Future-Proofing Your Law Firm: The Impact of Legal Technology
Last month, Luke Spurr, an Account Executive at Exizent, attended The Great Big Legal Offsite 2024, hosted by Hive Risk. The event focused on how to future proof your law firm. While speakers covered a variety of topics, a common theme was the use of technologies.
In an era where technology is integrated into every aspect of life, the legal sector is no exception. Legal technology (or ‘Legal tech’) encompasses a wide array of software and systems designed to streamline and enhance law firm operations. Embracing legal tech can be revolutionary for law firms, providing a range of significant benefits, including driving efficiency, improving competitive advantage, a higher client service, increased staff wellbeing/engagement and more.
In this article, Luke explores how correctly integrating legal technology can help future-proof your law firm and probate / estate administration department.
Enhancing Efficiency
Legal tech shines in a plethora of areas, one of which being document automation and an extremely tangible benefit of document automation is an increase in efficiency. Laborious tasks, such as drafting Estate Accounts, which once took hours can now be automated in seconds with the use of the correct tech. Reducing time spent on administrative work will allow lawyers to focus on more complex matters while servicing more clients – a clear and obvious win win.
In addition to this, legal tech can impact business continuity and efficiency around administrative tasks. Digital case management systems ensure that all relevant documents and information are easily accessible, allowing for smooth transitions when cases are handed over between colleagues or when collaboration is needed. Cloud-based platforms, such as Exizent, specifically designed for probate and tax professionals in the UK, enable seamless collaboration among team members, regardless of location, ensuring that casework can continue uninterrupted.
Legal tech helps to reduce the risk of errors while simultaneously allowing a firm to take on more business. By having one source of truth, the risk of human error in data entry is dramatically reduced and the accuracy of data is increased.
Exizent has multiple pieces of functionality which support this. Our cloud-based software instantly automates Court and IHT Forms and Estate Accounts to STEP guidelines. Our clients save upwards of 3 hours per file while dramatically reducing the risk of mistakes due to our one source of truth approach and error checking capability embedded throughout the system.
Gaining a Competitive Advantage
In the competitive legal landscape, staying ahead of the curve is crucial. While the number of firms in the UK is gradually decreasing (which incidentally is clear evidence of why future proofing your firm is essential) gaining a competitive edge is paramount. More firms are offering additional services, such as the administration of estates, and clients are expecting more.
Firms that adopt legal tech can offer services that are faster, more accurate, and often more cost-effective. By leveraging these technologies, law firms can position themselves as innovative and forward-thinking, attracting clients (and lawyers) who resonate with these qualities. As mentioned previously, servicing clients faster will free up fee-earner’s time, allowing them to take on more business and create long lasting relationships.
Maintaining a stellar reputation is crucial for a firm to thrive, as it significantly impacts its ability to build trust and credibility with clients. Trust is fundamental in legal services, where clients need to feel confident in their representation. A strong reputation enhances credibility, highlighting the firm's expertise, reliability, and successful track record. This, in turn, fosters brand advocacy, with satisfied clients more likely to recommend the firm to others or re-instruct. Ultimately, this feeds into a firm’s ability to differentiate from its competitors and stand out in a crowded world.
Improving Client Service
Client expectations are evolving. Simply providing the requested service is no longer enough and law firms must therefore adapt to meet these demands. Getting client service wrong can carry huge consequences for a firm. Whether this be the loss of a client, erosion of trust or damaging it’s reputation.
Legal tech enhances client service. Client portals, case management systems and more improve communication, transparency, and accessibility. Client portals provide a secure platform for clients to access case updates, documents, and billing information at any time.
By making legal services more accessible and responsive, law firms can build stronger client relationships, enhance client satisfaction and gain a competitive edge.
Boosting Staff Wellbeing and Engagement
The wellbeing and engagement of a firm’s staff is key to its success and the future proofing of a firm. As firms expand and develop, leaders need to be thinking about succession and their exits, leading to questions of who will carry on driving the firm forward. Therefore, a robust team is paramount.
A recent study found that 69% of lawyers experienced mental ill-health in a 12-month period and a separate study, by Oxford University, found that happy workers are 13% more productive. Legal tech can play a significant role in both mental health and happiness. For example, reducing stress and burnout by automating time-consuming tasks and providing tools that make work more manageable.
Wellbeing is more important than ever and technology can help. Software, such as Exizent, can aid collaboration on files, reduce laborious tasks, support remote working and more, which will make work more fulfilling and in turn boost staff morale and retention.
Conclusion
It is clear we are in the technology age and as the legal industry continues to evolve, the adoption of legal tech will become increasingly essential. Firms that embrace these technologies will not only improve their current operations but also position themselves for long-term success.
Future-proofing your law firm is multifaceted and legal tech is just one consideration. Doing this should not be reactive or about staying relevant; it’s about proactively seeking solutions to differentiate your firm and offer a better client experience. By leveraging the power of legal tech, law firms can navigate the challenges of today and seize the opportunities of tomorrow, ensuring a prosperous future for their practice.
Luke Spurr, Account Executive at Exizent