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19 min read

The New Essential Metrics for Chief Legal Officers (CLOs) & their teams

You don’t have to tell us the business value of legal teams… the LinkSquares platform has been objectively monitoring and measuring the impact of legal teams for the last decade. But your cross-departmental allies and C-suite may have a murkier vision of legal’s contribution to the bottom line. The pressure is real, and it's rising. Legal departments are facing budget cuts, demand for faster turnaround times, and increased scrutiny from executives more frequently. The question isn't just, “What are you doing?” It's “What value are you delivering?”

The good news? You don’t need to dread those C-suite meetings. By implementing forward-thinking metrics, CLOs can flip the script and showcase the measurable impact their legal teams bring to the table. Say goodbye to vague justifications and hello to data-backed storytelling – no matter what tools you’re using.

Why Metrics Matter

Not everyone speaks “legalese,” but data is a universal language. In a recent webinar, Early Investor and Strategic Advisor to LinkSquares, Tim Parilla, and LinkSquares' Director of Legal, Ashlyn Donohue, discussed how to effectively track and present legal metrics to colleagues and company leadership.

Traditional legal department performance metrics don’t tell the full story. Metrics like the number of contracts reviewed are inward-facing and, frankly, uninspiring. They paint a picture of outputs but fail to connect the dots to positive business outcomes.

What modern CLOs understand is that metrics aren’t just numbers: they're powerful narratives. The right metrics can communicate a legal role as a business enabler, a proactive risk mitigator, and a strategic partner. Even if you’re discussing litigation outcomes or contract optimization, data points become the bridge between legalese and business speak.

The Metrics Revolution

Shifting focus from activity-based metrics to outcome-based ones opens up new possibilities:

  • Better Business Alignment: Demonstrate how legal aligns with and accelerates overall company strategies.

  • Stronger Resource Advocacy: Use metrics to justify headcount, tools, or budget increases.

  • Trust-Building: Prove to other leaders (finance, sales, procurement) that legal is more than just a cost center.

Long story short, legal department metrics move you from “necessary overhead” to “indispensable asset.”

It’s time to upgrade your metric playbook. These essential benchmarks are tailored for modern CLOs looking to showcase value where it matters most.

1. Contract Lifecycle Efficiency

You’re not just handling contracts; you’re speeding up revenue generation and operational growth.

  • Time-to-sign: How long does it take for contracts to go from draft to signed? Reducing delays here directly impacts revenue recognition.

  • Cycle time by contract type: Breakdown contracts by categories like NDAs, MSAs, or procurement agreements. Pinpointing and solving bottlenecks earns you major credit points with sales and procurement.

LinkSquares empowers teams across the organization to collaborate effortlessly, streamlining the contract lifecycle process and making contract management significantly more efficient. Discover how the Outsystems team cut contract completion times by over 30%, allowing them to focus on other business-critical projects.

2. Cost Savings and Avoidance

We know the legal team saves money, but proving it? That’s what matters.

  • Litigation avoided: Quantify the monetary impact of disputes prevented due to proactive compliance or risk mitigation.

  • Negotiated cost reductions: doesn’t matter if it’s a vendor contract or a settlement, track the dollars your team saves compared to initial asks. These add up, and demonstrating these savings can secure reverence and protection for your team.

  • External counsel spend reduction: Demonstrate what your team is handling effectively in-house, and the savings that translate – the team at Softonic reduced their outside counsel spend by 40%.

3. Risk Mitigation

Risk management isn’t glamorous, but it is mission-critical.

  • Compliance adherence rates: Highlight how often your organization meets or exceeds regulatory requirements.

  • Risk exposure: Metrics tied to lower penalties, fines, or incidents caused by non-compliance show your legal team’s behind-the-scenes influence. If you really want to wow other departments, check out the LinkSquares Risk Scoring Agent – it identifies and quantifies risk, so you know exactly what to tackle and how to protect your organization. See the Risk Scoring Agent in action, schedule a demo today.

4. Strategic Contributions to the Overall Organization

Legal teams don’t just follow company strategy: they inform it.

  • Leadership involvement: Track how often legal is included in major business decisions, from mergers to new market launches. Depending on your leadership preferences, it could be helpful to outline how independently your legal teams can operate without direct leadership involvement, or high profile projects brought to the leadership team.

  • Cross-department collaboration: Quantify how many projects legal supported proactively, especially those involving sales, R&D, or HR.

5. Team Development and Engagement

Don’t forget your own team. Legal department metrics like employee retention rate, ongoing training investments, or even team well-being can showcase your commitment to recruiting and retaining top talent. 

How to Present ROI Data Effectively

Having the data isn’t enough, how you present it matters just as much as what it says. The goal isn’t to bombard non-legal leaders with a spreadsheet nightmare. Instead, CLOs need to shape their numbers into digestible stories that connect emotionally and strategically.

Tips for Presenting Data Like a Pro:

1. Use Visuals: Charts, graphs, and dashboards can transform a set of stats into something actually exciting.

2. Tell the “Why”: Don’t just display your compliance rate, explain how it averted potential fines or built industry trust. Place those breadcrumbs diligently, so no one loses the value.

3. Tailor to Your Audience: The CFO wants numbers and savings. The COO wants efficiency gains. The CEO? They want it all tied back to long-term strategy. Attention spans are getting shorter and everyone wants to be a winner, so speak to their concerns directly.

4. Focus on Outcomes, Not Activity: Lead with what the data achieved, not just how you got it.

The goal should be to frame your legal department as a proactive force, not a reactive one.

In the webinar, Ashlyn emphasized her enthusiasm for “volume and understanding where things are within our team, just from a capacity planning perspective. Not only as we’re moving through the year and looking historically, but also where we’re at in this exact moment, so we can load-balance and make sure that we’re providing the fastest to our business that we can.”

Tim, meanwhile, highlighted the value of legal metrics that tie directly to revenue: 

“Anything that helps to predict revenue…[t]hat single metric makes you more important in the eyes of the business than any number of risk avoidance measures that you’re going to take.”

The LinkSquares Legal Team has put these ideas into practice in their own work. In the webinar, you'll see their New Business Support Tracker themed dashboard, a daily report that delivers key metrics to the business development team and the broader organization. You’ll also get a look at their monthly legal report, which surfaces trends that support operational planning across departments.

Discover how customers like Tealium leverage themed dashboards to help visualize key data that affects their organization.

Time to Invest in Smarter Metrics 

Traditional metrics worked for a different era, but modern CLOs need to keep pace with shifting expectations. Data-driven storytelling is no longer optional if you want to paint a clear picture of the legal team’s value. Whether it’s cutting time-to-sign in half or showing exactly how you’ve mitigated millions in potential risk, the right metrics will not only make your job easier — they’ll make your value undeniable.

Be bold. Be visionary. And more importantly, be ready to share the metrics that support it all. Turn your numbers into a story worth believing.

Transform Your Metrics with LinkSquares 

Modern legal leaders are transforming the way they track and present key metrics with LinkSquares CLM. This AI-powered solution enables Chief Legal Officers to monitor essential data points like time-to-sign, contract volume, and risk mitigation, all from one centralized platform. By leveraging LinkSquares, legal teams can turn raw data into actionable insights, craft compelling narratives about their value, and confidently showcase how they drive impact across the business. 

Ready to make your metrics work for you? Schedule a demo today to see how LinkSquares can help.

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Justin McGetrick is a Sr. Marketing Campaign Associate at LinkSquares.