The COVID-19 pandemic sped up various changes for law firms, which will have a lasting influence on their operations, culture, and how lawyers carry out their work.
The legal industry typically changes at a slower pace than other industries, but law firms had to make significant operational changes to minimize the pandemic’s impact on their associates.
The pandemic crisis caused by COVID-19 has entered its second year, and the insights gained from this struggle are now being implemented. Nevertheless, a major query remains: “What lies ahead for the world of work?”
Law firms have demonstrated remarkable flexibility by successfully working from both home and the office, implementing new processes and technologies to enable these changes.
These developments are projected to persist in pushing and reshaping workplaces rapidly. This encompasses client education, the uptake of technology, the merging of law firms, and pricing based on value.
Lawyers are anticipated to concentrate on their key strengths of offering knowledge, perspective, and customer service as legal tasks become more automated.
New ways of doing business are coming to light
Ian Jeffery, a law firm leader, is redesigning his future by creating new service lines and commercial ventures inspired by successful cases from his time at Lewis Silkin.
Jeffery states that creating a business plan for a professional service company involves addressing difficult questions about the services offered, target customers, differentiation, talent retention, location, and delivery platforms.
In early 2020, before the pandemic, these matters were very significant. But by the end of the year, the potential solutions have expanded rapidly.
Many companies innovated due to the shift in their identity, leading customers to be more inclined to purchase additional services from reliable legal professionals in their industries.
Companies’ progress in digital transformation is leading to new business opportunities and improved talent management as customer trust and the drive for better outcomes continue to grow.
To discover the challenge at hand, one must examine their business model and involve their team in decision-making.
Partnership, technological advancements, and global expertise
The UK Legal Market report by Thomson Reuters in 2021 highlights the future opportunities and challenges facing law firms.
- Corporate clients appreciate offices that prioritize building a reliable partnership and understanding their business operations. Nearly half of the surveyed companies indicated that committing to a long-term partnership is the key to providing additional value.
- In 2020, 42% of legal expenses in the UK were allocated to international matters, exceeding the worldwide average of 35%. Currently, 80% of corporate clients are actively seeking such services.
- Corporate legal departments seek companies offering innovative legal services that offer increased flexibility and value. Businesses are embracing these models more frequently due to customer needs, competition among legal service providers, and the aim to sustain adaptable work setups implemented during the pandemic.
- 86% of lawyers prefer to work on a hybrid model, combining remote and in-person work, and may consider leaving their firm if this option is not available.
- Law firms are increasingly focusing on technology and knowledge sharing platforms, with a majority of UK senior partners and corporate legal departments emphasizing the need for greater investment in technology.
Emphasize the law firm’s culture.
Law firms are prioritizing their teams’ interest in new work arrangements, such as the option to work from home part-time, necessitating leaders to establish an optimal hybrid model for their organization.
Younger lawyers and managers will face a more challenging transition with more significant consequences, as they have fewer established relationships and networks.
They face the possibility of losing training and guidance while working remotely as they become more independent.
Companies must evaluate if their Diversity, Equity, and Inclusion (DEI) efforts have been significantly impacted by the pandemic, with a decrease in these programs occurring as organizations focused on addressing the pandemic’s challenges, according to Clare Beresford, CEO of Lawrence Simons Search, a global legal recruitment firm.
Law firms are considering which work practices to keep and discard in a post-pandemic world, such as determining office hours for lawyers and the need for remote work, as well as deciding when in-person meetings are necessary and how to enhance customer relationships and operational efficiency through automation.
The legal field has the chance to make substantial changes in its operations, but this calls for a significant responsibility to progress efficiently and confidently.
It is crucial for companies to make decisions based on their principles and values, ensuring they prioritize doing what is ethical for their customers and colleagues, which will lead to the right choices almost all of the time.
Keep reading our blog to stay updated on all the latest news in the legal field.