goals and values. This requires a thorough understanding of the company’s mission and values, as well as its impact on stakeholders and the environment. The legal team can then align its operations with these goals and values, and identify opportunities to support CSR initiatives.

2. Develop a CSR policy

The legal team should develop a CSR policy that outlines the company’s commitment to CSR and provides guidance on how to integrate CSR into legal operations. The policy should include provisions that require legal team members to consider the social and environmental impact of their work, and provide guidance on how to address any legal or ethical issues that arise.

3. Establish a CSR committee

The legal team should establish a CSR committee that is responsible for overseeing the company’s CSR strategy and ensuring that it aligns with the company’s goals and values. The committee can also provide guidance on how to address legal or ethical issues that arise in legal operations, and ensure that legal team members are trained on CSR issues.

4. Review contracts and agreements

The legal team should review all contracts and agreements to ensure that they align with the company’s CSR goals and values. This includes ensuring that suppliers and vendors are required to adhere to the company’s CSR policies and standards, and that contracts include provisions for ethical behavior.

5. Provide CSR training

The legal team should provide CSR training for all legal team members, including training on the company’s CSR policy, legal requirements related to CSR, and how to integrate CSR into legal operations. This training can help ensure that legal team members are aware of the company’s CSR goals and values, and have the skills and knowledge necessary to support CSR initiatives.

6. Monitor and report on CSR performance

Finally, the legal team should monitor and report on the company’s CSR performance, and provide regular updates to the CSR committee and other stakeholders. This can help identify areas where the company can improve its CSR performance, and demonstrate the company’s commitment to CSR to stakeholders.

In summary, building CSR into legal operations requires a strategic approach that includes identifying CSR goals and values, developing a CSR policy, establishing a CSR committee, reviewing contracts and agreements, providing CSR training, and monitoring and reporting on CSR performance. By following this strategy, in-house legal teams can build CSR into their legal operations and demonstrate the company’s commitment to ethical behavior and corporate citizenship.

If you’re finding this newsletter valuable, share it with a friend, and consider subscribing if you haven’t already.

A few examples to inspire your CSR initiatives

To offer a little inspiration for your own CSR initiatives, here are some real-world examples of companies making a positive impact through their social responsibility programs.

Bates Wells

Bates Wells is a law firm that focuses on social impact, and their work showcases a strong commitment to CSR. The firm provides legal services to charities, social enterprises, and businesses that prioritize social impact. Bates Wells is a certified B Corp, which means that they meet rigorous social and environmental standards, and have a positive impact on their clients, employees, and the wider community. The firm also has a Pro Bono Program, which provides free legal advice to charities and social enterprises. Additionally, Bates Wells has a Diversity and Inclusion strategy, which aims to create a more diverse and inclusive workplace. By prioritizing social impact, Bates Wells sets an example for other law firms and shows that businesses can be profitable while also making a positive impact on society.

Ecosia

Ecosia is a search engine that plants trees with its advertising revenue. Their CSR program is built around their commitment to fighting climate change and reforestation efforts around the world. Since 2009, the company has planted over 170 million trees and funded projects in more than 30 countries. Their dedication to environmental causes has earned them a B Corp certification and recognition as one of the world’s most innovative companies. By using Ecosia as a search engine, individuals and businesses can contribute to their CSR efforts and help make a positive impact on the planet.

Tier

Tier is a micro-mobility company that is committed to sustainability and social responsibility. They have several initiatives to reduce their environmental impact, such as using renewable energy sources and electric vehicles in their operations, and working to make their vehicles more recyclable. They also have programs to improve safety and accessibility in the communities in which they operate and to promote public health by encouraging active transportation.

Robson Laidler

Robson Laidler is a UK-based accounting firm committed to making a positive impact on its clients, community, and the environment. The company is recognized as a B Corp and donates 5% of its profits to its own Community Fund for charitable causes in the North East of England. It partners with Buy1Give1 to support a variety of sustainable development projects worldwide, including access to clean water, medical support, education, and nourishing meals.

Phi Capital Investments Limited (SimplyPhi)

Phi Capital Investments Limited is a UK-based asset management firm that is committed to sustainable and responsible investing. The company aims to create value for its clients by investing in companies that have a positive impact on society and the environment, while also delivering competitive returns. Phi Capital Investments Limited has a rigorous investment process that takes into account environmental, social, and governance (ESG) factors. The company also engages with the companies in which it invests to encourage them to adopt sustainable practices.

Summary

CSR is an essential aspect of modern business practices, encompassing a company’s ethical, social, and environmental responsibilities. It’s a framework for building a sustainable business model that creates long-term value for all stakeholders. By embracing CSR, companies can enhance their reputation, reduce risks, and build a more resilient and successful business.

Newton delivers an easy and intuitive platform to manage and automate your legal entities’ information, governance, and compliance. If your entity management processes are currently creating friction for your team (which they are for many), be sure to get in touch to explore how Newton can help you have everything you need to be in control of your entity portfolio.

About this article

Sources

Harvard Business School (2021). 15 Eye-opening corporate social responsibility statistics
Harvard Business School (2021). Types of Corporate Social Responsibility To Be Aware Of
Robson Laidler (2023). Impact
Ecosia (2023)
Tier (2023)
Simply Phi (2023)
Bates Wells (2023)
EY (2022).The General Counsel Imperative: How the law department is key in unlocking your sustainability strategy

Images

Featured Image: Photo by Gabriel Jimenez on Unsplash
Featured CTA blog post: Photo by Jurica Koletić on Unsplash / Photo by Christina @ wocintechchat.com on Unsplash

Published by Steph Smith in Corporate Governance
Tags: Corporate Social Responsibility, CSR, Examples
Featured Image

March 17, 2023

Five best practices for Legal Project Management

With an ever-increasing focus on efficiency and cost-effectiveness, in-house legal needs need to be well-versed in effective legal project management. Here's how.

Dear Legal Ops!
Welcome to this week’s Let’s talk about Legal Ops, offered by Newton. We tackle corporate legal departments, speed up processes, and career growth. Please send us your questions; in return, we come back with real insights and actionable tips.
If you find this post valuable, don't miss the chance to check out our latest posts.

Subscribe to get access to more posts like these!

Legal project management is a critical skill for almost all members of an in-house legal team. With an ever-increasing focus on efficiency and cost-effectiveness, it's essential to have a solid understanding of project management principles and how they apply to legal in a business context.

But what skills are needed for legal project management? And what are the best practices that successful legal project managers use to ensure success? In this blog, we dive into these questions and more, exploring the top five best practices for effective legal project management.

We'll also share insights from an interview with a Legal Project Management Administrator, giving you a real-world perspective on what it takes to excel in this crucial role. If you want to start with the foundations, check out our blog on what legal project management is here.

In this article, we will cover the following:

Legal project management (LPM) is the application of project management principles and techniques to legal projects. The concept has gained significant traction in recent years, particularly in the corporate legal world, where in-house legal teams are being asked to do more with fewer resources.

LPM aims to improve the efficiency and effectiveness of legal work by breaking it down into manageable, clearly defined tasks and assigning responsibilities and deadlines to each task.

By doing so, legal professionals can better manage their workload, reduce the risk of missed deadlines, and ensure that all stakeholders are kept informed and updated on the progress of the project.

Building legal project management skills is essential for in-house legal professionals to be able to navigate the complexities of the legal landscape and provide high-quality legal services to their companies. The benefits of developing these skills extend beyond just increased efficiency; it also helps legal professionals to better understand the business context in which their work is being done and to align their efforts with broader organizational goals.

In-house legal teams that are adept at legal project management are better equipped to manage competing priorities, deliver projects on time and within budget, and provide value-added legal services to their organizations. They are also better positioned to communicate effectively with their internal clients, understand their needs and objectives, and provide strategic advice and support that can help drive the desired business outcomes.

In short, legal project management skills are critical for in-house legal professionals who want to excel in their roles and contribute meaningfully to their organizations. Developing these skills requires a combination of training, practice, and the use of tools and technologies that can help streamline legal work processes and make it more manageable and predictable.

Effective legal project management requires a unique set of skills that combine legal knowledge and project management expertise. There are five key skills that are required to execute effective LPM in an in-house environment.

Obviously, in-house legal teams need a strong understanding of the law and legal procedures to effectively manage legal matters. This includes knowledge of relevant regulations, case law, and legal precedents. Legal expertise also includes the ability to analyze legal issues, identify potential risks, and develop strategies for mitigating these risks.

2. Project management skills

To effectively manage legal matters, in-house legal teams need to develop project management skills, such as planning, scheduling, budgeting, and risk management. This includes identifying project goals, defining scope, allocating resources, and tracking progress towards milestones.

3. Communication skills

Project managers spend between 70-90% of their time on communications.

Effective communication is critical for successful LPM. In-house legal teams need to be able to communicate clearly with internal clients, outside counsel, and other stakeholders to ensure that everyone is on the same page. This includes listening actively, asking questions and providing regular updates on project status.

4. Analytical skills

In-house legal teams need to be able to analyze data and information to identify trends, patterns, and potential issues. This includes the ability to synthesize complex information, identify key insights, and make informed decisions based on this information.

5. Leadership skills

Effective LPM requires strong leadership skills, including the ability to inspire and motivate team members, set clear goals, and hold team members accountable for meeting project objectives. Leadership also includes the ability to make difficult decisions, manage conflicts, and build strong relationships with internal clients and other stakeholders - a quality that is becoming increasingly important as the business landscape continues to present challenges in the face of a harsh economic climate.

By investing in these skills, in-house legal teams can improve their effectiveness, reduce costs, and better meet the needs of their organizations.

There are several best practices that can help improve legal project management. Here are the top five.

Develop a project management plan

Developing a project management plan includes setting clear project objectives, defining project scope, identifying key milestones, allocating resources, and establishing a project timeline. By having a plan in place, in-house legal teams can better manage legal matters and stay on track.

Capitalize on technology

Technology can be a valuable tool for improving LPM. There are many software programs available that can help with project management, communication, and collaboration. For example, project management tools like Asana, Trello, or Jira can help track progress and manage tasks, while communication tools like Slack or Microsoft Teams can help team members stay connected and informed. You will also want to explore legal technology tools to better manage your legal matters, such as Newton for your legal entity management.

Optimize collaboration

Communication and collaboration are both important aspects of successful LPM. In-house legal teams should establish clear lines of communication with internal clients, outside counsel, and other stakeholders. This includes regular check-ins, progress updates, and feedback sessions. By fostering communication and collaboration, in-house legal teams can improve efficiency, reduce errors, and deliver better results.

Monitor progress and be agile

Monitoring progress and making adjustments as needed is essential. In-house legal teams should regularly track progress towards project milestones, evaluate project performance, and make adjustments as necessary. This includes identifying potential risks and developing contingency plans to mitigate those risks.

Measure success

Measuring the success of LPM is important for continuous improvement. In-house legal teams should establish clear metrics for evaluating project performance, such as time-to-completion, budget, and stakeholder satisfaction. By measuring success, in-house legal teams can identify areas for improvement and implement changes to optimize LPM.

Understanding the theory behind LPM is critical, but how do these skills and best practices translate into a real business context? David Kearney is a Legal Project Management and Pricing Administrator at Dentons Cohen & Grigsby, and he has been kind enough to share his insights with us.

With a technology management background, David was introduced to the world of LPM when he was involved with the application of project management practices to legal teams.

To strengthen the argument for LPM, David shared a simple example.

“If you’re fighting a case with a $1,000,000 win and you’ve already spent $1,000,000, you know this doesn’t make sense. You're spending more to defend a case than you actually are going to win.

In this example, legal project management and understanding the scope of work is going to dictate how to tackle the case. We know that the client can only spend X amount on this particular matter and if we start running up hourly billing that exceeds that win, it may not be worth it to the client.

Employing legal project management means you will have an understanding of the scope prior to the project and, with this, you know how to best manage that project.”

Over the years, David has noted several key learnings. Here are a few.

Collaboration with your internal clients

David emphasized the importance of collaboration for effective LPM. He explained that when embedding LPM principles in a business, transparent and collaborative communication is key to achieving the right results. For legal professionals working in a business context, you will first need to identify the true goals that your clients want to achieve and then work closely with them to achieve these objectives.

They want good communication. They want alignment between their company and their outside counsel. They want transparency and, overall, they want collaboration.

A focus on predictability

Following the 2008-2009 crisis, the need to better control costs and increase predictability better became apparent. The current economic climate and business landscape has only reinforced this. During challenging times such as these, law firms are asked to reduce and better control costs - and, nowadays, this translates into an in-house legal context too. This need for predictability, as David explained, is something project management principles can significantly support with.

Internal clients generally know what outcomes they are expecting - but oftentimes these are not clearly communicated. It is the responsibility of the in-house legal team to challenge for clarity on desired goals as well as to use the business and legal intelligence that’s available internally to predict the direction and define the scope of projects. This is how LPM can be very impactful when it comes to predictability, helping to define a solid plan as far as pricing and the development of scope if concerned.

The importance of a robust tool

It’s likely that legal professionals working inside companies have a degree of exposure to business tools. From David’s experience, effective LPM relies on a simple but robust project management tool that includes status updates, communication, document sharing, and more. He emphasizes the importance of having a central location where you can go and get that information on a particular matter.

If you’re finding this newsletter valuable, share it with a friend, and consider subscribing if you haven’t already.

Summary

In conclusion, legal project management is essential for in-house legal teams to manage their workload and deliver high-quality legal services to their organizations. By adopting best practices in legal project management, legal professionals can improve their efficiency and effectiveness, align their efforts with organizational goals, and provide strategic advice and support.

Legal project management is a critical skill set for in-house legal teams looking to provide high-quality legal services to their organizations. By developing these skills and best practices, legal professionals can become more effective in their roles and make a meaningful contribution to their company's success.

Legal project management means ensuring the effective management of all legal matters. Newton delivers an easy and intuitive platform to manage and automate your legal entities' information, governance, and compliance. If your entity management processes are currently creating friction for your team (which they are for many), be sure to get in touch to explore how Newton can help you have everything you need to be in control of your entity portfolio.

About this article

Sources

Legal Project Management (2019). Who is best placed to act as legal project manager?

Image

Featured Image: Photo by ThisisEngineering RAEng on Unsplash
Featured CTA blog post: Photo by Jurica Koletić on Unsplash / Photo by Christina @ wocintechchat.com on Unsplash

Published by Steph Smith in Legal Ops
Tags: Best Practices, Examples, Legal Project Management, LPM
Featured Image

March 10, 2023

What is Legal Project Management?

The legal profession is constantly evolving. This blogs explores what legal project management is and the impact it can have on legal operations.

Dear Legal Ops!
Welcome to this week’s Let’s talk about Legal Ops, offered by Newton. We tackle corporate legal departments, speed up processes, and career growth. Please send us your questions; in return, we come back with real insights and actionable tips.
If you find this post valuable, don't miss the chance to check out our latest posts.

Subscribe to get access to more posts like these!

The legal profession is constantly evolving, and legal project management is a relatively new concept that has emerged in recent years. Legal project management involves applying project management principles and techniques to the practice of law. The goal is to manage legal matters in a more organized and efficient way, which can lead to better outcomes for clients, increased profitability for law firms, and improved job satisfaction for legal professionals. In this blog post, we'll explore what legal project management is and the impact it can have on legal operations. You can can also explore the best practices involves on our blog here.

In this article, we will cover the following:

Legal project management (LPM) is a growing discipline in the legal industry that focuses on applying project management principles and practices to the delivery of legal services.

LPM is the application of project management methodologies to legal matters, with the goal of improving efficiency, reducing costs, and enhancing the quality of legal services provided.

Legal project management originated in response to the increasing pressure on law firms to deliver legal services more efficiently and cost-effectively. The legal industry has traditionally been slow to adopt new technologies and methodologies, but as clients demanded more transparency and accountability in their legal services, law firms recognized the need for more efficient and effective project management practices - and this is now translating into an in-house context.

In the early days of LPM, individual lawyers were responsible for managing their own cases, with little coordination or collaboration between different teams or groups. However, as the legal industry has become more complex and specialized, both law firms and in-house teams have realized that effective project management is essential for delivering high-quality legal services.

Today, legal project management has become a critical part of the legal industry, with some legal departments even recruiting dedicated LPM professionals and integrating project management practices into their everyday operations. By applying project management methodologies to legal matters, legal teams can better manage their resources, optimize their workflows, and deliver legal services more efficiently and cost-effectively.

Over half of lawyers believe the optimization of workflows and project management is a “high priority”.

As an in-house legal team, you are responsible for managing a wide range of legal matters and ensuring that your company is in compliance with all applicable laws and regulations. LPM can be a powerful tool for improving your team's efficiency and effectiveness and can help you better meet the needs of your internal clients.

Here are a few reasons why legal project management is so important for in-house legal teams:

Cost savings

By using project management methodologies to manage legal matters, you can reduce the amount of time and resources needed to complete each project, which can lead to significant cost savings. With LPM, you can more effectively allocate your team's resources, streamline your workflows, and avoid unnecessary delays or rework.

Improved communication

Effective communication is critical for success in any project, and legal matters are no exception. LPM can help ensure that all team members are on the same page, and that everyone has a clear understanding of their roles and responsibilities. By improving communication, you can reduce misunderstandings and ensure that all parties are working towards the same goal.

Increased accountability

With LPM, you can establish clear goals and timelines for each legal matter, and hold team members accountable for meeting these targets. This can help ensure that projects stay on track and everyone is working towards a common objective.

Better risk management

Legal matters often involve complex and potentially risky issues, and effective risk management is critical for minimizing the potential impact on your organization. With LPM, you can identify potential risks early on, and develop strategies to mitigate them before they become major issues.

Improved client satisfaction

Ultimately, the goal of any in-house legal team is to provide high-quality legal services to internal clients. By using LPM to better manage legal matters, you can improve your team's efficiency and effectiveness, and deliver better results to your clients.

If you’re finding this newsletter valuable, share it with a friend, and consider subscribing if you haven’t already.

As we’ve discussed, LPM involves applying project management principles and practices to the delivery of legal services. To ensure projects are completed on time, within budget, and to the satisfaction of internal clients, there are a few key components to consider.

Planning

The first step in any legal project is to develop a plan. This involves identifying the scope of the project, setting clear goals and objectives, and developing a timeline and budget. With a clear plan in place, you can better allocate resources, manage expectations, and ensure that everyone is working towards a common goal.

Budgeting

Legal matters can be expensive, and effective budgeting is critical for managing costs and avoiding surprises. By developing a detailed budget that takes into account all relevant expenses, including outside counsel fees, you can better manage costs and avoid overspending.

Communication

Effective communication is critical for success in any legal matter, and LPM can help ensure that everyone is on the same page. This includes establishing clear channels of communication, setting up regular check-ins and status updates, and making sure that all team members have the information they need to do their jobs effectively.

During an interview with Newton, Legal Service Delivery Expert Ignaz Fuesgen shared his thoughts on the importance of establishing a “common language” to improve cross-functional collaboration.

We place the human being at the centre of our process design and execution, a philosophy borrowed from design-thinking. A “common language” means understanding each party’s preferences for sharing and receiving information. Technology and processes are enablers of such a legal service delivery process, not more but also not less.

Risk management

Legal matters often involve complex and potentially risky issues, and effective risk management is critical for minimizing the potential impact on your organization. With LPM, you can identify potential risks early on, develop strategies to mitigate them and keep stakeholders informed of any potential issues.

Monitoring and reporting

To ensure that projects stay on track, it's important to establish a system for monitoring progress and reporting on results. This includes tracking milestones and deadlines, identifying potential bottlenecks or areas of concern, and providing regular updates to stakeholders.

So, legal project management involves a range of tasks and activities, including planning, budgeting, communication, risk management, and monitoring and reporting. By ensuring you give focus to these components, you’ll be able to better deliver your legal workload, manage costs effectively, improve communication, and deliver better results to internal clients.

LPM can be applied to a wide range of legal matters, regardless of their size or complexity. Below, we explore a few examples of legal matters that can benefit from LPM.

Litigation

Litigation can be one of the most complex and time-consuming legal matters for in-house teams, and effective project management is critical to increasing the likelihood of success. By using LPM, you can develop a clear plan for managing the litigation process, including setting timelines for key milestones, managing discovery, and coordinating with outside counsel.

Regulatory compliance

Compliance with regulations and laws is critical for every organization, and effective project management can help ensure that your compliance efforts are on track. This includes developing a plan for managing compliance, setting clear goals and timelines, and monitoring progress to ensure that your organization remains in compliance.

Contract management

Contracts are a critical part of many legal matters and effective contract management can help ensure that your organization is getting the most out of its contracts and business relationships while minimizing risk. With LPM, you can develop a clear plan for managing the contract lifecycle, including negotiating and drafting contracts, monitoring compliance, and managing disputes.

Mergers and Acquisitions

Mergers and acquisitions are also among some of the most complex legal matters, and LPM can help not only ensure the smooth running of the project but also the success rates of the transition. This includes developing a plan for managing due diligence, coordinating with outside counsel, and managing the integration process after the deal has closed.

Intellectual property

Intellectual property (IP) is a critical, valuable asset for many organizations and effective LPM can help ensure that your organization is protecting its IP rights. This includes developing a plan for managing the IP portfolio, monitoring for infringement, and managing disputes.

Legal project management has a significant impact on legal operations. There are several key benefits of LPM on legal ops.

Increased efficiency

By using project management techniques, in-house legal teams can streamline legal processes and improve efficiency. LPM helps to identify and eliminate bottlenecks, reduce errors, and ensure that legal matters are completed on time and within budget.

Better cost management

LPM can help in-house legal teams to manage costs more effectively. By setting clear project budgets, tracking expenses, and identifying potential cost savings, legal teams can better manage their budgets and reduce unnecessary spending.

Improved communication and collaboration

43% of lawyers believe the optimization of communication with the business as a high priority.

Effective communication and collaboration are essential for successful LPM. By establishing clear lines of communication with internal clients, outside counsel, and other stakeholders, in-house legal teams can ensure that everyone is on the same page and that legal matters are managed effectively.

Increased stakeholder satisfaction

By setting clear project objectives and expectations, and communicating regularly with stakeholders, in-house legal teams can build strong relationships with internal clients and improve their satisfaction with legal services.

Better risk management

By developing risk management strategies and contingency plans, legal teams can reduce the likelihood of legal disputes and other issues, and ensure that legal matters are managed in a proactive and effective manner.

Summary

Legal project management is a critical tool for in-house legal teams looking to improve their efficiency, effectiveness, and client satisfaction. By adopting project management methodologies, legal departments can streamline your workflows, reduce costs, improve communication, and better manage risks, ultimately leading to better outcomes for your organization.

Legal project management means ensuring the effective management of all legal matters. Newton delivers an easy and intuitive platform to manage and automate your legal entities' information, governance, and compliance. If your entity management processes are currently creating friction for your team (which they are for many), be sure to get in touch to explore how Newton can help you have everything you need to be in control of your entity portfolio.

About this article

Sources

Legal Project Management (2019). Who is best placed to act as legal project manager?
Law Vision (2022). The Latest Trends and Data Points on Legal Project Management.
Deloitte (2019). Legal Project Management has finally made its way into German in-house legal departments.

Image

Featured Image: Photo by Christina @ wocintechchat.com on Unsplash
Featured CTA blog post: Photo by Jurica Koletić on Unsplash or Photo by Christina @ wocintechchat.com on Unsplash

Published by Steph Smith in Wiki
Tags: Benefits, Definition, Examples, Legal Project Management, LPM, Outcome
newton_quer_invers

Flexible workflows for Legal Entity Management

SOLUTIONS -
coming soon

Corporate Governance

VCs & Venture Backed Companies

PEs and REITs 

Trust Companies

Startup

Business

Enterprise

© Newton 2023. All rights reserved. 

newton_quer_invers

Flexible workflows for Legal Entity Management

SOLUTIONS - coming soon

Corporate Governance

VCs & Venture Backed Companies

PEs and REITs 

Trust Companies

Startup

Business

Enterprise

sjhgj

© Newton 2023. All rights reserved.