A new approach is needed as the legal industry grapples with unprecedented challenges.
This blueprint for the future combines multidisciplinary expertise, technological innovation, and a relentless focus on client value.
Janet Taylor-Hall, CEO at Cognia
This article covers
The evolution of the legal industry and the challenges it faces today
The need for a new, collaborative approach to legal services
How Cognia is pioneering a multidisciplinary ecosystem
Law is an industry where tradition often trumps innovation, but that needs to evolve – as I explored in a recent article. I want to delve deeper into these challenges and share Cognia’s vision for a more collaborative, innovative future and our commitment to co-creating new solutions with all the players in the ecosystem.
Undoubtedly, the legal industry has undergone a remarkable transformation since the 1980s. This growth has been driven by seismic shifts: deregulation, the rise of international banking, rapid globalisation – now overlayered with geopolitical and societal complexities – and technological advancements.
Further, law firms have expanded across borders, in-house teams have grown in size and influence, and alternative legal service providers (ALSPs) have emerged to fill gaps in the market.
The sector is quickly becoming a global marketplace, with AI and Gen AI democratising a client’s ability to seek advice/service, from whomever and wherever it suits them.
Even with this overall progress, General Counsels (GCs) find themselves in an increasingly challenging position. They face a perfect storm of accelerating demands, evolving roles, and limited resources. The regulatory landscape grows more complex by the day, while businesses expect their legal teams to be strategic partners facilitating growth and success, not just guardians against risk.
At Cognia, we hear – and understand – these concerns. GCs, caught between the proverbial rock and a hard place, grumble rather than shout. They’re tasked with navigating intricate global regulations, managing internal restructurings, driving technology enabled transformation, and demonstrating tangible value to their organisations and the C Suite, while operating with constrained budgets and resources and being the guardians of the organisation.
The result? Many GCs feel frustrated, unable to drive the significant changes they know are necessary. They’re too busy keeping the lights on to redesign the electrical system. This situation isn’t a failure of vision or will; it’s a practical reality of their demanding roles.
Redefining legal service delivery
Many law firm leaders hear the concerns of the GCs and their teams but face the significant challenge of changing a model burdened by tradition that is still highly profitable and growing. The legal ecosystem as a whole remains fragmented. For Law Firms, radical transformation of a business model that continues to deliver year on year growth is difficult. The traditional partnership structures and the constant battle to attract and retain talent create barriers to change and investment in innovation. The billable hour, while often criticised, remains stubbornly persistent.
This is all increasingly out of step with the needs of modern businesses and enterprise thinking. In a world where agility and innovation are paramount, the legal function can’t afford to be a bottleneck and no longer falls out of scope when organisations are being restructured as it did in the past.
I see cause for optimism, though. While not always loud, the calls for change are persistent and growing. GCs, forward-thinking law firms, and ALSPs recognise that the status quo is unsustainable. The question isn’t whether change will come but how and when.
At Cognia, this is where we see our role as a facilitator and catalyst for change – not as a disruptor seeking to upend the system, but as a collaborative partner aiming to design and reengineer a better future. We see our role as a bridge-builder, creating connections between the various players in the legal ecosystem.
Our approach is rooted in a deep understanding of the challenges facing GCs and the broader legal industry. We’ve built a multidisciplinary team and a business model unencumbered by tradition, combining legal expertise, technological savvy, and business acumen. This setup allows us to approach problems holistically, considering the legal implications and the broader business context.
Thinking partners rebuilding a fragmented ecosystem
The “legal engineer” concept is central to our vision – a professional who blends legal knowledge with technological skills and strategic thinking. This isn’t about replacing lawyers with machines but enhancing human expertise with cutting-edge tools and methodologies.
The business model of an independent ALSP allows us to be innovation-centred. We’re also pioneers in using artificial intelligence and machine learning in legal services. But unlike some in the “law tech” space, we don’t see AI as replacing human judgment. Instead, we view it as a powerful tool that, when correctly leveraged, can enhance the capacity of highly skilled legal professionals to focus on higher-value, strategic work. The key lies in innovating delivery models to meet the needs of our clients and thinking about how technology enables this rather than putting the cart before the horse.
In contrast to traditional episodic legal work, services, systems and processes are designed to become deeply embedded within clients’ operating models. This integrated approach allows for more proactive, efficient, and value-driven legal support, fundamentally changing the nature of the client-provider relationship.
Co-design with clients will emerge as a key differentiator in the delivery of legal services, moving beyond mere customisation to true collaboration. By engaging clients in the design process, providers – like Cognia – ensure that our solutions address the underlying business need or challenge and are more effectively and closely aligned with the client’s broader business objectives and culture.
A collaborative approach extends beyond our internal teams. We actively work to break down silos between in-house teams, law firms, and ALSPs. Admittedly, this isn’t always comfortable – it requires all parties to rethink traditional roles and relationships. But we believe it’s essential for creating a more efficient, effective legal ecosystem.
Consider a recent collaboration we undertook at Cognia. A financial services multinational corporation faced a complex regulatory challenge that threatened to overwhelm its in-house legal team. Rather than simply offering additional human resources, we proposed a radical rethink of their approach.
As thinking partners, we designed and facilitated a collaborative delivery model that brought together the company’s in-house team, their preferred law firms, and our legal engineers. This wasn’t just about responding to the regulatory challenge at hand but about co-creating a programmatic model to successfully navigate constant business change in an increasingly complex world.
The results are proving to be transformative. The GC, previously caught in a cycle of reactive firefighting, found themselves able to take a more strategic approach to regulatory reform. By disaggregating legal advice requirements from day-to-day repapering activity, they have partnered with Cognia for the routine outreach and negotiation tasks, enabling them to focus on higher-value work that directly impacts the business’s bottom line. This also allows the team to leverage Cognia’s multidisciplinary and technological expertise to drive efficiencies through workflow automation and continuous improvement.
Collaborative in reality, not just in promise.
People you want to work with.
Partner, Global Law Firm
Realising a vision of co-creation and partnership
We envision this kind of change for GCs worldwide. Imagine a world where legal departments are no longer seen as cost centres but as crucial business strategy drivers. Where GCs have the support, time, and resources to shape company direction rather than merely mitigate risk proactively. And where collaboration between in-house teams, law firms, and ALSPs is the norm, not the exception.
The emergence of client-centric legal services demands new skills, with empathy and active listening becoming as crucial as legal expertise. This shift underscores the value of diverse, multidisciplinary teams, where varied perspectives and experiences foster a deeper understanding of client needs and enable more innovative, tailored solutions.
The path to this future vision has obstacles. It requires a fundamental shift in mindset from all players in the legal ecosystem. It means law firms rethinking their business models and moving away from the billable hour to value-based pricing – a shift that requires a genuine dialogue between firms and clients. In-house teams working with thinking partners in the legal ecosystem must advocate for the resources and support they need to drive change. And ALSPs like Cognia must continue to demonstrate our agility, pivoting our operating models to adopt new ways of working and continue to prove our value as service providers and genuine partners in innovation.
But the potential rewards are immense. A more collaborative, innovative legal ecosystem will benefit legal professionals and deliver better outcomes for businesses and society. By breaking down silos, leveraging technology effectively, and focusing relentlessly on client value, we can create a legal function that’s truly fit for the 21st century.
At Cognia, we’re not just observers of this change – we’re active participants and facilitators. We invite you to join us on this journey of transformation. Together, we can reimagine what’s possible when we co-create a more innovative and client-centric legal ecosystem.
The future of law isn’t about choosing between tradition and innovation, or between human expertise and technological advancement. It’s about finding the right balance, about combining the best of all worlds to create something more significant than the sum of its parts. That’s the future we’re building at Cognia, and it will benefit us all.
Key takeaways
If you found this interesting and would like to find out how we can collaborate with you, contact us here
