Insights

PERSUIT Industry Update

Top 3 ways to reduce external legal spend

 

RFPs deliver millions in savings

The evidence is now clear.  If you are not using best practice RFPs to procure your external legal services then you’re paying too much. Over one hundred legal procurement professionals participated in an independent survey and results clearly show that best practice RFPs were the number one process for reducing legal costs.*

Top three ways to reduce legal costs

The top three strategies to reduce legal costs are:

1. Issuing best practice RFPs

RFPs were the top strategy to drive and receive value from legal service providers. 

So, what is best practice?

According to the survey the ‘most successful’ in legal procurement spend most time on two activities: issuing RFPs and evaluating/reviewing RFP responses. 

PERSUIT delivers a simple process for genuine ‘apples to apples’ proposals comparison and evaluation from a user-friendly RFP scoping and distribution tool.

Still need convincing? No one in the ‘below average success’ group issued RFPs. At PERSUIT we understand why people avoid them, that’s why we created a simple yet effective tool to create RFPs and evaluate proposals.

2. Employing Alternative Fee Arrangements (ie. fixed price for an agreed scope of work). 

PERSUIT allows for flexible, quick and easy pricing preferences across a whole matter, or tailored to specific parts of an RFP.

3. Working with a list of preferred vendors (ie. panel firms). 

PERSUIT can accommodate all of your panel firms, regardless of size or location - giving you all your client relationship contacts at the click of a button.

But - it’s not just RFPs!

In addition, 14.5% of respondents use reverse/e-auctions and 25% plan to use them in the future.  60% had no plans to do so.  PERSUIT can guess why; no one has offered them an on-line bidding platform – until now. PERSUIT delivers an on-line reverse/e-auction platform.

How can PERSUIT help me create best practice RFPs?

Those within the ‘below average success’ group spend a large portion of time educating their legal department on the value of procurement processes.  PERSUIT gives you a quick and easy pathway to best-practice procurement, getting your team up-to-speed in days rather than weeks.

So how much money could PERSUIT save you?

23% was the average saving on external legal spend by the ‘most successful’ legal procurement professionals, thanks to the ‘top three’ strategies.

If these results don’t satisfy you of the value of an on-line bidding platform for your external legal spend, we’re guessing nothing will.

Contact us today to find out how PERSUIT can transform your legal procurement practices.

 *Buying Legal Council and Bloomberg Law 2017 Legal Procurement Survey. One hundred legal procurement and operations professionals in major global corporates across a number of industries (with a majority in banking, financial, Insurance, pharmaceutical, energy and utilities). A copy of the full survey can be found here.

 

PERSUIT

jim
Jim Delkousis
CEO and Founder
Have a question for Jim? Email us