Like in health care and agribusiness, implementing BI in a law firm can lead to significant benefits in terms of decision-making and your bottom line.
It’s no secret that social distancing policies adopted in the fight against Covid-19 have led thousands of organizations in various areas to adopt new data technologies. Law firms were no exception.
BI can help all types of businesses, whether large, mid-sized, or small. Regardless of size, business analytics and data-driven approaches can adapt and help increase the effectiveness of your decision-making processes, boosting company growth.
BI for law firms: The biggest issues in the legal industry
As a lawyer, you can probably imagine the number one problem we’re discussing here, right? Yup, no other than massive amounts of sensitive data.
Each case and each client represents an enormous amount of information, numbers, records, and paper documents. Managing it all is not easy, so figuring out the number of hours worked for each client or on each specific task can be extremely useful.
Here’s where BI for law firms comes in handy. After all, business analytics is not afraid of information, no matter the volume. It can give you more autonomy to manage what you need and dispose of data as soon as it ceases to be relevant.
In addition, thanks to this management capacity, data analysis also optimize your staff’s time, saving it and re-routing it to more profitable and more important activities inside the firm. Say goodbye to those hours an assistant would waste just trying to find an ID or a permit.
Business analytics and data analysis: Increasingly closer in the legal industry
It didn’t use to be this way, but investing in technology is now much simpler and more feasible. You no longer have to acquire software licenses, or even invest in large pieces of equipment with high data storage and processing capacity.
Today, these processes rely on cloud storage, also a source of significant cost reductions. Cloud storage makes these techniques more accessible—they’re now within reach even for smaller organizations.
Thus, it’s not hard to see that BI has already been adopted in countless firms, helping partners and staff anticipate and solve problems, make decisions in important cases and internal administrative matters, and drive focus and productivity.
Law firms and BI: Where implementing data analysis can help
1 – Staff performance monitoring and analysis
Now that you have an idea of how BI can help a law firm in labor and client issues, let’s focus on how technology can help monitor and analyze internal environments, especially in terms of staff performance.
With data analysis serving as the foundation for business analytics, managers can easily spot problems and move swiftly in order to minimize them or even eliminate them completely.
2 – Hours worked
Hours worked can be the basis for profitability analyses, comparing what the hours logged for each case or client cost with the value of their respective contracts. You can also, for example, track average time spent on a petition, answer or appeal, as well as whatever other areas, activities or clients capture your time.
3 – Financial indicators
On the finance side, we can measure collections to revenue ratios. These performance indicators enable managers to figure out if their client portfolio is healthy, the likelihood of clients paying or defaulting before providing a new service, and, eventually, which clients the firm should drop.
Inspiring you to bring BI into your law firm
According to the Brazilian Association of Lawtechs and Legaltechs (AB2L), Brazil has over 200 companies providing services such as extracting and monitoring public data, jurimetrics, compliance, content, and consulting for lawyers.
Using at least one artificial intelligence platform in data analysis is already commonplace in law firms. How about you? How far are you willing to let the competition race ahead?
How about implementing data analysis in your organization right now?
BlueMetrics is partners with Sisense, one of the world’s leading Data Analytics and Business Intelligence. It can help you implement the best data analysis solution to boost management and decision-making in your law firm.
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