Corporate legal operations is no longer just about keeping the legal lights on. It's about driving the department like a well-oiled machine, using data-driven strategies to reduce costs, boost efficiency, and align perfectly with business goals. Think of legal operations professionals as the architects of the legal world, creating systems and processes that set their companies up for success. They navigate the often-choppy waters of legal landscapes to protect company interests while also paving the way for growth.
Legal operations has evolved significantly, driven by technology, alternative providers, and data-driven decision-making. Automation of high-volume tasks enhances productivity, while alternative providers bring specialized skills to the table. Today’s legal teams include roles like data analysts and technical architects, reflecting the demand for actionable insights from organizational data. These advancements enable legal teams to meet modern challenges with informed strategic advice.
People Operations and Strategic Planning
At the heart of any successful legal team is its people. Strategic planning in legal operations involves acquiring top talent, fostering a positive culture, and creating career frameworks that allow employees to grow. It’s about more than just filling seats—it's about finding professionals who not only excel in their roles but also embody the company’s values. A strong culture promotes collaboration and high performance, while clear career pathways align employee aspirations with the company's direction. By investing in diversity, equity, and inclusion, legal operations can better meet the diverse needs of their customer base, drive innovation, and enhance recruitment efforts.
Knowledge and Risk Management
In an age where information is king, managing legal knowledge and mitigating risk is crucial. Legal operations teams leverage technology to manage vast amounts of information efficiently, ensuring that they can provide timely and accurate advice. Risk management isn't just about reacting to crises; it involves proactive assessments and planning to ensure compliance with legal and regulatory standards. Tools like artificial intelligence and data analytics play a vital role in managing risks comprehensively, improving decision-making, and protecting the company’s interests.
Outside Counsel and External Initiatives
External partnerships are vital to any legal department. Legal operations teams are responsible for selecting the right outside counsel, negotiating contracts, and tracking performance to ensure value. These partnerships bring in specialized expertise that can scale with the company’s needs. Building relationships with educational institutions and industry groups not only aids recruitment but also boosts the company’s reputation. Standardizing the management of these partnerships ensures consistent and optimized value delivery.
Financial Planning and Spend Analysis
Money matters, especially in legal operations. Detailed budgeting, activity-based costing, and meticulous spend oversight are key to aligning legal objectives with financial responsibility. Legal ops teams use advanced analytics to gain granular visibility into all expenses, ensuring every dollar is accounted for. This financial rigor supports sustainable decision-making and helps the department remain accountable and transparent.
Technology and Data Analytics
Technology is the backbone of modern legal operations. From practice management software to contract lifecycle tools and e-discovery applications, technology streamlines key activities. Artificial intelligence can handle high-volume tasks like contract review, while virtual assistants manage routine requests. Data analytics provides visibility into performance, with dashboards that highlight volumes, outcomes, and trends, enabling continuous improvement.
Project Management and Practice Operations
Methodologies like Agile and Lean are becoming staples in legal operations, improving quality and productivity. Technology aids in task prioritization, resource allocation, and collaboration, while standard operating procedures ensure consistency. Effective project management and disciplined operations are critical for delivering enterprise value and making informed strategic decisions.
Essential Skills and the Future of the Legal Operations Profession
Success in legal operations requires a blend of legal expertise, business acumen, strategic thinking, and interpersonal skills. Professionals in this field understand both the legal landscape and corporate operations, using their vision and data insights to identify opportunities for improvement. By collaborating with diverse stakeholders, they build relationships that drive enterprise success, balancing efficiency with risk management.
The future of legal operations is exceptionally promising. The 2023 ACC Chief Legal Officer Survey highlights this rapid growth, revealing that more than six out of 10 legal departments (61%) employed at least one legal operations professional in 2023—a figure that has nearly tripled since 2015[1]. As businesses increasingly demand optimized legal services, the value of legal ops professionals skilled in emerging technologies like artificial intelligence and machine learning will continue to rise. By focusing on operational excellence and data-driven strategic advice, legal operations will play a crucial role in balancing legal obligations with business priorities, ensuring organizational resilience and growth.
Corporate legal operations are about much more than managing the day-to-day legal tasks. It's a strategic function that optimizes legal departments, balances compliance and cost, and drives business success through a focus on people, knowledge, risk, external partnerships, finance, technology, and disciplined operations. As the demand for efficient and effective legal services continues to grow, so too will the importance and influence of legal operations professionals.
Tom Stephenson is the Vice President of Community at Legal.io, spearheading operational and growth strategies through community engagement for the fastest-growing legal staffing & ALSP marketplace (60% FAANG & 200+ enterprise teams). His previous roles include Director of Legal Operations at Credit Karma and the first legal operations executive at Teladoc Health, where he played a key growth role while supporting the largest M&A transaction in virtual care history.
With over a decade of varied roles within the legal & tech industries, Tom has worked alongside global law firms, Fortune 500 corporations, technology startups, and alternative legal service providers to address issues impacting today's evolving corporate in-house and law firm workplaces. As the founder of the Dear Legal Ops podcast, he shares insights and fosters a sense of empowerment for the next generation of legal & tech professionals. A speaker at Harvard Law School and published author, Tom embodies a lifelong commitment to education, fostering the growth of emerging leaders, and sparking innovations across diverse industries.
Comments