WARNING: This Case Study is completely fictional. But it could be about your organisation. Find and replace with Company Beta.
In today’s business landscape, organisations are seeking innovative ways to optimise legal operations while reducing costs. Businesses and legal departments are increasingly working with Alternative Legal Service Providers (ALSPs) to provide support. Explore how Company Beta harnessed ALSPs to cut legal expenses and achieve significant efficiencies.
Background:
Company Beta is your organisation. Your key challenges include:
- Dispersed Business: Company Beta operated across multiple regions, with its legal team dispersed and not always co-located with its business teams.
- Resourcing Challenges: Company Beta faced mounting costs and complexities when hiring in high-cost locations like London, Sydney, Hong Kong and Singapore as well as facing periodic head count freezes.
- Strategic Project Resources: Company Beta has several one-off projects in jurisdictions not covered by their team (investigations, restructurings, M&A), therefore need lawyers in those places who have local expertise and who can be the direct contact with business teams.
- Gaps in the Permanent Team: Dealing with parental leave or backfilling roles whilst replacements are recruited.
Solution:
Company Beta after a careful selection process, partnered with an ALSP known for delivering cost-effective, high-quality legal support.
Implementation:
- Global & Flexible Coverage: The ALSP strategically deployed experienced legal consultants across multiple regions in Asia-Pacific (APAC) and Europe. This addressed Company Beta’s varied resourcing challenges including providing geographical and expertise gaps for their one-off projects.
- Cost Management: Engaging the ALSP allowed Company Beta to control costs effectively. They adopted a fixed-rate payment model, facilitating proactive planning and the engagement of legal consultants for short durations during peak demand. Moreover, they leveraged consultants in cost-effective, remote locations whenever feasible.
Results:
- Continuity: Company Beta was able to maintain the legal department’s servicing of business needs with minimal interruption by engaging the ALSP to provide specialist resources as and when needed for specific projects, often on short term notice.
- Cost Savings: In first year of their ALSP partnership, Company Beta achieved a 40% reduction in personnel costs, notably when comparing the expenses of permanent staff versus engaging legal consultants, and even greater savings compared to engaging a law firm to undertake all the one-off project work.
Conclusion:
Company Beta’s case study demonstrates how engaging an ALSPs can lead to significant savings, remarkable ROI and business continuity for organisations facing daily operational challenges. By leveraging the expertise and scalability offered by ALSPs like KorumLegal, companies can achieve cost efficiencies, enhance legal operations, and allocate resources appropriately across core business activities and strategic projects, ultimately driving growth and profitability.
If you want to read some of our real case studies in terms of our people solution, visit our People Solution page.
For further information, please contact:
Natasha Norton, Korum Legal
Natasha.Norton@korumlegal.com
