Factors to consider when outsourcing legal works

in Legal

The American society is facing quite a number of challenges that involves management and survival over credit. Most businesses are considering outsourcing their non-core functions and in this day and age, even the legal department is thinking of making the most out of this trend.

It may not be an easy factor to decide whether to outsource legal functions. The current status of the economy is not making a great impact as well in the decision making. Hence, what standards would serve as a turning point in realizing outsourcing for legal work.

Overhead Costs - Make a comparative cost between retaining an in-house staff and outsourcing it to offshore legal providers. Primarily, you will need to calculate the benefits that are incurred for the former. This includes the basic salary, health insurance, leave pays, paid holidays and bonuses. If you are to sum up the annual costs of the company in this range, it would likely result in doubling the costs based on the basic salary. Of course, outsourcing is denied of such benefits and lowers the overhead cost.

Increased Efficiency - Since offshore outsourcing involves time differences, you can set the office into a round the clock working machine. During the day, lawyers can work on their case and note down other functions that need to be done. These notes shall be worked on by the third party and get the company up and running while the former enjoys a good night sleep. This would mean less requirement for time extension, moving cases at a rapid pace.

Better Morale - Every case would require preparation of deposition, research and briefing, strategy and document review. These are the aspects of the legal work that are not enjoyable, eating up too much time and energy. Outsourcing some of the non-core legal chores is ideal while the core activities can be managed by the company. In this light, the lawyer can spend more time for client calls and other strategies that can develop the firm better.  

Savings on Legal Fees - With the overhead costs reduced, it is easier to adjust the rate of legal services. It is honorable to consider the interest of the clients as well other than the company's. This would invite more clients which would be a product of word of mouth from satisfied clients.

Checking the Competition - For sure, outsourcing is not new to the legal industry. There are big law firms that are utilizing such trend to alleviate the pressure that most clients and such demands are giving them.

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Jheng has 1 articles online

Filipino Sourcing is an outsourcing solutions provider based in the Philippines dedicated to offer businesses and employers a variety of services, both full-time and part-time basis, from offshore staffing, project outsourcing to comprehensive and even large scale business operations.

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Factors to consider when outsourcing legal works

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This article was published on 2011/08/04