1. NewLaw Paradigm: Contract
Management
6 February 2014

2. THE PRESENTERS
Jason McQuillen
Head of Managed Legal Services at radiant.law
Experienced commercial contracts lawyer who has worked extensively in-house as well
as in private practice. Leading the charge at radiant.law to invent how to support portfolios
of contracts in smarter ways.
David R. Chamberlin
Head of Legal Services at Cognia Law
Former US transactional lawyer who has successfully managed major contract
management Legal Process Outsourcing engagements from a variety of offshore and
nearshore jurisdictions for Fortune/Global 500 companies. At Cognia Law, David is
responsible for the design and delivery of client services.
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3. EXECUTIVE SUMMARY
• Part 1: The Legal Executive Challenge and End-to-End Support
• Part 2: Resourcing, Process and Technology
• Part 3: Pricing and Value
• Part 4: Case Studies and Closing Thoughts
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4. PART ONE
LEGAL EXECUTIVE CHALLENGE AND END-TO-END SUPPORT
4

5. STRATEGIC OBJECTIVES
Demonstrating Value
Evolving Expectations
Gatekeeper Position
Sales
Procurement
Legal
Business
Skilled
lawyer
Reduce
risk / loss
Reducing of margin
cost of
delivery
(BTL)
Contribute
to value of
service
(ATL)
Finance
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6. TAPPING INTO THE ECOSYSTEM
NewLaw is structured to provide expertise and systemic service
support into core functional contract management areas
NewLaw
Traditional Law
Firm: High-End
Ad Hoc Advice
Knowledge
Management
Content
Management
Legal
Process
Management
Performance
Management
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7. CONTRACT LIFE-CYCLE
Providing Value At Each Phase
Below-the-Line
Design
Continuous
improvement
Production
Examples
• Legal Spend
• Risk Management
• Efficiency/Speed
NewLaw
Ongoing
management
Examples
• Self-Service
• ATL Value
• Remedies
• Analytics
Triage
Execution
and storage
Review and
negotiation
Above-the-Line
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8. DESIGN
Focus on P&L
Maximise revenue
Minimise cost
- No benchmarking
- Minimum term
- No right of set off
- PCG
- Service description
- Flexibility in delivery
- Exclusive licence v ownership
- Limit liability
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9. TRIAGE
Categorising Work
Higher-value / strategic
Legal Front Door
Low value /
risk
Client Legal
External Firms
NewLaw
Provider
Client
Business
BAU – extended
bandwidth
complexity
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10. MANAGING CONTRACT PERFORMANCE
Legal can drive value through better integration with
implementation teams
• Change Management and Contract Performance Enablement critical
Pre-Award
Hand-Off
Performance
Termination
Feedback
• Performance Playbooks
• Contract Management Plans
• Informed Re-Negotiations
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11. PART TWO
RESOURCING, PROCESS, AND TECHNOLOGY
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12. BLENDED SHORING
Utilising a blended shoring paradigm that is geographically
tailored and fully integrated
U.K. Law Department Client
U.K. Law Firm
Front Office
Onshore
Commercial Lawyers
Optimal balance between
• Labour Arbitrage
• Talent
• Volume
South African
Offshore Teams
COMPLETE INTEGRATION
Optimal minimization of
expensive U.K. lawyers
utilization
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13. SOUTH AFRICA’S LPO ADVANTAGE




Mature domestic market
World-class strengths in
financial services and
legal services
Large experienced pool
of legal talent

Large scale English language
talent pool with neutral accent
Cultural affinity with UK


2.
2 Deep domain
skills
Costs 30–50% lower than
competitive source markets
Narrowing cost differential
with low-cost locations
3.
3 Significant
cost savings
1.
1 Skilled, Englishspeaking talent pool
5.
5 Robust enabling
environment
4.
4 First World
experience




Attractive investment climate and
strong public sector support
Rapidly improving telecoms
Political and socio-economic
stability


First World infrastructure
Superior quality of life for expats.
EU time zone similarities and
ease of access
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14. INTEGRATED OPERATIONS
Multi-disciplined and Defined Hand-offs
Service delivery
Operational
delivery
Offshore team
performing operational
delivery against
playbooks
Judgment calls
Onshore business
facing
lawyer, closely
integrated with client
Highly experienced
onshore
lawyer, doing
judgement calls and
governance
Highly experienced
offshore
lawyer, doing
QA, judgement calls
and governance
Offshore Cross Disciplinary Team
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15. PROCESS
Mapping and Workflow
Client Paper
DMAIC
Define
Measure
Analyze
Control
Improve
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16. TECHNOLOGY
Speed, Quality and Consistency
Document
Automation
‣ Allows creation of
tailored contracts
leveraging standardised
terms
‣ Speeds up the
contracting process
Playbooks
‣ Capture preferred and
fall back positions
Workflow
‣ Improves efficiency
Word
Extensions
‣ Speed up the document
review process
‣ Greater transparency
‣ Drive greater
consistency and faster
turn-around times.
‣ Find errors and
automate common timeconsuming tasks.
‣ Increases consistency
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17. PART THREE
PRICING AND VALUE
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18. PRICING AND VALUE
Predictable, Transparent and Risk-sharing
Output pricing
Value principles
‣ Incentivises innovation and investment
‣ Real fixed fees
‣ Pricing could be based on a fixed charge for a block of
work, a unit rate per contract (PxQ) or a combination of
fixed and unit rate (PxQ + X pricing).
‣ Service Levels and Services Credits
‣ Charges based on performance against agreed
metric, including BTL and ATL value
‣ Risk for areas of high degree of influence
Cost per unit
Px Q + X
PxQ
Volume
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19. PART FOUR
CASE STUDIES AND CLOSING THOUGHTS
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20. CASE STUDIES
The model in use
Supplier
Customer
Brief
•
•
Support data / saas sales team in finance
industry to close contracts faster
High volume based on client’s paper
Brief
•
•
•
Support legal team servicing the IT and
marketing procurement
Varying complexity on client or supplier’s paper
Onsite presence
Actions
Actions
•
•
•
Consolidate standard terms and automate
production of first draft
Implement playbook of pre-authorised fall-back
positions
Iterate according to data: business value versus
risk mitigation
•
•
•
Results
•
•
Consistently meet or beat SLA - 30 hours
Drastically increase speed to closure
Implement intake and triage process
Playbooks for various products: risk review,
contract support, deal support
Onshore and offshore support based on
complexity
Results
•
•
Reduce number of draft turns
Reduce time a contract “with legal”
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21. CLOSING THOUGHTS
• Understanding Law Department Objectives
• Limitations of OldLaw structures
• The Power of Providing Systemic Contract Management Support
• NewLaw Advantages
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22. ABOUT radiant.law
radiant.law is a UK-regulated law firm that was launched in
2011 by partners from leading firms. We are focused on
delivering a better experience and more business value for
clients, through a combination of:
Pricing certainty: all our transactional work is performed on
fixed price or equivalent basis and we do not keep
timesheets – we believe we are selling value, not time.
Experienced lawyers: all of our lawyers have worked at
market-leading US and UK firms. All projects are handled
by senior lawyers through every stage. We are used to
delivering to the high standards and timeframes expected
by multinational clients.
Innovation: we use advanced technology and processes to
collaborate with clients to improve work product and keep
costs down.
Chambers: “Since its formation in January 2011, this niche
technology firm has established a formidable reputation in the
market for its handling of a range of outsourcing work, as well as
licensing, data centre work and software agreements”.
Legal 500: “Responsive, flexible, and focused on the commercial
workability of solutions”.
Richard Susskind: “The launch of radiant.law is an important
development – the future is creeping up on us”
Legal Industry Pioneers of 2013
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23. ABOUT COGNIA LAW
Cognia Law is a next-generation legal outsourcing service
provider to global corporates and law firms founded with three
basic principles in mind:
• Provide commercial value to clients in quantifiable terms
• Remain technologically forward-thinking; and
Why is Cognia Law “next-generation”?
“Our Strategy”
We are redefining the strategic value proposition of legal
outsourcing as something more than myopic cost cutting through
offshoring. Our goal is to constantly push for improving efficiency
through an optimal balance between automation and rightshoring.
• Openly collaborate with the best innovators in the legal sector.
“Collaborating with Innovative Technology”
Cognia Law recognises that embracing new technology is the key
to optimising an outsourcing engagement. We also recognise that
remaining on the cutting edge means researching and partnering
with disruptive technology players.
“Leadership in Contract Management and Due Diligence”
Cognia Law’s emphasis is on the next frontier: applying a
powerful combination of project management work flows, process
automation, search technologies, virtual collaboration, and
advanced analytics reporting to construct next-generation contract
management and transactional due diligence services.
“Leveraging South Africa”
South Africa provides the professional resourcing advantages of
popular low-cost jurisdictions, like India, coupled with time zone
and cultural alignment with European countries, and best-in-class
communications skills.
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