One in five US legal departments say they are seriously thinking about embracing at least some Artificial Intelligence (AI) – but only six per cent have already implemented, or are currently testing, such technology.
Meanwhile 57% of law departments see AI as either a high or medium priority over the next several years, with contract analytics seen as the biggest potential area for it application – partly driven by internal perceptions by over 70% of those contacted admitting their legal department’s ability to track and manage contractual obligations was only ‘fair’ or worse, ‘needs improvement.’
The figures come from HBR Consulting’s Law Department AI Survey report, based on a series of round tables and interviews it conducted with American law companies in the Autumn of last year, and which piggy-backs off the brand’s respected annual HBR Law Department research exercise. Participants included law department executives from more than 50 companies, the majority of which came from the Fortune 500.
The report also says a clear majority think AI can increase productivity without increasing headcount (71%), while 66% believed it would improve law department operations and enable greater client self-service. At the same time, 26% see the tech as reducing their reliance on outside counsel.
If you liked this content…
“Ever since personal computers landed on attorneys’ desks, law departments have aspired to leverage technology to provide high value legal services more efficiently,” says the study, while adding that the demand for legal services and support accelerated while inefficient processes remain largely unchanged.
However, “AI holds the promise of providing intelligent tools and problem-solving resources to transform the delivery of legal services” while “doing more with less” was consistently seen as the number one reason these brands are looking at AI in the first place.
HBR Consulting describes itself as a provider of advisory, managed services and software solutions that increase productivity and profitability while mitigating risk for law firms, law departments and corporations.