Economic fallout of COVID-19 means a reduction in legal spend for many organisations - Experts
…As they discuss the new face of legal practice
Experts at the online event organised by the Nigerian Bar Association Section on Business Law ( NBA-SBL) Law Firm Practice Management Committee, have said that the economic fallout of the coronavirus pandemic could mean a reduction in legal spend for many organisations.
Speaking during the session on ‘Driving Law Firm Resilience through Technology’, John Edokpolo, Lead Commercial Attorney for Microsoft, Middle East and Africa (MEA) Emerging Markets, disclosed that businesses including those not severely affected by the pandemic are putting a freeze on operating expenses and legal spend is not left out.
He observed that business owners were cutting cost and looking to pay less, without comprising efficient legal services. According to him, the clients want their lawyers/legal advisors to be proactive and revealed that one way to achieve this and still drive efficiency was to go digital.
“This is the time for law firms to stand up as trusted advisors to their clients, by providing proactive legal services. Many law firms now provide free advice on their websites and through newsletters on COVID-19 related legal challenges. Firms that are not, should begin to do so. Your clients expect it,” he said.
Edokpolo thus urged both modern and traditional law firms to toe the line of many 21st century businesses who have established themselves online, as everything else was online.
“Law firms who want to survive, will have to ‘ride that wave’. And as they go remote, the benchmark should be, “do we have to go into the office for anything?” They need to ensure that their staff have all the resources required to ensure that they do not have to go into their offices to meet their client’s needs. The basic requirements include; hardware such as laptops, internet modems and backup power; basic communication software, many of which are free and secure and remote accesses to data.”
Move from Communication to Collaborative tools Participants also noted that whilst many firms have operated with digital tools, others
have only just come onboard as a result of COVID-19 restrictions.
Tools commonly adopted in this period are video conferencing tools such as zoom and skype. However, it is important to move from such communication software to collaboration tools that enable instantaneous communication and information sharing between law firm team members and between law firms and their clients.
They maintained that in considering what collaborative tools to choose, firms should opt for those that have multiple functionalities - such as chat and email, as well as access to productivity tools, that enable them work from a single platform.
Free is good but paid could be safer.
The legal and technology experts also advocated for more reliable and paid solutions and less use of free software solutions, as it was advisable to invest in paid solutions, with an added layer of security.
Panelists in Session two, which addressed ‘the changed dynamics of managing law firms post COVID-19, Sylvia Nzekwu, principal consultant, Shan consulting limited made a case for strong leadership, culture shift and a change mindset, which she said were fundamental elements for these times.
“So many changes are taking place in these COVID-19 times. Employers and employees alike are adjusting to the realities of the new normal. Strong leadership is required now more than ever before to guide team members towards a change mindset and the culture shift that is needed to thrive in these times,” Nzekwu said.
She advised law firm management to develop a plan and establish processes for how their firms will run, stating that this was a good time to establish guidelines and performance and productivity metrics where none existed.
“It is particularly important so employees who are “remote” and operating in uncharted territory know exactly what is expected of them. Employee health, safety and security must also be prioritized at this time,” she said.
Other top burner issues during the webinar was ‘Financial management’, as experts agreed that it was important for firms to keep an eye on cash flow and maintenance of the books, ensuring that the financial state of the firm stayed healthy. “Everyone needs as everyone is in it together”.
During the Q& A session, young practitioners were advised to Upskill or risk irrelevance. “Monitor trends and upskill in line with what your clients require. Fortunately, since everything is now digital or at least going digital, there are now various learning opportunities available online. Make use of them.” Nzekwu said in closing.
The NBA-SBL Law Firm Practice Management webinar was moderated by Kunle Ajagbe, who is the 1st Vice Chairman of the committee. Other members in attendance were the Chairman, and the 2nd Vice, Kanyin Anire