Damian Huon gives his top ten tips for law firms on document management strategy.
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1 Ten steps towards best practice document management Damian Huon gives his top ten tips for law firms on document management strategy. While the DMS is certainly not a new concept to legal firms, its importance is growing by the day We ve all heard the astonishing statistics around document growth and whether you re in a firm of 20 or 2000, you re part of the explosion. According to EMC, the world s data doubles in its entirety every two years; which poses a real challenge for firms already struggling to manage yesterday s fill. Much of your organisation s critical intellectual property is in your documents, which may be created, copied, altered, and recreated countless times by a number of staff across your firm. So in order to protect these critical assets, you need to maintain total control. That s where Document Management Systems come into play. While the DMS is certainly not a new concept to legal firms, its importance is growing by the day. Whether you are one to roll up your savvy sleeves and get technical, or prefer to stay at an arm s length from IT, your firm s DMS is a critical element of your business that can never be left to chance. 1 Document Management 101: The Basics While you may have a complex, entangled web of systems in your firm; including practice management, case management, customer relations, accounting, document discovery, dictation and more, the DMS is at the heart of your firm s information environment. A DMS brings together all of your firm s documents into a single, searchable folder. Instead of staff saving work onto their personal computer, a DMS stores millions of files, electronic documents, scans, s, faxes and more, in one central location. Its structure allows staff in any team, branch office or even country to instantly view any document associated with a particular client, matter or project. While there s a myriad of features available from different products, a best of breed DMS will offer: documents, images, videos and more 58 Australasian Legal Business ISSUE 9.09
2 Brian Smith, Caseflow Case management: the bigger picture Document management systems are just one part of the core applications found in a typical law firm. Two of the best known classes of systems for law firms are document management systems and practice management systems. However, there is an argument that case management systems are a third crucial system. Case management systems are an evolving concept. However, typical functions of a case management system are clause library management, document production, management of workflow and tracking deadlines. A good case management solution should integrate with a firm s , practice management and document management systems. The great thing about case management systems is that they are hugely flexible and configurable, says Caseflow CEO Brian Smith. The challenges of implementation tend not to be about the solution, they are more often about how a business gets consensus for agreeing procedures and documents. Smith has been involved in numerous successful implementations and has identified two key components to success. The first is having a clear set of objectives - e.g. improve speed of file completion, reduce cost of production, deliver specific client reports, he says. The second is active involvement of a very senior level individual in the practice. The first point ensures that the implementation team keep their eye on the prize and gives a focus on the big picture to avoid getting stuck on details. The second is particularly important to help a team get decisions made to move the project forward. Case management implementations do tend to require compromises within a team or a group to achieve a common way of working and it is this that really drives the success or otherwise of an implementation, says Smith. ALB Firms must therefore ensure that their DMS empowers staff to manage their mailbox easily and effectively sensitive documents, even from IT staff available to clients easily, rather than 2 Profit Potential: The Benefits A DMS can be much more than a filing system; leading firms are embracing it as a strategic tool to achieve efficiency, consistency, and security across their practices. Empowering each and every individual, a best practice DMS will enable your entire firm to leverage from each other s hard work. Suddenly knowledge sharing and collaboration becomes second nature, as staff no longer need to reinvent the wheel each time they need to create a document. Time is saved, previous efforts are reclaimed, and your firm receives return on investment over and over again. Advanced controls also arm managers with the ability to specifically dictate who can access what; with granular permission settings right down to the individual group, user or document level. Compliance demands are easily met through security regulations providing user tracking, version control, backup, and retention; and IT costs are reduced through streamlined system administration processes and reclamation of expensive storage space. 60 Australasian Legal Business ISSUE 9.09
3 3 Overload: The Simple Solution Handling the torrent of s that flow through your firm on a daily basis is a constant battle. According to US research firm Radicati Group, the average number of corporate s sent and received last year by an individual per day was 110; and it s on the rise. This continuous barrage of communication means that careless with their filing, leaving your firm vulnerable to compliance breaches and loss of information. Firms must therefore ensure that their DMS empowers staff to manage their mailbox easily and effectively. existing applications (such as Microsoft Outlook), to offer a familiar, copies of filed s mean that mailboxes can be organised by personal preference without jeopardising company records, and individuals can easily track what they are yet to file with clear tags. Intelligent systems can even learn individual filing habits to suggest a location or file automatically; encouraging productivity and ensuring your organisation s knowledge is managed and distributed effectively. 4 5 At Your Fingertips: The Power of Search Law firms are unique in the sense that a considerable amount of content is often similar from matter to matter. This makes searching for documents time consuming, so standard search methods simply don t cut it. Superior DMSs offer comprehensive searching across various file formats, allowing users to refine their search according to a plethora of criteria, including content, location, author, version, client, case, type, date range, and much more. New developments also allow firms to connect their DMS to a range of internal repositories, including practice management, customer relationship and accounting systems, as well as external sources such as legal research sites. This holistic approach promotes productivity, encourages sharing of knowledge and minimises duplication of effort. Info on the Go: The Mobile Lawyer Whether business practices are simply evolving, or technology is driving the change, more and more lawyers are embracing gadgets to assist them on the move. Rapid developments in devices such as and more, are making mobility increasingly practical. Individuals can now actively contribute and collaborate with the firm when travelling between offices, clients, meetings, or even from home. Advanced DMS products offer document management functionality on the go, allowing professionals to not only file s they receive and send on their Smartphone s, but also access client files and documents. Staff can find, view, interact, attach and send a variety of file formats 63
4 from their mobile, encouraging collaboration anytime, anywhere. This extension of your DMS not only means that staff are always productive and responsive to clients, firm retention policies are adhered to across all situations. Case Management: The Integration Strategic integration with a will enhance your DMS s ability to facilitate case management. For example, workflow technology can provide a layer of automation within your DMS to streamline processes such as new client on boarding, document review and approval, accounting procedures, verifications and more. Firms are empowered to address critical business practices, such as New Matter Intake. While vigilantly ensuring that new matters are free of conflicts of interest, correctly initiating multiple systems and seeking approval from required individuals, workflow technology can automate a large portion of tasks; 6 7 Wotton + Kearney Lawyers Karen Kelly, Office Manager Spruson & Ferguson Simon Saunders, IT Manager Coleman Greig Lawyers Warrick McLean, General Manager Marsdens Law Group Justin Thornton, Partner Electronic matter files are very important for flexibility in Disaster Recovery and Security lockdown internally. Ease of reference is also crucial to avoid searching for physical copies. Critical elements of our DMS include centralised management, as well as the automation of incoming paper handling. This is based on a bespoke solution developed in-house which pattern matches correspondance to a matter, then automatically updates important records such as trademark registration. Any revelant workflows, including review processes, are then initiated. Our DMS allows access to a client file wherever you are. You could be in court, on the road or at a clients. It also allows easy access to old matter files without the need for retrieval from hard copy offsite storage Our DMS has been one of the most useful systems we have implemented in terms of efficiency across the whole practice. It not only generates efficiencies in filing, storing and searching information across all practice areas, it provides opportunities to implement other systems and practices that would not have otherwise been viable such as document construction and workflow management systems. reducing margin for errors and cutting labour from weeks to mere hours. Not only does this exercise of tight control enable firms to mitigate risk and drive efficiencies, compliance is ensured through consistent operating procedures and regulations. Making a Choice: The Options Fierce competition in the legal software market means that there is a wide variety of document management solutions available; however navigating through the abundance of options to find the product that best suits your individual needs and budget is a challenge in itself. this search as a project in itself. Independent IT companies who specialise in the legal industry can assist, offering needs analysis services to establish real criteria around the functionality, management, and ongoing support your firm is likely to need. Once you have short listed potential products, it can be of real benefit to share and compare with your peers to understand their experiences share how their DMS contributes strategically to their organisation: TAKE CONTROL OF WHAT MATTERS TO YOUR FIRM. +61 (0) Australasian Legal Business ISSUE 9.09
5 8Risky Business: The Migration If you ve chosen to implement or change your DMS, moving to the new system is a major undertaking brimming with inherent risks, requiring professional project management. Commencing with a design phase to create a blueprint for the new system, current information must be mapped to the new structure to dictate where each and every document will be located. Once decided, a number of test migrations will be carried out, in conjunction with user training, before the final cut over takes place. Suffice to say, this is a lengthy project requiring significant resources and firm wide commitment. Major risks to consider during this process include incomplete transfers of documents, security changes resulting in either excessively restrictive or overly relaxed permissions, steep user learning curves, impractical structures, and costly system downtime. Firms must not take migrations lightly; every measure possible should be employed to mitigate these risks, and all stakeholders need to understand the process and threats associated to ensure your move goes smoothly. 9 Staff Resistance: The Big Sell As with any change, there will be elements of resistance against the unfamiliar. Many firms undergoing DMS migrations report that even senior lawyers thwart new endeavours; opting to store their files on local hard drives and file s in their personal Outlook folders. Whilst secretarial staff may perform a mass file of these documents upon case completion, it does pose significant problems during the matter for the rest of the team who cannot refer to precedents and must start from scratch. more than simply provide training. From the outset, firms must ensure they opt for products offering simple, expectations should also be managed honestly; which includes not only endorsing the benefits, but being clear on limitations. Additionally, challenging users should be included in test groups and encouraged to act as the champion in their teams to internally promote the new system. 10 On the Horizon: The Future of your System In the ever accelerating world of technology, constant new developments can seem overwhelming. Whilst it is neither recommended nor practical to stay on the bleeding edge of technology, firms should never shy away from new advancements that will provide real benefit. Not only can you expect improved, seamless integration between your systems, but many third party add on products will eventually become part of your primary software. Smart phone functionality and ease of use will continue to progress, and your DMS s collaboration with external resources will expand. Firms should strongly consider product updates on offer; whilst implementations may be costly and carry risks, sensible uptake of developments can improve your organisation s management of information, productivity, and offer rewarding return on investments. About the Author: Damian Huon is a Law Firm Technology Strategy Specialist, with more than 20 years experience working with Australia s leader practices. Damian is CEO of Huon IT, a professional services technology consultancy firm. 65
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