The High Price of Research
Customizable solutions, cost-efficient research and tracking services can help firms keep research costs down.
Legal research creates costly overhead expenses for law firms. To recuperate these fees and keep costs down, firms should look to three areas: customizable research services, cost-efficient searching and meticulous tracking.
Customize
Firms have a variety of payment options when choosing a research service, from free search services to fees on a per-case system to flat-fee, unlimited access. When deciding which type of service you’ll use, keep two things in mind: How much research your firm completes, and what type of research you use. By keeping track of your weekly or monthly usage, you can determine if, for example, it would be more cost effective to switch from a flat-fee, unlimited service to a per-document service.
When considering what type of research you use, remember that using free services — such as the Internet and other tools that can’t be customized to suit your needs — might take twice as long as using a fee-based service. So, you need to assess how much time your associates spend researching on free services versus fee-based services. Then determine which type of service is the most efficient from a time and cost perspective.
Cost-efficient research
For a per-document fee service, clearly it’s important to use cost-efficient search techniques. Even with an unlimited search service, cost-efficient research is important since search services use the actual time firms spend researching when configuring renewal agreements1. So, it’s just as crucial that search methods are time-efficient, or it could cost your firm down the road. Be sure to provide the entire staff the appropriate training on whatever research vehicle you choose so that they understand how to conduct the most efficient and effective searches. In many cases, this training will come as part of your legal research package, often in the form of online training. There is typically a toll-free number to call so you can speak with someone who will walk you through your search until you find what you’re looking for.
The fundamentals of cost-efficient research should be reiterated on a quarterly or annual basis. Summer associates or new hires fresh out of college also might need to learn these skills because they’ve likely grown accustomed to the free, unlimited access to research available through their law schools. A few tips for cost-efficient research include:
- Plan a search strategy before beginning your research. That way, you’ll be less likely to let your search wander into timely (and costly) tangents.
- Use free services or the Internet first, and then move to fee-based services to retrieve exactly what you want.
- Remember to take a break. It’s easy to unknowingly spend hours on research, only to come up empty-handed in the end. So, make sure you stop searching after about 10 or 15 minutes of unsuccessful research and rethink your strategy.
Track it
Because most firms ultimately pass on their research expenses to their clients, accurately tracking your research time and expenses is imperative. Through client validation reporting, client information is gathered as you search and access databases. Afterward, most research services provide an online report detailing the number of cases accessed, the amount of time spent searching, the database used, and other relevant information.
1 Business Information Alert, “Taming Online Research: Tracking, Reporting, & Cost Recovery,” September 2003
Also In This Issue
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- Robust benefits programs can increase employee loyalty and reduce turnover.
- Keeping Employees Up When the Economy is Down
- Here are some tips to help you motivate your staff when times are tough.
- Keeping Overhead Under Control
- The costs of running a small business can seem daunting, but there are ways to save on overhead expenses without compromising your company’s bottom line.