2013 Edition Law Department Metrics Benchmarking Survey 2013 · The Law Department Metrics...

2013 Edition

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Law Department Metrics

Benchmarking Survey 2013Functions | Staffing | Operations | Outside Counsel | Expenses

Sponsored By:

TABLE OF CONTENTS ♦ Foreword ♦ Introduction ♦ Section I: ............. Staffing ♦ Section II: ............ Expenses ♦ Section III: ........... Outside Counsel ♦ Section IV: .......... Operations/Functions

♦ Appendix A: ........ Questionnaire

FOREWORD

• The total number of outside law firms a legal

department hires is shrinking, but not in every industry segment. Why is that?

• Alternative Fee Arrangements (AFAs) appear to

be growing in usage, but slowly. And, you have to wonder about the 18% who aren’t using AFAs at all.

• Law departments in finance corporations see

legal expense as a percentage of revenue being higher than legal departments in other industries.

Welcome to the 2013 edition of the ALM Law Department Metrics Benchmarking Survey Report.

LexisNexis CounselLink, is pleased to sponsor

this latest ALM Report and share the results with you. We’re big believers in the benefits of being data-driven and metrics-based. When you pay attention to measurements on an on-going basis, you tend to do a much better job of keeping your matters, team, department and company on track and pointed toward success.

Going back to historical references, there’s a direct connection between the term benchmarking and carpentry workbenches, which leads to a very pertinent question: What are you building today?

Chances are this report can help you manage

your department with more precision and confidence. Use the metrics provided by your corporate counsel peers to get a better sense of how your department compares. Analyze the details, reset your own goals if necessary, and then return to your workbench and keep on building. That’s what we’re planning on doing with our clients.

Kris Satkunas Director, Strategic Consulting LexisNexis CounselLink

INTRODUCTION ALM Legal Intelligence has monitored the trend of in-house legal performance through 24 surveys conducted from 1972 through 2013. The Law Department Metrics Benchmarking Survey, 2013 Edition, provides benchmarks on staffing, expenses, outside counsel, operations and functional areas of interest to individuals responsible for law department management. The 2013 Law Department Metrics Benchmarking Survey, contains data collected from 70 companies from May through August 2013. Demographic information on respondents immediately follows this introduction. BACKGROUND Some of the challenges facing law department management today include implementing cost controls, defining performance improvement objectives and aligning departmental goals to corporate business strategy. Increasingly, General Counsel are called upon to provide tangible results. Benchmarking provides the necessary starting place for measuring and managing law department financial and operational goals.

Benchmarks, in and of themselves, do not give a manager precise answers to the many issues associated with operating a corporate law department. Benchmarks do tell us how an organization is performing relative to comparable companies. Benchmarks allow one to identify areas that need further scrutiny, i.e., things that need to be looked at to determine why the numbers are what they are. Therefore, deviations from benchmarks tell us what questions to ask and in what areas, but they do not provide us with all we need to know. Benchmarks do not provide us with the answers – they are a starting point. However, having a starting point is essential since it focuses attention on specific areas requiring further analysis. In some cases, your benchmarks for specific areas may exceed the benchmark averages or upper quartile of comparable organizations. In this case, further analysis will provide a greater understanding of the discrepancies. In other cases, your benchmarks for specific areas may be exceptionally low relative to the benchmarks of comparable organizations. In this case, either congratulations are in order or further analysis is required to ensure that the exceptionally low

2013 Law Department Metrics Benchmarking Survey Page 3 ALM Legel Intelligence

benchmarks are not hurting the performance of your organization. Finally, benchmarks should not be confused with best practices. Benchmarks are indicators of performance relative to others. A best practice is a business process with demonstrated ability to achieve excellent results. SPECIAL REPORTS The benchmarks presented in this survey offer a starting point useable to a wide variety of participants. If you are interested in exploring these benchmarks in more detail, or have any questions or comments regarding this survey, please contact ALM Legal Intelligence, at (888) 770-5647. METHODOLOGY This Survey presents analysis by revenue, number of employees served by the law department, size of law department, and industry, as appropriate, for fiscal year 2012. Expenses are presented on a per lawyer and per legal service provider basis. (A legal service provider is determined by counting each lawyer as one legal service provider, and each paralegal as one-half legal service provider.) The majority of respondents provided both detailed and total expenses, others provided only limited detail and

incomplete totals. Therefore, the number of respondents may differ from analysis to analysis. STATISTICAL TERMS USED The statistical terms used in the survey are defined below and illustrated in the example. Quartiles are used to define the middle 50% of the range. One quarter of the observations lies below the first or lower quartile (or 25th percentile). One quarter lies above the third or upper quartile (or 75th percentile). The median (or 50th percentile) is the middle or central number in a series of numbers arranged in order of value. In the following example, the median is 50. There are equal numbers of smaller and larger observations. The average (or mean) is the total value of all observations divided by the number of observations. This number may be distorted by a few outliers, as is the case in our example. Percentages may not total 100% due to rounding.


To ensure more accurate information, no statistics are shown for any category that does not have data supplied from at least three law departments. Quartile information is only shown for five or more participants. Therefore, certain tables will show only averages or medians, even though sufficient data exists for additional statistical comparison. The number of companies responding is identified on each table. Readers may note large variations in some statistics, such as the number of lawyers employed and outside counsel expenditures. The averages may be substantially higher than medians or even upper quartiles. These are not errors, but a reflection of the

fact that a minority of respondents are much greater users of legal services than most others. All data are computed using the unweighted method. Weighted data are analogous to the House of Representatives (i.e., states have more or less representation based on their size); unweighted data are like the Senate (i.e., each state has the same representation). Unweighted data uses one figure for each company as part of the calculation. For example, in calculating unweighted data for total expenses per lawyer, all total expenses per lawyer are summed then divided by the number of companies that provided data. By reporting analysis in this fashion we are able to provide an interquartile range of performance. It is most appropriate to compare your department using the stratification levels previously identified.

EXAMPLE Item No. Amount

1 400 (Outlier) 2 90 3 80 – 75th percentile or upper quartile 4 70 5 60 6 50 – median or 50th percentile 7 45 8 40 9 30 – 25th percentile or lower quartile

10 20 11 10

Average is 82 Middle range is 30 to 80


26 or More Lawyers

11 to 25 Lawyers

4 to 10 Lawyers

2 to 3 LawyersSingle Lawyer

All CompaniesDepartment Size

New England

Middle Atlantic

South Atlantic

East South Central

West South Central

East North Central

West North Central

Mountain

Pacific

All Companies

Region

6813261793

722102

402200

521200

1517340

321000

301200

1407430

1035110

730211

DISTRIBUTION OF COMPANIES BY LOCATION AND DEPARTMENT SIZE

26 or More Lawyers

11 to 25 Lawyers

4 to 10 Lawyers

2 to 3 Lawyers

Single Lawyer


Under $100 Million

$100 to $999 Million

$1 to $4.9 Billion

$5 Billion and Over

All Companies

Annual Revenue

6713261783

281014400

23310820

1302542

300021

DISTRIBUTION OF COMPANIES BY ANNUAL REVENUE AND DEPARTMENT SIZE


26 or More Lawyers

11 to 25 Lawyers

4 to 10 Lawyers

2 to 3 Lawyers

Single Lawyer


Less than 1,000 Employees

1,000 to 4,999 Employees


10,000 Employees or More

All Companies

Number of Employees Served by Law Department

6813261793

29914600

1436410

1615730

901053

DISTRIBUTION OF COMPANIES BY EMPLOYEES SERVED AND DEPARTMENT SIZE

26 or More Lawyers

11 to 25 Lawyers

4 to 10 Lawyers

2 to 3 Lawyers

Single Lawyer


Utilities

Chemical Manufacturing

Metal/Machinery Manufacturing

Computer/Electrical Manufacturing

Other Manufacturing

Wholesale/Retail Trade

Publishing/ Telecommunications

Finance

Insurance

Professional/Scientific/ Tech. Services

Health Care Services

Other Services

Other Industries

All Companies

Type of Industry

6813261793

611220

603210

603120

603210

541000

815101

611031

611400

915300

520201

110000

211000

202000

DISTRIBUTION OF COMPANIES BY INDUSTRY AND DEPARTMENT SIZE


26 or More Lawyers

11 to 25 Lawyers

4 to 10 Lawyers

2 to 3 Lawyers

Single Lawyer


Public

Private

Subsidiary/Division/Joint Venture

Not-For-Profit/Government

Other

All Companies

Type of Ownership

6813261793

211000

603030

805300

1502562

371215901

DISTRIBUTION OF COMPANIES BY OWNERSHIP AND DEPARTMENT SIZE

26 or More Lawyers

11 to 25 Lawyers

4 to 10 Lawyers

2 to 3 Lawyers

Single Lawyer


Centralized

Solo

Decentralized

Mixed

All Companies

Departmental Reporting Relationship

6713251793

825100

101000

300012

5511191681

DISTRIBUTION OF COMPANIES BY DEPARTMENTAL REPORTING RELATIONSHIP AND DEPARTMENT SIZE

26 or More Lawyers

11 to 25 Lawyers

4 to 10 Lawyers

2 to 3 Lawyers

Single Lawyer


Centralized

Decentralized

Mixed

Not Stated

All Companies

Departmental Locations

6813261793

401300

1778110

311010

445161373

DISTRIBUTION OF COMPANIES BY DEPARTMENTAL GEOGRAPHIC LOCATIONS AND DEPARTMENT SIZE


$5 Billion and Over

$1 to $4.9 Billion


Under $100 Million

All CompaniesAnnual Revenue

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Type of Industry

692923143

62310

72230

61320

51220

55000

82240

60213

64200

94500

52210

22000

22000

22000

DISTRIBUTION OF COMPANIES BY INDUSTRY AND ANNUAL REVENUE


$5 Billion and Over

$1 to $4.9 Billion


Under $100 Million


Public

Private

Subsidiary/Division/Joint Venture

Not-For-Profit/Government

Other

All Companies

Type of Ownership

692923143

22000

70430

83320

142543

38221150

DISTRIBUTION OF COMPANIES BY OWNERSHIP AND ANNUAL REVENUE


$5 Billion and Over

$1 to $4.9 Billion


Under $100 Million


Centralized

Solo

Decentralized

Mixed

All Companies

Departmental Reporting Relationship

682823143

95310

11000

30111

552219122

DISTRIBUTION OF COMPANIES BY DEPARTMENTAL REPORTING RELATIONSHIP AND ANNUAL REVENUE

$5 Billion and Over

$1 to $4.9 Billion


Under $100 Million


Centralized

Decentralized

Mixed

Not Stated

All Companies

Departmental Locations

692923143

43010

1810530

31200

441516103

DISTRIBUTION OF COMPANIES BY DEPARTMENTAL GEOGRAPHIC LOCATIONS AND ANNUAL REVENUE


Upper Quartile $

Median $

Lower Quartile $

Average $

Number of Companies

World-wide Revenue in $ Millions

Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Not Stated

Utilities




Other Manufacturing


Publishing/Telecommunications

Finance

Insurance

Professional/Scientific/Tech. Services


Other Services

Other Industries

All Companies

Department Size

Type of Industry

9,250.003,367.37977.008,460.4869

13,451.503,369.501,200.007,257.506

8,000.002,145.67277.504,306.517

4,554.351,883.00915.502,562.236

6,350.731,329.00758.003,109.295

26,206.0023,300.0017,630.4022,194.565

5,950.75835.00463.265,833.298

1,421.25145.008.57656.226

37,605.887,600.003,055.0020,038.086

6,950.004,760.002,479.057,786.479

10,905.504,904.001,075.005,773.005

-- 13,514.507,600.0013,514.502

-- 28,947.4015,200.0028,947.402

-- 6,745.506,253.006,745.502

-- 9,853.25277.509,853.252

30,245.5021,479.806,252.0022,324.3513

8,525.005,385.702,517.607,921.0226

5,130.002,000.00902.003,578.7317

1,325.00427.50117.50836.548

-- 112.0011.00124.333

Breakout of DataBreakout of Data

WORLD-WIDE REVENUE* IN $ MILLIONSBY DEPARTMENT SIZE AND INDUSTRY

*Last complete fiscal year.


UpperQuartile Median

LowerQuartile Average

Number of Companies

Number of Employees in Operations Served by the Law Department

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over

Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Not Stated

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue

Department Size

Type of Industry

22,611.258,850.002,700.0022,339.4170

8,121.504,750.002,600.005,910.336

44,731.008,900.001,935.0037,694.577

32,663.509,377.502,781.7514,950.006

7,500.004,856.501,516.504,696.506

37,796.5022,500.009,552.5023,439.605

7,515.253,450.00649.254,021.638

1,736.50626.0078.751,018.836

116,000.0018,550.007,000.0074,250.006

30,896.0020,000.0010,000.0023,558.449

51,417.5015,000.005,118.0025,614.205

-- 26,100.0022,200.0026,100.002

-- 69,344.0039,200.0069,344.002

-- 7,293.507,073.007,293.502

-- 12,067.501,935.0012,067.502

52,741.0022,500.008,737.5053,427.0013

32,663.5010,500.005,522.5024,069.7726

16,750.008,800.002,500.0011,863.4717

4,000.00750.00181.001,847.679

-- 100.0055.00317.003

41,965.5022,500.008,737.5044,398.6629

15,000.009,000.004,800.0010,850.3923

3,050.001,741.00464.001,836.2914

-- 100.0015.00288.333


NUMBER OF EMPLOYEES SERVED BY LAW DEPARTMENTBY REVENUE, DEPARTMENT SIZE AND INDUSTRY


STAFFING How a law department is staffed depends upon the types of legal services required by the organization, the corporate culture, the total amount of legal work required by the enterprise and the decision to provide legal services in-house (wholesale) or through outside counsel (retail). Most organizations do not staff their law departments for the peak demand levels for legal services. In deciding in-house staffing levels, it is first necessary to analyze the need for legal services and establish a “steady state” of required services. A steady state of legal services can often be determined by taking a multi-year view of the matters handled and excluding the top (largest) five to seven matters each year. The resulting fees associated with the remaining matters can often help identify a steady state of legal services. Once the steady state is determined, an organization can then begin to determine the appropriate staffing levels. Most law departments balance their in-house staffing with the need and cost of using outside counsel services. The Staffing section of the Law Department Metrics Benchmarking Survey, 2013 Edition, contains strategic management benchmarking information, which will allow a law department manager to determine the corporation’s staffing information relative to comparable organizations. One of the most common benchmarks is to compare the number of lawyers and staff to each $1 billion of revenues. Like any other benchmark, this information tells us how organizations are staffing but does not, and should not, provide a staffing formula.

Delegation of work and ensuring that specialty work is in the right hands is a challenge for any organization. These challenges are no different for a corporate law department. This Staffing section provides information about the number of administrative employees as well as the ratio of administrative staff to lawyers in a law department. Although the number of administrative employees has been decreasing over time, the need for administrative help is essential. Both paralegals and lawyers must continue to delegate administrative work, as appropriate. It is important to remember that having comparable staffing ratios or benchmarks does not guarantee effective utilization of staff. One benchmark that appears to be counter-intuitive is the paralegal staffing benchmark. While many companies strive to be in the lower quartile when benchmarking against comparable organizations, paralegal staffing is an area where companies should strive for upper quartile staffing levels, if paralegals are employed effectively. Paralegals are a cost effective method of providing legal services and can carry a significant workload in the organization, freeing lawyers to do what only they are licensed to do. Over the years, analysis has proven that paralegals are a cost effective way to serve the organization. Again, however, it is important to remember that having comparable staffing ratios or benchmarks does not guarantee that paralegals are being used effectively.


STAFFING - TABLE OF CONTENTS Number of Lawyers and Staff Per $1 Billion in Revenue .................................................................. 16 Number of Lawyers in Law Department ........................................................................................... 20 Number of Management Lawyers in Law Department ..................................................................... 25 Number of General Lawyers in Law Department ............................................................................. 30 Number of Paralegals in Law Department........................................................................................ 35 Number of Administrative Staff in Law Department .......................................................................... 40 Number of Legal Staff in Law Department ....................................................................................... 45 Ratio of Paralegals to Lawyers ......................................................................................................... 50 Ratio of Administrative Employees to Lawyers ................................................................................ 51 Ratio of Administrative Employees to Legal Service Providers ........................................................ 52 Size of Law Department Reduced in Past 12 Months ...................................................................... 53 Number of Positions Eliminated ....................................................................................................... 56 Workloads of Staff Increased in Past Year ....................................................................................... 57 Extent of Workload Increase ............................................................................................................ 60 Top Legal Officer Position Include Additional Title/Responsibilities of Corporate Secretary ............ 64 Diversity Policy ................................................................................................................................. 66 Diversity Activities ............................................................................................................................ 68 Percent of In-house Lawyers by Practice Area ................................................................................ 71 Number of Lawyers by Year Admitted to the Bar ........................................................................... 96 Number of Lawyers by Years of Experience within Law Department ............................................. 105 Number of New Lawyers Hired in 2012 .......................................................................................... 112 Recruiting Expense in 2012 per Lawyer Hired ............................................................................... 119 Documented Retention Strategies ................................................................................................. 120 Track Employee Job Satisfaction ................................................................................................... 123


Total DepartmentAdministrative Staff

ParalegalsTotal LawyersGeneral LawyersManagement Lawyers

Ave

rag

e F

TE

10.0

8.0

6.0

4.0

2.0

0.0

8.3

2.11.5

4.7

3.1

1.6

LAWYERS AND STAFF PER $1 BILLION IN REVENUE


Upper QuartileMedianLower

QuartileAverageNumber of Companies

Management Lawyers

General Lawyers

Total Lawyers

Paralegals

Administrative Staff

Total Department 10.75.32.68.352

2.91.1.02.152

1.7.8.41.552

5.42.81.24.752

3.11.7.53.152

1.6.8.41.652


LAWYERS AND STAFF PER $1 BILLION IN REVENUEALL COMPANIES


Upper QuartileMedianLower QuartileAverageNumber of Companies

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Utilities




Other Manufacturing


Type of Industry

3.22.31.42.36

1.0.0.0.56

.7.5.3.56

1.91.1.81.36

.7.4.3.46

1.8.5.3.96

12.05.62.47.69

3.71.8.11.99

2.0.7.11.29

5.72.51.64.59

2.01.7.41.79

5.1.8.52.79

9.64.53.05.74

3.6.6.01.44

1.4.7.6.94

5.32.61.93.34

2.81.61.41.94

2.51.2.31.34

.4.4.14.42

.1.3.01.32

.1.4.01.42

.1.7.11.72

..9.0.92

..8.1.82

.9.02.99.02

.2.51.42.52

.1.2.31.22

.5.31.25.32

.4.4.74.42

..9.5.92

.6.86.16.82

.2.42.22.42

.1.0.81.02

.3.43.03.42

.2.41.82.42

.1.0.81.02


LAWYERS AND STAFF PER $1 BILLION IN REVENUEBY INDUSTRY



Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department

Management Lawyers

General Lawyers

Total Lawyers

Paralegals


Total Department


Finance

Insurance



Other Services

Other Industries

Type of Industry

4.81.4.82.55

1.3.3.0.65

.5.0.0.25

3.01.1.81.75

1.6.9.51.05

1.4.3.2.75

9.57.52.06.44

3.7.5.01.44

3.81.0.01.64

5.23.71.23.44

2.71.3.31.44

2.92.4.72.04

13.57.23.48.14

4.22.2.52.34

3.11.3.91.84

6.83.51.63.94

5.82.8.93.24

1.0.8.5.84

.11.11.915.33

.2.7.35.33

.1.5.51.33

.6.51.08.73

.5.0.66.03

.1.5.42.73

21.25.43.811.15

6.11.0.83.05

8.61.0.73.95

6.83.42.04.25

5.92.51.63.55

1.0.8.4.75

14.010.23.39.14

2.81.2.01.34

3.52.4.92.34

10.14.71.75.54

7.64.21.34.44

2.4.6.31.14

.38.111.938.12

.8.46.18.42

.3.3.83.32

.26.45.026.42

.20.73.420.72

.5.61.55.62


LAWYERS AND STAFF PER $1 BILLION IN REVENUEBY INDUSTRY


Annual Revenue

$5 Billion and Over$1 to $4.9 Billion$100 to $999 MillionUnder $100 Million

Ave

rag

e F

TE

50.00

40.00

30.00

20.00

10.00

0.00

49.2

15.5

6.72.5

NUMBER OF LAWYERS IN LAW DEPARTMENT

BY ANNUAL REVENUE


Ave

rag

e F

TE

50.00

40.00

30.00

20.00

10.00

0.00

45.3

21.1

11.3

4.3


10,000 Employees or

More





BY COMPANY EMPLOYEES


Department Size

26 or More Lawyers11 to 25 Lawyers4 to 10 Lawyers2 to 3 Lawyers

Ave

rag

e F

TE

100.00

80.00

60.00

40.00

20.00

0.00

94.0

18.0

6.32.2


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M

achinery Manufacturing

Chem

ical Manufacturing

Utilities

Ave

rag

e F

TE

250.00

200.00

150.00

100.00

50.00

0.00

10.811.910.511.2

96.6

19.913.620.218.720.026.0

210.0

22.8


BY INDUSTRY



Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

24.8014.205.5027.9565

24.754.002.0010.836

16.9010.506.7511.876

18.1011.251.8810.476

18.909.253.7511.186

162.0079.0040.0096.605

20.0015.0011.0019.867

31.003.001.5013.605

33.007.506.5020.176

22.0015.005.5018.679

33.2319.707.0019.984

26.0026.0026.0026.001

.210.0018.00210.002

.22.7522.0022.752

116.5055.0032.2593.9913

22.2517.9014.1518.0226

8.006.004.006.2617

3.002.001.752.179

31.9519.0014.1045.3429

25.9514.505.0021.1114

14.508.004.0011.2516

5.753.001.754.336

49.8822.5015.0049.2328

20.0012.005.0015.5023

8.004.002.006.6811

.2.502.002.502


NUMBER OF LAWYERS IN LAW DEPARTMENTBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY

Excludes One Lawyer Departments.


Annual Revenue


Ave

rag

e F

TE

12.00

10.00

8.00

6.00

4.00

2.00

0.00

10.8

6.7

3.3

1.0

NUMBER OF MANAGEMENT LAWYERS IN LAW DEPARTMENT

BY ANNUAL REVENUE


Ave

rag

e F

TE

12.00

10.00

8.00

6.00

4.00

2.00

0.00

11.1

7.6

3.42.8


10,000 Employees or

More







Department Size


Ave

rag

e F

TE

25.00

20.00

15.00

10.00

5.00

0.00

20.6

6.4

3.11.3


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M


Chem

ical Manufacturing

Utilities

Ave

rag

e F

TE

40.00

30.00

20.00

10.00

0.00

4.57.6

2.43.8

15.8

6.43.4

6.79.6

7.5

12.0

33.5

7.0


BY INDUSTRY



Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

9.504.002.007.6865

7.251.001.004.506

10.635.503.257.586

3.132.001.752.426

5.383.501.753.756

24.0018.006.5015.805

10.003.002.006.437

7.001.001.003.405

9.256.003.756.676

15.004.001.509.569

13.507.501.507.504

12.0012.0012.0012.001

.33.507.0033.502

.7.005.007.002

24.0016.0012.0020.6213

8.005.002.886.4426

4.503.001.003.0617

1.501.001.001.339

13.506.002.7511.0729

10.755.003.757.6114

4.002.001.253.4416

4.751.001.002.836

15.256.504.0010.8428

7.004.002.006.7423

4.002.001.003.2711

1.001.001.001.002


NUMBER OF MANAGEMENT LAWYERS IN LAW DEPARTMENTBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Annual Revenue


Ave

rag

e F

TE

40.00

30.00

20.00

10.00

0.00

38.4

8.8

3.41.5

NUMBER OF GENERAL LAWYERS IN LAW DEPARTMENT

BY ANNUAL REVENUE


Ave

rag

e F

TE

40.00

30.00

20.00

10.00

0.00

34.3

13.5

7.8

1.5


10,000 Employees or

More







Department Size


Ave

rag

e F

TE

80.00

60.00

40.00

20.00

0.00

73.4

11.6

3.20.8


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M


Chem

ical Manufacturing

Utilities

Ave

rag

e F

TE

200.00

150.00

100.00

50.00

0.00

6.34.38.07.4

80.8

13.410.213.59.112.514.0

176.5

15.8


BY INDUSTRY



Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

16.009.002.5020.2665

12.503.001.006.336

6.434.002.004.286

14.339.25.388.056

13.906.002.257.436

139.0059.0033.5080.805

18.0010.004.0013.437

24.002.00.5010.205

23.753.50.7513.506

15.0011.001.009.119

20.7312.204.5012.484

14.0014.0014.0014.001

.176.5011.00176.502

.15.7513.0015.752

99.0039.0018.9573.3813

15.6312.007.9311.5826

4.003.001.503.2117

1.501.00.00.839

20.2513.005.8534.2729

17.088.002.5013.5114

9.754.751.257.8116

2.501.50.001.506

34.8813.5010.2538.3928

15.306.001.008.7623

5.503.001.003.4111

.1.501.001.502


NUMBER OF GENERAL LAWYERS IN LAW DEPARTMENTBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Annual Revenue


Ave

rag

e F

TE

25.00

20.00

15.00

10.00

5.00

0.00

24.1

4.3

1.70.3

NUMBER OF PARALEGALS IN LAW DEPARTMENT

BY ANNUAL REVENUE


Ave

rag

e F

TE

25.00

20.00

15.00

10.00

5.00

0.00

23.0

5.7

2.60.9


10,000 Employees or

More







Department Size

26 or More Lawyers11 to 25 Lawyers4 to 10 Lawyers2 to 3 LawyersSingle Lawyer

Ave

rag

e F

TE

50.00

40.00

30.00

20.00

10.00

0.00

48.0

6.02.00.80.0


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M


Chem

ical Manufacturing

Utilities

Ave

rag

e F

TE

100.00

80.00

60.00

40.00

20.00

0.00 1.04.73.92.7

85.6

7.41.89.84.54.010.5

46.0

6.5


BY INDUSTRY



Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

8.003.001.0011.7470

2.25.50.001.006

14.001.00.004.717

7.263.501.133.936

5.002.50.752.676

188.0023.8014.0085.565

12.255.003.007.388

3.001.50.001.836

18.254.50.759.836

6.503.00.504.509

7.003.001.504.005

.10.50.0010.502

.46.004.0046.002

.6.506.006.502

41.0020.008.0047.9813

8.015.003.006.0426

3.002.00.501.9717

1.751.00.00.839

.00.00.00.003

15.257.503.0022.9730

6.253.001.505.7414

3.002.00.502.6217

1.50.00.00.899

20.006.003.5024.1029

7.003.001.004.2623

3.001.50.001.7114

..00.00.333


NUMBER OF PARALEGALS IN LAW DEPARTMENTBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Ave

rag

e F

TE

30.00

20.00

10.00

0.00

29.2

5.3

2.30.0

NUMBER OF ADMINISTRATIVE STAFF IN LAW DEPARTMENT

BY ANNUAL REVENUE


Ave

rag

e F

TE

30.00

20.00

10.00

0.00

27.3

7.44.3

0.8


10,000 Employees or

More







Department Size


Ave

rag

e F

TE

50.00

40.00

30.00

20.00

10.00

0.00

48.6

13.0

1.50.70.5


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M


Chem

ical Manufacturing

Utilities

Ave

rag

e F

TE

100.00

80.00

60.00

40.00

20.00

0.00 2.36.07.15.4

74.7

5.94.516.0

7.08.39.5

87.0

16.0


BY INDUSTRY



Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

16.003.00.0014.3470

4.25.50.002.336

3.001.00.006.007

12.633.001.757.086

9.502.751.755.426

159.5022.4016.0074.685

12.503.001.005.888

12.25.00.004.506

41.50.00.0016.006

12.505.00.506.989

20.001.00.258.305

.9.50.009.502

.87.0022.0087.002

16.0016.0016.0016.002

38.0022.0011.0048.6513

17.0011.003.0013.0026

2.501.00.001.5217

1.50.00.00.679

..50.00.503

22.7511.001.0027.3230

16.004.90.007.4114

7.502.00.004.2917

1.50.50.00.839

23.7016.001.0029.2429

8.502.00.005.3223

3.001.00.002.2514

.00.00.00.003


NUMBER OF ADMINISTRATIVE STAFF IN LAW DEPARTMENTBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Ave

rag

e F

TE

120.00

100.00

80.00

60.00

40.00

20.00

0.00

101.2

25.1

9.42.7

NUMBER OF LEGAL STAFF IN LAW DEPARTMENT

BY ANNUAL REVENUE







Ave

rag

e F

TE

100.00

80.00

60.00

40.00

20.00

0.00

94.4

34.4

17.5

5.1




Department Size


Ave

rag

e F

TE

200.00

150.00

100.00

50.00

0.00

191.2

37.1

9.83.81.5


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M


Chem

ical Manufacturing

Utilities

Ave

rag

e F

TE

400.00

300.00

200.00

100.00

0.00

14.220.921.519.3

257.6

30.818.046.0

30.328.733.5

344.5

45.3


BY INDUSTRY



Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

45.2520.007.0052.2470

28.256.003.5014.176

32.2012.005.0020.897

38.0118.754.0021.486

32.6516.005.7519.276

502.00125.2079.50257.645

43.7529.5011.0030.758

39.754.001.7518.006

105.7511.007.7546.006

44.5022.0010.9030.319

58.4515.005.7528.685

.33.501.0033.502

.344.5044.00344.502

.45.2544.0045.252

320.0079.0064.25191.1613

44.2536.1722.7537.1026

13.009.007.509.8417

5.004.002.503.789

.1.501.001.503

76.7543.0018.0094.4230

44.6324.009.7534.3614

27.0010.005.0017.5017

5.003.001.755.069

84.0044.0020.50101.1829

38.0014.008.0025.1523

13.135.502.759.3614

.2.001.002.673


NUMBER OF LEGAL STAFF* IN LAW DEPARTMENTBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY

Includes lawyers, paralegals and administrative functions.


Valid N

Valid N

Valid N

Valid N

Valid N


Valid N


Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Type of Industry

.468.413.326.317.59.03

.26.11.01.12.52 --

.46 -- .53.22.31 --

.46 -- .43.31.52 --

.26 -- .33.32.01 --

.75.84.31 -- -- --

.48.41.45.81 -- .01

.46.11.21 -- .83.01

.56.51.61.44 -- --

.29.31.25.23 -- --

.35.22 -- .52 -- .01

.81.81 -- -- -- --

.22.21.21 -- -- --

.32 -- .32 -- -- --

Industry TypeIndustry Type

RATIO OF PARALEGALS TO LAWYERSBY INDUSTRY TYPE AND DEPARTMENT SIZE

*.60 means 60 paralegals per 100 lawyers.


Valid N

Valid N

Valid N

Valid N

Valid N


Valid N


Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Type of Industry

.4968.4813.6926.3017.309.503

.196.371.001.382.002 --

.366 -- .563.062.331 --

.696 -- .643.531.832 --

.436 -- .483.252.671 --

.645.704.401 -- -- --

.538.021.495.751 -- 1.001

.246.2211.231 -- .003.001

.616.4713.211.004 -- --

.609.001.615.793 -- --

.375.642 -- .052 -- .501

.731.731 -- -- -- --

.802.3811.221 -- -- --

.702 -- .702 -- -- --


RATIO OF ADMINISTRATIVE EMPLOYEES TO LAWYERSBY INDUSTRY TYPE AND DEPARTMENT SIZE

*.30 means 30 administrative employees per 100 lawyers.


Valid N

Valid N

Valid N

Valid N

Valid N


Valid N


Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Type of Industry

.4268.4113.5826.2617.279.503

.176.351.001.352.002 --

.286 -- .433.052.291 --

.606 -- .553.471.722 --

.406 -- .433.222.671 --

.555.604.341 -- -- --

.438.021.385.551 -- 1.001

.236.2111.141 -- .003.001

.476.3712.441.004 -- --

.549.001.535.723 -- --

.355.582 -- .042 -- .501

.521.521 -- -- -- --

.722.3411.101 -- -- --

.622 -- .622 -- -- --


RATIO OF ADMINISTRATIVE EMPLOYEES TO LEGAL SERVICE PROVIDERSBY INDUSTRY TYPE AND DEPARTMENT SIZE

*.30 means 30 administrative employees per 100 legal service providers


82.6%

17.4%

HAS THE SIZE OF YOUR LAW DEPARTMENT BEEN REDUCED IN THE PAST 12 MONTHS?

NoYes

Have you reduced the size

of your law department in

the past 12 months?


Number ofCompaniesPercent

Yes

No

All Companies

Have you reduced the size of your law department in the past 12 months?

69100.0%

5782.6%

1217.4%


HAS THE SIZE OF YOUR LAW DEPARTMENT BEEN REDUCED IN THE PAST 12 MONTHS?ALL COMPANIES




NoYes

PercentNumber ofCompanies

TotalHave you reduced the size of your law department in the past 12 months?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

69100.0%5782.6%1217.4%

6100.0%466.7%233.3%

6100.0%6100.0%0.0%

6100.0%583.3%116.7%

6100.0%583.3%116.7%

5100.0%360.0%240.0%

8100.0%675.0%225.0%

6100.0%583.3%116.7%

6100.0%6100.0%0.0%

9100.0%9100.0%0.0%

5100.0%480.0%120.0%

2100.0%150.0%150.0%

2100.0%2100.0%0.0%

2100.0%150.0%150.0%

13100.0%861.5%538.5%

26100.0%2284.6%415.4%

17100.0%1588.2%211.8%

9100.0%888.9%111.1%

3100.0%3100.0%0.0%

30100.0%2686.7%413.3%

14100.0%1071.4%428.6%

16100.0%1275.0%425.0%

9100.0%9100.0%0.0%

29100.0%2482.8%517.2%

23100.0%1982.6%417.4%

13100.0%1076.9%323.1%

3100.0%3100.0%0.0%


HAS THE SIZE OF YOUR LAW DEPARTMENT BEEN REDUCED IN THE PAST 12 MONTHS?BY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY




Filled lawyer positions

Vacant lawyer positions

Filled paralegal positions

Vacant paralegal positions

Filled support staff positions

Vacant support staff positions 192174

52167

.1013

11116

.2053

31129

NUMBER OF POSITIONS ELIMINATEDALL COMPANIES


19.1%

80.9%

HAVE THE WORKLOADS OF IN-HOUSE STAFF INCREASED THIS PAST YEAR?

NoYes

Have the workloads of your

in-house staff increased in the past 12 months?



Yes

No

All Companies

Have the workloads of your in-house staff increased in the past 12 months?

68100.0%

1319.1%

5580.9%


HAVE THE WORKLOADS OF IN-HOUSE STAFF INCREASED THIS PAST YEAR?

ALL COMPANIES




NoYes


TotalHave the workloads of your in-house staff increased in the past 12 months?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

68100.0%1319.1%5580.9%

6100.0%0.0%6100.0%

6100.0%233.3%466.7%

6100.0%233.3%466.7%

5100.0%240.0%360.0%

5100.0%0.0%5100.0%

8100.0%225.0%675.0%

6100.0%233.3%466.7%

6100.0%0.0%6100.0%

9100.0%222.2%777.8%

5100.0%0.0%5100.0%

2100.0%0.0%2100.0%

2100.0%0.0%2100.0%

2100.0%150.0%150.0%

13100.0%17.7%1292.3%

26100.0%623.1%2076.9%

17100.0%317.6%1482.4%

8100.0%225.0%675.0%

3100.0%133.3%266.7%

30100.0%413.3%2686.7%

14100.0%321.4%1178.6%

16100.0%318.8%1381.3%

8100.0%337.5%562.5%

29100.0%310.3%2689.7%

23100.0%417.4%1982.6%

13100.0%430.8%969.2%

3100.0%266.7%133.3%


HAVE THE WORKLOADS OF IN-HOUSE STAFF INCREASED THIS PAST YEAR?BY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


1.8%

14.3%

25.0%

48.2%

10.7%

WHAT IS THE EXTENT OF THE WORKLOAD INCREASE?

30% or greater increase in workload

20% to less than 30% increase in workload



Less than a 5% increase in workload

Estimate the extent of the lawyer workload

increase.








All Companies

Estimate the extent of the lawyer workload increase.

56100.0%

11.8%

814.3%

1425.0%

2748.2%

610.7%


WHAT IS THE EXTENT OF THE WORKLOAD INCREASE?ALL COMPANIES












Estimate the extent of the lawyer workload increase.

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

11.8%814.3%1425.0%2748.2%610.7%

0.0%116.7%233.3%350.0%0.0%

0.0%0.0%125.0%375.0%0.0%

0.0%0.0%250.0%125.0%125.0%

0.0%125.0%125.0%125.0%125.0%

0.0%0.0%0.0%360.0%240.0%

0.0%0.0%350.0%350.0%0.0%

0.0%375.0%0.0%125.0%0.0%

0.0%116.7%350.0%233.3%0.0%

114.3%114.3%114.3%342.9%114.3%

0.0%0.0%0.0%480.0%120.0%

0.0%150.0%0.0%150.0%0.0%

0.0%0.0%150.0%150.0%0.0%

0.0%0.0%0.0%1100.0%0.0%

0.0%216.7%18.3%866.7%18.3%

0.0%15.0%525.0%1155.0%315.0%

17.1%214.3%750.0%428.6%0.0%

0.0%342.9%114.3%228.6%114.3%

0.0%0.0%0.0%150.0%150.0%

0.0%311.5%623.1%1350.0%415.4%

19.1%218.2%218.2%654.5%0.0%

0.0%17.7%646.2%646.2%0.0%

0.0%233.3%0.0%233.3%233.3%

0.0%311.5%519.2%1557.7%311.5%

15.3%315.8%631.6%842.1%15.3%

0.0%111.1%333.3%444.4%111.1%

0.0%1100.0%0.0%0.0%0.0%


WHAT IS THE EXTENT OF THE WORKLOAD INCREASE?BY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Total

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

56100.0%

6100.0%

4100.0%

4100.0%

4100.0%

5100.0%

6100.0%

4100.0%

6100.0%

7100.0%

5100.0%

2100.0%

2100.0%

1100.0%

12100.0%

20100.0%

14100.0%

7100.0%

2100.0%

26100.0%

11100.0%

13100.0%

6100.0%

26100.0%

19100.0%

9100.0%

1100.0%


WHAT IS THE EXTENT OF THE WORKLOAD INCREASE?BY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Yes

No

All Companies

Does your top legal officer position (CLO/GC) include the additional title and responsibilities of a Corporate Secretary?

68100.0%

2435.3%

4464.7%


TOP LEGAL OFFICER POSITION INCLUDE ADDITIONAL TITLE/RESPONSIBLITIES OF CORPORATE SECRETARY

ALL COMPANIES




NoYes


TotalDoes your top legal officer position (CLO/GC) include the additional title and

responsibilities of a Corporate Secretary?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

68100.0%2435.3%4464.7%

6100.0%466.7%233.3%

6100.0%116.7%583.3%

6100.0%116.7%583.3%

6100.0%0.0%6100.0%

5100.0%360.0%240.0%

8100.0%225.0%675.0%

6100.0%466.7%233.3%

6100.0%233.3%466.7%

8100.0%112.5%787.5%

5100.0%240.0%360.0%

2100.0%150.0%150.0%

2100.0%2100.0%0.0%

2100.0%150.0%150.0%

13100.0%861.5%538.5%

25100.0%728.0%1872.0%

17100.0%317.6%1482.4%

9100.0%444.4%555.6%

3100.0%133.3%266.7%

29100.0%1137.9%1862.1%

14100.0%642.9%857.1%

16100.0%318.8%1381.3%

9100.0%444.4%555.6%

28100.0%1450.0%1450.0%

23100.0%626.1%1773.9%

13100.0%17.7%1292.3%

3100.0%3100.0%0.0%


TOP LEGAL OFFICER POSITION INCLUDE ADDITIONAL TITLE/RESPONSIBLITIES OF CORPORATE SECRETARY?



Yes

No

All Companies

Does the department have a written diversity policy?

68100.0%

4769.1%

2130.9%


WRITTEN DIVERSITY POLICYALL COMPANIES




NoYes


TotalDoes the department have a written diversity policy?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

68100.0%4769.1%2130.9%

6100.0%6100.0%0.0%

6100.0%466.7%233.3%

6100.0%466.7%233.3%

6100.0%583.3%116.7%

5100.0%0.0%5100.0%

8100.0%562.5%337.5%

6100.0%583.3%116.7%

6100.0%466.7%233.3%

8100.0%8100.0%0.0%

5100.0%360.0%240.0%

2100.0%2100.0%0.0%

2100.0%150.0%150.0%

2100.0%0.0%2100.0%

13100.0%430.8%969.2%

25100.0%1768.0%832.0%

17100.0%1482.4%317.6%

9100.0%9100.0%0.0%

3100.0%266.7%133.3%

29100.0%1758.6%1241.4%

14100.0%1071.4%428.6%

16100.0%1275.0%425.0%

9100.0%888.9%111.1%

28100.0%1553.6%1346.4%

23100.0%1878.3%521.7%

13100.0%1184.6%215.4%

3100.0%266.7%133.3%


DOES THE DEPARTMENT HAVE A WRITTEN DIVERSITY POLICY?



Yes

No

All Companies

Does the law department engage in any diversity activites aimed at recruiting and retaining diverse lawyers?

68100.0%

4160.3%

2739.7%


ENGAGE IN DIVERSITY ACTIVITIES AIMED AT RECRUITING/RETAINING DIVERSE LAWYERSALL COMPANIES




NoYes


TotalDoes the law department engage in any diversity activites aimed at recruiting and

retaining diverse lawyers?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

68100.0%4160.3%2739.7%

6100.0%583.3%116.7%

6100.0%350.0%350.0%

6100.0%583.3%116.7%

6100.0%583.3%116.7%

5100.0%0.0%5100.0%

8100.0%562.5%337.5%

6100.0%583.3%116.7%

6100.0%350.0%350.0%

8100.0%562.5%337.5%

5100.0%240.0%360.0%

2100.0%2100.0%0.0%

2100.0%150.0%150.0%

2100.0%0.0%2100.0%

13100.0%323.1%1076.9%

25100.0%1352.0%1248.0%

17100.0%1376.5%423.5%

9100.0%888.9%111.1%

3100.0%3100.0%0.0%

29100.0%1241.4%1758.6%

14100.0%857.1%642.9%

16100.0%1275.0%425.0%

9100.0%9100.0%0.0%

28100.0%1035.7%1864.3%

23100.0%1565.2%834.8%

13100.0%1292.3%17.7%

3100.0%3100.0%0.0%


DOES THE LAW DEPARTMENT ENGAGE IN ANY DIVERSITY ACTIVITIES AIMED AT RECRUITING/RETAINING DIVERSE LAWYERS?


PercentResponses

Participate in minority job fairs

Summer programs

Minority lawyers on recruiting/hiring committee

Executive search firms/internet job sites

Participate in minority bar association events

Mentoring programs

Diversity results tied to compensation

Other

Total

Report

100.0%75

6.7%5

2.7%2

16.0%12

16.0%12

20.0%15

8.0%6

16.0%12

14.7%11

IDENTIFYING DIVERSITY ACTIVITIES- ALL COMPANIES


Other P

ractice Area

Tax

Securities/F

inancial

Risk M

anagement

Real E

state

Regulatory

Public R

elations

Products Liablity/C

lass Actions

Personal Injury

Mergers and A

cquisitions

Litigation

Labor/Em

ployment

International

Intellectual Property

Insurance

Imm

igration

Healthcare

Governm

ent Relations

Environm

ental, Health &

Safety

Corporate S

ecurity

Corporate G

overnance

Com

pliance/Ethics

Com

merical/C

ontracts

Benefits/E

RIS

A

Bankruptcy

Banking/R

egulatory

Anti-trust

Ave

rag

e P

erce

nta

ge

25.00

20.00

15.00

10.00

5.00

0.00

6.2

1.0

4.3

1.1

3.73.4

0.20.60.3

4.7

10.1

8.3

3.1

8.1

1.9

0.7

2.9

1.3

1.80.5

5.4

5.1

20.6

1.6

0.5

2.0

0.6

PERCENT OF IN-HOUSE LAWYERS BY PRACTICE AREA


Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA

Commerical/Contracts

Compliance/Ethics

Corporate Governance

Corporate Security

Environmental, Health & Safety

Government Relations

Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation

Mergers and Acquisitions

Personal Injury

Products Liablity/Class Actions

Public Relations

Regulatory

Real Estate

Risk Management

Securities/Financial

Tax

Other Practice Area .0.0.06.263

.2.0.01.063

6.3.9.04.363

1.3.0.01.163

3.9.0.03.763

5.0.0.03.463

.0.0.0.263

.0.0.0.663

.0.0.0.363

6.53.3.04.763

15.07.1.010.163

12.56.32.38.363

1.1.0.03.163

8.32.6.08.163

.0.0.01.963

.0.0.0.763

.0.0.02.963

1.1.0.01.363

1.3.0.01.863

.0.0.0.563

7.14.3.05.463

7.92.3.05.163

28.615.03.920.663

1.9.0.01.663

.5.0.0.563

.0.0.02.063

.6.0.0.663

PERCENT* OF IN-HOUSE LAWYERS BY PRACTICE AREAALL COMPANIES

*Percent calculated using total number of FTE in-house lawyers.


Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security

Enivironmental, Health & Safety


Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area .0.0.01.913

.0.0.0.613

.0.0.015.413

.0.0.0.013

.0.0.0.013

.0.0.0.013

.0.0.0.013

.0.0.03.813

.0.0.0.013

.0.0.04.513

.0.0.07.113

.0.0.02.613

.0.0.0.013

.0.0.02.613

.0.0.0.013

.0.0.0.013

.0.0.0.013

.0.0.0.013

.0.0.0.013

.0.0.0.013

.0.0.0.013

.0.0.07.713

100.050.0.053.813

.0.0.0.013

.0.0.0.013

.0.0.0.013

.0.0.0.013

PERCENT* OF CONTRACT LAWYERS BY PRACTICE AREAALL COMPANIES

*Percent calculated using total number of FTE contract/temporary lawyers.


Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Under $100 MillionAnnual Revenue

.0.0.0.02

.0.0.0.02

.3.3.03.32

.0.0.0.02

.1.7.01.72

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.3.3.03.32

.0.0.0.02

.0.0.0.02

.0.0.0.02

.3.3.03.32

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.3.3.03.32

.1.7.01.72

.83.366.783.32

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

PERCENT OF IN-HOUSE LAWYERS BY PRACTICE AREABY ANNUAL REVENUE



Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

$100 to $999 MillionAnnual Revenue

10.7.0.09.812

.0.0.0.012

12.8.0.06.812

1.0.0.01.112

.0.0.0.412

7.1.0.03.412

.0.0.0.012

.0.0.0.312

.0.0.01.012

12.81.7.07.112

14.1.0.06.812

21.93.2.09.112

1.0.0.01.912

8.82.3.08.112

.0.0.0.412

.0.0.0.012

.0.0.05.512

.0.0.02.212

.0.0.01.212

.0.0.0.112

9.43.0.05.612

11.3.0.06.012

42.59.41.019.612

.0.0.0.812

.0.0.0.712

.0.0.01.512

.0.0.0.412




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

$1 to $4.9 BillionAnnual Revenue

.2.0.02.322

.3.0.0.722

5.2.0.03.222

3.0.0.01.722

3.4.6.01.822

4.6.0.02.222

.0.0.0.222

.0.0.0.322

.0.0.0.222

7.34.21.15.822

17.28.52.411.122

16.75.63.59.322

3.8.0.03.022

15.43.3.08.422

.1.0.0.622

.2.0.01.622

.0.0.02.922

1.4.0.0.822

1.0.0.01.622

.0.0.0.322

7.14.81.66.122

7.52.7.05.322

40.019.49.825.322

1.9.0.01.322

.0.0.0.322

.2.0.03.022

.8.0.0.722




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

$5 Billion and OverAnnual Revenue

2.7.0.08.626

1.6.0.02.026

6.41.5.04.026

.5.0.0.626

8.41.3.07.126

4.4.0.04.926

.0.0.0.226

.0.0.01.126

.0.0.0.226

5.41.6.02.826

13.69.53.612.026

8.66.92.97.926

1.0.0.04.026

5.82.5.86.626

2.8.0.03.826

.0.0.0.326

.0.0.02.026

1.6.0.01.426

5.3.3.02.426

.9.0.0.926

6.33.21.14.626

9.42.5.04.926

22.012.91.912.626

4.5.7.02.426

1.1.0.0.526

1.0.0.01.626

.8.0.0.626




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Single LawyerDepartment Size

.0.0.0.02

.0.0.0.02

.20.0.020.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.20.0.020.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.5.0.05.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.5.0.05.02

.0.0.0.02

.50.0.050.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

.0.0.0.02

PERCENT OF IN-HOUSE LAWYERS BY PRACTICE AREABY DEPARTMENT SIZE



Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

2 to 3 LawyersDepartment Size

.0.0.0.07

.0.0.0.07

5.0.0.01.77

.0.0.0.07

.0.0.0.57

.0.0.01.47

.0.0.0.07

.0.0.0.07

.0.0.01.07

5.0.0.02.17

.0.0.0.07

14.37.5.08.17

.0.0.02.47

30.05.0.013.17

.0.0.0.77

.0.0.0.07

28.6.0.013.07

.0.0.03.67

.0.0.0.07

.0.0.0.07

10.0.0.04.27

25.05.0.010.67

50.043.312.537.77

.0.0.0.07

.0.0.0.07

.0.0.0.07

.0.0.0.07




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area


.0.0.05.717

.0.0.01.817

3.0.0.02.317

2.2.0.01.417

4.4.0.06.417

5.6.0.02.317

.0.0.0.017

.0.0.01.717

.0.0.0.317

6.62.0.04.617

19.45.6.010.017

25.016.02.514.317

2.2.0.01.217

13.42.0.07.717

.5.0.01.017

.0.0.0.517

.0.0.0.217

.0.0.0.117

1.7.0.02.417

.0.0.0.017

15.16.61.49.517

6.91.0.04.217

33.016.02.518.617

.5.0.01.017

.0.0.0.517

.5.0.01.417

1.9.0.01.117




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area


.0.0.06.225

.4.0.0.625

6.53.1.04.325

2.8.0.01.425

4.51.0.02.825

7.0.0.05.625

.0.0.0.425

.0.0.0.425

.0.0.0.425

6.43.8.25.025

15.59.14.410.825

7.65.63.46.725

2.2.0.04.625

6.82.6.87.525

.8.0.02.425

.0.0.01.325

.0.0.03.525

1.4.0.0.925

5.0.0.02.125

.9.0.01.125

6.03.52.24.325

9.84.5.05.325

22.613.67.116.225

4.0.0.02.025

.9.0.0.625

.4.0.03.225

.7.0.0.425




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

26 or More LawyersDepartment Size

19.62.2.011.812

2.8.5.01.712

9.61.7.35.812

1.8.0.0.712

9.8.6.04.212

3.4.0.02.212

.0.0.0.012

.0.0.0.112

.0.0.0.012

6.31.8.43.312

31.511.14.516.512

7.63.52.34.912

1.2.3.03.312

15.33.91.37.612

3.6.0.03.312

.0.0.0.112

.0.0.0.012

6.01.1.02.712

.6.0.01.512

.0.0.0.212

5.31.6.02.612

5.21.6.03.912

25.25.81.717.712

5.01.6.02.912

1.4.2.0.612

4.8.0.01.912

.8.1.0.612




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

UtilitiesType of Industry

..3.0.32

..3.0.32

.6.45.36.42

.0.0.0.02

.4.94.64.92

.29.925.429.92

.0.0.0.02

.0.0.0.02

.1.91.11.92

.2.6.02.62

.10.810.110.82

.7.26.37.22

.0.0.0.02

.1.4.51.42

.0.0.0.02

.0.0.0.02

.0.0.0.02

..3.0.32

.7.26.97.22

.0.0.0.02

.2.6.02.62

..7.0.72

.17.616.117.62

.2.4.02.42

..8.5.82

.2.4.02.42

..3.0.32

PERCENT OF IN-HOUSE LAWYERS BY PRACTICE AREABY INDUSTRY



Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Chemical ManufacturingType of Industry

.0.0.0.01

.0.0.0.01

5.65.65.65.61

.0.0.0.01

.0.0.0.01

.0.0.0.01

.0.0.0.01

.0.0.0.01

.0.0.0.01

4.24.24.24.21

5.65.65.65.61

5.65.65.65.61

.0.0.0.01

27.827.827.827.81

.0.0.0.01

.0.0.0.01

.0.0.0.01

.0.0.0.01

5.65.65.65.61

5.65.65.65.61

1.41.41.41.41

5.65.65.65.61

30.630.630.630.61

.0.0.0.01

1.41.41.41.41

.0.0.0.01

1.41.41.41.41




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Metal/Machinery ManufacturingType of Industry

10.710.710.710.71

.0.0.0.01

1.11.11.11.11

.0.0.0.01

.0.0.0.01

3.43.43.43.41

.0.0.0.01

1.11.11.11.11

.0.0.0.01

5.75.75.75.71

11.911.911.911.91

11.511.511.511.51

.8.8.8.81

4.64.64.64.61

.0.0.0.01

.0.0.0.01

.0.0.0.01

.0.0.0.01

.0.0.0.01

.0.0.0.01

.0.0.0.01

21.521.521.521.51

25.725.725.725.71

.0.0.0.01

1.11.11.11.11

.0.0.0.01

.8.8.8.81




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Computer/Electrical ManufacturingType of Industry

17.81.7.06.54

.0.0.0.04

5.3.9.02.14

1.1.0.0.44

5.0.1.01.74

6.3.2.02.24

.1.0.0.04

18.8.0.06.34

.0.0.0.04

6.64.0.43.64

18.39.24.910.84

9.25.8.85.34

16.0.0.05.34

27.321.218.522.34

.2.0.0.14

1.3.0.0.44

.1.0.0.04

5.1.9.22.14

17.56.2.88.24

.0.0.0.04

5.93.2.73.34

5.72.2.42.84

20.88.3.09.74

6.32.6.03.04

1.1.0.0.44

.5.0.0.24

5.83.01.83.54




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Other ManufacturingType of Industry

2.5.0.01.08

.0.0.0.18

9.84.8.05.08

2.1.0.01.28

3.61.1.02.08

1.4.0.01.18

.0.0.0.18

2.9.0.01.28

.0.0.0.28

16.17.14.49.48

20.611.58.214.18

7.86.03.86.58

7.4.5.04.18

20.55.31.49.98

2.3.0.0.88

.0.0.0.08

.0.0.0.08

.0.0.0.18

2.6.0.01.28

.6.0.0.28

6.73.8.04.08

12.57.5.56.98

39.426.012.927.48

2.3.0.01.58

1.0.0.0.78

.6.0.0.58

1.0.0.0.78




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Wholesale/Retail TradeType of Industry

.0.0.0.06

2.0.0.01.06

2.2.5.01.26

1.6.0.0.76

42.910.22.818.46

3.7.0.02.56

.0.0.0.06

.0.0.0.06

.0.0.0.06

3.81.0.01.86

15.33.6.08.66

19.615.11.212.96

25.73.0.013.16

4.42.3.02.66

2.8.0.01.66

2.0.5.01.26

.0.0.0.06

.0.0.0.06

1.1.0.0.46

.0.0.0.06

14.77.75.19.16

8.0.5.03.16

25.919.912.719.36

2.1.5.01.16

.0.0.0.06

2.6.0.01.46

.3.0.0.26




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Publishing/TelecommunicationsType of Industry

.4.0.0.25

.8.0.0.35

8.7.0.03.55

1.4.0.0.65

2.81.0.01.35

12.7.0.05.15

.8.0.0.35

.0.0.0.05

.0.0.0.05

5.31.7.02.45

3.5.0.01.45

6.93.3.03.45

1.5.0.0.65

6.15.0.83.85

.0.0.0.05

.4.0.0.25

.0.0.0.05

13.31.4.05.65

.0.0.0.05

.0.0.0.05

5.82.3.02.85

4.43.3.02.45

85.666.745.065.65

.8.0.0.35

.4.0.0.25

.0.0.0.05

.4.0.0.25




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

FinanceType of Industry

7.0.0.04.08

.0.0.0.28

24.211.05.515.18

4.0.7.01.88

3.8.0.02.38

8.74.5.04.88

.0.0.0.18

.0.0.0.58

.0.0.0.08

13.14.9.89.38

25.515.14.015.48

7.34.82.95.38

.0.0.0.28

4.1.5.02.38

3.5.0.03.98

.0.0.0.08

.0.0.0.08

1.0.0.0.78

.0.0.0.08

.0.0.0.28

9.45.4.85.98

5.8.0.02.38

14.67.73.89.48

6.61.9.03.88

1.4.0.0.78

13.16.4.011.78

.0.0.0.18




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

InsuranceType of Industry

47.0.0.018.85

6.13.1.63.35

11.11.6.34.95

1.4.0.0.65

5.7.7.32.55

13.9.0.05.65

1.1.0.0.55

.2.0.0.15

.5.0.0.25

3.91.2.31.95

43.221.910.725.95

4.32.32.03.05

1.1.7.3.75

2.61.91.52.05

25.48.8.011.95

.5.0.0.25

1.0.0.0.45

5.93.7.23.25

.7.0.0.35

.9.0.0.45

3.91.91.02.35

8.03.11.14.35

3.32.1.72.05

3.61.91.62.55

1.8.5.0.85

3.6.9.01.65

.5.2.0.25




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Professional/Scientific/Tech. ServicesType of Industry

3.6.0.02.46

.0.0.0.06

5.21.6.02.36

.8.0.0.56

3.6.0.01.46

5.3.0.01.96

.8.0.0.56

.0.0.0.06

1.3.0.0.86

8.04.1.04.86

13.14.7.06.26

14.26.91.69.06

5.3.0.01.96

50.028.74.527.66

5.01.6.02.26

.8.0.0.56

.8.0.0.56

3.5.0.01.36

8.33.1.04.56

3.9.0.01.66

13.84.92.38.06

5.31.1.02.26

22.99.43.815.16

7.0.0.02.66

1.3.0.0.86

.0.0.0.06

3.6.7.01.66




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Health Care ServicesType of Industry

.0.0.0.06

.8.0.0.66

4.4.0.02.66

7.04.1.04.06

4.9.0.01.86

1.4.0.01.06

.0.0.0.06

.0.0.0.06

.0.0.0.06

12.9.7.05.36

15.9.0.05.36

17.56.02.29.46

.0.0.0.06

3.81.6.02.06

.0.0.0.06

7.3.0.04.66

51.231.63.029.56

.4.0.0.36

2.2.0.01.16

.0.0.0.06

8.15.93.96.06

16.52.9.07.86

31.414.69.118.36

.4.0.0.36

.0.0.0.06

.0.0.0.06

.1.0.0.16




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Other ServicesType of Industry

49.5.0.019.96

9.72.1.05.66

.0.0.0.06

1.0.0.0.76

7.2.0.04.16

1.0.0.0.76

.5.0.0.36

.0.0.0.06

4.8.0.01.86

4.4.0.01.86

10.6.0.04.06

23.317.4.013.86

16.7.0.05.66

26.36.4.011.36

.5.0.0.36

.0.0.0.06

.0.0.0.06

1.0.0.0.76

1.0.0.0.76

2.3.0.01.56

13.11.0.06.06

16.45.6.07.76

23.36.8.012.36

1.0.0.0.76

.5.0.0.36

.0.0.0.06

.0.0.0.06




Upper Quartile%

Median%

Lower Quartile%

Average%

Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Corporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area

Other IndustriesType of Industry

43.3.0.017.35

.8.0.0.35

.8.0.0.35

.0.0.0.05

3.8.0.01.55

3.1.0.01.35

.0.0.0.05

.0.0.0.05

.0.0.0.05

7.0.0.02.85

19.2.0.07.75

25.018.83.815.35

3.1.0.01.35

.0.0.0.05

.0.0.0.05

.0.0.0.05

.0.0.0.05

3.8.0.01.55

3.8.0.01.55

.8.0.0.35

16.36.3.07.85

19.212.5.810.55

50.037.53.829.05

.0.0.0.05

.8.0.0.35

3.1.0.01.35

.0.0.0.05




Prior to 1975

1980-19761985-19811990-1986 1995-19912000-19962005-2001 2010-20062011-2012

Ave

rag

e F

TE

5

4

3

2

1

00.2

2.1

3.53.3

3.5

4.6

3.8

2.4

1.3

NUMBER OF LAWYERS BY YEAR ADMITTED TO BAR




2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975 .00.00.00.1855

311224

421328

421338

421339

531539

421437

321233

210115

NUMBER OF LAWYERS BY YEAR ADMITTED TO BARALL COMPANIES


Upper QuartileFTE

MedianFTE

Lower QuartileFTE

AverageFTE

Number of Companies

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over

Annual Revenue

1.00.00.00.5319

421312

731514

541517

521518

843718

832617

421313

10017

.00.00.00.0020

110110

321211

432314

432315

421314

422313

332213

42125

.00.00.00.0012

11112

11113

11116

11114

32126

41125

21116

11113

.00.00.00.003

....0

....0

....0

11111

11111

11112

22221

....0

LAWYERS BY YEAR ADMITTED TO BARBY ANNUAL REVENUE


Upper QuartileFTE

MedianFTE

Lower QuartileFTE

AverageFTE

Number of Companies

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

Department Size

.00.00.00.3219

211213

421316

432317

422319

432319

421317

321215

21016

.00.00.00.0016

.1013

.1013

211110

21119

211212

221210

33238

.1123

.00.00.00.009

11112

11112

11113

11114

11111

11112

.2122

.2122

.00.00.00.003

....0

11111

....0

....0

....0

11111

11111

....0

LAWYERS BY YEAR ADMITTED TO BARBY DEPARTMENT SIZE


Upper QuartileFTE

MedianFTE

Lower QuartileFTE

AverageFTE

Number of Companies

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

26 or More LawyersDepartment Size

1.00.00.00.577

64256

169196

135497

1173107

15108147

1877107

42147

21014

LAWYERS BY YEAR ADMITTED TO BARBY DEPARTMENT SIZE


Upper QuartileFTE

Median%

Lower QuartileFTE

AverageFTE

Number of Companies

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

Utilities




Type of Industry

.00.00.00.005

.3232

.1013

.4243

53234

.9483

.3243

11113

.1012

.00.00.00.002

....0

....0

.3132

22221

121212121

77771

22221

....0

.00.00.00.001

44441

11111

44441

22221

55551

22221

....0

....0

.2.001.002.002

.3232

.4342

.3232

.2122

.4242

.2122

.3032

.1012

LAWYERS BY YEAR ADMITTED TO BARBY INDUSTRY


Upper QuartileFTE

Median%

Lower QuartileFTE

AverageFTE

Number of Companies

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

Other Manufacturing



Finance

Type of Industry

.00.00.00.007

.2123

94155

74355

84145

43346

74144

21014

00001

.00.00.00.005

00001

22221

33331

.2122

.2122

.1113

22222

.1012

.00.00.00.004

00001

00001

.1013

.1013

21014

.2233

.3233

55551

.75.00.00.258

21114

33236

42126

42137

64346

43137

42125

11112



Upper QuartileFTE

Median%

Lower QuartileFTE

AverageFTE

Number of Companies

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

Insurance



Other Services

Type of Industry

.00.00.00.003

11111

.2122

11112

.2122

.3232

11112

22222

....0

.00.00.00.006

11114

.2123

42125

53135

22124

43134

.3333

11111

.00.00.00.005

.2122

.2122

.1113

52134

42124

.1113

.2123

11111

.1.00.001.333

.8482

.1715172

.134133

.92143

.153193

.189163

.4363

.2022



Upper QuartileFTE

Median%

Lower QuartileFTE

AverageFTE

Number of Companies

2011-2012

2010-2006

2005-2001

2000-1996

1995-1991

1990-1986

1985-1981

1980-1976

Prior to 1975

Other IndustriesType of Industry

.00.00.00.004

11111

....0

11112

....0

11111

22221

.2122

22221



More than 3026 to 30 years

21 to 25 years

16 to 20 years

11 to 15 years

6 to 102 to 5 years1 year or less

Ave

rag

e F

TE

6

4

2

00.3

1.61.6

2.9

3.9

6.46.0

3.9

LAWYERS BY YEARS OF EXPERIENCE WITHIN LAW DEPARTMENT

ALL COMPANIES


Upper Quartile

FTE

MedianFTE

Lower Quartile

FTE

AverageFTE

Number of Companies

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30 .00.00.00.2657

310214

211216

421320

432435

731644

842652

631435

LAWYERS BY YEARS OF EXPERIENCE WITHIN LAW DEPARTMENTALL COMPANIES


Upper QuartileFTE

MedianFTE

Lower QuartileFTE

AverageFTE

Number of Companies

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over

Annual Revenue

1.00.00.00.7121

410211

421211

621412

532518

10521020

14841019

732519

.00.00.00.0020

.1013

.1013

21116

432312

731414

842519

521314

.00.00.00.0012

....0

11112

.3132

52135

22138

311210

22221

.00.00.00.003

....0

....0

....0

....0

11111

.1113

11111

LAWYERS BY YEARS OF EXPERIENCE WITHIN LAW DEPARTMENTBY ANNUAL REVENUE


Upper QuartileFTE

MedianFTE

Lower QuartileFTE

AverageFTE

Number of Companies

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Department Size

.50.00.00.339

42126

42125

106266

137388

20115189

22149179

117489

1.00.00.00.5721

31018

21119

211111

432318

732520

853620

431319

.00.00.00.0014

....0

11112

44441

32126

221211

322213

22126

.00.00.00.009

....0

....0

11112

77771

11114

21118

11111

.00.00.00.003

....0

....0

....0

11111

....0

11112

....0

LAWYERS BY YEARS OF EXPERIENCE WITHIN LAW DEPARTMENTBY DEPARTMENT SIZE


Upper QuartileFTE

MedianFTE

Lower QuartileFTE

AverageFTE

Number of Companies

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

21 to 25 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

Utilities




Other Manufacturing

Type of Industry

.75.00.00.258

.2122

.2122

22221

32225

41137

85268

43347

.00.00.00.004

11112

11112

.2122

.4453

.5153

.8163

.4142

.00.00.00.002

....0

....0

....0

11111

55551

212121211

11111

2.002.002.002.001

22221

22221

11111

33331

22221

33331

11111

.3.502.003.502

.3132

.3132

.2122

.3232

.2122

.5252

.4242

LAWYERS BY YEARS OF EXPERIENCE WITHIN LAW DEPARTMENTBY INDUSTRY TYPE


Upper QuartileFTE

MedianFTE

Lower QuartileFTE

AverageFTE

Number of Companies

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30



Finance

Insurance


Type of Industry

.00.00.00.005

11111

11111

.4342

43134

42235

31124

.3233

..00.00.333

44442

44442

.9792

.83103

.2010373

.1410223

.7393

1.25.00.00.506

.1013

.1013

.4133

63134

1211385

93255

.1143

.00.00.00.006

00001

00001

00001

.4342

.3153

52136

.1153

.00.00.00.005

11111

11111

.5052

.7072

123265

145375

.7153



Upper QuartileFTE

MedianFTE

Lower QuartileFTE

AverageFTE

Number of Companies

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

26 to 30 years

More than 30

1 year or less

2 to 5 years

6 to 10 years

11 to 15 years

16 to 20 years

21 to 25 years

21 to 25 years

More than 30


Other Services

Other Industries

Type of Industry

.00.00.00.005

....0

....0

....0

.2122

.4142

42125

.2123

.00.00.00.004

11111

11111

11112

44441

.1123

135274

.2122

.00.00.00.006

....0

....0

11112

63245

74144

74345

.5252



1.5%

5.9%

13.2%

11.8%

10.3%

16.2%

41.2%

NUMBER OF NEW LAWYERS HIRED IN 2012

More than 10 Lawyers6 to 10 Lawyers4 to 5 Lawyers3 Lawyers2 Lawyers1 LawyerNo Lawyers

How many lawyers did you hire in

2012?


NumberPercent

No Lawyers

1 Lawyer

2 Lawyers

3 Lawyers

4 to 5 Lawyers

6 to 10 Lawyers

More than 10 Lawyers

All Companies

How many lawyers did you hire in 2012?

68100.0%

11.5%

45.9%

913.2%

811.8%

710.3%

1116.2%

2841.2%


NUMBER OF NEW LAWYERS HIRED IN 2012ALL COMPANIES


OtherWithin Company

Judicial ClerksGovernmentLaw Departments

Law SchoolsLaw Firms

Per

cen

tag

e

80.00

60.00

40.00

20.00

0.00

75.0

37.5

50.0

68.573.7

PERCENT OF NEW LAWYERS RECRUITED FROM THE FOLLOWING SOURCES


Upper Quartile

%

Median%

Lower Quartile

%

Average%

Number of Companies

Law Firms

Law Schools

Law Departments

Government

Judicial Clerks

Within Company

Other 100.0075.0050.0075.005

45.8333.3333.3337.504

....0

50.0050.0050.0050.002

100.0077.0833.3368.4514

....0

100.0070.8350.0073.7226

PERCENT OF NEW LAWYERS RECRUITED FROM THE FOLLOWING SOURCESALL COMPANIES


1.6%10.9%

60.9%

26.6%

MINIMUM YEARS OF EXPERIENCE REQUIRED IN YOUR LAW DEPARTMENT

10 years or more7 to less than 10 years3 to less than 7 yearsLess than 3 years

What is the minimum number of years of

experience that a lawyer would need to be

employed in your law department?


NumberPercent

Less than 3 years

3 to less than 7 years

7 to less than 10 years

10 years or more

All Companies

What is the minimum number of years of experience that a lawyer would need to be employed in your law department?

64100.0%

11.6%

710.9%

3960.9%

1726.6%


MINIMUM YEARS OF EXPERIENCE REQUIRED IN YOUR LAW DEPARTMENTALL COMPANIES


NumberPercent NumberPercent NumberPercent NumberPercent

10 years or more7 to less than 10 years3 to less than 7 yearsLess than 3 years

Percent Number

TotalWhat is the minimum number of years of experience that a lawyer would need to be employed in your law

department?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

64100.0%11.6%710.9%3960.9%1726.6%

6100.0%0.0%0.0%466.7%233.3%

3100.0%0.0%133.3%133.3%133.3%

5100.0%0.0%120.0%240.0%240.0%

6100.0%0.0%233.3%233.3%233.3%

5100.0%0.0%0.0%5100.0%0.0%

8100.0%112.5%0.0%675.0%112.5%

6100.0%0.0%116.7%233.3%350.0%

6100.0%0.0%0.0%583.3%116.7%

8100.0%0.0%112.5%337.5%450.0%

5100.0%0.0%120.0%480.0%0.0%

2100.0%0.0%0.0%2100.0%0.0%

2100.0%0.0%0.0%2100.0%0.0%

2100.0%0.0%0.0%150.0%150.0%

13100.0%0.0%17.7%1076.9%215.4%

22100.0%14.5%29.1%1463.6%522.7%

16100.0%0.0%16.3%956.3%637.5%

9100.0%0.0%222.2%333.3%444.4%

3100.0%0.0%133.3%266.7%0.0%

26100.0%0.0%27.7%1869.2%623.1%

13100.0%0.0%215.4%861.5%323.1%

16100.0%16.3%16.3%956.3%531.3%

9100.0%0.0%222.2%444.4%333.3%

25100.0%0.0%0.0%2080.0%520.0%

22100.0%14.5%522.7%1254.5%418.2%

13100.0%0.0%0.0%753.8%646.2%

3100.0%0.0%133.3%0.0%266.7%


MINIMUM YEARS OF EXPERIENCE REQUIRED IN YOUR LAW DEPARTMENTBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Upper Quartile$

Median$

Lower Quartile$

Average$

Number of Companies

$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities

Other Manufacturing



Finance

Insurance


Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

35,00013,3333,37520,50818

.9,8333,0009,8332

52,87517,5001,50023,9584

.13,2234,23313,2232

.37,50025,00037,5002

3,5003,5003,5003,5001

10,00010,00010,00010,0001

41,6678,83350017,0004

.35,3506,20035,3502

.3,5001,0008,9043

50,00025,0006,20029,46411

.3,0003334,4443

5,0005,0005,0005,0001

50,00010,45083320,3726

61,50026,1064,73330,6246

20,83310,0003,25011,6335

5,0005,0005,0005,0001

60,50022,2136,20032,0457

26,2506,75083313,98310

RECRUITING EXPENSE PER LAWYER HIREDALL COMPANIES


71.6%

28.4%

DOCUMENTED EMPLOYEE RETENTION STRATEGIES

NoYes

Do you have documented

employee retention strategies?


NumberPercent

Yes

No

All Companies

Do you have documented employee retention strategies?

67100.0%

4871.6%

1928.4%


DOCUMENTED EMPLOYEE RETENTION STRATEGIESALL COMPANIES


NumberPercent NumberPercent

NoYes

Percent Number

TotalDo you have documented employee retention strategies?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

67100.0%4871.6%1928.4%

6100.0%233.3%466.7%

6100.0%583.3%116.7%

6100.0%583.3%116.7%

6100.0%583.3%116.7%

4100.0%0.0%4100.0%

8100.0%787.5%112.5%

6100.0%6100.0%0.0%

6100.0%6100.0%0.0%

8100.0%787.5%112.5%

5100.0%240.0%360.0%

2100.0%2100.0%0.0%

2100.0%150.0%150.0%

2100.0%0.0%2100.0%

12100.0%650.0%650.0%

25100.0%1872.0%728.0%

17100.0%1376.5%423.5%

9100.0%777.8%222.2%

3100.0%3100.0%0.0%

28100.0%1864.3%1035.7%

14100.0%750.0%750.0%

16100.0%1487.5%212.5%

9100.0%9100.0%0.0%

27100.0%1659.3%1140.7%

23100.0%1669.6%730.4%

13100.0%1292.3%17.7%

3100.0%3100.0%0.0%


DOCUMENTED EMPLOYEE RETENTION STRATEGIESBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Number of CompaniesPercent

Yes

No

Yes

No

Yes

No

Track employee job satisfaction for lawyers?

Track employee job satisfaction for paralegals?

Track employee job satisfaction for administrative staff?2640.0%

3960.0%

2539.1%

3960.9%

2740.3%

4059.7%


TRACK EMPLOYEE JOB SATISFACTIONALL COMPANIES


Number ofCompanies

Percent%

Morale

Management communication and feedback

Compensation and benefits

Professional development and career advancement

Job responsibilities

Other

Total

What type of information is tracked?

40100.0

1025.0

2870.0

3485.0

3280.0

3587.5

3587.5


TYPE OF INFORMATION TRACKED?ALL COMPANIES

**Multiple responses, does not total 100%.


EXPENSES

In terms of management of the legal function in a corporation, expenses, literally, are the bottom line. Law departments are generally viewed as cost centers, not profit centers, so expenses are important. Most companies spend relatively significant amounts of money on legal expenses (both internal, i.e., to staff a law department, and external, i.e., work handled by outside counsel). As such, it is important to the CEO and to shareholders that legal expense be managed closely. An excellent way to do that is to use benchmarks to determine whether a more rigorous review of internal or external legal expense is warranted.

Legal expense, of course, is directly related to the other areas tracked by this benchmarking survey – staffing, outside counsel and operations. The level of internal staff in a law department (i.e., its headcount) can have a major impact on legal expense. Likewise, the systems and procedures in place to manage the cost of outside counsel can also obviously have a significant effect on legal expense. Too often, however, companies focus on only internal or external legal expense, to the exclusion of the other. That is, they might believe that their outside counsel fees are higher than they should be, but they do not always realize that by cutting back on outside services they may need to add staff to the law department in order to cover the necessary work. Or, a company might place a lot of emphasis on keeping headcount to a minimum. Those that do this, to the exclusion of the impact reductions in force will likely have on outside counsel usage and cost, fail to manage to the bottom line. The key is to realize that internal and external legal expense are closely related and that by taking an action that has an effect on one of them, there will likely be an impact on the other.

The Expenses section of this survey measures total legal expense (i.e., the sum of internal and external legal expense) and it also tracks these two component parts separately. By far, the most commonly used benchmark related to legal expense is that which measures total expense as a percent of the company’s annual revenue. When looking at this benchmark by industry, one can quickly determine whether the total legal spend is or is not in line with peer corporations. The survey also looks separately at internal and external legal expense. Internal legal expense is reported as a total number, and it is also broken down into the following component parts: compensation, contract attorneys, occupancy, technology expense, and general corporate overhead allocated to the law department. External legal expense is also reported as a total number and, likewise, it is broken down into component parts: outside counsel fees versus other outside legal expenses. Furthermore, as it does throughout the survey, the Expenses section utilizes both per-lawyer and per-legal-service-provider figures. Finally, the percentages that companies spend on internal versus external legal expense is also reported, allowing a determination of whether the law department has the right mix of inside and outside legal services.


EXPENSES - TABLE OF CONTENTS

Law Department Budget Cuts in 2013 ........................................................................................... 127 Percentage of 2013 Budget Reduction .......................................................................................... 130 Total Law Department Fees/Expenses as a Percent of Revenues ................................................ 132 Total Law Department Fees/Expenses Per Lawyer ....................................................................... 137 Inside Expenses as a Percent of Total Law Department Fees/Expenses ...................................... 142 Inside Expenses as a Percent of Revenue..................................................................................... 147 Inside Expenses Per Lawyer .......................................................................................................... 152 Compensation and Benefits Expenses Per Lawyer ....................................................................... 157 Contract Attorney Expenses Per Lawyer........................................................................................ 158 Occupancy Expenses Per Lawyer ................................................................................................. 159 Computer Technology Expenses Per Lawyer ................................................................................ 160 Other Inside Operating Expenses Per Lawyer ............................................................................... 161Outside Fees/Expenses as a Percent of Total Law Department Fees/Expenses .......................... 162Outside Fees/Expenses as a Percent of Revenue ......................................................................... 167Outside Fees/Expenses Per Lawyer .............................................................................................. 172 Outside Counsel Fees for Law Department Per Lawyer ................................................................ 177Other Outside Expenses for Law Department Per Lawyer ............................................................. 178 Outside Counsel Fees/Expenses for Other Business Units Per Lawyer ........................................ 179Total Law Department Fees/Expenses Per Legal Service Provider ............................................... 180 Inside Expenses Per Legal Service Provider ................................................................................. 185Compensation and Benefits Expenses Per Legal Service Provider ............................................... 190Contract Attorney Expenses Per Legal Service Provider ............................................................... 191Occupancy Expenses Per Legal Service Provider ......................................................................... 192Computer Technology Expenses Per Legal Service Provider ........................................................ 193Other Inside Operating Expenses Per Legal Service Provider ....................................................... 194Outside Fees/Expenses Per Legal Service Provider ...................................................................... 195Outside Counsel Fees for Law Department Per Legal Service Provider ........................................ 200 Other Outside Expenses for Law Department Per Legal Service Provider .................................... 201Outside Counsel Fees/Expenses for Other Business Units Per Legal Service Provider ................ 202


79.4%

20.6%

LAW DEPARTMENT BUDGET CUTS IN 2013?

NoYes

Is your law department

implementing budget cuts

in 2013?



Yes

No

All Companies

Is your law department implementing budget cuts in 2013?

68100.0%

5479.4%

1420.6%


LAW DEPARTMENT BUDGET CUTS IN 2013?ALL COMPANIES




NoYes

PercentNumber of Companies

TotalIs your law department implementing budget cuts in 2013?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

68100.0%5479.4%1420.6%

6100.0%466.7%233.3%

6100.0%583.3%116.7%

6100.0%583.3%116.7%

6100.0%466.7%233.3%

5100.0%360.0%240.0%

8100.0%787.5%112.5%

6100.0%6100.0%0.0%

6100.0%583.3%116.7%

8100.0%675.0%225.0%

5100.0%480.0%120.0%

2100.0%150.0%150.0%

2100.0%2100.0%0.0%

2100.0%2100.0%0.0%

13100.0%1076.9%323.1%

25100.0%2184.0%416.0%

17100.0%1270.6%529.4%

9100.0%888.9%111.1%

3100.0%266.7%133.3%

29100.0%2379.3%620.7%

14100.0%1392.9%17.1%

16100.0%1062.5%637.5%

9100.0%888.9%111.1%

28100.0%2485.7%414.3%

23100.0%1878.3%521.7%

13100.0%861.5%538.5%

3100.0%3100.0%0.0%


LAW DEPARTMENT BUDGET CUTS IN 2013?BY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


28.6%

42.9%

14.3%

14.3%

PERCENTAGE OF 2013 BUDGET REDUCTION OVER 2012

15% or more10 to 14%5 to 9%Less than 5%



Less than 5%

5 to 9%

10 to 14%

15% or more

All Companies 14100.0%

428.6%

642.9%

214.3%

214.3%


PERCENTAGE OF 2013 BUDGET REDUCTION

ALL COMPANIES


Annual Revenue


Med

ian

%

0.60

0.50

0.40

0.30

0.20

0.10

0.00

0.2

0.3

0.60.6

TOTAL LAW DEPARTMENT FEES/EXPENSES AS A PERCENT OF REVENUES

BY ANNUAL REVENUE




5,000 to 9,999 Employees1,000 to 4,999 EmployeesLess than 1,000 Employees

Med

ian

%

0.60

0.50

0.40

0.30

0.20

0.10

0.00

0.30.3

0.3

0.6




Department Size


Med

ian

%

0.60

0.50

0.40

0.30

0.20

0.10

0.00

0.4

0.3

0.2

0.6


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M


Chem

ical Manufacturing

Utilities

Med

ian

%

1.20

1.00

0.80

0.60

0.40

0.20

0.00

0.3

0.5

0.30.20.2

1.0

0.8

0.10.3

0.5

0.2

0.7

0.4


BY INDUSTRY


UpperQuartile

%Median

%

LowerQuartile

%Average

%Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

.5170.2681.1515.387142

..2512.1732.28593

..5244.4625.52442

.5325.3141.1829.34324

.9252.2495.1557.44344

.4504.2324.1778.29775

.1.0135.0804.73043

..8072.5667.80722

.1296.0981.0441.09076

.5037.2569.1488.31245

..5048.4427.48703

.2085.2085.2085.20851

..6885.2475.68852

..3800.2324.38002

.5069.4368.1730.404710

.6989.2792.1874.451615

.4526.2000.1076.302113

..5667.1507.43463

.4716.2540.1449.356422

.4569.2656.1436.353310

.9085.3313.1564.46668

..5765.5667.57652

.4472.2324.1368.313122

.6470.2891.1492.425014

.8036.5863.3313.57125

.5667.5667.5667.56671


TOTAL LAW DEPARTMENT FEES/EXPENSES (INSIDE & OUTSIDE) AS A PERCENT OF REVENUESBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

$

1,000,000.00

800,000.00

600,000.00

400,000.00

200,000.00

0.00

963,557875,000

498,333

225,000

TOTAL LAW DEPARTMENT FEES/EXPENSES (INSIDE & OUTSIDE) PER LAWYER

BY ANNUAL REVENUE



10,000 Employees or More5,000 to 9,999 Employees1,000 to 4,999 Employees

Med

ian

$

1,000,000.00

800,000.00

600,000.00

400,000.00

200,000.00

0.00

846,316

651,799

345,937




Department Size

26 or More Lawyers11 to 25 Lawyers4 to 10 Lawyers

Med

ian

$

800,000.00

600,000.00

400,000.00

200,000.00

0.00

683,841698,417755,189


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

$

2,000,000.00

1,500,000.00

1,000,000.00

500,000.00

0.00

303,125

599,740

334,964

685,294

428,466

225,000

685,333

875,000

1,535,0051,644,889

1,177,153


BY INDUSTRY


UpperQuartileMedian

LowerQuartileAverage

Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

1,463,636873,333498,2581,065,80245

.1,372,291606,2501,390,7643

.480,417462,500480,4172

1,325,133766,859522,016871,3364

1,169,788535,015273,732659,5124

899,889685,294663,136762,2695

1,481,8181,223,360628,4981,111,2254

1,659,534303,653197,500720,2294

1,118,025685,333378,996785,5056

2,775,0461,096,255874,5831,588,7286

.2,386,509856,4291,892,6463

.1,644,8891,199,5341,644,8892

.1,177,153618,3031,177,1532

1,199,534685,294498,182917,27811

1,913,1241,355,516698,4171,357,34217

1,124,199875,000428,393949,27513

.498,333170,000725,2223

280,000280,000280,000280,0001

2,116,121946,064754,8581,308,98522

1,359,710790,647583,997946,05710

1,447,288680,719331,670875,45310

.280,000170,000316,1113

1,711,194963,557663,1361,218,00321

1,503,667875,000531,8391,116,76917

887,318498,333337,500589,5945

.225,000170,000225,0002


TOTAL LAW DEPARTMENT FEES/EXPENSES (INSIDE & OUTSIDE) PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

%

80.00

60.00

40.00

20.00

0.00

45.5

37.3

65.572.5

TOTAL INSIDE EXPENSES AS A PERCENT OF TOTAL LAW DEPARTMENT FEES/EXPENSES

BY ANNUAL REVENUE


Med

ian

%

80.00

60.00

40.00

20.00

0.00

37.1

46.746.6

73.5


10,000 Employees or

More







Department Size


Med

ian

%

80.00

60.00

40.00

20.00

0.00

58.4

36.837.5

73.571.4


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

%

80.00

60.00

40.00

20.00

0.00

29.4

60.857.664.7

79.8

33.5

69.2

41.5

27.618.4

30.9

46.0


BY INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

66.2645.4928.3946.6845

.29.418.5534.993

.60.7543.2460.752

81.3257.6340.4259.794

79.9664.7034.1859.614

82.2979.8153.0770.115

59.0233.4718.3936.964

73.0069.2337.5459.924

48.4741.4932.9340.766

39.2627.6014.5427.576

.18.3717.8631.533

.30.9530.0430.952

.46.0429.0746.042

79.8158.3731.8655.5311

55.2936.8225.2640.5517

61.0237.5021.0640.5813

.73.5349.7667.183

71.4371.4371.4371.431

55.1637.0718.2439.8422

68.1346.6929.3350.4110

67.0146.5634.0949.6910

.73.5371.4374.413

59.7745.4928.0144.3521

62.6937.3121.3142.3917

75.9065.5143.3060.785

.72.4871.4372.482


TOTAL INSIDE EXPENSES AS A PERCENT OF TOTAL LAW DEPARTMENT FEES/EXPENSESBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

%

0.50

0.40

0.30

0.20

0.10

0.00

0.10.1

0.40.4

TOTAL INSIDE EXPENSES AS A PERCENT OF REVENUE

BY ANNUAL REVENUE





Med

ian

%

0.50

0.40

0.30

0.20

0.10

0.00

0.1

0.10.2

0.4




Department Size


Med

ian

%

0.50

0.40

0.30

0.20

0.10

0.00

0.20.1

0.1

0.4


BY DEPARTMENT SIZE


Type of Industry

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

%

0.25

0.20

0.15

0.10

0.05

0.00

0.10.1

0.2

0.1

0.0

0.10.1

0.2

0.1


BY INDUSTRY


UpperQuartile

%Median

%

LowerQuartile

%Average


Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

.2927.1138.0561.171442

..1161.0215.08833

..3294.2000.32942

.3672.2032.0823.21764

.5365.1962.0652.26604

.3707.1854.0939.22295

..1829.0516.22473

..3535.2903.35352

.0548.0286.0210.03466

.1156.1094.0450.08615

..0927.0791.15723

.0026.0026.0026.00261

..2171.0744.21712

..1499.1464.14992

.3586.1564.0825.198510

.2454.1196.0744.173915

.1735.0791.0228.127213

..4167.0750.31683

.2121.0879.0237.131322

.2004.1369.0536.174710

.3643.1735.0853.21128

..4377.4167.43772

.1482.0879.0482.120822

.2927.1138.0489.177914

.4492.3889.1735.32695

.4167.4167.4167.41671


TOTAL INSIDE EXPENSES AS A PERCENT OF REVENUEBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

$

500,000

400,000

300,000

200,000

100,000

0

431,151

336,364

390,000

162,500

TOTAL INSIDE EXPENSES PER LAWYER

BY ANNUAL REVENUE







Med

ian

$

400,000

300,000

200,000

100,000

0

395,688382,596371,307

200,000




Department Size


Med

ian

$

500,000

400,000

300,000

200,000

100,000

0

438,437

384,709

222,857

390,000

200,000


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

$

600,000

500,000

400,000

300,000

200,000

100,000

0

403,633

295,000

439,712

353,757

534,455

328,182

209,694

220,095

380,737

438,437

505,029

447,172


BY INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

476,087384,709236,429379,77945

.403,633187,500332,4613

.295,000200,000295,0002

686,179439,712314,021479,9714

372,985353,757202,757309,8334

551,760534,455476,487518,1905

415,659328,182267,500337,1144

492,039209,694143,750281,8284

443,767220,095190,871313,0286

434,460380,737279,567353,4796

.438,437435,000457,7673

.505,029382,113505,0292

.447,172389,625447,1722

534,455438,437320,000419,47811

481,089384,709339,320422,59817

438,545222,857177,083294,35613

.390,000125,000421,6673

200,000200,000200,000200,0001

496,603395,688243,214392,64122

459,468382,596340,707402,83510

516,767371,307189,063370,86110

.200,000125,000238,3333

519,587431,151360,023431,99221

425,317336,364234,694353,54017

468,403390,000178,125336,6115

.162,500125,000162,5002


TOTAL INSIDE EXPENSES PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

400,868330,000212,328309,67847

.325,000187,500305,3783

.260,417187,500260,4172

.267,103229,226285,6713

300,200287,106183,638256,9814

477,468458,335416,200449,1345

360,381320,909225,338300,3476

406,827182,031134,765241,2084

354,069204,667157,478242,1116

412,284297,886200,913301,7616

381,743372,885331,664362,0974

.372,827341,465372,8272

.381,563362,258381,5632

458,335382,619305,455367,01211

400,868337,571267,103328,58319

339,164224,613170,238258,31014

.229,167125,000229,1672

200,000200,000200,000200,0001

404,808339,518218,082319,96322

403,633362,258303,714360,32511

341,306229,226151,350263,07311

.200,000125,000219,4443

411,569368,239305,019353,39922

363,670289,659218,750293,29917

354,401208,363151,013244,8366

.162,500125,000162,5002


COMPENSATION AND BENEFITS EXPENSES PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over




4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities


Other Manufacturing



Insurance



Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

8,2645,0001,8285,48611

12,50012,50012,50012,5001

8,2648,2648,2648,2641

5,9055,9055,9055,9051

.1,8281,2841,6893

12,46912,46912,46912,4691

5,0005,0005,0005,0001

3,0003,0003,0003,0001

1,5521,5521,5521,5521

6,5856,5856,5856,5851

7,2121,8281,4183,8185

.5,9053,0005,1633

.8,2645,0008,5883

2,7381,8911,6212,0834

.5,9051,2844,5913

12,49210,3675,8169,5584

6,0751,8911,4853,1856

12,4928,7353,5008,2424

8,2648,2648,2648,2641


CONTRACT ATTORNEY EXPENSES PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities





Finance

Insurance



Other Services

All Companies

Annual Revenue


Department Size

Type of Industry

40,28323,0874,32422,63718

26,66726,66726,66726,6671

15,06215,06215,06215,0621

4,5534,5534,5534,5531

41,78925,91219,62829,7495

3,6363,6363,6363,6361

.22,9383,04122,9382

9,3979,3979,3979,3971

.28,2311,37226,5353

.35,65524,36635,6552

2,6212,6212,6212,6211

27,07121,8073,33918,3619

44,14515,0624,55323,6517

50,00050,00050,00050,0001

26,66726,66726,66726,6671

44,14524,36615,06227,11011

20,5724,0952,8759,1804

.22,9383,04122,9382

26,66726,66726,66726,6671

42,96723,0875,07623,92312

35,53315,0623,79718,7445

26,66726,66726,66726,6671


OCCUPANCY EXPENSES PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

15,9646,7111,3569,98026

6,2506,2506,2506,2501

.7,9173,3337,9172

.1,3291,2741,3292

.3,2883253,2882

22,23615,2754,23213,9144

.8,1216,3648,1212

.18,68712,98018,6872

.25,14318,85625,1432

22,7654,1545809,1664

.13,4971,4979,9983

1,2661,2661,2661,2661

6866866866861

19,5909,6721,78910,2918

21,6267,0595229,9879

14,3758,0642,60010,4938

3,3333,3333,3333,3331

22,03113,4971,38513,17113

4,5151,2505062,2585

12,9809,8786,25010,5207

3,3333,3333,3333,3331

20,2388,9301,96611,55213

21,5413,8731,2569,4968

11,1896,2502,3596,6695


COMPUTER TECHNOLOGY EXPENSES PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

54,92627,41814,79952,61636

62,50062,50062,50062,5001

26,66726,66726,66726,6671

197,56919,70810,38675,8884

78,33654,23213,21748,5954

32,77129,39920,43427,1625

.14,6084,54512,1993

.33,38026,83733,3802

170,26811,4294,42972,1645

165,82422,43914,72067,6614

.50,00040,94860,6563

.66,57413,46566,5742

.60,66317,47460,6632

36,77027,41814,89731,04610

103,85239,92317,47474,87615

56,25014,0004,42946,3609

.21,66716,66721,6672

60,25528,00014,89759,11318

70,76429,39910,00041,0719

56,85622,14015,12254,2288

26,66726,66726,66726,6671

54,21428,69915,75057,11520

60,08627,41814,66737,89512

198,54820,6373,65874,2814


OTHER INSIDE OPERATING EXPENSES PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

%

60.00

40.00

20.00

0.00

54.5

62.7

34.5

27.5

TOTAL OUTSIDE FEES/EXPENSES AS A PERCENT OF TOTAL LAW DEPARTMENT FEES/EXPENSES

BY ANNUAL REVENUE


Med

ian

%

60.00

40.00

20.00

0.00

62.9

53.353.4

26.5


10,000 Employees or

More







Department Size


Med

ian

%

60.00

40.00

20.00

0.00

41.6

63.262.5

26.528.6


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

%

100.00

80.00

60.00

40.00

20.00

0.00

70.6

39.242.435.3

20.2

66.5

30.8

58.572.4

81.669.1

54.0


BY INDUSTRY


Upper Quartile

%Median

%

Lower Quartile

%Average


Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

71.6154.5133.7453.3245

.70.5932.9965.013

.39.2521.7439.252

59.5842.3718.6840.214

65.8235.3020.0440.394

46.9320.1917.7129.895

81.6166.5340.9863.044

62.4630.7727.0040.084

67.0758.5151.5359.246

85.4672.4060.7472.436

.81.6341.6368.473

.69.0568.1469.052

.53.9636.9853.962

68.1441.6320.1944.4711

74.7463.1844.7159.4517

78.9462.5038.9859.4213

.26.4721.7432.823

28.5728.5728.5728.571

81.7662.9344.8460.1622

70.6753.3131.8749.5910

65.9153.4432.9950.3110

.26.4721.7425.593

71.9954.5140.2355.6521

78.6962.6937.3157.6117

56.7034.4924.1039.225

.27.5226.4727.522


TOTAL OUTSIDE FEES/EXPENSES AS A PERCENT OF TOTAL LAW DEPARTMENT FEES/EXPENSESBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

%

0.25

0.20

0.15

0.10

0.05

0.00

0.1

0.1

0.2

0.2

TOTAL OUTSIDE FEES/EXPENSES AS A PERCENT OF REVENUE

BY ANNUAL REVENUE





Med

ian

%

0.15

0.10

0.05

0.00

0.1

0.1

0.10.1




Department Size


Med

ian

%

0.125

0.10

0.075

0.05

0.025

0.00

0.1

0.1

0.1

0.1


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M


Chem

ical Manufacturing

Utilities

Med

ian

%

0.60

0.50

0.40

0.30

0.20

0.10

0.00

0.20.20.1

0.10.1

0.6

0.5

0.10.1

0.4

0.2

0.5

0.2


BY INDUSTRY


UpperQuartile

%Median

%

LowerQuartile

%Average


Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

.2733.1229.0685.215742

..2297.0571.19763

..1950.1275.19502

.1973.1254.0540.12564

.4010.0782.0531.17744

.0905.0774.0578.07485

..5740.0288.50573

..4537.1500.45372

.0831.0631.0231.05616

.3932.1373.1038.22635

..3636.2138.32983

.2059.2059.2059.20591

..4714.1732.47142

..2301.0859.23012

.3324.0905.0424.206210

.5004.1373.0687.277715

.2461.0903.0577.174913

..1275.0757.11773

.2632.1278.0752.225222

.3230.0966.0519.178610

.4961.1403.0574.25538

..1387.1275.13872

.3203.1010.0685.192222

.2974.1327.0580.247114

.4182.2048.0902.24435

.1500.1500.1500.15001


TOTAL OUTSIDE FEES/EXPENSES AS A PERCENT OF REVENUEBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

$

600,000.00

400,000.00

200,000.00

0.00

608,750560,000

260,473

62,500

TOTAL OUTSIDE FEES/EXPENSES PER LAWYER

BY ANNUAL REVENUE







Med

ian

$

600,000.00

400,000.00

200,000.00

0.00

658,542

415,163

261,486

80,000




Department Size

26 or More Lawyers

11 to 25 Lawyers4 to 10 Lawyers2 to 3 LawyersSingle Lawyer

Med

ian

$

1,000,000.00

800,000.00

600,000.00

400,000.00

200,000.00

0.00

257,333

919,317

560,000

108,33380,000


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

$

2,000,000.00

1,500,000.00

1,000,000.00

500,000.00

0.00

968,658

185,417374,273

176,093

834,133

93,959

408,667

746,451

1,948,072

1,139,860

729,981


BY INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

979,468468,058174,805686,02345

.968,658200,0001,058,3033

.185,417108,333185,4172

690,018374,273109,805391,3654

810,290176,09362,653349,6794

423,402138,391117,600244,0795

1,210,227834,133277,975774,1124

1,167,49593,95953,750438,4014

765,544408,667202,232472,4786

2,372,382746,451573,2291,235,2496

.1,948,072356,5651,434,8793

.1,139,860817,4211,139,8602

.729,981228,678729,9812

817,421257,333127,226497,80011

1,356,150919,317324,535934,74317

749,427560,000206,250654,91913

.108,33345,000303,5563

80,00080,00080,00080,0001

1,583,743658,542331,757916,34422

974,063415,163168,234543,22310

840,727261,486176,980504,59310

.80,00045,00077,7783

1,110,781608,750203,430786,01121

1,170,455560,000206,250763,23017

419,928260,47382,292252,9835

.62,50045,00062,5002


TOTAL OUTSIDE FEES/EXPENSES PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

689,789250,00086,667399,38039

.500,000187,500536,4703

.175,000100,000175,0002

302,118219,57080,560200,7504

695,994173,04562,653310,5644

440,277245,89058,721248,2964

.178,18213,241427,4443

721,47693,95953,750289,7284

607,143257,333166,964361,1105

755,093637,708217,188536,6634

.852,97412,755852,9742

.703,432689,789703,4322

.535,8656,852535,8652

768,284217,75891,093450,28110

882,956378,74584,264483,16313

625,000243,236164,732353,57612

.100,00045,000156,3333

80,00080,00080,00080,0001

684,008419,767127,633457,06516

860,415382,11471,550468,30110

474,499211,98695,001335,47910

.80,00045,00075,0003

778,496460,788142,231526,08517

666,667264,228107,918390,09515

243,236100,00034,746131,1935

.62,50045,00062,5002


OUTSIDE COUNSEL FEES FOR LAW DEPARTMENT PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing


Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

75,86735,41711,07155,52320

.12,5006,25021,8323

.10,4178,33310,4172

.28,66724,00028,6672

.39,8346,09839,8342

.10,7317,27110,7312

37,50037,50037,50037,5001

60,00060,00060,00060,0001

.79,65741,66779,6572

.165,75576,633165,7552

100,346100,346100,346100,3461

.88,50110,59488,5012

138,97961,68912,46283,3446

142,02773,5718,34674,8635

41,66724,00012,50027,7747

.20,8338,33320,8332

113,32259,1509,00177,3608

96,78053,3739,47060,5696

35,41724,00012,50023,9675

8,3338,3338,3338,3331

142,02773,57112,39387,9619

60,00033,3336,25033,7837

34,12518,2509,37520,5834


OTHER OUTSIDE EXPENSES FOR LAW DEPARTMENT PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over




2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities


Other Manufacturing


Finance

Insurance



Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

821,142275,80981,862507,48516

1,500,0001,500,0001,500,0001,500,0001

.284,44219,725234,7223

76,79176,79176,79176,7911

.102,52597,074102,5252

.888,308526,615888,3082

.484,65950,000484,6592

.204,70629,412204,7062

.1,133,588267,1771,133,5882

211,232211,232211,232211,2321

.107,97597,074157,4093

784,488247,83741,256396,3658

1,875,0001,013,308169,1541,019,1544

400,000400,000400,000400,0001

1,312,500332,22188,334675,80510

.97,07476,791128,3663

.400,00050,000325,5383

784,488159,60381,862477,7258

1,250,000284,44250,000538,7637

526,615526,615526,615526,6151


OUTSIDE COUNSEL FEES/EXPENSES FOR OTHER BUSINESS UNITS* PER LAWYERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY

Units or departments under law department budget authority


Annual Revenue


Med

ian

$

1,000,000.00

800,000.00

600,000.00

400,000.00

200,000.00

0.00

870,310807,692

462,500

212,857

TOTAL LAW DEPARTMENT FEES/EXPENSES PER LEGAL SERVICE PROVIDER

BY ANNUAL REVENUE







Med

ian

$

1,000,000.00

800,000.00

600,000.00

400,000.00

200,000.00

0.00

842,821

642,406602,616

280,000

TOTAL LAW DEPARTMENT FEES/EXPENSES (INSIDE & OUTSIDE) PER LEGAL SERVICE PROVIDER



Department Size

26 or More Lawyers


Med

ian

$

1,200,000.00

1,000,000.00

800,000.00

600,000.00

400,000.00

200,000.00

0.00

603,912

1,094,840

689,231

427,143

280,000


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

$

2,500,000.00

2,000,000.00

1,500,000.00

1,000,000.00

500,000.00

0.00

1,306,944

444,821

648,792493,728

603,912

970,708

294,212

534,990

1,049,631

2,029,167

1,481,207

1,032,918


BY INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

1,242,476741,416424,341923,02445

.1,306,944538,8891,346,5283

.444,821427,143444,8212

920,252648,792429,576666,2074

968,298493,728233,907565,3114

768,099603,912452,617609,0695

1,242,000970,708501,508904,7394

1,542,120294,212179,286671,8724

1,016,842534,990304,147644,9556

2,412,3721,049,631792,9121,417,0996

.2,029,167814,8541,642,8133

.1,481,2071,081,1951,481,2072

.1,032,918538,1521,032,9182

1,081,195603,912380,749792,96411

1,704,4521,094,840609,9561,170,63317

1,078,762689,231388,015850,38413

.427,143145,714525,9153

280,000280,000280,000280,0001

1,918,207842,821624,4091,130,39022

1,248,450642,406508,999839,03810

1,067,667602,616312,253742,42910

.280,000145,714284,2863

1,417,313870,310566,8661,042,74121

1,242,476807,692468,836984,49917

703,879462,500303,045495,2705

.212,857145,714212,8572


TOTAL LAW DEPARTMENT FEES/EXPENSES (INSIDE & OUTSIDE) PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

$

400,000

300,000

200,000

100,000

0

362,500

296,000321,520

153,571

TOTAL INSIDE EXPENSES PER LEGAL SERVICE PROVIDER

BY ANNUAL REVENUE







Med

ian

$

400,000

300,000

200,000

100,000

0

332,444334,012308,760

200,000




Department Size


Med

ian

$

400,000

300,000

200,000

100,000

0

382,939

328,906

214,286

334,286

200,000


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

$

500,000

400,000

300,000

200,000

100,000

0

361,111

267,143

375,137

311,209

419,283

283,385

203,365194,309

334,521

382,939

454,783

391,635


BY INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

406,822327,417210,508323,28045

.361,111187,500311,0083

.267,143200,000267,1432

484,128375,137255,070371,4454

328,534311,209172,434270,7264

483,432419,283325,985407,6235

315,140283,385217,692272,0724

457,647203,365130,357263,7904

339,589194,309145,382249,9306

393,003334,521243,548319,4336

.382,939362,500407,0123

.454,783344,416454,7832

.391,635339,118391,6352

475,307382,939257,609352,99611

419,257328,906295,500363,64717

361,806214,286154,923257,01813

.334,286107,143313,8103

200,000200,000200,000200,0001

400,591332,444210,714328,63522

444,211334,012288,942356,79310

452,385308,760182,895310,82710

.200,000107,143213,8103

431,718362,500282,885361,86121

402,748296,000203,365306,91117

385,400321,520165,789284,7805

.153,571107,143153,5712


TOTAL INSIDE EXPENSES PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

331,632270,052190,625269,48448

.288,889187,500286,9343

.236,607187,500236,6072

440,208255,368205,836300,4714

268,209248,915156,064224,3964

418,239387,822271,724353,5505

297,928248,291182,902237,9846

381,339177,298119,006225,8814

271,377162,714141,110193,9906

368,712263,745177,291274,0256

354,081313,755273,331313,7224

.335,774307,778335,7742

.334,031315,299334,0312

387,822334,187220,844308,83311

323,970294,167222,586280,47919

289,998194,879153,962223,37514

.285,714107,143293,9153

200,000200,000200,000200,0001

337,783280,417186,902267,79922

384,413293,324253,846316,57411

301,784220,189137,356247,37512

.200,000107,143197,6193

355,515311,538233,802294,28922

312,178263,642196,875273,14618

290,214194,879130,285206,1856

.153,571107,143153,5712


COMPENSATION AND BENEFITS EXPENSES PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over




4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities


Other Manufacturing



Insurance



Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

7,2924,7061,3994,82411

11,11111,11111,11111,1111

7,2927,2927,2927,2921

4,7694,7694,7694,7691

.1,1168811,2413

11,75011,75011,75011,7501

4,7064,7064,7064,7061

2,5862,5862,5862,5861

1,3991,3991,3991,3991

5,7325,7325,7325,7321

6,7381,3999993,3745

.4,7692,5864,3623

.7,2924,7067,7033

2,3711,5621,0111,6484

.4,7691,1163,8723

11,5909,2025,3528,7154

5,0101,5621,0572,6046

11,5907,9083,1167,5384

7,2927,2927,2927,2921


CONTRACT ATTORNEY EXPENSES PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities





Finance

Insurance



Other Services

All Companies

Annual Revenue


Department Size

Type of Industry

35,63220,2074,05019,48818

22,85722,85722,85722,8571

12,21212,21212,21212,2121

4,3754,3754,3754,3751

36,44022,51913,43124,4525

3,0773,0773,0773,0771

.21,3202,86521,3202

7,1417,1417,1417,1411

.26,8611,19923,2423

.32,10621,96232,1062

2,2812,2812,2812,2811

24,69018,4522,97115,5749

39,77512,2124,37520,8707

41,66741,66741,66741,6671

22,85722,85722,85722,8571

38,05621,9628,41123,00311

17,9833,7262,4808,0634

.21,3202,86521,3202

22,85722,85722,85722,8571

37,24820,2074,09320,15312

33,31812,2123,62017,2185

22,85722,85722,85722,8571


OCCUPANCY EXPENSES PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

12,5005,8551,2438,52026

5,5565,5565,5565,5561

.7,6792,8577,6792

.1,1301,0391,1302

.2,7883132,7882

17,4699,0603,66210,0644

.6,2845,3856,2842

.17,44212,23117,4422

.22,88014,33122,8802

19,6423,7025547,9664

.11,7891,4248,5713

1,1411,1411,1411,1411

5975975975971

12,1207,9031,6478,0668

18,4926,1544608,5839

12,5006,3702,2539,6138

2,8572,8572,8572,8571

17,07410,4211,28210,93913

3,8511,2504551,9725

12,5007,1845,2639,5157

2,8572,8572,8572,8571

13,4157,6981,7299,53113

20,0473,4901,0928,5758

9,8425,2632,0395,8055


COMPUTER TECHNOLOGY EXPENSES PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

50,78122,85712,17046,02235

55,55655,55655,55655,5561

22,85722,85722,85722,8571

173,94614,8337,82165,5334

.50,78144,92356,8663

25,77622,51515,03020,8265

.10,6243,8468,8803

.31,18025,28831,1802

129,99411,4293,30855,6065

144,49619,69214,31159,5004

.41,66735,76554,6783

.59,92612,13659,9262

.53,29915,20953,2992

28,10422,48712,79126,42210

91,38937,07115,24563,13115

52,08312,7146,11745,7048

.16,98411,11116,9842

52,90022,48712,79149,17518

62,83825,5509,30836,1349

55,55625,28811,11153,9387

22,85722,85722,85722,8571

44,10922,48712,38047,11120

54,36224,71311,83334,11112

.22,85710,62486,4083


OTHER INSIDE OPERATING EXPENSES PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Annual Revenue


Med

ian

$

600,000.00

500,000.00

400,000.00

300,000.00

200,000.00

100,000.00

0.00

549,839

430,769

229,829

59,286

TOTAL OUTSIDE FEES/EXPENSES PER LEGAL SERVICE PROVIDER

BY ANNUAL REVENUE







Med

ian

$

600,000.00

400,000.00

200,000.00

0.00

601,842

345,267

246,165

80,000




Department Size

26 or More Lawyers


Med

ian

$

600,000.00

400,000.00

200,000.00

0.00

206,417

698,681

419,895

92,85780,000


BY DEPARTMENT SIZE


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Chem

ical Manufacturing

Utilities

Med

ian

$

2,000,000.00

1,500,000.00

1,000,000.00

500,000.00

0.00

922,531

177,679

312,782

165,566120,273

689,948

90,846

318,593

719,207

1,666,667

1,026,424

641,283


BY INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

861,186396,049135,521599,74445

.922,531177,7781,035,5203

.177,67992,857177,6792

477,600312,78293,903294,7624

664,821165,56653,368294,5854

361,277120,27382,200201,4455

990,000689,948218,051632,6664

1,084,47390,84648,929408,0834

702,582318,593180,000395,0266

2,062,103719,207512,3791,097,6676

.1,666,667339,2561,235,8013

.1,026,424736,7781,026,4242

.641,283199,035641,2832

736,778206,417112,356439,96811

1,199,800698,681293,135806,98717

749,427419,895188,889593,36613

.92,85738,571212,1063

80,00080,00080,00080,0001

1,403,719601,842296,483801,75522

830,513345,267143,145482,24510

618,667246,165158,756431,60210

.80,00038,57170,4763

1,003,031549,839174,902680,88021

980,000430,769188,889677,58817

341,198229,82970,113210,4905

.59,28638,57159,2862


TOTAL OUTSIDE FEES/EXPENSES PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

639,952212,32681,429395,14040

.500,000166,667514,8933

.167,85785,714167,8572

214,163186,48965,462155,3714

572,272162,63653,368262,7594

374,049213,16451,430212,8814

.150,7699,630373,4663

670,31390,84648,929270,0294

549,451206,417136,471315,6525

1,340,848615,385312,062784,2415

.745,50112,136745,5012

.633,571620,810633,5712

.471,5285,964471,5282

704,252178,59383,692399,92410

879,163438,17273,556530,85514

586,538229,326128,235329,50912

.85,71438,571113,4293

80,00080,00080,00080,0001

633,571389,897109,911496,97317

807,929319,26162,350417,99810

402,463187,66088,111297,28010

.80,00038,57168,0953

755,217469,868114,956544,98418

615,385216,000101,692351,73115

229,32685,71428,499120,2735

.59,28638,57159,2862


OUTSIDE COUNSEL FEES FOR LAW DEPARTMENT PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities



Other Manufacturing


Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

69,54024,7479,69348,24920

.11,1116,25020,6273

.9,8217,1439,8212

.21,69921,17621,6992

.32,6415,85932,6412

.9,3436,1529,3432

27,27327,27327,27327,2731

46,15446,15446,15446,1541

.70,51338,46270,5132

.147,76472,913147,7642

90,44690,44690,44690,4461

.77,8309,22177,8302

123,48858,71610,93874,8636

124,50159,4237,54064,7015

38,46221,17611,11123,2757

.14,6837,14314,6832

99,53555,6877,82168,9928

81,17745,3378,38051,9366

24,74721,17611,80618,8575

7,1437,1437,1437,1431

124,50159,42310,87777,1019

46,15422,2226,25028,9967

25,74916,8388,48217,0234


OTHER OUTSIDE EXPENSES FOR LAW DEPARTMENT PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies


$1 to $4.9 Billion

$5 Billion and Over




2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities


Other Manufacturing


Finance

Insurance



All Companies

Annual Revenue


Department Size

Type of Industry

263,552134,10848,305160,94012

.230,62916,087171,1273

62,02362,02362,02362,0231

.68,20552,04468,2052

382,993382,993382,993382,9931

47,05947,05947,05947,0591

.175,67825,641175,6782

254,207254,207254,207254,2071

183,850183,850183,850183,8501

.84,36652,044130,2063

254,400122,93723,253140,6576

.215,02647,059215,0262

266,667266,667266,667266,6671

272,084141,33623,253150,7206

.84,36662,023110,0803

.266,66747,059232,2393

219,31673,19545,443122,2736

260,437230,62931,573162,9305

382,993382,993382,993382,9931


OUTSIDE COUNSEL FEES/EXPENSES FOR OTHER BUSINESS UNITS* PER LEGAL SERVICE PROVIDERBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY

Units or departments under law department budget authority


OUTSIDE COUNSEL Outside counsel expenditures typically represent a large percentage of a company’s total legal spend. Therefore, it is not only important to understand what you are spending on outside counsel (see the Expense section of this survey) but also how that money is spent. It is also important to analyze how your law department manages outside counsel to ensure that your client receives the best service possible in the most cost effective manner. This section of the Law Department Metrics Benchmarking Survey addresses precisely these issues, highlighting some of the key metrics in outside counsel selection, retention and performance. Often, companies struggle to decide which legal services should be outsourced to outside law firms and which should be handled internally. This survey section shows which legal specialties outside firms most often handle. The information is shown in terms of percentage of outside counsel fees by practice area. As corporations are under intense pressure to control internal and external legal costs, the use of alternative fee arrangements is used to foster a partnering relationship with outside counsel. This section benchmarks fixed fee, reduced rate, negotiated or blended rates and other arrangements used with outside law firms.

Perhaps no practice in outside counsel management has been discussed and written about more widely than the concept of convergence (reducing the number of outside law firms utilized to reduce costs and improve the quality of services delivered). This section of the survey shows the two-year trend in the number of outside law firms utilized in companies of different sizes and in companies in different industries. It also provides information regarding the survey participants’ use of their top four law firms (in terms of percentage of total fees paid to outside counsel in 2012), including what percentage of outside counsel fees are paid to the top firms, how many years the firms have been used and the size of the firms. Companies often struggle with how to select the best outside counsel firm for a particular matter or matters. This survey section shows the criteria used by survey participants for the selection of outside counsel. Once you have retained an outside firm, how do you ensure that they are providing the highest quality of service to your organization? This survey section includes information that is critical to the outside counsel evaluation process, including how many departments formally evaluate their outside counsel and how often. It also shows the criteria by which outside counsel are measured and the relative seriousness of mistakes made by outside counsel.


OUTSIDE COUNSEL - TABLE OF CONTENTS

Percentage of Non-litigation and Litigation Outside Counsel Fees by Practice Area ..................... 205 Two-year Trends, Number of Law Firms Employed ....................................................................... 206 Number of Law Firms Employed by Law Department in 2012 ....................................................... 209 Number of Law Firms Employed by Practice Area ......................................................................... 210 Percent of Fees Paid to Top Four Law Firms ................................................................................. 211 Years Using Top Four Law Firms ................................................................................................... 213 Size of Top Four Law Firms ........................................................................................................... 215 Criteria in Selecting Outside Counsel ............................................................................................. 216 Dollar Cost Incurred Annually in Outside Counsel Selection .......................................................... 218Time Costs Incurred Annually in Outside Counsel Selection Process ........................................... 218 Percent of GC Compensation Tied to Minimizing Risk in Outside Counsel Selection Process ...... 218 Alternative Fee Arrangements ........................................................................................................ 219Percentage of Billing at Standard Hourly Rates in 2012 vs. 2011 .................................................. 223Movement Toward Value-based Arrangements ............................................................................. 226 Internal Obstacles to Fully Implement Alternative Pricing Strategies ............................................. 229Practice Areas with Most Frequent AFA Billing .............................................................................. 230 Future of AFAs ............................................................................................................................... 230 Evaluate Outside Counsel .............................................................................................................. 232 Frequency of Outside Counsel Evaluation ..................................................................................... 234 Importance of the Following Criteria in Evaluating Outside Counsel .............................................. 236Outside Counsel Reports Diversity Information .............................................................................. 237Customer Satisfaction Surveys ...................................................................................................... 239Ranking Serious Relationship Mistakes of Outside Counsel .......................................................... 243


UpperQuartile

%Median

%

LowerQuartile

%Average


Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Coporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area 11.105.632.0012.1317

6.803.901.016.8616

10.003.502.007.4126

5.005.005.005.001

5.002.651.003.8522

10.003.201.507.6517

....0

13.758.103.0012.708

.16.001.0014.003

20.008.003.5012.9127

50.0031.9015.0034.8444

14.447.955.0010.4940

6.754.301.156.4420

28.258.653.3716.6436

15.135.542.388.1310

4.581.50.422.7312

5.005.002.008.717

6.503.001.003.398

6.002.721.003.4118

10.002.00.534.615

7.502.831.304.8028

5.032.001.653.7822

10.007.002.0010.7431

6.003.001.204.2427

4.531.00.882.7012

15.008.003.008.799

8.501.10.853.5910


PERCENTAGE OF NON-LITIGATION AND LITIGATION OUTSIDE COUNSEL FEES AND EXPENSES BY PRACTICE AREA

ALL COMPANIES

Percentage based on total of all non-litigation and litigation outside counsel fees and expenses.


Annual Revenue


Ave

rag

e

125

100

75

50

25

0

125.5

61.7

16.83.3

128.5

66

17.6

2.3

TWO YEAR TREND

AVERAGE NUMBER OF LAW FIRMS EMPLOYED

BY ANNUAL REVENUE

20122011


Department Size

26 or More

Lawyers

11 to 25 Law

yers

4 to 10 Law

yers

2 to 3 Law

yers

Single

Lawyer

Ave

rag

e

200

150

100

50

0

170.6

93.9

27.47.58.3

175.1

92.7

31.6

78.3

TWO YEAR TREND


BY DEPARTMENT SIZE

20122011


Type of Industry

Other Industries

Other S

ervices

Health C

are Services

Professional/S

cientific/Tech. S

ervices

Insurance

Finance

Publishing/T

elecomm

unications

Wholesale/R

etail Trade

Other M

anufacturing

Com

puter/Electrical M

anufacturing

Metal/M


Chem

ical Manufacturing

Utilities

Ave

rag

e

300

200

100

0

TWO YEAR TRENDS


BY INDUSTRY

20122011


UpperQuartileMedianLower


2011

2012 13138127550

12942147847


NUMBER OF LAW FIRMS EMPLOYEDALL COMPANIES

UpperQuartileMedian


Number of Companies

Indicate the total number of law firms that you used in 2012

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

13138127550

118174464

--155363

312511225

72317374

2081591161614

1505512857

4053185

1779425994

1277936815

29282201314

--106121062

2122122122121

--6738672

2091501181719

16879289420

383212279

135288

--5583

2001284013319

9550326611

5118123712

135578

1821086512621

7932146215

221251711

--5033


NUMBER OF LAW FIRMS EMPLOYED IN 2012BY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


UpperQuartileMedian


Number of Companies

Anti-trust

Banking/Regulatory

Bankruptcy

Benefits/ERISA


Compliance/Ethics


Coporate Security



Healthcare

Immigration

Insurance


International

Labor/Employment

Litigation


Personal Injury


Public Relations

Regulatory

Real Estate

Risk Management


Tax

Other Practice Area 29155207

321226

531327

200111

421427

831624

10008

6201412

520511

621529

32932746

942744

1131821

821743

721920

321223

210114

221215

521423

110113

521533

522425

12521033

311230

211218

511517

111123


NUMBER OF LAW FIRMS EMPLOYED BY PRACTICE AREAALL COMPANIES


Firm #4Firm #3Firm #2Firm #1

Ave

rag

e %

Fee

s

40

30

20

10

0

7.910.3

14

31.3

PERCENT OF FEES PAID TO TOP FOUR LAW FIRMS


AverageNumber of Companies Average

Number of Companies Average


Number of Companies


Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over

Not Stated





Not Stated

Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities

Food/Beverage Manufacturing




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

1.00

Annual Revenue


Department Size

Type of Industry

All Companies 853105314543155

82122142573

94114134404

84134135375

105145215305

6484124194

97107157307

105125165415

115135145285

5676136256

6585115185

7292122502

627292132

.0.0.0.0

5292142292

61081011102010

721102114212521

912101213122912

96126207588

153183153383

.0.0.0.0

822102213222422

61191113113412

712101212133213

118148218458

.0.0.0.0

72282212222422

917111714183319

811111116114111

132152232452

PERCENT OF FEES PAID TO TOP FOUR LAW FIRMSBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY

Rank determined by % of total fees paid in 2010.



Ave

rag

e Y

ears

12

10

8

6

4

2

0

10.2

8.7

10.2

11.6

YEARS USING TOP FOUR LAW FIRMS


AverageNumber of Companies Average



Number of Companies


Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over

Not Stated





Not Stated

Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities

Food/Beverage Manufacturing




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

1.00

Annual Revenue


Department Size

Type of Industry

All Companies 104994910501252

82126273

6484114124

143103104184

9510575115

10410484114

107147107157

105559595

755575155

12610621676

133633364

151151151251

82102152152

.0.0.0.0

2028213272

1187888118

122192110211221

81081014101111

5686107128

931034363

.0.0.0.0

11209209201320

13108101610912

81191110121212

888868138

.0.0.0.0

112092010201220

131671613171119

71011108101510

62723212

YEARS USING TOP FOUR LAW FIRMSBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY




< 50 Lawyers

50 to 99 Lawyers

100 to 250 Lawyers

>250 Lawyers

Total

< 50 Lawyers

50 to 99 Lawyers

100 to 250 Lawyers

>250 Lawyers

Total

< 50 Lawyers

50 to 99 Lawyers

100 to 250 Lawyers

>250 Lawyers

Total

< 50 Lawyers

50 to 99 Lawyers

100 to 250 Lawyers

>250 Lawyers

Total

Size of Firm #1

Size of Firm #2

Size of Firm #3

Size of Firm #4

100.0%53

34.0%18

28.3%15

9.4%5

28.3%15

100.0%53

62.3%33

13.2%7

5.7%3

18.9%10

100.0%54

63.0%34

16.7%9

5.6%3

14.8%8

100.0%55

72.7%40

14.5%8

9.1%5

3.6%2


SIZE OF TOP FOUR LAW FIRMSALL COMPANIES



Other

Diversity

Partnering capabilities

Location

Cost

Reputation

Responsiveness

History w

ith company

Firm

specialization

Ave

rag

e %

40.00

30.00

20.00

10.00

0.00 0.82.21.44.2

14.7

5.8

12.710.6

31.1

IMPORTANCE OF THE FOLLOWING CRITERIA IN SELECTING OUTSIDE COUNSEL

ALL COMPANIES


UpperQuartile

%

Median%

LowerQuartile

%

Average%

Number of Companies

Firm specialization

History with company

Responsiveness

Reputation

Cost

Location


Diversity

Other .00.00.00.7666

2.00.00.002.2166

.00.00.001.4266

5.00.00.004.1566

25.0015.003.7514.7166

10.004.00.005.7766

20.0010.00.0012.6566

15.0010.00.0010.5866

50.0030.0015.0031.0866


IMPORTANCE OF THE FOLLOWING CRITERIA IN SELECTING OUTSIDE COUNSELALL COMPANIES



Less than $25,000

$25,000 - $49,999

$100,000 or more

All Companies

What are the dollar costs your department incurs annually in the outside counsel selection process?

52100.0%

11.9%

611.5%

4586.5%


DOLLAR COSTS INCURRED ANNUALLY IN OUTSIDE COUNSEL SELECTION PROCESS


0 - 10 hours

11 - 20 hours

21 - 30 hours

31 - 40 hours

More than 40 hours

All Companies

What are the time costs your department incurs annually in the outside counsel selection process?

48100.0%

816.7%

612.5%

714.6%

816.7%

1939.6%


TIME COSTS INCURRED ANNUALLY IN OUTSIDE COUNSEL SELECTION PROCESS


0%

1 - 5%

11 - 15%

21 - 25%

All Companies

What percent of general counsel compensation is tied to minimizing risk in the outside counsel selection process?

55100.0%

11.8%

35.5%

610.9%

4581.8%


PERCENT OF GENERAL COUNSEL COMPENSATION TIED TO MINIMIZING RISK IN OUTSIDE COUNSEL SELECTION PROCESS



None

1 to 20%

21 to 40%

41 to 60%

61 to 80%

81 to 100%


24.0%

36.0%

12.0%

612.0%

2958.0%

918.0%


PERCENT OF FEES PAID TO OUTSIDE COUNSEL IN ALTERNATIVE FEE

ARRANGEMENTSALL COMPANIES


Percentage of AFA Fees

81 to 100%61 to 80%41 to 60%21 to 40%1 to 20%None

% C

om

pan

ies

Res

po

nd

ing

60.0%

50.0%

40.0%

30.0%

20.0%

10.0%

0.0%4.0%

6.0%2.0%

12.0%

58.0%

18.0%

PERCENT OF FEES PAID TO OUTSIDE COUNSEL IN ALTERNATIVE FEE ARRANGEMENTS








81 to 100%61 to 80%41 to 60%21 to 40%1 to 20%None

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

24.0%36.0%12.0%612.0%2958.0%918.0%

0.0%0.0%0.0%0.0%266.7%133.3%

125.0%0.0%0.0%125.0%250.0%0.0%

0.0%120.0%0.0%120.0%240.0%120.0%

0.0%0.0%0.0%0.0%375.0%125.0%

0.0%0.0%0.0%125.0%250.0%125.0%

0.0%116.7%116.7%116.7%350.0%0.0%

0.0%0.0%0.0%0.0%240.0%360.0%

0.0%0.0%0.0%125.0%375.0%0.0%

0.0%0.0%0.0%0.0%480.0%120.0%

120.0%0.0%0.0%0.0%480.0%0.0%

0.0%0.0%0.0%0.0%1100.0%0.0%

0.0%150.0%0.0%0.0%150.0%0.0%

0.0%0.0%0.0%150.0%0.0%150.0%

110.0%110.0%0.0%110.0%660.0%110.0%

15.6%15.6%15.6%211.1%1161.1%211.1%

0.0%0.0%0.0%327.3%654.5%218.2%

0.0%0.0%0.0%0.0%457.1%342.9%

0.0%133.3%0.0%0.0%133.3%133.3%

14.8%29.5%0.0%29.5%1571.4%14.8%

111.1%0.0%0.0%111.1%444.4%333.3%

0.0%0.0%17.7%323.1%753.8%215.4%

0.0%114.3%0.0%0.0%342.9%342.9%

0.0%14.5%0.0%418.2%1463.6%313.6%

214.3%17.1%17.1%0.0%964.3%17.1%

0.0%19.1%0.0%218.2%545.5%327.3%

0.0%0.0%0.0%0.0%0.0%2100.0%


PERCENT OF FEES PAID TO OUTSIDE COUNSEL IN ALTERNATIVE FEE ARRANGEMENTSBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Total

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

50100.0%

3100.0%

4100.0%

5100.0%

4100.0%

4100.0%

6100.0%

5100.0%

4100.0%

5100.0%

5100.0%

1100.0%

2100.0%

2100.0%

10100.0%

18100.0%

11100.0%

7100.0%

3100.0%

21100.0%

9100.0%

13100.0%

7100.0%

22100.0%

14100.0%

11100.0%

2100.0%


PERCENT OF FEES PAID TO OUTSIDE COUNSEL IN ALTERNATIVE FEE ARRANGEMENTSBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Percentage of AFA billing (other than standard hourly rates) was higher in 2011

Percentage of AFA billing (other than standard hourly rates) was lower in 2011

Percentage of AFA billing is no different than 2011

All Companies

How does that compare to your billing arrangements in 2011?

51100.0%

3568.6%

611.8%

1019.6%


PERCENTAGE OF BILLING AT STANDARD HOURLY RATES IN 2012 VS. 2011ALL COMPANIES


68.6% 11.8%

19.6%

PERCENTAGE OF BILLING AT STANDARD HOURLY RATES IN 2012 VS. 2011


Percentage of AFA billing (other than standard hourly rates) was lower in 2011


How does that compare to your billing

arrangements in 2011?






Percentage of AFA billing (other than standard hourly rates) was

lower in 2011



TotalHow does that compare to your billing arrangements in 2011?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

51100.0%3568.6%611.8%1019.6%

3100.0%3100.0%0.0%0.0%

4100.0%4100.0%0.0%0.0%

5100.0%5100.0%0.0%0.0%

6100.0%350.0%233.3%116.7%

3100.0%266.7%0.0%133.3%

6100.0%466.7%233.3%0.0%

5100.0%480.0%0.0%120.0%

4100.0%250.0%0.0%250.0%

5100.0%480.0%120.0%0.0%

5100.0%120.0%0.0%480.0%

1100.0%1100.0%0.0%0.0%

2100.0%150.0%0.0%150.0%

2100.0%150.0%150.0%0.0%

10100.0%550.0%0.0%550.0%

19100.0%1368.4%421.1%210.5%

11100.0%872.7%19.1%218.2%

7100.0%685.7%114.3%0.0%

3100.0%266.7%0.0%133.3%

20100.0%1260.0%15.0%735.0%

11100.0%872.7%218.2%19.1%

13100.0%1076.9%215.4%17.7%

7100.0%571.4%114.3%114.3%

21100.0%1257.1%29.5%733.3%

16100.0%1275.0%212.5%212.5%

11100.0%981.8%19.1%19.1%

2100.0%2100.0%0.0%0.0%


PERCENTAGE OF BILLING AT STANDARD HOURLY RATES IN 2012 VS. 2011BY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



The law department asked firms to propose or negotiate alternative fees

The law firm proposed alternative fees to us.

From the start it was a mutual effort

All Companies

For value-based arrangements, did your law department drive the movement to an alternative fee

50100.0%

1836.0%

24.0%

3060.0%


FOR VALUE-BASED ARRANGEMENTS, WHO DROVE THE MOVEMENT TO AN ALTERNATIVE FEEALL COMPANIES


36.0%

4.0%

60.0%

FOR VALUE-BASED ARRANGEMENTS, WHO DROVE THE MOVEMENT TO AN ALTERNATIVE FEE



The law department asked firms to propose or negotiate alternative fees

For value-based arrangements, did your law department drive the movement to an

alternative fee,...







The law department asked firms to propose or negotiate

alternative fees


Total For value-based arrangements, did your law department drive the movement to an alternative

fee,...

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

50100.0%1836.0%24.0%3060.0%

2100.0%2100.0%0.0%0.0%

3100.0%266.7%0.0%133.3%

5100.0%240.0%0.0%360.0%

6100.0%233.3%116.7%350.0%

3100.0%133.3%0.0%266.7%

8100.0%0.0%0.0%8100.0%

4100.0%250.0%0.0%250.0%

4100.0%250.0%0.0%250.0%

5100.0%240.0%0.0%360.0%

5100.0%120.0%120.0%360.0%

2100.0%150.0%0.0%150.0%

2100.0%150.0%0.0%150.0%

1100.0%0.0%0.0%1100.0%

10100.0%220.0%0.0%880.0%

20100.0%420.0%15.0%1575.0%

11100.0%654.5%19.1%436.4%

6100.0%6100.0%0.0%0.0%

2100.0%0.0%0.0%2100.0%

21100.0%733.3%14.8%1361.9%

9100.0%222.2%111.1%666.7%

14100.0%642.9%0.0%857.1%

6100.0%350.0%0.0%350.0%

20100.0%735.0%15.0%1260.0%

16100.0%425.0%16.3%1168.8%

12100.0%541.7%0.0%758.3%

1100.0%1100.0%0.0%0.0%


FOR VALUE-BASED ARRANGEMENTS, WHO DROVE THE MOVEMENT TO AN ALTERNATIVE FEEBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Other

Legal departments lack tim

e and resources to learn how

to structure A

FA

s

Firm

s resist AF

As

Absent better m

etrics and data, it is difficult to determ

ine alternative values

No sufficient billing history or pricing

methodology on how

to bill AF

As

AF

As are too difficult to negotiate or

hold

Law departm

ents have insuffient experience defining/m

anaging work on

alternative fee basis

Firm

s have insuffient experience defining/m

anaging work on alternative

fee basis

Corporate law

departments are m

ore com

fortable with the billable hour

Law firm

s more com

fortable with billable

hour

Mea

n

4.00

3.00

2.00

1.00

0.00

2.0

3.1

2.52.42.52.4

1.62.1

1.71.8

BIGGEST INTERNAL OBSTACLES TO FIRMS FULLY IMPLEMENTING ALTERNATIVE PRICING STRATEGIES (Ranked Top 3 By Importance)

ALL COMPANIES



Corporate governance

Corporate law

Employment/labor

Intellectual property

Litigation

Real property

Regulation/Compliance

Transactional

Other

All Companies

Which practice areas do any of your external law firms most frequently offer alternative billing arrangements to?

47100.0%

1021.3%

2042.6%

510.6%

1021.3%

2859.6%

2042.6%

2042.6%

612.8%

714.9%

PRACTICE AREAS MOST FREQUENTLY OFFERED ALTERNATIVE BILLING ARRANGEMENTSALL COMPANIES

**Multiple response question, does not total 100%


Law firms will be offering alternatives to the billable hour more often

Law firms will be offering alternatives to the billable hour less often

Law firms will be offering alternative billing arrangements at about the same rate

All Companies

In your best estimation, how do you foresee the future of alternative billing arrangements with

55100.0%

2341.8%

23.6%

3054.5%


FORESEEABLE FUTURE OF ALTERNATIVE BILLING ARRANGEMENTS WITH EXTERNAL LAW FIRMS

ALL COMPANIES





Law firms will be offering alternative billing

arrangements at about the same rate

Law firms will be offering alternatives to the billable hour

less often

Law firms will be offering alternatives to the billable

hour more often


TotalIn your best estimation, how do you foresee the future of alternative billing arrangements with...

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

55100.0%2341.8%23.6%3054.5%

3100.0%266.7%133.3%0.0%

4100.0%375.0%0.0%125.0%

5100.0%240.0%0.0%360.0%

6100.0%116.7%0.0%583.3%

3100.0%133.3%0.0%266.7%

8100.0%450.0%0.0%450.0%

5100.0%240.0%0.0%360.0%

4100.0%250.0%0.0%250.0%

6100.0%350.0%0.0%350.0%

5100.0%0.0%120.0%480.0%

2100.0%150.0%0.0%150.0%

2100.0%150.0%0.0%150.0%

2100.0%150.0%0.0%150.0%

11100.0%327.3%218.2%654.5%

21100.0%942.9%0.0%1257.1%

12100.0%650.0%0.0%650.0%

7100.0%571.4%0.0%228.6%

3100.0%0.0%0.0%3100.0%

21100.0%733.3%14.8%1361.9%

12100.0%650.0%18.3%541.7%

14100.0%750.0%0.0%750.0%

8100.0%337.5%0.0%562.5%

22100.0%940.9%29.1%1150.0%

17100.0%741.2%0.0%1058.8%

13100.0%646.2%0.0%753.8%

2100.0%150.0%0.0%150.0%


FORESEEABLE FUTURE OF ALTERNATIVE BILLING ARRANGEMENTS WITH EXTERNAL LAW FIRMSBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


64.9%

35.1%

COMPANY EVALUATES OUTSIDE COUNSEL

NoYes

Do you formally evaluate outside

counsel?



Yes

No

All Companies

Do you formally evaluate outside counsel?

57100.0%

3764.9%

2035.1%


EVALUATE OUTSIDE COUNSEL


25.0%

5.0%

60.0%

10.0%

FREQUENCY OF OUTSIDE COUNSEL EVALUATION

Other (please specify)Bi-annuallyAnnuallyMore than once a year

How often does the evaluation of

outside counsel occur?



Consultation with other in-house counsel within the Company who have worked with the outside counsel.

Evaluation scoring

Formal documentation tied to the vendor in our matter manamagement system.

Gather feedback from in-house lawyers; single in-house lawyer designated as relationship manager with the firm; conduct meeting with firm to provide feedback.

Inside evaluation.

internal questionnaires

Internal Survey

Level of expertise; understand the business; responsiveness; results; cost & diversity.

Matter Management System

Online survey of the attorneys and feedback to firms as necessary

Outside Counsel Review Templates are completed by the GSK Managing Attorney

Short survey for internal use; review data re rates

Survey and meetings

Upon closing a matter, we complete outside counsel evaluations.

Use a formal evaluation form and meeting.

We do have annual reviews with the top five billing firms.

Total

What method do you use to conduct these evaluations?

16100.0%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

16.3%

METHOD USED TO CONDUCT EVALUATIONS


Other

Diversity

Responsiveness

Know

ledge/expertise

Creativity


Results

Cost

Understands business

Ave

rag

e %

20.00

15.00

10.00

5.00

0.00 0.4

3.4

8.1

15.7

2.12.9

18.0

13.8

10.6

IMPORTANCE OF THE FOLLOWING CRITERIA IN EVALUATING OUTSIDE COUNSEL

ALL COMPANIES


UpperQuartile

%

Median%

LowerQuartile

%

Average%

Number of Companies


Cost

Results


Creativity

Knowledge/expertise

Responsiveness

Diversity

Other .00.00.00.3628

8.75.00.003.3928

15.007.50.008.1428

30.0020.00.0015.7128

5.00.00.002.1428

5.00.00.002.8628

30.0017.501.2517.9628

20.0015.001.2513.7928

20.0010.00.0010.6428


IMPORTANCE OF THE FOLLOWING CRITERIA IN EVALUATING OUTSIDE COUNSELALL COMPANIES


Yes

No

All Companies

Have you asked outside counsel to formally report their diversity information to you?

58100.0%

4475.9%

1424.1%


OUTSIDE COUNSEL FORMALLY REPORT DIVERSITY INFORMATION

ALL COMPANIES




NoYes


TotalHave you asked outside counsel to formally report their diversity

information to you?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

58100.0%4475.9%1424.1%

4100.0%4100.0%0.0%

5100.0%360.0%240.0%

5100.0%360.0%240.0%

6100.0%6100.0%0.0%

4100.0%125.0%375.0%

8100.0%675.0%225.0%

5100.0%5100.0%0.0%

4100.0%375.0%125.0%

6100.0%583.3%116.7%

5100.0%360.0%240.0%

2100.0%2100.0%0.0%

2100.0%150.0%150.0%

2100.0%2100.0%0.0%

11100.0%327.3%872.7%

23100.0%1878.3%521.7%

12100.0%1191.7%18.3%

8100.0%8100.0%0.0%

3100.0%3100.0%0.0%

23100.0%1252.2%1147.8%

13100.0%1184.6%215.4%

14100.0%1392.9%17.1%

8100.0%8100.0%0.0%

24100.0%1562.5%937.5%

18100.0%1477.8%422.2%

13100.0%1292.3%17.7%

2100.0%2100.0%0.0%


OUTSIDE COUNSEL FORMALLY REPORT DIVERSITY INFORMATIONBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Policy concerning diversity

Efforts/initiatives concerning diversity

Demographic information firmwide

Demographic information by matter

Demographic information by tasks'

Other

All Companies

If yes, what information was reported?

13100.0%

17.7%

538.5%

969.2%

969.2%

646.2%

DIVERSITY INFORMATION REPORTEDALL COMPANIES



Yes

No

All Companies

Have you been asked within the last year by outside counsel to complete a customer satisfaction survey?

58100.0%

3763.8%

2136.2%


COMPLETED AN OUTSIDE COUNSEL CUSTOMER SATISFACTION SURVEY

ALL COMPANIES




NoYes


TotalHave you been asked within the last year by outside counsel to

complete a customer satisfaction survey?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

58100.0%3763.8%2136.2%

4100.0%250.0%250.0%

5100.0%5100.0%0.0%

5100.0%240.0%360.0%

6100.0%583.3%116.7%

4100.0%375.0%125.0%

8100.0%450.0%450.0%

5100.0%480.0%120.0%

4100.0%375.0%125.0%

6100.0%233.3%466.7%

5100.0%240.0%360.0%

2100.0%150.0%150.0%

2100.0%2100.0%0.0%

2100.0%2100.0%0.0%

11100.0%1090.9%19.1%

23100.0%1460.9%939.1%

12100.0%541.7%758.3%

8100.0%562.5%337.5%

3100.0%3100.0%0.0%

23100.0%1565.2%834.8%

13100.0%969.2%430.8%

14100.0%642.9%857.1%

8100.0%787.5%112.5%

24100.0%1666.7%833.3%

18100.0%950.0%950.0%

13100.0%969.2%430.8%

2100.0%2100.0%0.0%


COMPLETED AN OUTSIDE COUNSEL CUSTOMER SATISFACTION SURVEYBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Great value

Somewhat of a value

Very small value

No value at all

All Companies

If yes, please check the one statement that best describes your opinion of the survey's value in maintaining a satisfactory ongoing relationship with outside counsel.

20100.0%

15.0%

945.0%

945.0%

15.0%


OUTSIDE COUNSEL CUSTOMER SATISFACTION SURVEY--OPINION OF VALUE IN MAINTAINING RELATIONSHIP

ALL COMPANIES






No value at allVery small valueSomewhat of a valueGreat value


TotalIf yes, please check the one statement that best describes your opinion of the survey's value in maintaining a satisfactory

ongoing relationship with outside counsel.


$1 to $4.9 Billion

$5 Billion and Over





2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers



Other Manufacturing



Finance

Insurance


Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

20100.0%15.0%945.0%945.0%15.0%

2100.0%0.0%2100.0%0.0%0.0%

3100.0%133.3%0.0%266.7%0.0%

1100.0%0.0%0.0%1100.0%0.0%

4100.0%0.0%250.0%250.0%0.0%

1100.0%0.0%1100.0%0.0%0.0%

1100.0%0.0%0.0%0.0%1100.0%

4100.0%0.0%250.0%250.0%0.0%

3100.0%0.0%133.3%266.7%0.0%

1100.0%0.0%1100.0%0.0%0.0%

1100.0%0.0%0.0%1100.0%0.0%

8100.0%0.0%450.0%450.0%0.0%

7100.0%0.0%342.9%342.9%114.3%

3100.0%133.3%133.3%133.3%0.0%

8100.0%0.0%337.5%450.0%112.5%

3100.0%0.0%133.3%266.7%0.0%

8100.0%112.5%450.0%337.5%0.0%

1100.0%0.0%1100.0%0.0%0.0%

8100.0%0.0%337.5%450.0%112.5%

8100.0%112.5%450.0%337.5%0.0%

4100.0%0.0%250.0%250.0%0.0%


OUTSIDE COUNSEL CUSTOMER SATISFACTION SURVEY--OPINION OF VALUE IN MAINTAINING RELATIONSHIPBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Other

Patronizing

Lack of creativity

Lack of diversity

Lack of results

Lack of responsiveness

Lack of sensitivity to budget constraints

Training assoc. on com

pany time

Perform

ing work w

ithout approval

Over-billing

Over-law

yering

Ave

rag

e %

15.00

10.00

5.00

0.000.8

3.44.3

1.3

9.3

13.6

7.45.65.6

14.913.5

IMPORTANCE OF THE FOLLOWING FACTORS IN RANKING SERIOUS RELATIONSHIP MISTAKES MADE BY OUTSIDE COUNSEL

ALL COMPANIES


UpperQuartile

%

Median%

LowerQuartile

%

Average%

Number of Companies

Over-lawyering

Over-billing

Performing work without approval

Training assoc. on company time



Lack of results

Lack of diversity

Lack of creativity

Patronizing

Other .00.00.00.8565

5.00.00.003.4265

10.00.00.004.2965

.00.00.001.3165

14.00.00.009.2665

20.0010.00.0013.5765

11.00.00.007.4265

10.00.00.005.5765

10.00.00.005.6065

20.0010.00.5014.9165

20.0010.00.0013.4965


IMPORTANCE OF THE FOLLOWING FACTORS IN RANKING SERIOUS RELATIONSHIP MISTAKES MADE BY OUTSIDE COUNSEL

ALL COMPANIES


OPERATIONS/FUNCTIONS The operations and functions section describes the nuts and bolts of departmental systems as well as the role of the legal function in the greater enterprise. The means by which the legal department delivers valuable, effective and efficient legal services must be based on sound operational processes. This section benchmarks systems such as timekeeping, chargebacks, legal service providers, billing systems, client satisfaction and reporting relationships. It also discusses the changing functional areas and new operational initiatives of the legal function.

Comprehensive timekeeping is an important law department management tool. Some consider it a best practice for law departments to require lawyers and paralegals to keep detailed track of their time. This practice has been gaining more momentum over the last five years, with benefits leading to cost savings for in-house legal departments via better time and project management. Law departments have been embracing this trend as they look for quantitative methods to demonstrate the value that they add to companies.

The survey benchmarks charging of in-house and outside lawyer time. More often than not, law departments charge outside counsel costs back to business units/clients more routinely than charging for inside lawyer time. Charging back in-house lawyer and outside counsel time is a means to allocate and monitor legal resources based on specific business unit/client need.

Electronic billing is the means by which outside counsel submits their legal invoices electronically. The use of electronic billing is still evolving and holds enormous potential for improved cost management of legal services. Historically, insurance companies were the first to make gains in reducing their high outside counsel legal spend by imposing ebilling on their law firms. The survey benchmarks the use of ebilling.

Law departments that formally and regularly evaluate client satisfaction ensure that their services are aligned with the needs of the company. Service and satisfaction factors such as responsiveness, timeliness, and knowledge of client objectives, are just a few means of gauging satisfaction with quality, both in-house and with outside counsel, satisfaction with service and anticipated legal needs. Surveying also provides insight as to what roles clients perceive lawyers should play in the business and operations of the company.

In recent years, the scope, nature, and in some cases, responsibilities of the legal organization has changed. The survey benchmarks the reporting relationships of corporate functional areas within a company as well as Chief Legal Officer reporting responsibilities and duties.


OPERATIONS/FUNCTIONS - TABLE OF CONTENTS

Percent of Law Departments Tracking Attorney and Paralegal Time ............................................. 247 Method of Tracking Time................................................................................................................ 249 Percent of Law Departments Charging Back Outside Counsel Costs to Operating Units .............. 251Percent of Outside Counsel Costs Charged Back to Operating Units ............................................ 254 Use of Legal Service Providers during Last Fiscal Year ................................................................ 258 Contracting with Offshore Legal Service Providers ........................................................................ 261Areas in which Company Uses LSP ............................................................................................... 261 Expected future outsourcing of legal function................................................................................. 262Legal Department Aligned with Company Business Strategy ........................................................ 262Electronic Billing Systems .............................................................................................................. 264 Reporting Relationship of Corporate Functions .............................................................................. 268 Responsibility for Lawyers Outside U.S. ........................................................................................ 270Reporting Relationship of Chief Legal Officer/General Counsel ..................................................... 272 What is the One Legal Management Issue that Keeps you Up at Night ......................................... 273



Yes

No

All Companies

Do you track attorney and paralegal time in the law department?

60100.0%

4676.7%

1423.3%


TRACK ATTORNEY AND PARALEGAL TIMEALL COMPANIES


76.7%

23.3%

TRACK ATTORNEY AND PARALEGAL TIME

NoYes

Do you track attorney and paralegal time in the law department?



Track in detail by specific matters

Track in general, not for each specific matter (i.e., generally allocated)

All Companies

Please select the answer that best describes the way attorney and paralegal time is tracked.

13100.0%

215.4%

1184.6%


METHOD OF TRACKING TIMEALL COMPANIES


15.4%

84.6%

METHOD OF TRACKING TIME

Track in general, not for each specific matter (i.e., generally allocated)


Please select the answer that best

describes the way attorney and

paralegal time is tracked.



Yes

No

All Companies

Do you charge back outside counsel costs to operating units?

59100.0%

2339.0%

3661.0%


CHARGE BACK OUTSIDE COUNSEL COSTS TO OPERATING UNITSALL COMPANIES


39.0%

61.0%

CHARGE BACK OUTSIDE COUNSEL COSTS TO OPERATING UNITS

NoYes

Do you charge back outside counsel costs

to operating units?




NoYes


Total Do you charge back outside counsel costs to operating units?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

59100.0%2339.0%3661.0%

4100.0%125.0%375.0%

5100.0%480.0%120.0%

6100.0%350.0%350.0%

6100.0%466.7%233.3%

4100.0%375.0%125.0%

8100.0%112.5%787.5%

5100.0%480.0%120.0%

4100.0%125.0%375.0%

6100.0%0.0%6100.0%

5100.0%120.0%480.0%

2100.0%0.0%2100.0%

2100.0%150.0%150.0%

2100.0%0.0%2100.0%

11100.0%436.4%763.6%

24100.0%937.5%1562.5%

12100.0%325.0%975.0%

8100.0%562.5%337.5%

3100.0%266.7%133.3%

24100.0%833.3%1666.7%

13100.0%430.8%969.2%

14100.0%535.7%964.3%

8100.0%675.0%225.0%

25100.0%728.0%1872.0%

18100.0%844.4%1055.6%

13100.0%538.5%861.5%

2100.0%2100.0%0.0%


CHARGE BACK OUTSIDE COUNSEL COSTS TO OPERATING UNITSBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Less than 20%

20 to 39%

40 to 59%

60 to 79%

80 to 99%

100%


824.2%

1133.3%

721.2%

13.0%

39.1%

39.1%


PERCENT OF OUTSIDE COUNSEL COSTS CHARGED BACK TO OPERATING UNITS

ALL COMPANIES


24.2%

33.3%

21.2%

3.0%

9.1%

9.1%

PERCENT OF OUTSIDE COUNSEL COSTS CHARGED BACK TO OPERATING UNITS

100%80 to 99%60 to 79%40 to 59%20 to 39%Less than 20%





Number of Companie

sPercentNumber of CompaniesPercent


100%80 to 99%60 to 79%40 to 59%20 to 39%Less than 20%


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

824.2%1133.3%721.2%13.0%39.1%39.1%

266.7%0.0%0.0%0.0%133.3%0.0%

0.0%1100.0%0.0%0.0%0.0%0.0%

0.0%150.0%0.0%150.0%0.0%0.0%

0.0%0.0%0.0%0.0%150.0%150.0%

1100.0%0.0%0.0%0.0%0.0%0.0%

233.3%466.7%0.0%0.0%0.0%0.0%

0.0%0.0%1100.0%0.0%0.0%0.0%

0.0%266.7%0.0%0.0%0.0%133.3%

120.0%120.0%240.0%0.0%0.0%120.0%

125.0%0.0%250.0%0.0%125.0%0.0%

0.0%150.0%150.0%0.0%0.0%0.0%

1100.0%0.0%0.0%0.0%0.0%0.0%

0.0%150.0%150.0%0.0%0.0%0.0%

228.6%114.3%342.9%0.0%0.0%114.3%

428.6%642.9%214.3%0.0%0.0%214.3%

112.5%225.0%112.5%112.5%337.5%0.0%

150.0%0.0%150.0%0.0%0.0%0.0%

0.0%1100.0%0.0%0.0%0.0%0.0%

425.0%637.5%425.0%0.0%0.0%212.5%

225.0%225.0%225.0%0.0%112.5%112.5%

228.6%228.6%0.0%114.3%228.6%0.0%

0.0%150.0%150.0%0.0%0.0%0.0%

633.3%633.3%422.2%0.0%0.0%211.1%

112.5%225.0%225.0%0.0%225.0%112.5%

114.3%342.9%114.3%114.3%114.3%0.0%


PERCENT OF OUTSIDE COUNSEL COSTS CHARGED BACK TO OPERATING UNITSBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



Total


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

33100.0%

3100.0%

1100.0%

2100.0%

2100.0%

1100.0%

6100.0%

1100.0%

3100.0%

5100.0%

4100.0%

2100.0%

1100.0%

2100.0%

7100.0%

14100.0%

8100.0%

2100.0%

1100.0%

16100.0%

8100.0%

7100.0%

2100.0%

18100.0%

8100.0%

7100.0%


PERCENT OF OUTSIDE COUNSEL COSTS CHARGED BACK TO OPERATING UNITSBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


69.0%

31.0%

CONTRACTED WITH LEGAL SERVICE PROVIDERS DURING LAST FISCAL YEAR

ALL COMPANIES

NoYes

Have you contracted during the last fiscal year with any legal service providers or

vendors to provide outsourced services to the

law department?



Yes

No

All Companies

Have you contracted during the last fiscal year with any legal service providers or vendors to provide outsourced services to the law department?

58100.0%

4069.0%

1831.0%


CONTRACTED WITH LEGAL SERVICE PROVIDERS DURING LAST FISCAL YEAR

ALL COMPANIES




NoYes


Total

Have you contracted during the last fiscal year with any legal service providers or vendors to provide outsourced services to

the law department?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

58100.0%4069.0%1831.0%

4100.0%250.0%250.0%

5100.0%240.0%360.0%

5100.0%5100.0%0.0%

6100.0%466.7%233.3%

4100.0%250.0%250.0%

8100.0%787.5%112.5%

5100.0%5100.0%0.0%

4100.0%375.0%125.0%

6100.0%466.7%233.3%

5100.0%360.0%240.0%

2100.0%150.0%150.0%

2100.0%150.0%150.0%

2100.0%150.0%150.0%

11100.0%654.5%545.5%

23100.0%1565.2%834.8%

12100.0%866.7%433.3%

8100.0%787.5%112.5%

3100.0%3100.0%0.0%

23100.0%1356.5%1043.5%

13100.0%861.5%538.5%

14100.0%1178.6%321.4%

8100.0%8100.0%0.0%

24100.0%1458.3%1041.7%

18100.0%1266.7%633.3%

13100.0%1184.6%215.4%

2100.0%2100.0%0.0%


CONTRACTED WITH LEGAL SERVICE PROVIDERS DURING LAST FISCAL YEARBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY


Column N %Count

Yes

No

All Companies

Were any of the contracts

100.0%18

83.3%15

16.7%3


ANY CONTRACTED LEGAL SERVICE PROVIDERS IN AN "OFF-SHORE" ARRANGEMENTS

ALL COMPANIES

UpperQuartile

%

Median%

LowerQuartile

%

Average%

Number of Companies

Please indicate the number of providers for the last fiscal year by location.-In U.S.:

Please indicate the number of providers for the last fiscal year by location.-Off-shore: 10017

321416


NUMBER OF PROVIDERS FOR THE LAST FISCAL YEAR BY LOCATIONALL COMPANIES


Credit reporting

Document management

Document review

Expert testimony

Secretarial services

Litigation management

Patent-related work

Other

All Companies

If yes, please identify all areas in which you utilized the service providers.

17100.0%

741.2%

317.6%

15.9%

211.8%

635.3%

1058.8%

847.1%

IDENTIFY AREAS IN WHICH YOU USED SERVICE PROVIDERSALL COMPANIES




Will outsource more legal functions

Will outsource fewer legal functions

Probably will be no change in the amount of legal outsourcing

All Companies

If yes, thinking ahead to a full year 2013, do you believe your firm will outsource more legal functions or fewer?

17100.0%

1376.5%

211.8%

211.8%


BELIEVE FIRM WILL OUTSOURCE MORE LEGAL FUNCTIONS OR FEWERALL COMPANIES


We are completely integrated with the business strategy.

On particular projects or transactions, our performance metrics are tied to the business strategy.

The legal department mostly functions as a separate operating group.

All Companies

To what extent does your legal department align its priorities/day to day work with the overall business strategy?

59100.0%

58.5%

1118.6%

4372.9%


EXTENT LEGAL DEPARTMENT ALIGNED WITH BUSINESS STRATEGYALL COMPANIES


We embed a lawyer in each business unit.

Our compensation is tied to meeting corporate/business goals.

Existence of written objectives that tie into the corporate goals and objectives.

We have regular meetings with the CEO.

We have regular meetings with the Board.

We have regular meetings with the Business Unit Heads.

We have regular meetings with Other.

All Companies

Deparment critical factors

58100.0

1424.1

4882.8

3356.9

4577.6

4069.0

3967.2

1627.6

TO THE EXTENT THE DEPARTMENT OPERATES MORE CLOSELY WITH THE BUSINESS UNITS, WHAT CRITICAL FACTORS ENSURE THAT THE TWO STRATEGIES STAY ALIGNED?

ALL COMPANIES




CEO/President

Board of Directors

Business Unit Heads

Other

All Companies

Regular meetings with:

51100.0

1427.5

4894.1

3364.7

4588.2

REGULAR MEETINGS WITH THE FOLLOWING INDIVIDUALSALL COMPANIES



Weekly

Monthly

Quarterly

Other

All Companies

Monthly

Quarterly

Other

All Companies

Weekly

Monthly

Quarterly

Other

All Companies

Weekly

Monthly

Quarterly

Other

All Companies

CEO/President meeting frequency

Board of Directors meeting frequency

Business Unit Heads meeting frequency

Other Individuals meeting frequency

14100.0%

428.6%

214.3%

428.6%

428.6%

48100.0%

816.7%

612.5%

1735.4%

1735.4%

31100.0%

412.9%

2271.0%

516.1%

45100.0%

613.3%

511.1%

1226.7%

2248.9%


FREQUENCY OF MEETINGSALL COMPANIES



We provide regular status reports to the business heads.

We have established performance metrics and benchmarks.

We do internal case evaluations where we indicate objective, result and value delivered.

Other

All Companies

Tools

49100.0

714.3

1428.6

1938.8

3673.5

SPECIFICALLY, WHAT TOOLS DOES THE LEGAL DEPARTMENT USE TO COMMUNICATE VALUE TO THE BUSINESS?

ALL COMPANIES



Yes

No

All Companies

Does your law department use an ebilling system allowing outside counsel to submit legal invoices electronically?

100.0%59

49.2%29

50.8%30


USE EBILLING SYSTEMALL COMPANIES


49.2% 50.8%

USE EBILLING SYSTEM

NoYes

Does your law department use an

ebilling system allowing outside counsel to

submit legal invoices electronically?


PercentNumber of Companies Percent

Number of Companies

NoYes

Number of Companies Percent

TotalDoes your law department use an ebilling system allowing outside

counsel to submit legal invoices electronically?

Under $100 Million


$1 to $4.9 Billion

$5 Billion and Over





Single Lawyer

2 to 3 Lawyers

4 to 10 Lawyers

11 to 25 Lawyers

26 or More Lawyers

Utilities




Other Manufacturing



Finance

Insurance



Other Services

Other Industries

All Companies

Annual Revenue


Department Size

Type of Industry

100.0%5949.2%2950.8%30

100.0%475.0%325.0%1

100.0%540.0%260.0%3

100.0%650.0%350.0%3

100.0%666.7%433.3%2

100.0%4.0%0100.0%4

100.0%862.5%537.5%3

100.0%560.0%340.0%2

100.0%450.0%250.0%2

100.0%650.0%350.0%3

100.0%540.0%260.0%3

100.0%250.0%150.0%1

100.0%2.0%0100.0%2

100.0%250.0%150.0%1

100.0%119.1%190.9%10

100.0%2437.5%962.5%15

100.0%1275.0%925.0%3

100.0%875.0%625.0%2

100.0%3100.0%3.0%0

100.0%2425.0%675.0%18

100.0%1361.5%838.5%5

100.0%1457.1%842.9%6

100.0%887.5%712.5%1

100.0%2528.0%772.0%18

100.0%1861.1%1138.9%7

100.0%1361.5%838.5%5

100.0%2100.0%2.0%0


USE EBILLING SYSTEMBY REVENUE, EMPLOYEES, DEPARTMENT SIZE AND INDUSTRY



25% or Less

26 to 50%

51 to 75%

76 to 100%

All Companies

Indicate percent of outside counsel (on a firm basis) submitting invoices through the system.

100.0%29

62.1%18

20.7%6

6.9%2

10.3%3


PERCENT OF OUTSIDE COUNSEL SUBMITTING INVOICESALL COMPANIES


25% or Less

26 to 50%

76 to 100%

All Companies

Indiciate the percent of total outside counsel fees this represents.

100.0%27

85.2%23

7.4%2

7.4%2


PERCENT OF TOTAL OUTSIDE COUNSEL FEES IN EBILLINGALL COMPANIES


Yes

No

All Companies

Have you made this a requirement in order to conduct business with your law department?

100.0%28

35.7%10

64.3%18


EBILLING REQUIREMENTALL COMPANIES



Chief Legal Officer/General Counsel

Other Executive

No Such Function

All Companies


Other Executive

No Such Function

All Companies


Other Executive

No Such Function

All Companies


Other Executive

No Such Function

All Companies


Other Executive

All Companies


Other Executive

No Such Function

All Companies


Other Executive

No Such Function

All Companies


Other Executive

No Such Function

All Companies


Other Executive

No Such Function

All Companies

Compliance/Ethics

Corporate Records Management

Corporate Secretary

Corporate Security

Employment/Labor

Environment, Health & Safety


Human Resources

Insured Claims Settlements

51100.0%

12.0%

2549.0%

2549.0%

51100.0%

12.0%

4792.2%

35.9%

52100.0%

917.3%

2140.4%

2242.3%

52100.0%

35.8%

3873.1%

1121.2%

53100.0%

3362.3%

2037.7%

52100.0%

917.3%

3771.2%

611.5%

53100.0%

23.8%

713.2%

4483.0%

51100.0%

1019.6%

1835.3%

2345.1%

53100.0%

35.7%

1426.4%

3667.9%


REPORTING RELATIONSHIP OF CORPORATE FUNCTIONAL AREASALL COMPANIES




Other Executive

No Such Function

All Companies


Other Executive

No Such Function

All Companies


Other Executive

No Such Function

All Companies


Other Executive

All Companies


Other Executive

No Such Function

All Companies

Patents

Public Affairs

Risk Management

Tax

Trademarks & Copyright

53100.0%

47.5%

59.4%

4483.0%

48100.0%

4389.6%

510.4%

49100.0%

36.1%

2857.1%

1836.7%

49100.0%

714.3%

3367.3%

918.4%

52100.0%

917.3%

59.6%

3873.1%


REPORTING RELATIONSHIP OF CORPORATE FUNCTIONAL AREASALL COMPANIES



Yes

No

Not a U.S. based company

All Companies

If US based company, is the Chief Legal Officer/General Counsel responsible for lawyers outside the US?

100.0%59

6.8%4

47.5%28

45.8%27


CLO/GC RESPONSIBILITES FOR LAWYERS OUTSIDE OF USALL COMPANIES


6.8%

47.5%

45.8%

CLO/GC RESPONSIBILITES FOR LAWYERS OUTSIDE OF US

Not a U.S. based companyNoYes

If US based company, is the Chief Legal Officer/General

Counsel responsible for lawyers outside the

US?



Yes

No

All Companies

If yes, are these lawyers included under the Chief Legal Officer/General Counsel's budget authority?

100.0%27

29.6%8

70.4%19


INCLUDED UNDER BUDGET AUTHORITYALL COMPANIES


Reports directly to the CEO

Reports directly to the President

Reports directly to the Chairman of the Board

Reports to another senior executive

Is a member of the Board of Directors

Is a Vice-President of the corporation

Is also designated Secretary

Also has non-legal executive duties

Is not a salaried employee of the corporation

All Companies

Please check all statements that apply to the Chief Legal Officer/General Counsel of the parent corporation

60100.0%

2033.3%

3050.0%

3558.3%

35.0%

35.0%

1321.7%

2948.3%

5388.3%

REPORTING RELATIONSHIP OF CHIEF LEGAL OFFICER/GENERAL COUNSELALL COMPANIES



Number of Responses

Adequate assessment of legal risks

Budgetary concerns/Cost

Complex, high stakes litigation

Compliance/Implementing compliance program

Cyber security

Efficiency

Keeping up with regulatory developments

Heavy workload/Resource constraints

Billing rates

Increasing business demands

Maintaining substantive competency in disparate areas.

Staff/ Employees/ Turnover/ Retention

Relationships with clients and integration of legal process analysis into ongoing business decisions/actions.

Risk management

Finally, what is the one legal management issue that keeps you up at night?

2

1

6

1

2

1

3

2

1

2

7

1

8

2


ONE LEGAL MANAGEMENT ISSUE THAT KEEPS YOU UP AT NIGHTALL COMPANIES


Law Department Metrics Benchmarking Survey 2013

Q uestionnaire

120 Broadway, Fifth Floor New York, NY 10271-1101

phone: 888-770-5647 fax: 646-822-5263 [email protected] almlegalintel.com

All participants receive a custom copy of the report for FREE

Law Department Metrics Benchmarking Survey

2013 Edition

Questionnaire

Conducted and Published by:

and

Deadline for Submission: June 4, 2013 Publication Date: September 2013

2013 Law Department Metrics Benchmarking Survey Page 2

Your participation is vital to the success of this survey. ALM Legal Intelligence thanks you in advance for taking the time to compile and submit your data. Please complete and return this questionnaire as promptly as possible, but no later than June 4, 2013 . We suggest you retain a copy of your completed questionnaire in case we need to contact you. This survey is 50 questions. Although lengthy, we have cut questions in the past year to make it easier on our respondents. It continues to contain a wealth of questions about how law departments of all sizes and industries function.

The most critical data for the Law Department Metrics Benchmarking Survey report are Questions 1 through 25. Participants who wish to get a FREE copy of their custom report MUST answer these questions in order to be eligible.

Please be sure to complete these questions so that we can gather robust financial metrics for corporate law departments. Remember: the more questions your organization completes, the better and richer the final report. Your responses will be kept strictly confidential. Access to your completed questionnaire is limited to survey staff. All data reported on in the published survey is presented only in aggregate. Contact Information:

ALM Legal Intelligence 120 Broadway, 5 th Floor New York, NY 10271 Phone: (888) 770-5647 Fax: (646) 822-5263 Email: [email protected]

Instructions for Optional Electronic Submission of Data

You have the option of submitting your responses electronically. All that is required is an Internet connection and Microsoft ® Excel ® The electronic survey tool allows you to take the survey online and complete as time permits, and even gives you the ability to upload an Excel® worksheet with your individual personnel compensation profile. You can open and close the electronic worksheet as many times as you need, just bookmark the page, enable cookies in your browser, and check the “Save & Continue” button at any stopping point. If you are interested in completing the questionnaire electronically, please visit our website at:

www.almlegalintel.com/LDMBSParticipate


SECTION 1: Participant Information Company Name: ____________________________________________________________________________ Law Department Contact: ____________________________________________________________________ Title: ______________________________________________________________________________________ Address: ___________________________________________________________________________________ City: ______________________________________________________________________________________ State: _______________________________________ Zip Code: ____________________________________ Phone: _____________________________________ Email: ________________________________________ If the person completing this questionnaire is different than above, please complete the following: Contact Name: ______________________________________________________________________________ Title: ______________________________________________________________________________________ Phone: ______________________________________ Email: _______________________________________ Address (if different from above) : _______________________________________________________________ City: ______________________________________________________________________________________ State: _______________________________________ Zip Code: ____________________________________


SECTION 2: Organization Data 1. Worldwide revenue during your last complete fiscal year. (If you are a financial institution, provide assets

under management; if an insurance company, provide value of premiums.)

$ , ,000,000 Billions Millions

2. Enter your organization’s total number of full-time employees in operations served by the law

department.

, , Millions Thousands Hundreds

3. Enter your organization’s NAICS-North American Industry Classification System code. (see page 24)

4. Which one of the following best describes the type of ownership structure for your organization?

Publicly-held company (shares are traded) or mutual company

Privately-held company

Wholly-owned subsidiary Name of parent: _______________________________

Division of a corporation Name of parent: _______________________________

Joint venture

Not-for-profit (Hospitals, Universities/Colleges, Charitable organizations)

Government (Federal, state, local)

Other (please describe) __________________________________________ 5. Which of the following best describes how your organization’s law department staff is organized by

reporting relationship and geographically?

Reporting Relationship (check one)

Geographic Location (check one)

Centralized

Centralized, bulk of legal activities and personnel report in a direct line to CLO/GC.

Majority of personnel physically centralized in one location.

Centralized, one lawyer department

Decentralized

Lawyers are assigned to operational units, subsidiaries, or divisions. These lawyers report directly to the head of the operational unit and have only an indirect reporting relationship to the organization headquarters.

Majority of personnel physically dispersed within operational units, subsidiaries, or divisions.

Mixed

Lawyers are assigned to operational units, subsidiaries, or divisions. However, a CLO/GC controls overall legal policy and planning. Typically the CLO/GC will retain final personnel authority over all lawyers and paralegals.

Some personnel centralized physically and some dispersed physically within operational units, subsidiaries, or divisions.


SECTION 3: Law Department Staffing Data 6. The table below refers to the number of staff in each of the specified positions during 2012. Do not

include staff that is not under your budget authority. Please review page 24 for position definitions, where applicable, prior to completing table. Include contract staff where appropriate. Enter the number of full-time equivalents for each position identified below.

Use decimal places to indicate full time equivalent staff, where applicable.

Position Law Department FTE Staffing

Management Attorneys

Chief Legal Officer General Counsel Deputy Chief Legal Officer Assistant General Counsel Chief Patent Counsel Division (or Group) General Counsel Managing Attorney Non-Management Attorneys

High Level Specialist Senior Attorney Attorney Staff Attorney Recent Law School Graduate Law Clerk/Summer Intern Patent Agents Patent Agent Paralegals Paralegal Supervisor Paralegal or Paralegal Assistant Administrative Staff Chief Compliance Officer Legal Administrator Human Resources Information Technology / Information Support Finance/Accounting/Billing e-Discovery Manager/Assistant Administrative/Executive Assistant Other Staff (please specify) Other Staff (please specify) Total Law Department


7. Have you reduced the size of your law department in the past 12 months?

Yes (please continue) No (go to question 8)

If yes, please complete the following:

a. We have eliminated filled lawyer positions.

b. We have eliminated vacant lawyer positions.

c. We have eliminated filled paralegal positions.

d. We have eliminated vacant paralegal positions.

e. We have eliminated filled support staff positions.

f. We have eliminated vacant support staff positions. 8. Have the workloads of your in-house staff increased in the past 12 months?


If yes, please estimate the extent of the lawyer workload increase:

Less than a 5% increase in workload 5% to less than 10% increase in workload 10% to less than 20% increase in workload 20% to less than 30% increase in workload 30% or greater increase in workload

9. Does your top legal officer position (CLO or GC) include the additional title and responsibilities of a

Corporate Secretary?

Yes No 10. Does the law department have a written diversity policy?

Yes No 11. Does the law department engage in any diversity activities aimed at recruiting and retaining diverse

lawyers?

Yes (please continue)

No (go to question 12)

If yes, please identify these activities. (check all that apply)\

Participate in minority job fairs Summer programs

Minority lawyers on recruiting/hiring committee

Executive search firms/internet job sites

Participate in or financial support of minority bar association events

Mentoring programs Diversity results tied to compensation Other


12. Enter the number of full-time equivalent (FTE) lawyers in the law department by practice area. If a

lawyer performs work in multiple practice areas, please allocate lawyer accordingly.

Do not include lawyers whose primary responsibility is the management function of the law department, i.e. Chief Legal Officer/General Counsel.

Practice Area FTE

In-house Lawyers FTE Contract or

Temporary Lawyers Anti-trust Banking/Regulatory Bankruptcy Benefits/ERISA Commercial/Contracts Compliance/Ethics Corporate Governance Corporate Security Environmental, Health & Safety Government Relations Healthcare Immigration Insurance Intellectual Property International Labor/Employment Litigation Mergers and Acquisitions Personal Injury Products Liability/Class Actions Public Relations Regulatory Real Estate Risk Management Securities/Financial Tax Other (please specify) Other (please specify)

Total Number of FTE Lawyers


13. Complete the table below categorizing lawyers on an FTE basis by year admitted to bar and by

department data.

Year Admitted to Bar Years of Experience within this Law Department

Year Admitted

to Bar

FTE Lawyers

Years in Law Department

FTE Lawyers

2011-2012 1 or less

2010-2006 2 to 5

2005-2001 6 to 10

2000-1996 11 to 15

1995-1991 16 to 20

1990-1986 21 to 25

1985-1981 26 to 30

1980-1976 31 to 35

1975-1971 36 to 40

<=1970 >40

14. How many lawyers did you hire in 2012?

15. From the total identified above, please indicate the number recruited from each of the following

sources.

Law firms

Law schools

Law departments

Government (exclude clerks)

Judicial clerks

Within company

Other (please specify below)


16. What is the minimum number of years of experience that a lawyer would need to be employed in your

law department? (check one)

Less than 3 years 3 to less than 7 years 7 to less than 10 years 10 years or more

17. During 2012, how much did you spend on lawyer recruitment?

$ ,

18. Do you have documented employee retention strategies?



If yes, which one strategy has proved to be the most successful in retaining productive lawyers? _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ 19. Do you track employee job satisfaction for any of the following employees?

Position Yes No

Lawyers

Paralegals


If yes to any of the above, what type of information is tracked? (Please check all that apply)

Morale Management communication and feedback Compensation and benefits Professional development and career advancement Job responsibilities Other (please specify) ________________________________________________

______________________________________________________________________


SECTION 4: Financial Expenditures in the Law Department 20. Is your law department planning on implementing budget cuts in 2013?


If yes, what is the percentage of your 2013 budget reduction over 2012?

% 21. We divided expenditures into two categories: inside expenses and outside fees and

expenses. Please ensure financial expenditure data below correlates to the staffing numbers provided previously. (Note: To ensure comparable expenditures between organizations, exclude any capitalized non-recurring items such M&A expenses)

If you have a separate patent department, will you be including the patent department expenses in the data reported below?

Yes No

Categories Fiscal Year 2012 $

Inside Expenses

Compensation and benefits for law department personnel

Contract attorneys

Facilities/Occupancy

Technology

All other operating expenses

TOTAL INSIDE EXPENSES

Outside Legal Fees and Expenses (excludes payments made by insurance carriers)

Outside counsel fees for law department

Other expenses for law department—expert witnesses, patent maintenance and filing fees, etc.

Outside Counsel Fees/Expenses for other departments or business units under law department budget authority.

TOTAL OUTSIDE EXPENSES

TOTAL LAW DEPARTMENT EXPENSES


SECTION 5: Outside Counsel — Fees & Management 22. Allocate total outside counsel fees and expenses for the law department and business units,

(if applicable), by the following practice areas using percentages.

Practice Area

Non-litigation and Litigation Combined

% Total Outside Fees and Expenses

Anti-trust Banking/Regulatory Bankruptcy Benefits/ERISA Commercial/Contracts Compliance/Ethics Corporate Governance Corporate Security Environmental, Health & Safety Government Relations Healthcare Immigration Insurance Intellectual Property International Labor/Employment Litigation Mergers and Acquisitions Personal Injury Products Liability/Class Actions Public Relations Regulatory Real Estate Risk Management Securities/Financial Tax Other (please specify) Other (please specify)

Total (Note: Column must sum to 100%)


23. Indicate the total number of law firms that you used during the last two fiscal years.

2012 2011

Number of law firms

24. Specify using the table below the number of firms employed during your last fiscal year by

practice area. Note: It is acceptable to categorize a law firm into more than one practice area.

Practice Area Number of Law Firms

Employed

Anti-trust Banking/Regulatory Bankruptcy Benefits/ERISA Commercial/Contracts Compliance/Ethics Corporate Governance Corporate Security Environmental, Health & Safety Government Relations Healthcare Immigration Insurance Intellectual Property International Labor/Employment Litigation Mergers and Acquisitions Personal Injury Products Liability/Class Actions Public Relations Regulatory Real Estate Risk Management Securities/Financial Tax Other (please specify)

Other (please specify)


25. Ascertain the top four law firms used by the law department in terms of fees paid in 2012.

Provide the percentage breakdown for each of these firms in terms of total fees paid to all firms and complete the remaining columns for each of these four law firms.

% of Total Fees

Paid** Number of Years

Used Size of Firm--# of lawyers

(check one)

Firm #1 � <50 � 50 to 99

� 100 to 250 � >250

Firm #2 � <50 � 50 to 99

� 100 to 250 � >250

Firm #3 � <50 � 50 to 99

� 100 to 250 � >250

Firm #4 � <50 � 50 to 99

� 100 to 250 � >250

**Column should only total 100% if you use four law firms or fewer. 26. Please assign a score to designate the importance of the following criteria in selecting outside

counsel. (Total must sum to 100 percent.)

Firm specialization/expertise

History with company

Responsiveness

Reputation

Cost

Location


Diversity

Other (please specify) ___________________________

1 0 0 % 27. What are the dollar and time costs (in terms of headcount) your department incurs annually in

the outside counsel selection process? (check one from each)

Less than $25,000 $25,000 - $49,999 $50,000 - $99,999 $100,000 or more

0-10 hours 11-20 hours 21-30 hours 31-40 hours More than 40 hours


28. What percentage of general counsel compensation is tied to minimizing risk in the outside

counsel selection process? (check one)

0% 1-5% 6-10% 11-15% 16-20% 21-25% Over 25%

29. In 2012, what percent of fees paid to outside counsel were based on billing arrangements

other than standard hourly rates, or the billable hour?

% 30. How does that compare to your billing arrangements in 2011? (check one)

Percentage of billing at standard hourly rates was higher in 2011 Percentage of billing at standard hourly rates was lower in 2011 Percentage of billing at standard hourly rates no different than in 2011

31. In your best estimation, how do you foresee the future of alternative billing arrangements with

outside law firms relative to the past two years? (check one)

Law firms will be offering alternatives to the billable hour more often Law firms will be offering alternatives to the billable hour less often Law firms will be offering alternative billing arrangements at about the same rate

32. For value-based arrangements, did your law department drive the movement to an alternative

fee, or did the firm?

The law department asked firms to propose or negotiate alternative fees The law firm proposed alternative fees to us. From the start it was a mutual effort

33. Please rank in order of importance (1= Most important, etc.) the THREE the biggest internal

obstacles to fully implementing alternative pricing strategies.

Law firms are more comfortable with the billable hour Corporate law departments are more comfortable with the billable hour Firms have insufficient experience defining or managing alternative fees Law departments have insufficient experience defining or managing alternative fees Alternative arrangements are too difficult to negotiate or hold to There is insufficient billing history or pricing methodology to know how to bill AFAs Absent better metrics and data, it is difficult to determine alternative values Law firms resist alternative fee arrangements Legal department personnel lack the time and resources to learn how to structure AFAs Other (please explain):


34. In some cases, alternative billing arrangements are isolated to certain legal practice areas. In

which of the following practice areas do any of your external law firms most frequently offer alternative billing arrangements? (check all that apply)

Corporate governance Corporate law Employment/Labor Intellectual Property (copyright, licensing, trademark, patents) Litigation Real property Regulation/Compliance Transactional Other (please specify):

35. Does your law department formally evaluate outside counsel?


If yes, how often does the evaluation occur? (check one)

More than once a year Annually Bi-annually Other (please specify)

If yes, what method do you use to conduct these evaluations?

_____________________________________________________________________________

_____________________________________________________________________________

If yes, please assign a score to designate the importance of the following criteria in evaluating outside counsel. (Total must sum to 100.)


Cost

Results


Creativity

Knowledge & expertise

Responsiveness

Diversity

Other (please specify) ___________________________

1 0 0 %


36. Have you asked outside counsel to formally report their diversity information to you?


No (go to question 37) If yes, what information was reported? (check all that apply)

Policy concerning diversity Efforts/initiatives concerning diversity Demographic information firmwide Demographic information by matter Demographic information by tasks Other (please specify)

37. Have you been asked within the last year by outside counsel to complete a customer

satisfaction survey?



If yes, please check the one statement below that best describes your opinion of the survey’s value in maintaining a satisfactory ongoing relationship with outside counsel.

Great value Somewhat of a value Very small value No value at all

38. Please assign a score to designate the importance of the following factors in ranking serious relationship mistakes made by outside counsel.

Over-lawyering

Over-billing

Performing work without approval

Training associates on company time



Lack of results

Lack of diversity

Lack of creativity

Patronizing attitude/arrogance

Other (please specify) __________________________

1 0 0 %


SECTION 6: Law Department Operational Data 39. Does your company require you use a purchasing, supply or procurement department or

manager when selecting outside counsel or negotiating rates?

Yes No 40. Do you track attorney and paralegal time in the law department?



If yes, choose one answer below.


General allocations, not for each specific matter 41. Do you charge back outside counsel costs to operating units?



If yes, what percentage of outside counsel costs do you charge back to operating units?

% Legal Service Providers 42. Have you contracted during the last fiscal year with any legal service providers (or vendors) to

provide outsourced services to the law department?


If yes, were any of the contracts with providers in an “off-shore” arrangement?

Yes No If yes, please indicate the number of providers for the last fiscal year by location.

In U.S.: Off-shore: If yes, please identify all functional areas in which you utilized the service providers? (check all that apply)

Credit reporting Document management Document review Expert testimony

Secretarial services Litigation management Patent-related work Other (please specify)


If yes, thinking ahead to full year 2013, do you believe your firm will outsource more legal functions or fewer?

Will outsource more legal functions Will outsource fewer legal functions Probably will be no change in the amount of legal outsourcing

Business Strategy/Value 43. To what extent does your legal department align its priorities/day to day work with the overall

business strategy? (check one)

We are completely integrated with the business strategy.

On particular projects or transactions, our performance metrics are tied to business strategy. The legal department mostly functions as a separate operating group.

44. To the extent the department operates more closely with the business, what critical factors

ensure that the two strategies stay aligned? (check all that apply)

We embed a lawyer in each business unit. Our compensation is tied to meeting corporate/business goals. Written objectives that tie into the corporate goals and objectives. We have regular meetings with the:

Frequency

Weekly Monthly Quarterly Other

CEO/President

Board of Directors

Business Unit Heads

Other (please specify)

45. What tools does the legal department use to communicate value to your organization? (check

all that apply)

We provide regular status reports to the business heads. We have established performance metrics and benchmarks. We do internal case evaluations where we indicate objective, result and value delivered. Other (please specify) _________________________________________________

Electronic Invoicing 46. Does your law department use an e-billing system allowing outside counsel to submit legal

invoices electronically?



If yes, indicate percent of outside counsel (on a firm basis) submitting invoices through the system.

%

If yes, please indicate the percent of total outside counsel fees this represents.

%

If yes, have you made this a requirement in order to conduct business with your law department?

Yes No

SECTION 7: Law Department Functional Areas 47. Please check the appropriate box indicating the reporting relationships of the following

corporate functional areas.

Functional Areas Chief Legal

Officer/General Counsel

Other Executive

No Such Function

Compliance/Ethics

Corporate Records Management

Corporate Secretary

Corporate Security

Employment/Labor

Environment, Health & Safety


Human Resources

Insured Claims Settlements

Patents

Public Affairs

Risk Management

Tax

Trademarks & Copyright

Other Key Departments


48. If US based company, is the Chief Legal Officer/General Counsel responsible for lawyers

outside the US?


If yes, are these lawyers included under the Chief Legal Officer/General Counsel’s budget authority?

Yes No

49. Please check all statements that apply to the Chief Legal Officer/General Counsel of the parent

corporation. If this position reports to one person holding multiple titles, such as President/CEO, please check both boxes.

Reports directly to the CEO

Reports directly to the President

Reports directly to the Chairman of the Board

Reports to another senior executive

Is a member of the Board of Directors

Is a Vice-President of the corporation

Is also designated Secretary

Also has non-legal executive duties

Is not a salaried employee of the corporation

Other

50. Finally, what is the one legal management issue that keeps you up at night?


POSITION DEFINITIONS

CHIEF LEGAL OFFICER/GENERAL COUNSEL - Heads corporate legal function for the parent organization, or heads subsidiary of foreign-owned organization if there is a separate Board of Directors. Department may be either centralized or decentralized.

DEPUTY CHIEF LEGAL OFFICER/ASSISTANT GENERAL COUNSEL - An individual who shares law department-wide management responsibilities with, and reports to, the Chief Legal Officer/General Counsel, and who acts for him or her during absences. Supervises more than one Managing Attorney. (Requires at least three levels of management in the department.) This position does not exist in many departments. DIVISION (OR GROUP) GENERAL COUNSEL - This person may report in a solid line to either the Chief Legal Officer or Deputy Chief Legal Officer of the parent corporation or to the Manager or President of a subsidiary or major operating unit organized by product (not by legal specialty). Responsible for law departmental budget or operating unit legal budget. Generally responsible for departmental human resources / employment matters. Usually supervises subordinate lawyer-managers.

CHIEF PATENT COUNSEL - Heads the patent depart-ment of a corporation, usually reporting to a Vice-President. MANAGING ATTORNEY - Exercises management supervision over several salaried lawyers, including responsibility to effectively recommend promotion or retention. Usually heads a group of lawyers organized along lines of legal specialization or organization components. Usually performs legal work. May act for the General Counsel, if absent, in departments with two levels of management.

HIGH LEVEL SPECIALIST - An experienced, high-level legal specialist considered being on a dual ladder career track comparable to a managing position in an important phase of the organization’s legal work. This person regularly deals with members of senior management on legal problems in his/her area of expertise. May train less experienced attorneys, but is not a supervisor in the sense that he/she does not recommend continued employment, salary adjustments or promotions. May be assigned other attorneys on a case-by-case basis. Generally has 12 or more years of experience. SENIOR ATTORNEY - Requires eight or more years of experience. This position includes all lawyers not on a management or high-level specialist level. The senior attorney may train and supervise less experienced lawyers on a day-to-day basis. May report to any level of management, depending on departmental organization, but most often reports to a Managing Attorney or Division Group Counsel. ATTORNEY - Requires four or more years of experience. This position may train, but is unlikely to supervise less experienced lawyers on a day-to-day basis. Work performed requires independent judgment and often involves direct client contact.

STAFF ATTORNEY - Entry level attorney with at least one year of experience. This position would not supervise or train other lawyers. Generally performs routine legal work and is closely supervised by more experienced attorneys. Also see Recent Law School Graduate. RECENT LAW SCHOOL GRADUATE - An individual who graduated from law school within the past year and who is employed in a professional capacity, irrespective of admission to practice in an appropriate jurisdiction. PATENT AGENT - Not an attorney, but a technician who devotes full-time to patent work. Prepares, files and negotiates patent applications. Registered to practice before the United States Patent and Trademark Office. Some individuals may have advanced degrees, Ph.D., most will possess the requisite undergraduate degree requirements. PARALEGAL SUPERVISOR - A semi-professional employee who performs limited legal tasks under the supervision of an attorney; supervises and trains other paralegals, and directs activities of a paralegal team. Position requires a college degree AND paralegal certificate AND at least seven years of direct work experience. Excludes administrators, managers and secretaries. May be classified as exempt or non-exempt. PARALEGAL - A semi-professional employee who performs limited legal tasks under the supervision of an attorney. Position requires college degree OR paralegal certificate. Direct work experience of three to seven years is required. Excludes administrators, managers and secretaries. May be classified as exempt or non-exempt. PARALEGAL ASSISTANT - A semi-professional employee who performs limited legal tasks under close supervision of an attorney. Position requires a paralegal certificate OR related work experience. Excludes administrators, managers and secretaries. May be classified as exempt or non-exempt. CHIEF COMPLIANCE OFFICER - Responsible for the organization's compliance with financial policy and reporting regulations. Plans and directs programs, policies, and practices to ensure that activities are in compliance with regulatory requirements. Tracks laws and regulations that might affect the organization's policies and implements necessary changes. Requires a bachelor's degree and may or may not be a lawyer. Typically reports to top management. LEGAL ADMINISTRATOR - A full-time exempt managerial position, usually not an attorney, who is responsible for the business functions of a law department, and who reports to the Chief Legal Officer, the Deputy Chief Legal Officer, or a Managing Attorney. Generally responsible for budgeting, salary administration, personnel review, purchasing, internal systems and non-professional personnel supervision.

Page 22 of 22

U.S. NAICS Codes and Titles 1100 Agriculture, Forestry, Fishing and Hunting

1110 Crop Production 1120 Animal Production 1130 Forestry and Logging 1140 Fishing, Hunting and Trapping 1150 Support Activities for Agriculture and Forestry

2100 Mining

2110 Oil and Gas Extraction 2120 Mining (except Oil and Gas) 2130 Support Activities for Mining

2200 Utilities 2210 Utilities 2211 Electric Power Generation, Transmission/Distribution

2212 Natural Gas Distribution 2213 Water, Sewage and Other Systems 2300 Construction 2360 Construction of Buildings

2370 Heavy and Civil Engineering Construction 2380 Specialty Trade Contractors

3100-3300 Manufacturing

3110 Food Manufacturing 3120 Beverage and Tobacco Product Manufacturing 3130 Textile Mills 3140 Textile Product Mills 3150 Apparel Manufacturing 3160 Leather and Allied Product Manufacturing 3210 Wood Product Manufacturing 3220 Paper Manufacturing 3230 Printing and Related Support Activities 3240 Petroleum and Coal Products Manufacturing 3250 Chemical Manufacturing

3251 Basic Chemical Manufacturing 3252 Resin, Synthetic Rubber, and Artificial/Synthetic

Fibers and Filaments Manufacturing 3253 Pesticide, Fertilizer, and Other Agricultural Chemical

Manufacturing 3254 Pharmaceutical and Medicine Manufacturing 3255 Paint, Coating, and Adhesive Manufacturing 3256 Soap, Cleaning Compound, and Toilet Preparation

Manufacturing 3259 Other Chemical Product and Preparation

Manufacturing 3260 Plastics and Rubber Products Manufacturing 3270 Nonmetallic Mineral Product Manufacturing 3310 Primary Metal Manufacturing 3320 Fabricated Metal Product Manufacturing 3330 Machinery Manufacturing 3340 Computer and Electronic Product Manufacturing

3341 Computer and Peripheral Equipment Manufacturing 3342 Communications Equipment Manufacturing 3343 Audio and Video Equipment Manufacturing 3344 Semiconductor and Other Electronic Component

Manufacturing 3345 Navigational, Measuring, Electromedical, and Control

Instruments Manufacturing 3346 Manufacturing and Reproducing Magnetic and Optical

Media 3350 Electrical Equipment, Appliance, and Component

Manufacturing 3360 Transportation Equipment Manufacturing 3370 Furniture and Related Product Manufacturing 3390 Miscellaneous Manufacturing

3391 Medical Equipment and Supplies Manufacturing 3399 Other Miscellaneous Manufacturing

4200 Wholesale Trade

4230 Merchant Wholesalers, Durable Goods 4240 Merchant Wholesalers, Nondurable Goods

4400-4500 Retail Trade

4410 Motor Vehicle and Parts Dealers 4420 Furniture and Home Furnishings Stores 4430 Electronics and Appliance Stores 4440 Building Material and Garden Equipment and Supplies Dealers 4450 Food and Beverage Stores 4460 Health and Personal Care Stores

4470 Gasoline Stations 4480 Clothing and Clothing Accessories Stores 4510 Sporting Goods, Hobby, Book, and Music Stores 4520 General Merchandise Stores 4530 Miscellaneous Store Retailers 4540 Nonstore Retailers

4800-4900 Transportation and Warehousing

4810 Air Transportation 4820 Rail Transportation 4830 Water Transportation 4840 Truck Transportation 4850 Transit and Ground Passenger Transportation 4860 Pipeline Transportation 4870 Scenic and Sightseeing Transportation 4880 Support Activities for Transportation 4910 Postal Service 4920 Couriers and Messengers 4930 Warehousing and Storage

5100 Information

5110 Publishing Industries (includes software) 5120 Motion Picture and Sound Recording Industries 5150 Broadcasting (except Internet) 5160 Internet Publishing and Broadcasting 5170 Telecommunications 5180 Internet Service Providers, Web Search Portals and Data

Processing Services 5190 Other Information Services

5200 Finance and Insurance

5210 Monetary Authorities - Central Bank 5220 Credit Intermediation and Related Activities

5221 Depository Credit Intermediation 5222 Nondepository Credit Intermediation 5223 Activities Related to Credit Intermediation

5230 Securities, Commodity Contracts, and Other Financial Investments and Related Activities

5240 Insurance Carriers and Related Activities 5241 Insurance Carriers 5242 Agencies, Brokerages, and Other Insurance Related

Activities 5250 Funds, Trusts, and Other Financial Vehicles

5300 Real Estate and Rental and Leasing

5310 Real Estate 5320 Rental and Leasing Services 5330 Lessors of Nonfinancial Intangible Assets (except Copyrighted

Works) 5400 Professional, Scientific, and Technical Services

5410 Professional, Scientific, and Technical Services 5411 Legal Services 5412 Accounting, Tax Preparation, Bookkeeping, and Payroll

Services 5413 Architectural, Engineering, and Related Services 5414 Specialized Design Services 5415 Computer Systems Design and Related Services 5416 Management, Scientific, and Technical Consulting

Services 5417 Scientific Research and Development Services 5418 Advertising and Related Services 5419 Other Professional, Scientific, and Technical Services

5500 Management of Companies and Enterprises 5600 Administrative and Support and Waste Management and Remediation

Services 5610 Administrative and Support Services 5620 Waste Management and Remediation Services

6100 Educational Services 6200 Health Care and Social Assistance 7100 Arts, Entertainment, and Recreation 7200 Accommodation and Food Services 8100 Other Services (except Public Administration) 9200 Public Administration 9900 Nonclassifiable

About LexisNexis® CounselLink®

CounselLink® from LexisNexis® is a matter management, legal spend management and legal hold solution that helps corporate law departments effectively manage matters, spend and legal holds while providing analytics and benchmarking tools for better decision making. Expert professional services and product support teams are available to help users maximize the benefits of the solution. Based in Sacramento, CA, the CounselLink business offers innovative and tiered software solutions to addresses the unique requirements of both large and small law departments.

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