Selecting the right services to outsource

American and European law firms are increasingly looking towards outsourcing legal work. This trend began as a cost-saving strategy but is now realizing its full potential by growing into the area of enterprise management. To some extent, outsourcing has reached the managerial level.

What is the driver or more aptly the market reality behind it?

Asian countries such as India, Bangladesh and the Philippines boast educated, English-speaking workforces coupled with the significant market reality of cost arbitrage. US and European corporations which previously gave their legal work to law firms in their jurisdiction are now sending that work offshore.

Added to this is the reality that some corporate legal departments have taken steps to set up their own operations overseas, or established direct relationships with law firms in outsourcing centres such as India.

Savi Gupta is a lawyer at Clairvolex Knowledge Processes, a Delhi-based legal outsourcing firm.