Lawyers at all firms, large and small, wear many hats. Partners are busy and are constantly challenged to find the time to focus on the important tasks of the firm and their practice. In order to be efficient and productive, it is vital to automate and simplify some daunting tasks. Cue legal technology and the variety of software– the solution for streamlining a law firm, and eliminating tedious data gathering and analysis.
Unfortunately, it used to be that small firms couldn't even THINK about these tools. They were either not available to them, or were so far out of their budget they might as well just forget they exist. However, with a shift in the market and the expansion and acceptance of cloud-based solutions, many smaller law firms have begun to utilize these legal tech tools.
Bigger Doesn’t Mean Better!
Big or small, new firm or well-rooted practice, legal professionals have recognized that data is power and are making business intelligence a priority by investing in a business intelligence solution. By collecting information from your time and billing system and other third-party data sources that house important information, your firm can develop data-driven strategies to make better-informed decisions. If used properly, business intelligence can reduce costs, increase profit, increase efficiencies, productivity, and enhance overall performance. Large or small firms have all of those as ultimate goals. Regardless of the size of your firm, you can utilize BI software to make your business the best it can be. With the right BI solution, a small firm is just as capable of providing the highest quality of services.
How Can BI Software Benefit Small Law Firms?
What we hear most, is that firms are interested in improving profitability. While growth is often a primary way that businesses look to increase profits, it's not the only way. With the right BI software, you can increase profitability by improving efficiency and reducing costs associated with matter management. Four major areas where we know that small law firms can benefit from business intelligence are:
- Firm-wide data
Firm-wide data and metrics are essential to smooth and efficient business functioning. Management needs access to the KPI's that drive the firm's profitability. BI software makes this simple and straightforward. Wondering what metrics you should be tracking? Take a look at this whitepaper to see what we suggest!
- Individual attorney data
Do you provide your attorneys with their individual metrics? Probably, but how often? Monthly? Bi-weekly? Compiling these reports takes significant time and energy on the part of your finance team – but it is also critical information for your attorneys. With BI software, you can reduce this burden on your financial team while empowering your attorneys with frequent, easy-to-use reports.
- Client and matter-specific data
Reports on client and matter-specific data make it simple to see what's profitable and what's not. A BI tool with a widget feature makes it very simple to highlight important metrics on a client site – which in turn gives you an incredible competitive advantage. Providing clients with data-driven details on items such as invoice status allows your firm to have better client conversations that lead to more value, and more intelligent billing.
- Cloud-based data
While the legal world has been resistant to accepting cloud-based solutions in the past, the conditions of the pandemic and the increase in remote work have made it nearly unavoidable while also highlighting its many benefits. With a cloud-based system, everyone always has access to the same data, no matter where they are. Information is updated simultaneously, avoiding any confusion or miscommunication.
And, did you know that BigSquare is the only completely cloud-based BI software in the entire industry? Like we said before, bigger isn’t always better!
These are the four primary areas that law firms are using business intelligence to help segment their time and billing data to provide more accurate estimates and forecasting methodologies; but in reality, the benefits are endless.
The days where BI was only a luxury for large firms are finally behind us. Times are changing and we have seen the small law firm BI industry explode. For the first time, it is possible for small firms to deploy BI to fulfill different needs, analyze their performance, predict their future, and make better decisions.
The ILTA executive summary for 2021 reported record increases in technology adoption and particularly cloud usage. With these types of trends, it's no wonder small law firms are realizing the importance of utilizing BI as well. But don’t settle for just any BI solution – choose the best of the breed with BigSquare. Remember, no one else can provide you with a completely cloud-based solution. Our software is the best in the industry while still offering competitive pricing. Contact us today to learn more!
Do you want to see first-hand how our product works? Schedule a free demo today and lead your law firm in the right direction for future success.