Is Your Firm using Technology To Maximize Growth?

We really appreciate the annual Wolters Kluwer Future Ready Lawyer survey and analysis. We find it to be unbiased and focused on the experience of today's law firms, and where they currently stand. One of the key findings, for the third year running, is law firms that adopt technology are more profitable than law firms that do not. Now that we have your attention, let's look at more of their findings. 

In the recent 2022 survey, they also found that the top issues facing law firms include:

• 88% expect Greater Specialization of Legal Services Offered by Firms;
• 85% expect Greater Collaboration and Transparency Between Firms and Clients; and
• 82% expect Greater Use of Technology to Improve Productivity.

For now, let's focus on those collaboration and technology adoption topics.

Client Requests

The findings put it best.

The changes brought about by the COVID pandemic 'brought the future to the present.' With no other choice, at least for many people, addressing their legal issues remotely became a requirement. As such, law firms had to quickly adapt, or face a decline in revenue or worse. Well, that trend has only accelerated. The future is now and clients want all the benefits they see in other service areas, from their healthcare portal to their children's school portals and beyond. Let's face it. The information is there. Giving it to the client through a secure portal is the first step. The second? Let them help resolve their legal issue. Give them the ability to collaborate.

We certainly aren't suggesting letting them draft a motion or anything. But giving them a way to upload any necessary documents, complete whatever assigned tasks you have identified, and provide prompt feedback on questions is key. After all, this is good for the firm too. Matters can be more efficiently handled, freeing up the law firm's time to actually practice law, not chase down documents or spend needless time on the phone. Certainly, some things require live interaction. In fact, those are needed for many reasons. But for the perfunctory processes, like document gathering, give the client the option. In fact, in the 2022 survey, 77% of law firm respondents stated they expect an increase in self-service by clients. The only way to achieve this is through technology. But remember, not all solutions are equal.

Looking further into the details of intensifying client expectations, law firms are looking for technology that supports firm operations, like managing the billing cycle, offers a CRM (Customer Relationship Management) to help manage the overall process of meeting potential clients and managing the process through to becoming a client, and greater efficiency overall. Many law firms adopted technology during the pandemic. But looking at the details, these were things like a shared online document, maybe using a cloud-hosted storage tool, or perhaps a time tracking tool. While these things helped, the data all lived separately. The right software gives the law firm all of the information in one place, with one login. And that's where efficiency is immediately improved. 

Technology Adoption

For years, law firms have been lagging in adopting technology. This year, the lack of technology experience and knowledge surpassed organization issues as the reason technology has not been adopted. While overcoming the challenges of law firm administration has not been solved, it is now a secondary issue. 

The reality is change is hard for many people. And technology adoption requires change. So no matter how good the software is, or how easy it is to learn and use, change is change. The trick? Find the software that adapts to your firm, a supplier that partners with your firm to make the process as easy as possible, and commit. It's not that different from adopting a new exercise program or any other change in your life. The first step is to commit.

But the need to adopt technology extends beyond the needs of the client and greater efficiency for the law firm. For staffing purposes, with issues created by the 'great resignation', technology is critical. In fact, the survey found that:

• 83% of attorneys say it's extremely important to work for a firm that uses technology;
• 92% say access to technology-enabled work processes is important; and
• 87% say a law firm offering technology to work remotely is very important.

If you need more reasons to adopt technology for your firm, well, there are plenty. Our favorite, which is now in its third year running, is law firms that adopt technology outperform in every area firms that are Transitioning in their use of technology. Importantly the survey found that law firms that are Technology Leaders are more profitable than others: 63% of Technology Leading firms report their profitability increased over the past year compared to 46% of other firms. 

We recommend reading the 2022 Wolters Kluwer Future Ready Lawyer Survey and committing to adopting legal technology that delivers on efficiency, client satisfaction, and ease of use, like SimpleLaw. Ready to chat?