With the proliferation of new data privacy laws, recent alterations to existing e-discovery law, and the ever-changing roles of the Chief Legal Officer and General Counsel, 2020 promises to be a year of pivotal transformation for many businesses. In that spirit, analyst firm Gartner released a new report detailing how corporate and legal compliance technology can help businesses more aggressively keep pace with the changing headwinds across the legal landscape.
The report, Gartner Predicts 2020: Corporate Legal and Compliance Technology, is available for download now. Take a look below to learn more about what you’ll find in the report:
Overview of Key Findings
Overall, the central theme was that companies must invest in legal technology to keep pace with digital priorities and challenges facing businesses. This means adopting more AI technology, and hiring individuals with an understanding of how to run legal and compliance technology—and this is especially true when it comes to privacy regulations. The emphasis is on removing manual processes and workflows and replacing them with tools that will help in-house teams become more efficient.
Gartner primarily recommends:
- Companies must invest more aggressively in legal technology to keep pace with digital business. Legal and compliance functions will remain a drag on productivity and responsiveness unless they progress in step with other functions.
- AI and machine learning (ML) are maturing rapidly for various legal and compliance use cases.
- Legal departments need dedicated technology talent with a commitment to technology skills.
- In-house legal organizations cannot cope with the mounting requirements of modern privacy regulations like Data Subject Access Requests (DSARs) with manual workflows or current tools.
The individuals responsible for legal and compliance technologies at corporations should recruit individuals within their legal department who are technologically-efficient, and establish risk management strategies pertaining to responding to DSARs, as well as the third-party vendors they work with.
From the report:
- Incorporate virtual legal assistants in your five-year roadmap by identifying business outcomes and a few narrow use cases on which to experiment.
- Adopt, maintain and improve legal technology systems by identifying individuals in the legal department who have the technology competency to support the automation of core workflows.
- Establish a third-party risk management strategy to identify shared risks.
- Assess your organization’s risk exposure to subject rights as part of privacy laws by calculating the estimated number of requests and the cost per request.
Gartner’s Strategic Planning Assumptions for In-House Legal Teams
Using 2023 as a baseline, Gartner sees the following four points as foundational elements which organizations can compare to their own planning assumptions:
- By 2023, virtual legal assistants will field 25% of internal requests to legal departments at large enterprises.
- By 2023, 33% of corporate legal departments will have a dedicated legal technology expert to help automate in-house workflows.
- By 2023, organizational spending on third-party risk management technologies will increase by 50%.
- By 2023, there will be a 150% increase in internal legal counsel investment in dedicated solutions to handle DSARs.