5 Key Metrics for Legal Team Success

Understanding the vast landscape of corporate legal affairs requires a sturdy compass of critical key metrics. The metrics that a legal team tracks can illuminate the path to improved legal operations, enhanced contract management solutions, and efficient use of AI contract review software.

In a data-driven world, legal teams must be viewed as partners who drive profits to the overall business rather than just avoiding losses. Finding the right key performance indicators (KPIs) can empower legal departments, enabling them to monitor their impact and enhance their contribution to organizational success.

With AI-powered reports, legal teams can better understand what's in their contracts and where time is being spent.

Five stand-out metrics from our eBook, "23 Key Metrics Every Legal Team Should Track," can revolutionize legal teams' operations.

1. Total signed agreements in your contract lifecycle management (CLM) solution: Tracking the number of legal agreements in your contract repository reveals the total workload for your legal staff. It also helps you understand the scope of your legal portfolio and the rate at which new agreements are executed.
2. Internal vs. external agreements: Determining the number of agreements your legal team drafts versus those on third-party paper provides insights into how often your team sets the terms for customers, vendors, and partners.
3. Average close time for all agreements: Monitoring the time it takes to draft, redline, finalize, and execute any contract can reveal areas of concern in your process or your team, prompting timely interventions.
4. Total number of requests managed: Tracking the number of requests the team fields from business stakeholders elucidates the work outside of contracts, including varied requests from licensing, IP, litigation, to HR concerns and marketing reviews.
5. How many agreements were finalized each month/quarter?: Understanding the count of contracts to be monitored each month or quarter is crucial. It emphasizes the necessity of having an effective contract management strategy in place.

Adoption of legal metrics is not only about measuring performance – it's about making measurable and significant improvements in legal operations. Implementing advanced contract management solutions can simplify this process by providing a platform for continuously tracking and analyzing these metrics.

These key metrics ensure that legal teams stay a source of revenue-driving partnerships. It empowers them to drive organizational growth and profit effectively, thereby warranting their role as indispensable business partners. Implementing robust contract management solutions and AI contract review tools is a vital step toward a metrics-driven, efficient, and high-performing legal team.

With LinkSquares, your legal team can share AI-powered reports and dashboards with your entire team, bringing a new level of transparency to your contracts.