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04 November 2010
Issue: 7440 / Categories: Legal News
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Outsourcing rise

Nearly one in six law firms is now outsourcing part of its business functions and demand is likely to rise when new entrants join the legal services market next year.

Some 57% of the top 200 law firms outsource some business functions, mainly technology and administrative services, according to a survey commissioned by DDC Outsourcing Solutions, 38% use specialist companies for their IT functions, and 29% outsource some or all of their typing or copying work.

Law firms cited cost and reputation as the two most important factors when selecting an outsourcing partner. Some 62% of law firm partners taking part in the research said they prefer to outsource within the UK rather than overseas.

“Although this survey only provides a snapshot of a large and complex sector, there was interestingly no direct correlation between the size of law firms and their appetite for outsourcing,” said Mark Smith, commercial director of DDC Outsourcing Solutions.

“In fact, small firms are just as likely to outsource as large practices.”
Smith said he expected demand to rise when new businesses enter the legal market next October under the Legal Services Act reforms.

“Faced with the prospect of increased competition, law firms are under pressure to commoditise their products—especially those seeking to attract outside investment. Those who insist on keeping everything in-house could soon find themselves outgunned on price and service.”

 

Issue: 7440 / Categories: Legal News
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MOVERS & SHAKERS

HFW—Nelson Wang

HFW—Nelson Wang

HFW strengthens global insurance practice and Greater China offering with London Partner hire

Burges Salmon—David McEwing

Burges Salmon—David McEwing

Burges Salmon boosts Energy and Utilities practice with appointment of David McEwing

Browne Jacobson—Alexander Studholme

Browne Jacobson—Alexander Studholme

Browne Jacobson adds international construction arbitration partner in London push

NEWS
Law firm trainees are choosing US firms over their UK comparators, according to Chambers’ annual report on UK trainee satisfaction
A former senior judge has warned peers against scrapping juries for fraud and financial crimes, ahead of the Courts and Tribunals Bill’s second reading in the House of Lords this week
Civil practitioners face changes spanning debt recovery, workplace harassment and possession claims, alongside guidance on insolvency challenges and children proceedings

Finding matrimonial wealth is as challenging as dividing it, as family disputes draw practitioners into asset tracing, offshore structures and insolvency

Agreement between opponents offers no guarantee that a court will approve a retrospective increase to a costs budget
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