Lawyers are ‘impatient’ as they wait for firms to invest in technology and innovation with just one in five (18%) saying their firm was ‘fast’ or ‘very fast’ at implementing new technology.
Nearly half (47%) said their firms was ‘slow’ or ‘very slow’ at implementing technology which had a knock on impact on the speed of delivery of legal work; with 35% saying their firm is ‘adequate’, ‘slow’ or ‘very slow’ at delivering legal work in general.
The data comes from the latest LexisNexis Legal & Professional report ‘Innovating the client experience: Law firms can offer much more than legal expertise’ which explores attitudes to the implementation of technology in the legal services sector.
The survey of 800+ legal professionals also identified many firms are being slowed down by sluggish systems and processes. When asked how quickly their firm conducts legal research, more than half (52%) of private practice lawyers rated their firm as adequate, slow or very slow. Drafting and reviewing legal documents was also considered a challenging area by many, with 45% saying their firm is adequate, slow or very slow.
On the in-house sides, in-house legal counsel will need their external counsel to be cost-effective (74%), responsive and agile (67%), and offer specialist legal expertise (44%), all of which require an investment in new technology and innovation.
Responding to change and making use of data and analytics are areas in need of greater innovation. Two-thirds (67%) of legal professionals said their firm is adequate, slow or very slow at responding to change, while more than half (58%) said the same about data and analytics.
As a potential solution, more than half (57%) of private practice lawyers expect their firms to become more reliant on AI for legal research and document review in the next one to three years, which could streamline processes say LexisNexis
The survey also revealed another potential downside in failing to invest in innovation is loss of talent. If a firm failed to embrace AI, a quarter (25%) of all lawyers said it would negatively impact their careers, and 11% said they would consider leaving. This escalated at larger firms, with one third (36%) of lawyers saying it would negatively impact their career, and one in five (19%) saying they would consider leaving. Stuart Greenhill, Senior Director of Segments at LexisNexis UK, commented:
“To remain competitive, firms will need to deliver a superior, data-driven legal service, at the same cost or lower, and at pace – and to keep clients informed of any legal or regulatory developments.
Achieving all this without the help of modern technology will be difficult. To secure client relationships, firms will need to invest in a streamlined, data-driven client offering.”
