Recently, the technology innovation together with cost-efficiency drive to global economic fall, enforced corporate law firms and legal departments to re-arrange their operational plans and to recognize outsourcing as a familiar ways of the legal concerns. An outbreak in the legal offshoring market is now obvious and it involves the declining in terms of payment, hence it accelerates margins that are not anticipated to fall any time shortly. The latest trend for this industry is the involvement of corporate style acting in the law firms. As the legal service firms in other regions are observing reforms and deregulations, while globalization and consolidation are ongoing.
In 2010 to 2011, an impact of consolidation started in the legal process outsourcing industry exposing vitality in the LPO providers and to the competition. For reducing their expenses, most of the law firms outsource their everyday activities in abroad that has the low-cost markets. The outcome of their efforts to enhance the profitability and efficiency was developed in the LPO industry. Businesses that support LPO services could perform as back-office administrator or direct legal research operators. As the result of growing customer service, data processing unit and call centers all over the world, secretarial jobs including legal transcription, data entry, proofreading, site-checking and remote secretarial services are getting urgency.
The basic factor for packaged legal services that provides end to end consolidated solutions is the higher necessity for cost and operational related efficiency in litigation and contract process. Based on the Legal Process Outsourcing new market research report, India serves as the top regional market for LPO all over the world. The quality productivity, the policies of the Indian Government and cost benefits are the factors why India is on top. Legal processes wants a high level of expertise in litigation support, document discovery and review, contract drafting, patent writing and research are instantly outsourced to India especially some United States’ legal industry. Other countries for LPO destinations are South Korea, Philippines, New Zealand, Sri Lanka, China and Australia. For U.S. and British firms, the Philippines has become an interesting destination as it is known for educated talent pool and it processes a large English-speaking agent, while Mauritius is starting as one of the LPO destination.
Regardless of the growing industry, LPO is still encountering some challenges and criticism about losing control in the process, diminishing job profile and attempting quality service that cause to hindered attorneys and foreign law firms from outsourcing the major part of the legal work overseas. However the LPO industry is ready despite of the trials and observe the development as companies recognize cost-efficiency given by LPOs. Different large scale businesses are starting the outsourcing contract for their back-office operations and support staff to use the services at lower cost. Several financial firms such as venture capital firms, corporations and equity firms still investing in the sector given the potential development in the industry. It also considered overrun into the vertical in the future that most of the large firms reserved in supporting IT outsourcing services.
REFERENCES:
http://www.virtual-strategy.com/2012/07/25/drive-minimizing-costs-among-law-firms-continues-drive-legal-process-outsourcing-lpo-mark?page=0,0
http://www.123lpo.com/legal-resources/drive-for-minimizing-costs-among-law-firms-continues-to-drive-the-7632/
http://article.wn.com/view/2012/07/25/Drive_for_Minimizing_Costs_Among_Law_Firms_Continues_to_Driv/
