ACC offers this Legal Operations Maturity Model as a reference tool. Use it to benchmark maturity in any given area(s), bearing in mind that priorities and aspirational targets will vary based on department size, staffing and budgets. We have partnered with leading legal service providers to produce the Foundational Toolkit to advance in each of the 14 functions. Members can link to the tools and on-demand webcasts below.
EARLY
Devoid of standard processes, metrics and analytics
Ad hoc timing
Budget lacking or set by Accounting; tracked via spreadsheets and/or Word tables, if at all.
INTERMEDIATE
Standard processes exist but not documented or well-known
Budget set and accruals managed through strong collaboration between Legal and Finance; Legal Operations oversight of spend and budget management
Metrics and analytics reactive and decentralized
Timing driven by external party (e.g. Finance)
Budget tracked via spend management system
Forecasts done as requested; accruals done on large matters
Reserves and contingencies set on large matters and/or through informal conversations (undocumented)
High-level discussions between Legal Ops and internal counsel when setting financial targets
Budgets and forecasts completed at a business, practice area, or regional level.
ADVANCED
Standard processes defined, documented, and communicated through published policies and procedures
Defined reports, metrics, and dashboards distributed according to a defined schedule with assignees and real-time data
Timing driven by Legal (in support of corporate calendar) via published, communicated timeline and/or project plan
Budget and forecasts tracked via standardized tools; systems utilized enterprise-wide at the matter level and easily directed to the appropriate cost center
Standard forecasts and accruals, automated with technology and according to a defined timeline
Reserves and contingencies set via standard, defined, and defensible process for tracking and reporting reserve recommendations and aggregated legal contingencies
Regular budget reviews with the senior leadership team
Key performance indicators (KPIs) managed, tracked, reported, and benchmarked
Frequent, in-depth, and documented collaboration between Legal Ops, internal counsel, and external vendors when establishing financial targets
Solid and longstanding partnerships with Corporate Finance established
Legal engaged in companywide financial initiatives and processes.
Financial Management Budget and GL Accounts
Financial Management Budget and GL Accounts Worksheet
Financial Management Restructure Inhouse
Financial Management Restructure In-house Worksheet
Financial Management Building a Budget
Financial Management Worksheet for Budget Build-up with Initiatives
Financial Management ROI Worksheet
Return on Investment Worksheet