Today, more than ever, the question of outsourcing versus insourcing is consuming law firms. As firms grow and need additional help, managers and partners are trying to figure out which is better for their firm, staff, and future.
Thankfully, you do not have to figure out this complicated situation alone. In the below guide, we will go over everything you need to know about law firm outsourcing and insourcing and what these terms can mean for your law firm.
Law firm outsourcing refers to obtaining help from outside organizations not affiliated with the law firm to complete certain tasks. In comparison, insourcing is when business practices are performed within the firm’s operational infrastructure. Or in other words, insourcing requires a person or department within the company to take on specific work instead of hiring an outside person or entity.
Having experts take on your legal back office work can result in significant time and cost-saving benefits since these professionals will be responsible for handling everything for you. These back-office teams can also save you on labor costs because you will not have to hire additional employees to take on this work, saving you from having to pay hefty salaries as well as benefits.
Additionally, you will have access to experts that have the right skills, resources, and knowledge to take on your legal tasks, leaving you more time to focus on the jobs that matter most to you and your firm, such as growing your business and ensuring clients are treated well.
Yet, while there are countless benefits to legal process outsourcing, choosing the wrong team to handle your work can leave you in a poor spot, especially if this hiring leads to information leaks, improper communication, and other problems that can hurt your firm. Thankfully, there are things you can do to prevent these issues and ensure you find the right back-office outsourcing company to meet your needs.
Insourcing is often a common solution for many law firms trying to increase efficiency and tap into the talent they already have. Plus, by keeping the work in-house, the firm often feels as if they have greater control and oversight over the work being done.
Unfortunately, there are also numerous disadvantages when it comes to insourcing legal work. For instance, smaller law firms with limited recourses and budgets will not always be able to keep up with the costs of insourcing, which are often relatively high. In addition, building an internal team to take on specific projects is also time-consuming and overwhelming. Worse yet, if law firms choose wrong, the whole process will need to start over, which can lead to incredibly high costs.
Although any time you need additional help can be the right time to consider legal outsourcing, this method is especially beneficial when law firms have strict deadlines and do not have individuals or teams that have the required experience or skills to complete the jobs quickly and accurately. Rather, in these situations, working with an experienced legal back-office outsourcing team may be the best solution. Not only will firms be able to utilize a skilled talent pool, but these experts can promptly get to work getting the job done without the law firm needing to manage them every step of the way.
As mentioned previously, even if you are considering outsourcing particular legal work, finding a company that is right for your firm is still essential. One that has the skills, experience, and knowledge to take on your tasks and make sure they are completed properly. Fortunately, at Back Office Legal, we can do just that.
Our back-office team has been supporting large and small firms for years, assisting them with their back-office services and helping to improve operational efficiency as well as maximize revenue. More importantly, we do everything with you in mind. This means we: