The last few years have brought about great change within the legal industry, as firms have adapted and changed to the moving landscape. It is more than likely that 2024 will continue with this trend, however, understanding the challenges you face in the coming year will help you define your next steps and understand what needs to be prioritised. Our Legal Trends Report 2024 helps shed some light on the biggest challenges facing law firms in 2024.
Acquiring talent and retaining them
Nearly half of the legal professionals surveyed in our Legal Trends Report 2024 have stated that talent attraction and retention is a core business priority for 2024 (43%). Many factors go into making talent acquisition more than just a handsome salary offer, recruits want enriching work environments, career progression, and a healthy work life balance. Retention is equally complex, demanding ongoing professional development and an inclusive, supportive culture that celebrates diversity.
With 50% of firms looking to increase their number of days in the office, what firms desire and what talent seeks seem to be at odds with each other. Talent seeks more flexibility and a better work life balance, but that doesn’t necessarily mean they don’t want office days. It is crucial to find the right balance between in person collaboration and remote work flexibilities, this can be done through making office days impactful, set them aside for one to ones and collaboration, while implementing the right software and business policies to support effective remote work.
Clients wanting to collaborate
Collaborating with clients continues to be a hurdle, with 29% of firms saying it’s their biggest day to day challenge. Clients today are more informed and have higher expectations than ever before. They seek active participation in their cases and require regular updates. This places a substantial demand on firms. Furthermore, the legal industry has seen a sharp rise in client complaints with an average increase of 29.7% from the previous year. Firms looking to tackle these concerns need to reassess their client strategies and bridge the gap between client expectations and firm deliverables.
While you can temper client expectations, the best way to close off this issue is to improve the firm’s client collaboration capabilities. Using modern legal solutions to help facilitate this collaboration will not only improve client satisfaction but also take burden off fee earners, with client portals, chat bots and secure document sharing firms can help automate the process keep the clients informed while also improving the case efficiency.
It's important to remember that every client is unique, and personalising the approach to suit individual needs can make all the difference. By adopting a proactive and client-centric approach, law firms can not only resolve the current issues but also future-proof their operations.
Cybersecurity as a constant threat
Cybersecurity is a major concern for the legal industry, with 34% identifying data security as a daily hurdle. Preparedness for cyberattacks also differs, with 16% feeling less prepared than last year, more than twice the average across all sectors. Emphasising the pressing need for law firms to prioritise cybersecurity and embrace secure digital solutions.
Firms need to embrace secure digital solutions that can help mitigate cyber threats. They should consider strengthening their network infrastructure, and regularly updating their systems to ensure optimal protection. Additionally, educating their staff about potential cyber threats and how to respond to them is equally important, as human error often plays a significant role in successful cyberattacks.
The legal market in 2024 presents both exciting opportunities and challenges for law firms. The success of firms will heavily depend on how well they adapt and evolve with the changing landscape. By prioritising continuing competence and providing innovative solutions for clients, while maintaining robust cybersecurity measures, law firms can pave the path for a successful future. As we move forward to a new era in the legal industry, the possibilities are boundless. With the right approach, law firms can thrive and emerge as industry leaders. So, let us embrace the challenges ahead and navigate the path to success.
Read our full Legal Trends Report 2024 here!