What's Happening?
A recent report from the Thomson Reuters Institute highlights a significant visibility gap between corporate legal departments and the C-Suite. Despite 86% of general counsels (GCs) believing their departments contribute
strategically to organizational objectives, only 17% of senior executives agree. The report suggests that legal departments need to improve internal relationship-building and shift from task-based to outcome-focused communication to make their contributions more visible. Additionally, the report emphasizes the importance of advancing from AI literacy to AI fluency, as AI becomes a strategic priority for legal departments.
Why It's Important?
The visibility gap between legal departments and the C-Suite can hinder the strategic alignment of legal functions with broader business goals. By improving internal relationships and communication, legal teams can better integrate into decision-making processes and demonstrate their value. The push towards AI fluency is crucial as AI tools become integral to legal operations, offering opportunities for efficiency and strategic insights. This shift can enhance the legal department's role as a proactive partner in business strategy, potentially leading to better risk management and innovation.
What's Next?
To address these challenges, legal departments are encouraged to adopt a six-layer model that includes learning, empowerment, ownership, accountability, usage, and expectations for AI integration. This approach aims to make AI use a daily habit and enhance the strategic positioning of legal teams. As legal departments work towards closing the visibility gap, they may also need to address staffing and resource constraints, which remain significant barriers to delivering additional value.
