New Survey Reveals Growing Adoption for AI in Legal Teams

Rhea-AI Summary

OpenText's survey with the Corporate Counsel Business Journal reveals that 91% of general counsel see technology as a key driver for success, with a focus on AI to transform the legal industry. The survey highlights the need for greater adoption of legal technology innovations to support in-house general counsels' transition from a cost center to a strategic partner. Over half of the respondents agree that AI would free up time for higher value work, and 55% believe it would boost the productivity of in-house legal teams.

Positive

• 91% of general counsel see technology as a key driver for success
• 60% of respondents agree that AI would free up time for higher value work
• 55% believe AI would boost the productivity of in-house legal teams

Negative

• None.

OpenText, in partnership with the Corporate Counsel Business Journal, reveals that 91% of general counsel cite technology as a key driver for success with AI poised to transform the legal industry

WATERLOO, ON, Jan. 16, 2024 /PRNewswire/ -- OpenText™ (NASDAQ: OTEX), (TSX: OTEX), the information company, today shared the results of a new survey that revealed the need for better adoption of legal technology innovations to support in-house general counsels' transition from their traditional role as a detached cost center to influential C-Suite strategic partner. 

Developed in partnership with the Corporate Counsel Business Journal (CCBJ), The OpenText and CCBJ Modern General Counsel Survey analyzes the impact technology has on the general counsel's current role and measured the appetite for greater adoption of pioneering technologies - such as artificial intelligence (AI) - to improve workflow efficiencies and optimize legal operations for better data-informed decisions. 

The survey highlights that 91% of all respondents indicate that technology is critical or important to meet legal strategy, objectives, and challenges to optimize operations, reduce costs, and improve risk management. This includes innovative technologies such as advanced analytics, AI, and machine learning with a desire to automate workflows and solve complex legal programs. 

The top reasons in favor for greater AI implementation include: 

• Over half (60%) of all respondents agree that AI would free up time to perform higher value work.
• 55% of all respondents agree AI would boost the productivity of in-house legal teams.
• 41% of all respondents see automation of manual tasks as the biggest opportunity for productivity improvements for their legal departments.
• Almost half (49%) of all respondents believe AI could assist with the automation and simplification of time-consuming and error prone manual processes.

As a result, 72% of all respondents went on to state that the Chief Information Officer (CIO) now plays a critical or important role in the delivery of legal innovation strategies. However, 40% indicate that a lack of IT advocacy and collaboration is preventing the implementation of new technologies, such as AI-based legal tech solutions to modernize legal departments. 

"The role of the general counsel is evolving rapidly to meet new demands and to thrive in the digital age. Traditionally slower to embrace innovative technologies, now, the legal industry must digitally transform by adopting tools, such as AI, to successfully embody its new role as an influential C-Suite strategic partner," said Michael F. Acedo, Chief Legal Officer, Corporate Secretary and EVP at OpenText. "By adopting such technologies, in-house legal teams can transform themselves from perceived corporate bottleneck and cost center to a proactive, agile leader spearheading the enterprise digital transformation journey." 

The survey also reveals that the modern general counsel must be strategically relevant and innovative to thrive in the digital age as the 'traditional' role of the general counsel shifts due to a number of internal and external factors, including increasing regulations and compliance mandates:

• 87% of all respondents agree or strongly agree that the role of the general counsel is shifting from legal advisor to strategic and influential partner to other senior executives.
• 69% of all respondents identified expanded responsibilities in other risk areas including cybersecurity, data privacy, and risk management as having the biggest impact on their role.
• Top responsibilities identified as new or critical focus areas included compliance monitoring (63%), data privacy management (47%) and cybersecurity planning (36%).  

Crucially, the survey reaffirmed that in today's legal department, technology is no longer just a nice-to-have but an essential tool to be leveraged effectively, with C-Suite support, to adequately protect and serve the business. With increased responsibilities, the need to innovate is critical to drive business outcomes and address increased data complexity, cyberthreats and new data privacy obligations. 

OpenText's Vision for Artificial Intelligence
AI will change everything, every industry, every organization, every role. For 30 years, enterprises have trusted OpenText to manage operational and experience data leveraging AI. Now, with generative AI, there is a new layer of learning data that must be managed and advanced. Guided by its vision and strategy for AI, OpenText.ai, the information company has integrated AI capabilities across its portfolio with the Aviator solution suite. For more information, visit opentext.ai.

Survey methodology
OpenText and Corporate Counsel Business Journal conducted a research study by surveying 289 legal professionals—74 percent of whom are located in North America—between July and August 2023. The respondents represent a broad range of industries from Banking and Financial Services, Manufacturing, Healthcare and Government, and many others.

Additional Resources

• Visit us at Legalweek New York, January 29 – February 1, 2024 at booth #1119.
• Download the full whitepaper here.
• Learn more about OpenText's strategy and vision for AI and the Aviator solutions, here.
• Find more information about the OpenText Legal Tech AI-intelligent platform.

About OpenText

OpenText, The Information Company™, enables organizations to gain insight through market leading information management solutions, powered by OpenText Cloud Editions. For more information about OpenText (NASDAQ: OTEX, TSX: OTEX) visit opentext.com

Connect with us:

OpenText CEO Mark Barrenechea's blog

Twitter | LinkedIn

Certain statements in this press release may contain words considered forward-looking statements or information under applicable securities laws. These statements are based on OpenText's current expectations, estimates, forecasts and projections about the operating environment, economies and markets in which the company operates. These statements are subject to important assumptions, risks and uncertainties that are difficult to predict, and the actual outcome may be materially different. OpenText's assumptions, although considered reasonable by the company at the date of this press release, may prove to be inaccurate and consequently its actual results could differ materially from the expectations set out herein. For additional information with respect to risks and other factors which could occur, see OpenText's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other securities filings with the SEC and other securities regulators. Readers are cautioned not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. Unless otherwise required by applicable securities laws, OpenText disclaims any intention or obligations to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Further, readers should note that we may announce information using our website, press releases, securities law filings, public conference calls, webcasts and the social media channels identified on the Investors section of our website (https://investors.opentext.com). Such social media channels may include the Company's or our CEO's blog, Twitter account or LinkedIn account. The information posted through such channels may be material. Accordingly, readers should monitor such channels in addition to our other forms of communication.

Copyright © 2024 OpenText. All Rights Reserved. Trademarks owned by OpenText. One or more patents may cover this product(s). For more information, please visit https://www.opentext.com/patents. 

OTEX-G

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/new-survey-reveals-growing-adoption-for-ai-in-legal-teams-302035598.html

SOURCE Open Text Corporation

FAQ

What percentage of general counsel see technology as a key driver for success?

91% of general counsel see technology as a key driver for success.

What are the top reasons for greater AI implementation according to the survey?

Over half of the respondents agree that AI would free up time for higher value work, and 55% believe it would boost the productivity of in-house legal teams.

What role does the Chief Information Officer (CIO) play in the delivery of legal innovation strategies according to the survey?

72% of all respondents stated that the Chief Information Officer (CIO) now plays a critical or important role in the delivery of legal innovation strategies.