Ours is a world of increasing specialization. The market has shifted towards providers who focus their efforts and resources toward a narrower area of expertise in order to deliver a higher level of excellence. These choose to cultivate a smaller but devoted clientele rather than provide a one-size-fits all offering that suits a wide array of clients but is otherwise undistinguished.
Just like many other businesses, the legal industry is no exception to this trend. As firms consolidate their capabilities into areas of specialization, many of them choose to outsource their more generalized processes and functions. This allows law firms to build their capabilities along their intended pathways, yielding a multitude of benefits. We at Record Retrieval Solutions have learned that law firms that outsource legal processes gain the following benefits:
Focus on core competencies
One of the key benefits of outsourcing is allowing firms to focus on their core competencies. Outsourcing the more clerical, rote, or repetitive activities to a third party will free up time, manpower, and resources that are better-allocated to those which contribute directly to a practice’s brand. For example, invoicing clients and compiling research for due diligence can be outsourced by a law firm specializing in class-action lawsuits. Doing so allows the firm to focus on preparation work specific to the lawsuit or to provide more personalized services.
Increased business opportunities
The increased capacity unlocked by outsourcing can also enable a firm to expand its clientele. By taking on a greater number of clients at a time, a firm increases its cash flow as well as expands its brand. It can also widen the scope of clients within a firm’s reach. Whereas in the past, logistical constraints held back all but the biggest and most well-resourced firms from taking on some major cases, these days the ability to outsource much of the rote legwork democratizes the bid for such cases.
Access to external talent
Most activities in the legal sector require a high level of specialization or expertise. Naturally, the recruitment and training efforts of most law firms should align with those skills considered most in-line with their core brand and area of specialization. However, for smaller firms, this means that a number of skill areas that don’t fall within this category but nonetheless come into play at some point in the legal process may not be covered in such depth.
Activities such as coding and document reviews can be done far more efficiently and to a higher quality if they are outsourced to a third party versus if they were done internally.
Reduced turnaround time
The above improvements in efficiency will, naturally, lead to quicker turnaround times for cases. What’s more, the distribution of case-related work across a wider workforce can enable non-interdependent activities to be progressed simultaneously, leading to productivity gains. Depending on which outsourcing agency is contracted, such as one in a different time zone, a law firm may even be able to keep productivity going around-the-clock, effectively extending their work day.
Advanced data security
Because they know the importance of keeping their clients’ personal data and case information strictly confidential, many legal outsourcing agencies have invested a considerable amount of money and resources into their data security capabilities. In many cases, the security features they have outstrip even the ones of their clients. Tight security is paramount in such areas as health insurance claims, bankruptcy, and taxation.
The benefits of outsourcing legal processes are many and profound. If you’re looking for experienced professionals who can provide reliable record retrieval solutions, contact us now.