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Performance
What Is It
Historically, legal teams were judged on activity (volume of matters, hours billed) rather than outcomes. That era is over.
The Performance Line establishes a culture of performance within the in‑house legal function-optimising resources, driving data‑based decision‑making, and validating outcomes against business goals. It turns legal work into measured, repeatable, and continuously improved outputs that demonstrably advance the Business.
This function defines mandate clarity, service levels, operational planning, resource cultivation, and decision discipline (RPLV: Resource, Priority, Leverage, Validation). It equips legal leaders with metrics that matter-from cycle-times and risk outcomes to stakeholder satisfaction and cost-per-outcome-and embeds continuous improvement across people, process, policy, and tech.
Unquestionably, performance management is a decisive corporate instrument-how well it is designed and operated will directly impact legal ROI, stakeholder trust, risk posture, and speed-to-value. It is not a reporting exercise; it is a management system that ensures legal does the right work, the right way, at the right cost, every quarter.
Business Importance
The Performance Line is important to the Business for the following reasons:
◼️ Mandate Alignment: clarifies what legal is accountable for, to whom, and why-reduces scope creep and ensures high-impact priorities are resourced.
◼️ Outcome Accountability: shifts from activity tracking to outcome validation (risk avoided, value secured, margin protected, time saved).
◼️ Resource Optimisation: ensures the right mix of internal/external capacity and capabilities; eliminates waste and bottlenecks.
◼️ Decision Discipline: embeds risk/price/leverage/value framing in legal choices; improves deal and dispute outcomes.
◼️ Speed & Predictability: standardises service levels and pathways so stakeholders get faster, more consistent results.
◼️ Stakeholder Confidence: proves legal’s impact through transparent metrics, increasing trust and influence at the executive table.
◼️ Budget Control: links spend to measurable returns; cost-to-outcome visibility enables smarter allocations.
◼️ Scalability: enables the legal function to scale operations across markets, products, and business units without quality loss.
◼️ Continuous Improvement: institutionalises learn–adjust–improve cadences (quarterly reviews, retrospectives, action plans).
Business Value
An optimised Performance Line delivers hard, measurable business value:
◼️ Legal ROI Visibility: converts workstreams into quantified outcomes (e.g., settlement savings, margin protection, cycle-time reductions, compliance assurance).
◼️ Throughput Gains: reduced time-to-close for contracts, investigations, and approvals; improved matter velocity via workflow discipline.
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◼️ Risk Quality: fewer high-severity incidents through prevention metrics, escalation pathways, and policy adherence.
◼️ Cost Efficiency: optimised resourcing (insource/outsourcing mix, panels, fixed-fee menus) lowers total legal cost per validated outcome.
◼️ Stakeholder Satisfaction: measurable improvements in service levels (responsiveness, clarity, pragmatism) lead to better internal partner engagement and adoption of legal processes.
◼️ Decision Leverage: RPLV framing enhances negotiation outcomes, prioritises efforts with best value density, and reduces low-yield activity.
◼️ Capacity Creation: automation and playbooks free up lawyer time for higher-value initiatives (strategic projects, policy uplift, risk architecture).
◼️ Data-Driven Steering: dashboards expose bottlenecks and waste, guiding prune/maintain/grow decisions across tasks and investments.
◼️ Scalable Quality: consistent outputs across jurisdictions and business units via standardised service charters, workflows, and KPIs.
Best Practice Features
The best practice features of an optimised Performance Line include:
◼️ Legal Department Mandate: written mandate defining mission, scope, priorities, stakeholders, and success measures-linked to corporate strategy and GLP.
◼️ Legal Operations Planning: annual/quarterly planning for capacity, tooling, budget, panel strategy, and improvement initiatives; scenario-based resourcing (peaks, projects).
◼️ Service Charter & SLAs: clear service definitions, intake protocols, SLAs, escalation routes, and stakeholder responsibilities; published and maintained.
◼️ Performance Metrics Framework: tiered metrics-output (volume, cycle-time), quality (defects, rework), outcome (risk avoided, value secured), experience (NPS/CES), economics (cost-per-outcome).
◼️ Request Analysis & Triage: data-led intake; classify by value/risk/complexity; route to self-service, paralegal, counsel, or external panel; prevent “lawyerising” low-value tasks.
◼️ Annual Legal Team Plan: OKRs aligned to business priorities; quarterly reviews; backlog management; continuous improvement roadmap.
◼️ Resource Cultivation: skills matrices, targeted training, secondments, knowledge assets (templates, playbooks), and non-human infrastructure (policy, checklists, CLMS).
◼️ RPLV Decision Discipline: embed Risk, Price, Leverage, Value framing into approvals, settlements, position-taking, and prioritisation.
◼️ Legal Tech Agenda: curated tech stack (matter management, CLMS, intake/workflow, e‑billing, analytics); fit-for-purpose and adoption-focused.
◼️ Efficiency Audit Cadence: periodic audits of workflow, tooling, spend, panels, templates; remediate bottlenecks; retire ineffective assets.
◼️ Knowledge Management: single source of truth for templates, policies, clause libraries, FAQs; version control; searchability and governance.
◼️ Roles, RACI & Training: mapped accountabilities across Legal/Business; role‑based training (front-line users, approvers, lawyers); performance coaching.
◼️ Budget Governance: e‑billing, accruals visibility, rate cards, fixed-fee menus; spend-to-value dashboards; exception controls.
◼️ Stakeholder Engagement: quarterly business reviews (QBRs), satisfaction surveys, adoption metrics, and co-designed improvement actions.
◼️ Risk & Escalation Playbooks: threshold-based escalation, decision logs, and post‑incident reviews feeding into process hardening.
◼️ KPI Library: cycle-times by matter type, SLA adherence, first-time-right rate, rework %, backlog age, external spend ratio, cost-per-outcome, stakeholder NPS/CES, automation adoption.
Productivity Consequences
A poorly optimised Performance Line will give rise to the following inefficiencies:
◼️ Scope Creep & Misalignment: unclear mandate causes low-value work intake and starves high-impact priorities.
◼️ Slow Cycle-Times: ad‑hoc workflows and no SLAs drive long closures, missed windows, and stakeholder frustration.
◼️ Bottlenecks & Rework: inconsistent templates/processes produce defects, rework loops, and backlog.
◼️ Opaque ROI: activity-only reporting hides outcome value, undermining legal’s contribution narrative.
◼️ Spend Leakage: unmanaged panels, open-ended billing, and poor resourcing mix inflate cost-per-outcome.
◼️ Decision Drift: absence of RPLV discipline leads to over-lawyering, weak leverage, and suboptimal settlements.
◼️ Tech Waste: tools are underused because processes and data are not fit; dashboards mislead; adoption stalls.
◼️ Talent Burn & Attrition: unclear priorities and chaotic workflows cause overload, morale issues, and turnover.
◼️ Stakeholder Distrust: missed SLAs and opaque decisions reduce business confidence and bypass of legal.
◼️ No Improvement Loop: lack of audits/QBRs prevents learning, so inefficiencies persist and compound.
Tech Implications
The Performance Line is highly tech-ready when offline discipline exists:
◼️ Matter & Workflow Management: structured intake, routing, SLAs, and status visibility; integrates with CLMS and DMS.
◼️ Analytics Dashboards: cycle-time, throughput, backlog, cost-per-outcome, RPLV decision tagging, and stakeholder satisfaction-management-grade.
◼️ E‑Billing & Spend Analytics: rate cards, accruals, panel performance, and fee model controls; tie spend to validated outcomes.
◼️ CLMS & Automation: contract lifecycle, playbooks, clause libraries, and approval gates to compress time-to-close.
◼️ Knowledge Platforms: policy and template repositories with search, version control, and usage telemetry.
◼️ Survey & Feedback Tools: stakeholder NPS/CES, root-cause capture, and improvement tracking.
◼️Golden Rule: If service charters, workflows, and metrics aren’t working offline, tech will not fix them online-it will surface the dysfunction faster.
What Next?
What next?
Feel free to explore each of the critical resource enablers that are comprised of an optimally performing Performance function by clicking on the interactive map at the top of the page.
Visit each Station for in-depth analysis of what it takes to make this in-house function really perform. Or you can go back to the overall GLS Legal Transformation Tube Map.
In most cases, the GLS Legal Operations Centre contains everything you need to effectively optimise your Performance function yourself – or feel free to reach out to us – and we can do it for/with you.
Feel free to contact GLS to book a consult to discuss your Performance function optimisation needs right here.
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