The Group Legal Policy (GLP) is the cornerstone document that defines how legal risk is managed across the organisation. It sets the strategic direction for the legal department, articulating its role in enabling compliant business activity and protecting the enterprise from legal exposure.

A well-crafted GLP provides clarity on the legal team’s scope, priorities, and operating principles. It ensures that legal resources are deployed in alignment with business objectives, regulatory obligations, and risk appetite. Without it, legal teams risk being reactive, fragmented, and misaligned with the business.

The GLP is not just a policy - it’s a strategic framework. It codifies how legal supports the business, what standards apply, and how compliance is embedded into operations. It becomes the reference point for all downstream legal and compliance activities.

Critically, the GLP must be endorsed by senior leadership. This ensures that legal’s role is understood, respected, and integrated into enterprise governance.

The scope of the Group Legal Policy typically includes:

◼️Definition of legal department’s strategic mandate and objectives.

◼️Legal risk management principles and thresholds.

◼️Compliance ownership and escalation protocols.

◼️Interaction with other governance functions (e.g., Risk, Audit, Compliance).

◼️Standards for legal service delivery and responsiveness.

◼️Policy creation, approval, and review processes.

◼️Alignment with regulatory obligations and ethical standards.

◼️Board-level reporting and oversight expectations.

In GLS legal ops speak – the Group Legal Policy is considered a “Foundational” resource within the process ecosystem of an in-house legal team.

The Foundational Resource is a CRE that is responsible for determining the overall performance capabilities of a “critical” legal function. If it is not optimised, the function can never be optimised. 

The best practice features of the GLP are as follows:

◼️Board-approved and regularly reviewed to reflect evolving business and regulatory landscapes.

◼️Clearly defines legal’s role in compliance, governance, and risk management.

◼️Aligns legal priorities with enterprise strategy and risk appetite.

◼️Provides escalation paths and decision-making protocols.

◼️Integrates with other key governance documents (e.g., Risk Policy, Compliance Framework).

◼️Written in accessible language to ensure cross-functional understanding.

◼️Includes KPIs and performance expectations for legal service delivery.

◼️Serves as the anchor for downstream legal policies and procedures.

The Group Legal Policy delivers the following value to the Business:

◼️Ensures legal resources are aligned with strategic priorities.

◼️Reduces risk of non-compliance and legal exposure.

◼️Improves speed and consistency of legal decision-making.

◼️Enhances transparency and accountability across governance functions.

◼️Supports faster deal-making through clear legal standards.

◼️Reduces duplication and role confusion across departments.

◼️Builds trust with regulators, investors, and partners.

For the legal team, the GLP provides a clear mandate and operating framework. It reduces ambiguity around responsibilities, improves resource allocation, and strengthens the team’s strategic positioning within the business. It also enables defensible decision-making and supports performance measurement.

The Group Legal Policy is essential for:

◼️Legal Department Leadership

◼️Legal Operations Teams

◼️Compliance Officers

◼️Risk Management Teams

◼️Board and Executive Leadership

◼️Internal Audit Functions

A legal team operating without a Group Legal Policy will face a wide range of inefficiencies including:

◼️Misaligned priorities and resource wastage.

◼️Role confusion across governance functions.

◼️Inconsistent legal advice and service delivery.

◼️Increased exposure to compliance failures.

◼️Poor stakeholder understanding of legal’s role.

◼️Difficulty in measuring legal team performance.

While the GLP itself is a policy document, its implementation often leverages technology. Document management systems ensure version control and accessibility. Integration with GRC platforms allows alignment with risk and compliance tracking. Workflow tools can embed GLP principles into daily operations.