Business Intelligence (BI) is not a new concept to most of us. BI is becoming increasingly accessible to a wider group of organizations. Our previous blog post shares where we see legal BI trends moving in 2019. These are the top 5 myths we've found about BI and thought it would be best to shed some light and knowledge on each one in the law firm arena.
1. Business Intelligence is only for large law firms
That very well was the case 15 years ago, but gone are the days that BI can only be operated by experienced IT staff and data analysts. Small law firms couldn't even think about legal business intelligence applications; 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. (We expand much more on this topic in our blog post.) In today's world having tools to transform raw data into meaningful insights for all members of the firm to make accurate and informed decisions is key. Even smaller firms without no prior business intelligence skills can use legal BI tools to analyze their data.
2. BI is only for senior management
There has been a major push the past few years to provide business information to everyone in the firm. This allows a better understanding of the objectives and goals being met and where work needs done. Today, law firms are ensuring that data is available and in as many hands as possible to gain a competitive advantage. Where we start to see a disconnect is in BI applications that are too difficult for someone without data or reporting experience to easily understand what they are looking at. At BigSquare we understand the importance of a legal BI application that is robust enough for administration, but also simple enough for attorneys to use. With our highly configurable dashboard, easy to use admin console, and security restrictions by role, we are confident we have found that sweet spot. This blog post explains why a 92% adoption rate is so important and how to reach it at your firm.
3. The legal industry doesn't need business intelligence
Law firms want to make smart decisions backed by good business strategies. We have learned throughout our years working in the legal industry that most firms already have access to data that can help in both ways. Where we see obstacles arise is figuring out what tool or approach is the best to handle the data. Excel reports provide insight, but are timely to put together and can only provide so much. A business intelligence solution is one way to get meaningful business insights, improve business performance, and surface key performance metrics. Legal BI applications give you data to see where your law firm is going wrong and what you are doing right. Through this you can make adjustments in strategies and guide your firm to further success. Could a BI solution provide your firm with one version of the truth? This whitepaper goes into 5 signs your law firm may be ready for a BI solution, take a look for yourself.
4. The ROI on BI doesn’t justify its costs
Just like any other software, there are costs involved with implementing a BI tool and strategy. But as noted above, costs for BI tools have dropped dramatically in the past several years with the emerging interest in cloud based solutions. The results from a single analysis of your data could easily pay for itself! Don't take it from us, we provided links to multiple case studies from both big and small law firms that saw tremendous ROI through implementing a legal business intelligence application at their firm:
- This Firm reduced the average number of days the attorneys took to enter their time by 100%.
- This Firm was able to consolidate multiple systems saving them both time and money.
- This Firm's day to day actives have vastly improved which has also created more efficiency for both attorneys and administration.
5. Manual Reporting is better than a dashboard BI system
If your firm has never been exposed to a legal BI solution then it’s easy to misconceive that manual reporting is more customized. If your IT or finance manager creates all of your reports, then they will likely include only high-level numbers and data, not the drilled-down information that each practice group may need. With a dashboard reporting system like Attorney Analytics, individual users have the power of reporting in their own hands. They don’t have to rely on someone else to create and organize all the data, and they can easily filter and view information on their screen anytime anyplace. Not only does that empower individual users, but it frees up time from your team that was focused on manual reporting to head larger initiatives.
My hope is that debunking these myths made it clear that business intelligence is imperative for success at a law firm that wants to continue to grow. With the right BI tool and data visualization tool you can easily take advantage of all the above myths and more. A proper legal Business Intelligence tool is the key to run an efficient, productive and profitable law firm!
BigSquare is the leading provider of Business Intelligence for law firms and professional service organizations. We focus exclusively on law firm reporting, law firm BI, law firm profitability and law firm analytics.