10. Resources. If you`d like to get more information about legal procurement, here are some resources for you: In fact, legal procurement is rapidly gaining traction, especially among companies with significant legal fees, and the sooner law firms understand the role of legal procurement, the sooner they will have a better relationship with their clients and a better chance of tenders. These legal procurement specialists have provided me with pointed observations and frank comments about what they want, what they need and what they expect when hiring outside counsel. In addition, I interviewed leading legal and procurement experts, as well as senior executives from law firms around the world, and gained a wealth of knowledge on how the two parties can work better together. Indeed, both parties recognize the complexity of selecting legal partners, says Geraint Evans, Head of Clients and New Business at CMS Global. “Legal procurement is a very complex and delicate process where qualified professionals now have to balance the dynamics between quality, relationship and value,” he adds. In addition to public procurement laws, there are regulations in some countries. These are legal instruments that support national public procurement law. They usually come from the country`s public procurement supervisory authority. These regulations support public procurement law by explaining in detail the provisions of public procurement law. It is no longer a question of pimping the legal situation, all flamboyant weapons and demanding the cheapest legal services without really understanding what “value” means. Steph Hogg, a former legal procurement specialist who works on Aviva`s GC team, says: “There is a misperception that procurement is only there to drive down the price, which is supported by people whose only experience in procurement is goods; often using tools such as electronic auctions and electronic tenders.
But demanding sourcing isn`t just about price, it`s also about careful selection and value for money. Instead of simply measuring hours, procurement professionals focus on improving efficiency, negotiating and measuring value pricing, and determining service levels, total costs, and resolution time. We all recognize that one of the main tasks of legal procurement is to reduce the cost of a company`s legal fees – not necessarily by outsourcing everything to the lowest bidder, but by getting value for money. Keith Maziarek, head of strategic pricing at law firm DLA Piper, agrees: “In the past, a company didn`t have the same analytical rigour as other departments on the budgeting process. But it`s become clear that the legal department doesn`t get a blank check every year and you need performance metrics. In response, Maziarek said law firms needed to look at how to become more demanding, how to bid on work, and report on their progress and financial performance against budgets. If new issues arise and external advice is needed, work on a detailed assessment of what you need with an external consultant, i.e. a mini-project plan. It`s very important that your legal procurement team understands the risks involved in the case, as well as your objectives, whether it`s mergers and acquisitions, high-stakes litigation, a large commercial contract or otherwise. This can only come from in-house lawyers and is therefore an important part of your collaboration with purchasing to find the best firm at the best value for money, depending on the needs and specific objectives of the legal project.
According to 41 U.S.CS § 403, contracting includes “all stages of the process of acquiring goods or services, beginning with the process of determining the need for goods or services and ending with the conclusion and conclusion of a contract.” 6. Partnership with procurement. If you`re intrigued by the potential of legal sourcing (or maybe a higher power has ordered it to), enter the process with the right mindset, meaning this relationship will be a partnership. This means sitting down with your sourcing partner and spending time educating them about the specifics of what you`re looking for in outside lawyers and how you`ve researched for law firms in the past.