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Legal Departments unprepared for digitization?

Across companies, departments follow significantly different approaches in adopting new technology.

A recent Gartner study sees legal departments behind in embracing and adoption on (legal) technology. In fact, according to the same study 81% of the legal departments are unprepared for digitalization. In this article, we want to explore the reasons of slow adoption and what can be done about it – according to Gartner.

According to recent figures released by Gartner, only 20% of legal departments are prepared to support their organizations’ digital initiatives. In a detailed study, Gartner reviewed legal departments’ roles in 1,715 digital business projects and included additional interviews with more than 100 general counsel and privacy officers, as well as an additional 100 legal stakeholders at large companies.

The results were stunning (but not entirely surprising): Only very few legal departments have developed a comprehensive framework for digitalization – despite the increasing pressure and demands from business side. This is why most general counsel participating in the study were concerned that existing legal and compliance practices are incompatible with the speed at which digital business operates.

According to Gartner, the key challenges for legal departments are:

  1. Faster and less centralized decision making: This exerts extreme pressure on traditional legal and compliance controls and risk management practices.
  2. Changing sources of corporate value: Data rights, customer trust and networks are increasingly valuable assets that need legal safeguards.
  3. A reliance on customers’ trust and data: This demands new models of information governance.

Gartner suggests the following key changes for legal departments to get “digital-ready”:

  1. Build rapid-response capabilities: The legal departments need to build self-service capabilities and tools respond quickly and at scale to legal inquiries.
  2. Develop digital skills: Legal department need to mentally shift away from traditional legal duties toward a digital delivery approach that focuses on needs-based skill identification and on-the-job expertise transfer.
  3. Clarify stakeholder roles: Legal departments should clarify roles and decision rights and remove unnecessary points of involvement to streamline implementation and decision-making.
  4. Design “fit for business” information governance: Only very few legal departments have created agile, authoritative and consistent innovation models.

BRYTER offers a comprehensive solution to build “rapid-response” and “self-service” applications for legal departments in a no-code environment. This enables legal departments to build automation tools for knowledge transfer, decision-making and rapid self-support apps. BRYTER’s no-code build platform can be used for all legal decisions, processes and workflows.

BRYTER allows to grow and expand digital capabilities without involving IT resources. This gives legal departments the freedom to independently and autonomously develop their digital tool set. The digital tool set build with BRYTER will ensure that legal departments expand their digital reach within organizations.