Productivity KPIs are especially important for all teams in today’s remote world, and Legal is no exception. As the last post in our KPIs for legal teams blog series, we’re going to outline the eight productivity metrics that your legal team needs to track.
It's not enough to measure raw growth; you also have to measure efficiency, so you can identify productive individuals or processes, iron out any problem areas, and show off all the hard work your team is doing. Track the following metrics to do just that.
How many agreements were finalized each month/quarter?
How many contracts did you tee up for other departments to execute; this is your "true" measure of legal productivity when you don't control who signs or how fast.
How many agreements were executed each month/quarter?
The difference between this figure and your finalization number allow you to identify if there are problems in getting contracts executed.
How did new drafts created last month/quarter progress through redlines>clean>finalized?
For contracts generated in-house, what is the drop-off along each stage of contract creation? This is how you identify problems specific to your contact drafting process.
How many new templates were created last month/quarter?
Contract templates save time and represent a refinement of known processes; how many you create is a measure of long-term stability.
How many new drafts were created by template?
Is your team using your templates to save time; are your templates actually useful?
How many new drafts were created that include a specified agreement details field?
For example, how many agreements are you creating that include a Force Majeure clause; how has that changed since COVID-19 began? Same for Service Level Agreements, Assignment Clauses, and Pricing Terms.
How many new drafts were created by each User?
Who creates your contracts, and how often?
How many drafts were worked on by each User?
Who edits your contracts, and how often?
In case you missed the previous posts in this series, check out the six topline KPIs and the six growth metrics to track for your legal team. Measuring legal KPIs requires modern legal software. When you’re evaluating contract management solutions, check out this guide to learn how to determine what your organization needs from a contract management tool, how to prioritize those needs, and access a list of questions you should ask when "interviewing" a contract management solution provider.