Results-Driven Trends in Today's Legal Operations
- 1. © 2017 Cisco and/or its affiliates. All rights reserved Steven Harmon Vice President and Deputy General Counsel May 16, 2018 Results-Driven Trends in Today’s Legal Operations
- 2. 2 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential A little background…
- 3. 3 © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential
- 4. 4 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Who We Are…
- 5. 5 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential AGENDA & OBJECTIVES Cisco’s approach to Legal Attorney Identity Crisis Attorneys as Project Managers Tools, Process, and Culture Putting it all together – the “Global Center of Excellence” Trends to Watch
- 6. © 2017 Cisco and/or its affiliates. All rights reserved Enduring Values 1. Ensure Transparency and Integrity 2. Be Change Agents 3. Low cost, high quality legal department; leveraging people and technology 4. Partner with our clients
- 7. 7 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential “The sole reason our department exists is to support Cisco’s efforts to design, build, and sell our products in a legally appropriate way.”
- 8. 8 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Gateway not Gatekeeper
- 9. 9 © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Legal Services must: steward processes drive results “We have the industry’s most excellent ordering and signature process”
- 10. 10 © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential …your needs don’t fit our contracting model I regret that…
- 11. © 2017 Cisco and/or its affiliates. All rights reserved Core vs Context Resource Allocation Model Context Core Mission Critical Non- Mission Critical Activities that are necessary but not tied to competitive advantage Activities that contribute to competitive advantage Activities that, if performed poorly, pose an immediate risk Activities that, if performed poorly, do not pose a risk Outsource HR Cases Smaller litigation Real estate Tools/Processes Entity Management eBilling Self-Service Routine transaction processing Tools/Processes Document Assembly Patent Tracking **20% Out-task High Stakes Litigation Compliance Reputation HR Policy Tools/Processes Compliance integrity reviews eDiscovery **15% In-task Design, build, sell Business Dev IP Rights M&A Diligence Templates Knowledge Management Tools/Processes **65% ** % of in-house legal staff devoted to this work
- 12. 12 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential AGENDA & OBJECTIVES Cisco’s approach to Legal Attorney Identity Crisis Attorneys as Project Managers Tools, Process, and Culture Putting it all together – the “Global Center of Excellence” Trends to Watch
- 13. 13 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential In-house legal services: attorney perspective I “I am the giver of wisdom.”
- 14. 14 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential In-house legal services: attorney perspective II “I am under siege, getting hit with demands from every angle”
- 15. 15 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential In-house legal services: client perspective “I know someone in there can help me…”
- 16. 16 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential “Crazy Busy”
- 17. 17 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Desired perception
- 18. 18 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential AGENDA & OBJECTIVES Cisco’s approach to Legal Attorney Identity Crisis Attorneys as Project Managers Tools, Process, and Culture Putting it all together – the “Global Center of Excellence” Trends to Watch
- 19. 19 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Brian Brain Surgeon
- 20. 20 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Victor VHA Chief Medical Officer
- 21. 21 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential ? Brian or Who is the better doctor… Victor
- 22. 22 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Lawyer as a Project Manager
- 23. 23 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential The DMAIC framework “Define” is the Core vs. Context Decision
- 24. 24 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Define: Know your Product Q: “What do you want for lunch?” A: “I want steak.”
- 25. 25 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Define - Know your outcome
- 26. 26 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Define - Know your outcome
- 27. 27 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Define - Know your outcome
- 28. 28 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Litigation – Define your outcome Q: What does it mean to “win?”
- 29. 29 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential AGENDA & OBJECTIVES Cisco’s approach to Legal Attorney Identity Crisis Attorneys as Project Managers Tools, Process, and Culture Putting it all together – the “Global Center of Excellence” Trends to Watch
- 30. 30 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Three Distinct Challenges Process CultureTools
- 31. 31 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Tools
- 32. 32 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential What should I do? Buy a new tool! “Play the face of the future. All new X3X high-frequency grooves and a more precise forging process create irons that offer shot-shaping performance for the top players in the world. Each iron face features more grooves, resulting in cleaner, more consistent ball flight and spin while still conforming to new rules. From materials, to design, to construction, everything is done to eliminate variance and enhance control.”
- 33. 33 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential If you build it, they will come… unless they don’t
- 34. 34 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential This is not agility!
- 35. 35 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Optimizing the NDA Process
- 36. 36 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential
- 37. 37 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential AGENDA & OBJECTIVES Cisco’s approach to Legal Attorney Identity Crisis Attorneys as Project Managers Tools, Process, and Culture Putting it all together – the “Global Center of Excellence” Trends to Watch
- 38. 38 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential The Global Center of Excellence (gCOE) A Programmatic Solution to an Organizational Problem
- 39. 39 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Process Culture
- 40. 40 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Cisco Legal Services
- 41. 41 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential A Very Senior Group of People . . . 0 5 10 15 20 25 30 35 40 Grade 2 4 6 8 9 10 11 12 13 14 Grade Distribution Among CN 74 Contract Negotiators (CN)
- 42. 42 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential … Who handle a wide range of tasks 14% 7% 19% 38% 14% 9% 0% 10% 20% 30% 40% Administrative Tasks Acquisition Integration Client Support Transactional Work Peer Support/ Career Development Other Contract Negotiator Tasks Administrative Tasks Acquisition Integration Client Support Transactional Work
- 43. 43 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential Blowing up Admin Time 2% 5% 3% 3% 87% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Organizing Travel Organizing Meetings Reviewing Invoices IT Issues Managing Contracts Admin Tasks (14% of total time) • Data entry • Accuracy checking • Contract admin • Searching the database • Answering requests related to Site IDs, Bill IDs
- 44. 44 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential “Never confuse effort with results”
- 45. 45 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential -19.34% QoQ +11.06% YoY 4,631 4,922 5,980 5,873 4,893 5,062 6,236 6,737 5,434 0 1000 2000 3000 4000 5000 6000 7000 8000 Q1FY16 Q2FY16 Q3FY16 Q4FY16 Q1FY17 Q2FY17 Q3FY17 Q4YF17 Q1FY18 Note regarding metrics: As of Q1 FY17, one Legal matter = one Remedy case We no longer open additional cases to track time, effort, or complexity The data on the graphs excludes all such additional transactions from previous quarters CSAT 4.97 based on 298 survey responses GCOE Transaction Trend (Unique Matters)
- 46. 46 © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential gCOE 5days 6x Faster to Signature 50% Staffing Savings gCOE C-Sat 4.99 e-signature 4hours Business Predictability Time to Approval Time to Signature Outcomes CN 11days Ink signature 24hours Ease of Doing Business
- 47. 47 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential AGENDA & OBJECTIVES Cisco’s approach to Legal Attorney Identity Crisis Attorneys as Project Managers Tools, Process, and Culture Putting it all together – the “Global Center of Excellence” Trends to Watch
- 48. 48 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential Trends to Watch
- 49. 49 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential #1 It won’t be harder than this A Self-Driving Car is a Rules System Are real-time systems more complex than law?
- 50. 50 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential #2 Machine Learning, Artificial Intelligence, and Big Data Machine learning doesn’t have to be perfect… just better than this guy
- 51. Ben Evans at Andreessen Horowitz http://ben-evans.com/benedictevans/2016/12/8/mobile-is-eating- the-world
- 54. 54 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential #3 Analytics and Metrics Everywhere Accountability is coming
- 55. © 2017 Cisco and/or its affiliates. All rights reserved General Eric Shinseki, U.S. Army If you dislike change, you're going to dislike irrelevance even more.
- 56. 56 © 2018 Cisco and/or its affiliates. All rights reserved. Cisco Highly Confidential © 2017 Cisco and/or its affiliates. All rights reserved. Cisco Confidential Cisco: Out there or bellwether?