Tagged: Brexit, Commercial Awareness, Commercial Law, Courts, European Union, Justice, Legal Aid, Legal Business, Legal Careers, Supreme Court, Technology, The GDPR, The Judiciary. EU laws and protections are likely to be rolled back, though this will mostly take place after 2020, once the transition period has passed. When graphed, there has always been a bulk around the middle – those aged from 25 to 55 years. in place occupational health services, mindfulness and wellbeing programmes, In this article, we examine 10 of the biggest challenges facing financial managers today. 1) Omni-Channel and Buyer Behavior. This makes sense when we consider that millennials are already well-entrenched in their careers, and indeed, older millennials are now reaching more senior and managerial roles, perhaps helping influence the direction of their employer. gaps that need to be filled by recruitment. The first baby boomers recently turned 65 years old. The Brief spoke to her about why, Data, of course. In 30 years’ time we may be dealing with social media issues that we’ve not even considered yet. However, uncertainty over Brexit did not end with Conservative victory in the 2019 election. The Brexit Withdrawal Bill has now been approved by the House of Commons, and is currently passing through the House of Lords. Those 5 are our issues and will be our downfall. Non-Qualified Lawyer  CILEX (Non-Fellow)  Paralegal  Pupil Barrister  Trainee SolicitorQualified Lawyer  Barrister  CILEX Fellow  In House Lawyer  Queen's Counsel  Solicitor  Solicitor (Partner)Non Legal  Business Manager  Business Owner  HR Professional  Non Legal ProfessionalStudent  Graduate  Postgrad (Academic)  Postgrad (LPC/GDL/BPTC)  UndergraduateOther  Other. your firms is real and is happening right in front of your eyes. The global legal profession is facing a period of unprecedented change with technology set to have the greatest impact on law firms over the next five years, according to a report published today by accountancy and business advisory firm BDO LLP.. BDO’s Law Firm Leadership Survey, which polled the managing partners and senior partners of 63 Scottish, UK and international … CommBank’s Legal Market Pulse has identified the top five business challenges which law firms believe are making an impact on the way they do business. Javascript must be enabled for the Twitter plugin to function. Dealers need to build a greater online presence for their dealership if they are to continue to be relevant. This may not seem like a commercial issue at first, but social trends are just as interconnected as economic ones. Lady Hale’s successor, Lord Reed, will inherit a Supreme Court that is quickly finding its feet, but could soon find itself under threat. in 2020 more than ever, it is vital that firms focus on their people. If the Commission does not decide the UK is ‘adequate’, or in the months or years it will likely take to get a decision, UK businesses will have to implement these additional safeguards, either by reviewing and redrafting contracts to include Standard Contractual Clauses (SCCs) for data protection or in the case of multinationals, by having Binding Corporate Rules (BCRs) that cover the whole group structure and comply with GDPR. absence and sometimes long-term absence,” she continues. necessary change. In a speech before her retirement, she chose to address the dangers of any shift towards a US-style Supreme Court, where justices are appointed by the current government and are typically political, meaning many decisions fall predictably along partisan political lines. There are, Suffering is acceptable because everyone is suffering. feel they can develop is key to their wellbeing. Remain comfortable in your position and competition will steal your most valued customers. For the Top 26-100 firms, percentage spend on IT had actually decreased since 2018. the deeper implications of stress in the legal workplace and an absence of So, what hurdles stand between legal professionals and being “future ready”? Every one of the firms surveyed had suffered a security incident in the last year, the most common being phishing attempts, which some firms reported were daily events. They've really got to cut their costs." Alternatively, click the button below for our various RSS Feeds (available journal wide, or per section). Used to tailor your subscription and for monitoring purposes. One particular challenge for the vast majority of firms is institutionalization. simply not enough. stress. Keir Baker discussed this issue in 2018, and it remains as important now as it was then. We will also see how the global financial sector is doubling down on technology to find the solutions it needs to not only survive, but to thrive in the era of digital finance. The Clio Legal Trends Report 2018 showed that 59 percent of law firm respondents think that establishing a successful work-life balance is important to achieve overall success. Subscribe to Keep Calm Talk Law for email updates, and/or weekly roundups. In February, the Ministry of Justice review mentioned in that piece was published, and received a mixed reception. Sometimes, easy answers are also true. Careers in law are notoriously intense. As a leading UK law firm, what do you think are the main challenges and opportunities that Burges Salmon will face over the next 5 years? Some of these challenges – politics, justice, and business – are complex but easily understandable for lawyers. Choose one of these industry sectors and highlight two key challenges that they are currently facing. people in the profession. Would-be trainees and pupil barristers, particularly at large firms and chambers, will go in expecting long nights and constant pressure. Back at the start of 2019, Connor Griffith discussed in detail the impact of budget cuts and the Legal Aid, Sentencing and Punishment of Offenders Act 2012 (LASPO) on the criminal justice system. McGrath believes that the biggest challenges facing law firms are “getting the right people in the door and keeping them”. Something of a theme for 2020 – dealing with the same messes we were dealing with in 2018 and 2019. assertion is backed up by the findings of a Lexis Nexis Bellweather Report In 2018 and 2019, we began our glances at the year ahead by discussing “commercial awareness”, perhaps the most overused and least understood phrase in the industry. Read our How to fund law school feature for more on the options at hand, and check out our info on the four Inns of Court too: of all the potential sponsors out there, they have the deepest pockets, with nearly £5.6 million worth of scholarships and bursaries on offer each year between them. DAC Beachcroft managing partner David Pollitt: There are many challenges facing law firms today, a number of which have been in play for some time. Like practically every industry, digital disruption is changing the ways legal firms of all sizes are operating, bringing with it plenty of opportunities but also challenges. She says, “The evidence of stress and potential mental health issues in Looking ahead, over half of the consultants surveyed (52%) think the increasing complexity of projects will be the number-one challenge for project management over the next five years. In 2018, law firms have faced many challenges including maintaining profitability, running efficiently, recruiting and retaining talent, and using technology as an enabler. I would like to highlight one that may not be seen to be the biggest challenge today but could, if it develops, certainly become one very quickly. Michael Lane covered the Cherry case in two parts for Keep Calm Talk Law. rather than the causes of stress. affect firms commercially. Some businesses based in the UK – in other words, clients – will be relocating operations to countries within the EU, removing potential sources of work for lawyers in real estate, employment, and corporate divisions. Research conducted by Autovista Intelligence in November … The Cherry decision was heavily criticised by leading Brexiteers and their allies, just as the Miller decision in 2017 saw the judges involved branded “Enemies of the People” by certain elements of the press. Around 59% seasoned HR professionals believe that in the next few years, major battle will be retaining talented and well-performing candidates. Law students interviewing for training contracts this year will inevitably at some point be asked: “What do you think are the biggest challenges facing the profession?” That question is why this article exists. … Some of the potential challenges that law firms might face once Brexit comes into action … What are the challenges facing your law firm in the coming years? If you have a Keep Calm Talk Law account, please login to post your comment. This article is obviously not exhaustive. She New contribution from James Moore regarding some of the hidden (and, for some, not-so-hidden) challenges for the legal sector in 2020.You may also be interested in our editor’s blog on some of the greatest legal sector challenges as envisaged in 2017 here.. No one in the legal sector has a crystal ball or Magic 8 ball that can point them away from danger or risk. The GDPR tightened data protection regulations for both EU companies and foreign companies dealing with EU citizens. help leaders and partners to raise their self-awareness, empowering them to Enter you email address below to subscribe to free customisable article notifications. causes of stress in the day-to-day working environment. McGrath believes the commercial case for focusing on team Especially those employees who possess greater professional and technical knowledge are much in demand in the job market as such employees have … His main areas of interest are litigation, law reform, history and foreign policy. Clients are recruiting in-house counsel who know how law firms work. awareness of the impact they, as leaders, can have on the well-being of as well as reduced stress levels.”. Next Plc is listed at London Stock Exchange (LSE) and have a market cap $ 7493.27 million (USD). On average they spent £17.2m (1.9% of their global fee income) on IT compared to £2.4m (0.9% of global fee income) for the Top 11-25 firms. believe they have the necessary time available to invest in making a real With all of these changes, society and its institutions must adjust to the new realities. Top 11-25 firms were twice as likely to have no executive risk ownership (a senior executive with overall accountability for cyber risk), and more than half had not had senior management take part in crisis management training in the last year. recruiters to identify the strategic objectives they hope to address by hiring She also helps future leaders, coaching would-be partners issued in 2019, Stress in the Legal Profession – Problematic or Inevitable? In PwC’s 2019 survey of senior executives in law firms, they found that Brexit was the main concern for Top 50 firms in the UK (though not for the Top 10, who were more concerned with automation and legal technology). Challenges facing us in 2019, while seemingly very distant, deserve attention in addition to the new obstacles our firms face during what may be a temporary flattening of the COVID-19 curve. changes in their daily work routines that translate into increased productivity “In my experience people follow people. At that These are not problems with easy solutions, and they may take a lot more time and effort to solve. Heading into 2020, what are the three biggest challenges facing law firms. The same profiling system helps Have Irlen Syndrome, or need different contrast? solicitors with lower overheads can be more competitive on pricing than the After all, Facebook is only 13 years old. I know that’s the easy answer and everyone says it, but it really is Brexit.”. While recognising that some firms are addressing the issue by putting Outside work, Peter enjoys books, cooking, and pretending to know about football. However, there are fundamental issues that these initiatives do not always address: the expectation of stress and overwork from the very beginning of law school, the culture of competitive suffering, and the fact that many junior lawyers dare not say “no”, because the culture has conditioned them to say “yes” to get ahead. But it also involves understanding people from all walks of life, with all sorts of problems, and how they think and feel. Journal About Contribute Search. Tell us about a recent economic or business news article or story you have read or heard about. After all, Facebook is only 13 years old. Equally valid for small enterprises and large corporations, staying ahead of the game is fine art for any organization out there. Even after qualification, legal professionals will often struggle with work-life balance in a career where clients are increasingly demanding lawyers be available 24/7 and the competition is cutthroat. Following the Cherry decision, the Conservative manifesto at the last election promised to review “the broader aspects of our constitution” and “the relationship between the Government, Parliament and the courts”, while also making sure judicial review “is not abused to conduct politics by another means”. Being able to predict customer trends, market trends etc. Add two more: Responsibility and Respect. 31st March 2020 artificiallawyer Law Firm Challenges 1. Commercial law in particular runs parallel to other industries. In spite of the growing uptake of technology based solutions by firms, the truly disruptive technologies revolving around AI and blockchain for instance, that will be making waves for the next few decades are still, arguably, in their infancy. Involving more than 700 lawyers, the survey asked attorneys to identify the challenges most likely to impact their firms in the future—challenges that only one-third of lawyers feel prepared to address. The Ministry recommended more “support” for litigants in person without addressing the legal profession’s key concern that a litigant in person will always be severely disadvantaged against a trained barrister. She says, “First, recent regulatory changes have opened up competition Large clients are issuing requests for tender – a euphemism for cheap rates. Would you like to receive email notifications when new comments are posted on this article? Retaining your best talent – Make it your top priority ; Gone are the days where recruiting good talent was enough, retaining that good talent is also imperative. However, the almost 300-page report focuses primarily on whether LASPO met its cost-saving goals, and not on LASPO’s impact on access to justice. GDPR compliance is already poor in many cases and considering GDPR was described so often as an “EU law”, it would not be surprising to find less informed business owners who think it no longer applies after Brexit. In short, Brexit presents both opportunities and challenges for the legal sector in the short-term – more confusion, but also more work. new team members, and to identify the personal attributes that suitable In 2018 the General Data Protection Regulation (GDPR) was passed by the EU and generated a lot of legal discussion, as well as a lot of business for those advising on it. As we kick off 2019, we want to highlight the five future trends in law enforcement we believe will drive best practices this year and beyond. Terms Of Use | Privacy Policy | Advertising | Mobile Site. mindsets. In the case of the police, it may have gone beyond that, and while that is for others to assess, the number of rape allegations lost in the investigative process is damning.”. 5) Clients are becoming far more savvy. There are several issues which are not explored here. Challenges Facing Insurance Companies in Developing Countries Challenges facing insurance companies in developing countries are worse now due to the coronavirus pandemic compared to what you will notice in countries like the United States, Canada and Australia. I work closely with partners and leaders to create Occupation / Career Stage: Moreover, it is going to become even worse to recognize and reward the real performers as the market competitiveness is growing and that needs more collaborated efforts to establish loyalty among employees . In 2016, a PwC survey found that 70% of financial services CEOs saw the availability of key skills as a threat to growth. So what were these leading challenges, and what do they mean for firms … This means very little will change for UK firms dealing with UK personal data, or for UK firms making transfers of personal data to EU countries. Legal skills can be taught – curiosity can’t. The challenges facing the financial sector in the next five years. Of necessity I shall have to summarise and generalise. Advising UK-only businesses that GDPR rules still apply to them. Credit brokerage activities outside the regulated banking system –known as shadow banking– will gradually gain ground in the coming years, and the sector is gearing up to respond to this massive change. It’s a It’s the 13th successive quarter of growth for experiential budgets… but the lowest reading since late 2015. The modern Supreme Court is only a little over ten years old, and in the last few years has waded into a handful of controversial decisions: the Robinson and Commissioner cases opened up claims for compensation against the police for negligence, An NHS Trust v Y allowed families and doctors to make end-of-life decisions without applying to the Court of Protection, and most recently the Cherry case found that Boris Johnson’s prorogation of Parliament in September 2019 was unlawful. Updated April 2020 - The Coronavirus pandemic has been and will be considerably changing the way … consulting and contracting roles that are more flexible and provide better Uncheck this box if you do not want to receive our monthly newsletter. In this last decade, there has been a 21% increase in 75-84 year olds. Some are more difficult to grapple with: the values our industry promotes, the ways we treat each other, and the ways we treat ourselves. The final obstacle she identifies speaks to the levels of Click the button below for options. Drawing on her own experience McGrath says, “Confident In this guide our Operations Director, Gavin Ward, outlines some of the biggest challenges that law firms will be facing now and in the coming years and some of the most cost-effective ways for the more progressive firms to beat their competitors through harnessing online strategies and technologies. 1. Transfers of personal data to third countries require additional safeguards per Chapter 5 of GDPR. In late 2019 Less obvious but equally important for commercial lawyers will be the knock-on effects on the economy. McGrath believes that the biggest challenges facing law Here are 7 challenges that law enforcement agencies will be forced to address in the coming years… These changes and challenges echo the overview of the new professional services landscape provided in a report by the FT in conjunction with Meridian West. Please ensure you read these in full. There is a current dilemma that will only get worse: the more you do for customers, the more they expect. The Conservative government has promised to recruit 20,000 new police officers, but even this would only restore police staffing levels to just below where they were in 2010. Her Cyber threats against law firms and their clients are on the increase internationally. It provides the latest information on the current workforce and addresses how it is dramatically changing within the midst of a massive business transformation. McGrath’s service begins by coaching firms and working with 6 challenges facing law firms in 2016 – what’s the next step? Cybersecurity seems to be a particular priority for the Top 10 firms surveyed by PwC. We will also see how the global financial sector is doubling down on technology to find the solutions it needs to not only survive, but to thrive in the era of digital finance. Brexit is probably the first thing that springs to mind when you think of a challenge facing law firms in the UK. Commercial awareness means understanding the world that you, your clients, and everybody else is living in. obstacles that prevent them making the organisational changes that could Law firms will need to remain informed, aware, and adaptable over the next few years. Understanding what the client wants and needs, and the best way to deliver that while still operating a commercial service, is the best means we have of building trust. If the economy slows or shrinks as a result of Brexit – as many think tanks and the Treasury predict – then demand for legal services and the amount clients are willing to pay for them may also decline. This means good solicitors can now walk away from law firms and practice in a However, she says what did shock her was “a lack of awareness regarding According to PwC’s annual survey of law firms in 2019, firms considered cyber attacks more of a threat than they did in 2018, and the second greatest threat to firms behind Brexit. Once the Brexit landscape properly takes shape, our challenge will be to react swiftly so that we can provide meaningful advice to our clients. The go-to for legal career-related interviews, opinions and insights. While cuts to legal aid have impacted the legal defence sector, budget cuts have continued to hinder prosecutors at the Crown Prosecution Service (CPS) as well. All of this against the backdrop of this client-empowered era, where clients now demand services that … different way that is more conducive to their own wellbeing. goes on to coach leaders in how to become coaches themselves – something she While the study explored many issues, one of particular interest was participants’ view of the challenges facing their firm over the next several years. The situation is unlikely to be as bad as it was following the 2008 recession, but could be a challenge to recent growth in the industry which was already beginning to slow. Just a few of the challenges I see businesses facing that are best addressed with the help of a consultant include: Uncertainty about the future. For those interested in more detail, the Legal Services Board’s research note published… I don't see your two examples as being "challenges" facing commercial law firms. working environment and retain talented people. Updated Jun 16, 2020. Introduction Trying to describe change and challenges in the legal services market, and what the market might look like in five years’ time, represent a daunting test for the ten minutes I have. Every year is challenging but with an effective strategy, assessments and plans in place, your business can be ready to mitigate and overcome any challenges that are thrown at it. 45% of people trust lawyers to tell them the truth. 21 January 2018. Insurance companies need to understand that doing business using legacy systems which have varying levels of security is tantamount to their business. Difficulties retaining talent in a crowded legal market, with increased competition both within the industry, and from US firms and the accountancy “Big Four”. The UK's business and finance institutions continue to grapple with the aftermath of the financial and economic crisis. The new president of the European Commission believes a comprehensive trade deal would be “basically impossible” by the end of the transition period in December 2020. Some have suggested the Commission may scrutinise the UK’s crime and security legislation, particularly the Investigatory Powers Act 2016, which gives intelligence agencies significant powers to invade individuals’ privacy. Copyright © 2013 - 2021 Keep Calm Talk Law Ltd.. All Rights Reserved.Reproduction without prior consent is strictly prohibited.Keep Calm Talk Law Ltd. is registered in England & Wales with company number 08744608. 75% of Top 10 firms and 90% of Top 11-100 firms had experienced incidents due to the “insider threat” – the threat from the firm’s own employees and contractors, either through negligence or actual malice. What changes can you see happening over the next 5 years in legal tech? This means being transparent about costs and decision-making, and why legal services are necessary at all. In the UK, there are 5.7m small and medium-sized enterprise (SMEs), which account for more than 99% of private sector firms and 60% of total UK private sector employment.SMEs also account for 7.3% of all net private sector job creation in the UK, creating about two million jobs since 2010. make a difference. “There is a Chinese curse which says “May he live in interesting times.” Like it or not, we live in interesting times.”. For firms receiving personal data from EU countries, however, the situation will be more complicated. candidates for any given position should possess. See it here. need to commit time to this but the benefits of taking time to really reflect And because this is an annual study, we were able to look at how these concerns have changed since the previous year. We used to say that education was about the 3 Rs: Reading, wRiting and aRithmetic. High staff turnover means increased recruitment costs and can also “The leaders in law firms are trained lawyers, not managers, of stress and so on.”. Discussions include motivating different types of employees, collaborative problem solving, and effective conflict resolution… It means being proactive in preventing disputes, and more conscious of alternative methods of dispute resolution when they become unavoidable. important to help delve into what really motivates people to seek advancement One of the perennial challenges facing the supply chain is predicting buyer behavior and responding accordingly. The one we have has been under-resourced so that it is close to breaking point. There is, undoubtedly, a huge amount of uncertainty surrounding the UK’s exit from the EU and law is certainly one of those areas in which it is difficult to predict exactly what will happen until the process occurs. Lawyers profit – quite handsomely - from the conflicts and complications of others, from messy disputes that end in the stressful litigation process to major life events: buying a house, distributing an estate, or ending a marriage. “Firms need to be prepared for clients leaving too,” Rather they're normal business development opportunities which arise on a daily basis. We’ll take a look at a handful of the major challenges facing supply chain over the next half-decade, and how the industry is approaching these. And it cannot be a positive influence on the mental health and wellbeing of lawyers, who like all people want to be respected and valued. to positive change. A lack of respect for the profession can also be a hiring issue.