The Mac Lawyer : Ben Stevens : Using Macs In The Practice Of Law

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The Legal Mac section of this month's Law Practice Today was published today, featuring the article "Online Legal Practice Management Software Predictions for 2009" by Larry Port: 

Innovations in the use and development of online software have created new opportunities for law firms, and can present cost-effective methods for adoption.

The year 2008 was a transformational one for legal practice management. After years of minimal new product development, the field broke wide open with the arrival of an exciting new option: Online, Software-as-a-Service (SaaS) solutions for law firms.

For some time now, SaaS has been successfully applied to sales force automation, HR and payroll, project management, and other mission critical businesses. The legal industry, traditionally slow to adopt technology, was ready for this new option for several reasons. For one, new web technologies, commonly labeled Web 2.0, now allow for a desktop-like experience over a web browser. Also, day-to-day exposure to web applications has become a common and accepted practice, whether via Social Media sites like Facebook or through online banking. And, an increasingly mobile workforce is looking for ways to connect from any location, from any type of computer.

The impact SaaS solutions can have on the majority of legal software consumers, small law firms, can be profound. Before the emergence of SaaS practice management tools, a small firm could: 1) Purchase software directly from the manufacturer and spend time to install it independently, 2) Purchase the software, installation, and training through a value-added reseller, or 3) Forego dedicated legal practice management software in favor of a home-grown solution, typically cobbled together from Outlook, Word, and Quickbooks. However, SaaS applications are zero-install solutions that are simple to use and allow users to eliminate high-overhead setups in favor on monthly subscription fees. In other words, this fourth option greatly expanded choices for the legal technology consumer.

As transformational as 2008 was for legal practice management, it was still mostly a year of “dipping the toes in the water”, so to speak, and beginning a dialog about online options. But as 2009 draws near, web-based legal practice management will no longer be a brand new concept. So what's in store for the coming year? Here are my thoughts:

1. Expect more features.
What you'll most likely see over the course of the next year is increased feature parity among the online legal practice management and time and billing providers. As the online applications begin to approach the functionality of their desktop counterparts, watch for a trend toward standard features, such as document storage and management and increased integration with standard apps. You will also see web-only features gain prominence, such as integration with other online applications (i.e. Google Maps ) and client portals.
One particular challenge for legal SaaS providers is how to maintain a simple, intuitive interface while continually adding more features. A primary goal for online practice management providers will be to enrich their applications while at the same time, avoiding bloat and “feature-itis”.

2. Watch for increased adoption and growth.
Though web-based legal practice management is new, it's no longer cutting-edge. An increasing number of lawyers are comfortable with the concept, and plenty of attorneys know people in other industries who are using a SaaS solution. By one McKinsey & Company study , a majority of companies would consider purchasing an online solution over a locally-installed solution. The higher comfort level with legal SaaS, word-of-mouth, and an increased awareness of products like Rocket Matter will result in tremendous growth in this industry in 2009.

3. Count on more mobility.
Smartphones with full web-browsing capabilities continue to gain market share. Apple's iPhone and Google's Android OS contain browsers capable of providing a full Rocket Matter experience. Full browsers such as Opera Mini and Skyfire continue to open up capabilities on Windows Pocket PC and Blackberry platforms. You may also see the beginning of dedicated mobile applications, fostered by the introduction of strong software development kits (SDKs) from Apple and Google.

4. Expect economic conditions to favor monthly subscription models.
The year 2009 will likely shape up to be a tumultuous one economically, to say the least. Although some law firms may see an uptick in business, other firms may suffer. Such difficult economic conditions may give firms pause when considering the overhead involved in a server-based solution. SaaS products will be an easier pill to swallow because they eliminate up-front costs in favor of monthly fees.

5. Watch for expectations to change.
Online applications are month-to-month subscriptions. Therefore we, as the provider, must keep our customers happy and wanting to use the software. Unlike desktop application vendors, we can't rely on customers who buy a license and then never use the software (which happens surprisingly often). Our products must be easy-to-learn and easy-to-use. Anyone who has either seen cluttered interfaces for existing legal practice management apps or forked over cash for training understands the value of simplicity in legal software.

I think a big change will be how people expect to use their software. Their considerations won’t just focus on features, but in addition: How fast is the application? How simple is it to get started? How intuitive is it to use? How easy and inexpensive is it to train the folks in reception? How quickly can I find information? How easy is it to enter billable information and print an invoice? Does it make our firm more efficient and profitable? How quickly can I get an issue resolved?

So those are my thoughts on 2009 and Online Legal Practice Management. It promises to be an even more exhilarating year than 2008, which was a truly exciting.

Source:  "Online Legal Practice Management Software Predictions for 2009" by Larry Port, published in Law Practice Today.