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The Relationship Between Diversity and Legal Tech

Madhurjya Chowdhury

There is a wealth of empirical research demonstrating how a diverse workforce has a disproportionately favorable influence on a team, company, and/or sector. There is also a body of research that draws a causal link between effective technology adoption and the performance of a firm or industry. We wanted to explore if there was a positive feedback loop between diversity and technology used in the legal sector, and if so, whether it may lead to a sum greater than its parts' effect for law firms.

A growing number of law firms are integrating legal technology, and diversity is gradually improving across the profession.

The adoption of legal technology is increasing

 The emergence of legal technology has been widely and clearly documented in recent years. Since the peak of the pandemic, the number of methods a client can use to contact a law practise has substantially risen. Not only is the popularity of legal technology increasing, but so are the finances available to those who are currently employing it.

Diverse teams are required for future success

 Over the last few years, there has been a steady improvement in legal diversity. They exist, but not at a comparable rate to the rest of the workforce. This certainly needs to change, not just because the law should be inclusive of the communities and environments in which it operates but also because studies have proven that a diverse team makes better decisions, and some clients are now picking law firms based on their diversity. Businesses perform better with a more diversified staff, according to the data.

Legal technology has the potential to unearth the data that drives diversity

 Data on a person's ethnicity, sexuality, disability, gender, age, education, and other associated variables are referred to as diversity data. This data can be uncovered via legal technology and then used to assist law firms in determining the best ways to adopt a diversity plan. This means that diversity audits may be performed in-house; there is no requirement for outside counsel to investigate your organisation when the technology can supply this information.

That information has always been available. It was simply concealed beneath a slew of unrelated diversity audits requested by clients. These audits generated a plethora of excel spreadsheets and paper copies that were distributed across numerous departments that rarely communicated, making these results difficult to comprehend and apply.

Success can be attained by combining diversity with legal technology

There must be a concerted effort to increase the adoption of legal technology in traditional law firms. This will significantly increase their ability to adopt diversity and inclusion policies, allowing these firms to retain and attract new clients. Diversity and legal technology are inextricably related and essential for success.

However, there is still a long way to go in terms of developing a varied legal landscape. Legal technology can be used to identify areas where law firms are lacking and to diversify the hiring pool. Firms are under pressure to make this adjustment because clients will be watching and giving their business to those that do.

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