Executive summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .viiAbout the authors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . xiChapter 1: Why the developments to the competence divide (and notthe digital divide) will make or break the law fi rm business model . . . . . . . . . .1By Emma Ziercke, research assistant, and Markus Hartung, director, at theBucerius Center on the Legal Profession (CLP) at the Bucerius Law SchoolFrom information asymmetry to the closing competence divide:An elusive aspect of the law fi rm paradigm . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1How legal technology will change the business of law . . . . . . . . . . . . . . . . . . . 3Is legal technology really changing the law fi rm model? . . . . . . . . . . . . . . . . . 5Information equilibrium, but in a dynamic market? . . . . . . . . . . . . . . . . . . . . . 9Chapter 2: AI and fi ve new business models for legal services . . . . . . . . . . . .11By Joanna Goodman, writer, editor, and IT columnist for the Law SocietyGazette and the Guardian Media NetworkNew business model 1: The lawtech start-up . . . . . . . . . . . . . . . . . . . . . . . . . . . 13New business model 2: The legal chatbot . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15New business model 3: Online legal advice . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17New business model 4: The legal platform as a service . . . . . . . . . . . . . . . . . 19New business model 5: The legal engineer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21Chapter 3: What is the next big thing for legal services? . . . . . . . . . . . . . . . . 23By Chrissie Lightfoot, CEO of Robot Lawyer LISA and CEO of EntrepreneurLawyer LimitedSuspicions and reinventions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24From AlphaGo to AlphaLaw? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24Four aspects of legal services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26Time equals money . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27ContentsNew-Directions_RO_2017.indd iii ew-Directions_RO_2017.indd iii 27/07/2017 13:23 7/07/2017 13:23Evolving legal artifi cial intelligence from carthorse to racehorse . . . . . . . . . 28Inviolable lawyers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29Paper-pusher pushout . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30Renovating private practice . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31Chapter 4: The missing ‘E' in legal innovation . . . . . . . . . . . . . . . . . . . . . . . . . . 33By John Alber, futurist at the International Legal Technology AssociationInnovation talk . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33Apple innovation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34Design Thinking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36A new model? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38Chapter 5: The evolving legal talent pool . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41By Debbie Epstein Henry, founder of DEH Consulting, Speaking, WritingChapter 6: Rethinking pricing and profi tability . . . . . . . . . . . . . . . . . . . . . . . . . 45By Michael Roster, co-chair of the Association of Corporate Counsel's ValueChallenge steering committee; previously managing partner of Morrison &Foerster's Los Angeles offi ce and GC of Stanford UniversityThe historical problem . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45Use of market data to determine pricing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46Matrix budget . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47The three Es . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48Multi-disciplinary practices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49Chapter 7: A new business model for a sustainable future . . . . . . . . . . . . . . 51By Martyn Caplan, founder and director of Lawyers Inc.The traditional legal model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 51Potential threats to the fi nancial stability and future of a legal practice . . 52Creating a different business model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55It's good to talk – and we will listen . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57Chapter 8: Evolving business models in legal services . . . . . . . . . . . . . . . . . . . 59By Janvi Patel, executive chairwoman and founder of HaleburyTraditional law fi rms . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59The in-house model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60Unbundling legal services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63Our evolution – The Halebury model . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64Next stage of the evolution . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67New-Directions_RO_2017.indd iv ew-Directions_RO_2017.indd iv 27/07/2017 13:23 7/07/2017 13:23New Directions in Legal ServicesChapter 9: Law fi rm-client collaboration through the managed legalnetwork . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69By Richard Tapp, company secretary and director of legal services,Carillion plc and Fleur Kitchingman, senior vice president of legal andcorporate secretary, Carillion CanadaIntroduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69Agenda for change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70Our aspirations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71Our processes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71Reflections on collaboration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 76Chapter 10: Business model innovation – Implementing andsustaining change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77By Mike Polson, director of Ashurst Advance and co-head of innovation atAshurst, and Christie Guimond, R&D strategy manager at Ashurst AdvanceDrivers for change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77Traditional Big Law vs Evolving Big Law models . . . . . . . . . . . . . . . . . . . . . . . . . 78The evolving business model in practice – Ashurst Advance . . . . . . . . . . . . . . . . . . 80Implementing and sustaining change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 81Parallels from the past? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 84
