Want to use real data points to determine the value of your outside counsel?
Most corporate legal teams and insurance departments rely on outside law firms to manage much of their legal work, whether due to necessity of jurisdiction, expertise, or efficiency issues. But those same teams struggle to determine how to benchmark their firms; how to encourage more efficiency and better outcomes; and how to choose the best firm to handle a specific matter in a specific region.
Historically, their assessments are based on personal relationships and word-of-mouth (think a friend of a friend…), or from internal surveys: collected subjective assessments from their matter managers as to how “responsive” and “efficient” each firm was. Or even worse, the assignments were based on gut instinct as to which firms were best performers or which ones had issues (whatever those maybe).
The problems associated with this approach is obvious: the reviews are subject to personal bias and may have nothing to do with the firm’s actual performance; subjective feedback requires that the matter managers supply the feedback in a timely and constructive manner.
Acuity’s Firm Scorecard makes capturing and analyzing this data easy. First to the market, the Firm Scorecard uses top KPIs to dynamically calculate and clearly illustrate how the firm is currently performing compared to previous years, and how the firm compares to other firms in its cohort.
Acuity uses the firm’s historical data to compare its performance to the performance of other firms for the client. The Acuity Score provides you with real-time insight to help distinguish top-performing firms, highlight strengths, identify areas of improvement, and allow you to more efficiently choose the best firm for the job.
The algorithm for the Acuity Score is configurable which gives you the power to produce a meaningful result based on the metrics that are most important to you. Typical KPI’s measured include:
- Average legal spend per matter
- Average number of distinct attorneys working on each matter
- Average cycle time (from assignment to matter resolution)
- Average blended hourly rate
- Average total matter costs (legal spend + other costs such as indemnity, etc)
In addition, dynamic filters such as region, state, and type of legal work allow users to narrow the results to provide a more focused comparison.
Here are a few examples of how you can use the firm scorecard:
- Annual meetings with your firms, encouraging best practices and highlighting areas for improvement
- Panel counsel selection, ensuring your highest performers are assigned the work best suited to their strengths
- Matter assignment, determining which counsel is most appropriate and most efficient for specific matters going forward
This is just the beginning. Next up, scorecards across matters and invoices. The possibilities are endless and we can’t wait to show you where we take the firm scorecard.
If you would like to see how the firm scorecard works, please fill out the form below. We will be in touch shortly!