5 Bold Predictions: The Future of The In-House Role by 2025
Donna McGrath
UK No 1 In-House Lawyer Leadership Strategist & Career Coach ?? Transforming Unheard, Overwhelmed, Frustrated IHL Lawyers & Teams ?? Regain Time & Control & get a Leading Seat at the Top Table ?? Best Selling Author ??
As you will be aware, the legal landscape is undergoing a profound transformation, driven by various factors including technological advancements, cultural shifts, and the impact of recent events like the COVID-19 pandemic, the Post Office Cases & Rics Cases. I have been reading the recent KPMG 10 Predictions of the Change to the In-House Legal role for 2025 and together with my own observations from working with nearly 200 In-house Lawyers across multiple teams, I set out below my?predictions for change of the In-House Legal Role for 2025 (some / most are here).? I also set out? the challenges In-House Lawyers face to compliant with their regulatory requirements and to stay ahead of?competitors and to be relevant and impactful in their organsiations.? Then I give you a Solution on how you can take steps today to overcome these challenges.
So, I am diving right in.? My?5 Predictions of the changes to the In-House Legal Role are: ?
1. Legal Will Need to Lead:
The Post Office incident underscores the vital importance of legal teams taking proactive measures to navigate evolving landscapes. It serves as a poignant reminder of the repercussions when legal systems lag behind technological advancements and changing business practices.
In this notable case, errors within the Post Office's Horizon IT system led to wrongful accusations against subpostmasters for theft, fraud, and false accounting. The aftermath was severe, with reputations tarnished and lives disrupted. Such a scenario underscores the critical need for robust legal frameworks and diligent risk management in an era marked by rapid digital transformation.
In light of this, legal professionals must assume a leadership role, not merely reacting to change but actively shaping it. As stewards of justice and champions of ethical conduct, they bear a responsibility to anticipate and mitigate risks, especially concerning emerging technologies. By staying ahead of the curve, legal teams can help prevent future crises and uphold the integrity of their organisations and the individuals they serve.
The Post Office scandal serves as a sobering call to action for legal practitioners. It emphasises the necessity of foresight and diligence in navigating the complexities of a modern, technology-driven world. As we progress towards the future, the lessons learned from this incident must guide legal teams in their mission to ensure fairness and accountability in an ever-evolving landscape.
2. Move?From Defenders to Drivers ?- Data Gatherers:
Legal teams shift from a defensive to a proactive stance, contributing directly to financial results with measurable KPIs. Legal functions are experiencing a notable shift from traditional defenders of the business to more actively contributing to financial results. This transition is marked by the adoption of key performance indicators (KPIs) that gauge not only cost and risk mitigation but also contributions to revenue generation and enhanced customer experiences or renewals. This evolution is driven by a growing understanding within legal teams of the importance of capturing the "right data" to showcase their true value.
Advancements in technology are playing a crucial role in enabling this transformation, streamlining data collection and analysis to provide real-time insights into legal effectiveness and its impact on business outcomes. By leveraging these technological tools, legal professionals can delve deeper into the complexities of the business landscape while simultaneously identifying and managing potential risks.
A key aspect of this data-driven approach is the evaluation of the value generated by contract terms for businesses. Clients increasingly prioritise this metric as it allows them to tangibly demonstrate the benefits of their legal efforts to boards and executives. Contract Lifecycle Management (CLM) systems are becoming essential in this regard, offering visibility and insights into contract performance that empower business units to proactively manage contracts and drive revenue growth while mitigating risks.
As legal teams continue to accumulate data over time, they gain the ability to conduct more sophisticated strategic analysis. Imagine a scenario where all contracts are managed on a unified platform, allowing legal professionals to extract valuable insights into standard terms and deviations. With this intelligence, they can optimise future contracts, contributing directly to financial outcomes and organisational success while ensuring compliance and minimising risk.
3. Legal Chief Operations Offices will be as Important as the General Counsel Role:
Due to the above, Legal Chief Operations Officers are poised to become equally vital as General Counsels in the evolving legal landscape. The extensive transformation anticipated in legal functions suggests that individuals in the traditional General Counsel role may lack the bandwidth or expertise required to ensure that their operating models can effectively meet both established and emerging demands & keep Leading.
Leadership within the legal function will likely need to broaden its scope to prioritise refining the operating model, ensuring its efficient functioning, and continually seeking avenues for enhancement. With an emphasis on effective execution, the ascent of the legal chief operating officer is anticipated to be swift and transformative.
By 2025, legal functions are projected to evolve into genuine partners to the business, providing proactive, data-driven, and strategic guidance. Heads of Legal and their teams will navigate a broad spectrum of issues encompassing risk, compliance, governance, operations, and regulation. Concurrently, they will leverage new processes, technologies, and skill sets to deliver practical legal counsel efficiently, employing user-friendly approaches and emphasising value addition to the business.
4.? Learn Skills to Transform Culture:
You know, the way legal operating models are evolving is pretty fascinating, isn't it? But it's not just about keeping up with the latest trends; there's a lot of effort involved in making these changes actually work. Whether it's rolling out new tech or revamping processes, it's a real investment in terms of resources, budget, and time.
To really make these legal models shine, it's about fostering a culture of continuous improvement and innovation. Legal teams have a big role to play here, but it's also about getting everyone else in the organisation onboard. That means picking up new skills and having leaders who are fully committed to making this transformation a success.
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And let's not forget the importance of having a dedicated change management team in place. With strong support from management, they can navigate the complexities of implementation and help smooth out any bumps along the way. It's all about setting ourselves up for success in this ever-evolving legal landscape.
5. Need to be Tech Savvy and Self-Serving Clients:
All standardised legal work will be permanently subsumed into the business. All standardised legal duties will become permanent fixtures within the business framework. Pressures to cut costs, alongside a growing comfort with automated solutions, are likely to result in the transfer of routine legal responsibilities from the legal team to the broader business sphere. Legal processes lacking customisation will be automated and equipped for self-service. This shift will fundamentally alter the scope of legal services offered by legal departments, enhancing risk management and generating efficiency gains. As a result, leaner legal teams will have additional time to focus on more strategic endeavours.
In line with the paramount importance of client experience in legal service delivery, legal teams must ensure that self-service options for the business are user-friendly and provide a high-quality experience for internal stakeholders. Conclusions. The predictions for the changes to the in-house legal role in 2025 offer a compelling glimpse into the future of the legal profession—a future that is rapidly becoming our reality. These shifts and transformations are not just speculative; they are already underway. In-house legal teams are increasingly moving away from a service-oriented mindset to embrace a leadership role within their organisations.
The Challenges IHL Teams Are Facing to Transform.
As a Former In-House Solicitor for 16 years and a now consultant?Strategist transforming?In-House Legal Functions to Lead and make an impact,? I see?these changes are already happening.? There is a strong public need for In-House Legal Teams to lead and become the moral compass of their organisations.? No more, is it simply ok to just churn out contracts.? There is a real need for In-House Lawyers to get their arms around how the business works, be brave to ask the right questions, to get the "right" information so they case see the "true" picture to make an impact.? The? SRA (regulator for Solicitors in England and Wales), and the Solicitors Act 2007, has always stated that the role of the Solicitor or regulated person,?must be?objective.? Requiring the In-House Lawyer to feel free and brave to challenge, ask questions, dig deeper.? But some businesses do not see this as their IHL teams' role.? A lot of In-House Lawyers I speak to didn't realise this was their role as they have been prioritising the client and what the client wants (not what they actually need).? ? But, its only now that a light has been shone into the "truth" about how In-house Legal Teams are operating v's what they should be doing to comply with their regulatory obligations. Helped by the public cases of Rics and the Post Office case. The challenges which In-House Lawyers face now is really understanding their role and when understood transforming the business' mindset toward IHL.? Further, In-House Teams' challenge is they don't have?the time, energy or know?where to start.?
Solution.
The In-House Lawyers Leadership Programme (ILLP) was set up in 2020 to address these challenges with the view to get IHL at the top table so that they can demonstrate the value of Legal and transformation can?make. The ILLP?provides a comprehensive framework for in-house legal teams to navigate the evolving landscape of the role, equipping them with the tools, strategies, and mindset necessary to lead with confidence and effectiveness. Transforming how business sees Legal.??
The future of the legal profession is bright, and it's a future where In-House Legal teams are at the forefront of change, driving organisational success through innovation, data-driven insights, and strategic guidance. And I'm here to ensure that this future becomes a reality for every in-house legal team ready to embrace it.
Are you ready to transform your In-house Legal team?
Are you ready to transform your In-house Legal team?into a proactive leader within your organisation? `If so,? Book a Discovery Call today and embark on the journey towards legal excellence and organisational success.
Tel: 07414438077
Email: [email protected]? ?
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