publication of the International Legal Technology Association
Issue link: https://epubs.iltanet.org/i/192213
A MANAGED RISK: OUTSOURCING XXXX PRACTICE SUPPORT SERVICES Successful departments always come down to the quality of the personnel. Project management, as an example, is a key component to running a successful department — one I would not recommend outsourcing. This position requires a thorough vetting process, looking at credentials, previous experience at law firms versus at a service provider, and assessing the years of experience one has in a project management capacity in the industry. Today there is a trend of service providers attracting project management personnel away from law firms. Why? Because training and mentorship are scarce in the marketplace. I have learned the best project managers have been in the trenches and working under proper mentorship and training. Last, consider the firm's perception of your department. How will the department be viewed if the staff is not at the level required or at the level the attorneys were accustomed to before the change? One should never undervalue the significance of using qualified and experienced staff. Jackie: Why do you think outsourcing a firm's practice support IT infrastructure is becoming an attractive alternative to law firms who manage client data internally? Sal: There are numerous reasons a firm would and should consider outsourcing the IT infrastructure, including: •Immediate scalability of software, hardware, storage and staff •On-demand services and 24/7 support, particularly outside business hours •Increased flexibility in procuring new technologies •Dedicated qualified support resources •Real-time upgrading of hardware and software •Effective and straightforward budgeting of annual expenses •Ability to utilize cheaper storage effectively and introduce an effective retention policy Storage alone competes with other costs in the firm and is hard to budget for since case volumes are unknown at the start of a matter. For example, the average case size is quickly growing, and new cases cost 20 times that of matters from five years ago. Jackie: Do you think this type of service is geared toward large or small law firms? Sal: It depends on the model and culture of the firm as well as the type of litigation supported, and not necessarily the number of attorneys a firm employs. A single plaintiff practitioner with a booming caseload might have just as much need for a managed services solution as a law firm with 500 litigation attorneys. There is no one-size-fits-all answer for this service. Jackie: Do you think outsourcing hardware and software infrastructure gives a firm the opportunity to upgrade to new technologies? Sal: Of course. The largest upside to exploring a managed services solution is the opportunity to upgrade and/or introduce new technologies to the firm without the upfront capital costs. The practice support desktop environment differs from most user groups within the firm. Using an outsourced solution provides greater flexibility to install third-party applications and better support of the users' needs. Outsourcing the IT infrastructure also avoids potential security issues and political headaches that might occur within the firm with new software installations. Jackie: Does outsourcing provide an opportunity to "clean up" old cases? Sal: Yes. Most of the managed services models I