AIG launching consulting company to advise corporate clients on efficient legal operations
American International Group Inc. is launching a new consulting company that will advise outside corporations on how to make their legal operations more efficient.
The Legal Operations Company will use internal data from the insurance giant’s Legal Operations Center to help clients set competitive prices and identify areas where legal work could be more efficient, according to Bloomberg BNA’s Big Law Business blog.
“The legal services marketplace … hasn’t been terribly good about delivering information about what the right costs for services are and the right value is for the services that are being delivered,” says Aaron Katzel. He is the global chief of legal operations for AIG.
Announced Monday at the Association of Corporate Counsel’s annual meeting in Boston, the new company, which will be separate from the legal operations center, will be up and running in January, AIG says.
In addition to using AIG’s own internal data to help clients operate efficiently, the new company will also analyze client data to help identify trends. However, it will not share confidential data between clients, the Big Law Business post reports.
Katzel said the Legal Operations Company will focus initially on serving companies with annual legal services budgets of at least $300 million. “As the business continues to evolve,” he continued, “we are aiming to provide legal services for smaller consumers of legal services, companies that have less than $300 million of spend annually a year.”
Related coverage:
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See also:
ABAJournal.com: “In Brave New Post-Boom World, Corporate Clients Now Want Value”
ABAJournal.com: “How In-House Counsel ‘Value’ Challenge is Changing One Law Firm”
ABAJournal.com: “Among ACC’s Value Champs, Pfizer’s ‘Radical’ Plan: Standardized Expectations, Law Firm Collaboration”
The New Normal (ABA Legal Rebels): “General Counsel to Cut Legal Spending Up to 25%: Catastrophe or Opportunity?”
