Those who love the Sweet Science know the phrase: “For every punch, there's a great counterpunch.” I believe that's the key for law firms in developing a winning legal tech strategy in the competition between firms and alternative legal service providers.

Let's face it, for those of us old enough to remember, seeing the likes of a Mike Tyson, Roberto Duran or George Foreman entering the squared circle was a fearsome image. They were an intimidating presence, one and all.

In a way, the same can be said for a certain element of the legal vertical market. Sophisticated Big 4 firms are offering complex, deep technology like AI, blockchain and TAR (technology-assisted review). This is, naturally, coupled with their impressive consulting expertise. Sounds like an unbeatable combination, a veritable first round knockout, right?

I'm no boxing expert, but I'd expect a few of them to say what I'm about to say as it pertains to this initial conclusion.

“Not So Fast!”

Let us recall that the counterpuncher also has a storied history in the annals of the sport. For every “Iron Mike”, there is a “Sugar Ray”. There's a reason fighters like Floyd Mayweather or a Sugar Ray—either Leonard or Robinson—are all among the pantheon of boxing greats. They each perfected the defensive, tactical and counter attack measures necessary to not only compete with, but defeat, the irresistible forces of the sport.

So how are law firms to compete against such a formidable opponent? I suggest, at a minimum, we consider two huge advantages a law firms possesses in this area. These are:

• An intimate, expert knowledge of their client's businesses and legal processes.
• Close, long-standing relationships with their clients.

The key is, like many things, to change the narrative and play the game at your pace helping clients understand the importance of these two items. Let us explore both of these.

The first item, the understanding of a client's processes and needs, is huge. Everyone these days wants to innovate and help their clients achieve their goals, one common objective being the good old “do more with less” mantra.

Think about it. If you work in a law firm representing a client, you know what works well and what does not. You see it every day. You live the types of frustration a client might have getting timely reports about a litigation, working on documents with other firms and business partners, exchanging data, developing a consistent message across like matters, and countless other operational areas of opportunity.

Understanding the issues is more than half of the battle. Transformational technology is awesome, we all love that, but the greater challenge is “putting together the puzzle”, meaning developing comprehensive knowledge of a client's business goals and then applying the right tools to solve each problem. Sometimes the “answer” will be the technologies of tomorrow, such as AI or blockchain. And sometimes the answer will be something else. Law firms are often best suited to solve that equation.

The key here is, those with an intimate knowledge of a client's business and legal operations can best make those determinations. And that's the angle law firms are well suited to highlight. Just like a typical Mayweather cover, slide and counterpunching sequence which is near impossible to deal with because of his speed and athleticism, a law firm's special knowledge of client matters and priorities is close to impossible to contest. A law firm's approach to legal tech should be, in my view, that they are solving problems and improving operations, not providing technology. Tech is the enabling tool, not the end game service.

That being said, it's important to understand once again different sweet spots. Large consulting firms with the resources to incubate emerging and powerful technologies will always have some valuable tools to offer. Some examples might include sophisticated lien tracking programs for settlements, the ability to use artificial intelligence or linguistics tools to evaluate and classify large amounts of documents quickly and many other daunting tech challenges. But the law firm's more intimate knowledge of a client's products, business and litigation also provide a gateway for targeted applications of technology which might be harder to accomplish with a larger provider.

Now, let's talk a bit about the second law firm advantage in the legal tech space. That is the relationship lawyers have with their clients.

Here, decades of experience matter. As people and entities work together over time, they develop a sixth sense about what is important to the other. If a client happens to focus more on legal spend than results, or vice versa, an attorney with a long-standing history of representation knows this. A unified understanding of big picture needs is the key which helps unlock the reinforced door sometimes barricading the path to a successful operational improvement effort.

But there are many more opportunities for law firms to leverage these close bonds with their clients. Perhaps one of the most impactful characteristics here might be integration into the business, talking and listening.

What do I mean by this? Well, if you are like me and most people, you probably tend to talk about the same topics with your closest business contacts. But there are usually great opportunities to do more with a relationship. Perhaps you can ask a contact if there are any other pressing needs they have? Or offer to participate in some type of corporate initiative? Or share some interesting example of innovation your law firm executed with another client. You never know what might be of interest.

In all of these examples, a law firm is taking advantage of one key, easy-to-overlook fact.

Your Client Will Take Your Call!

They may or may take a call or meeting from other legal providers. So, don't you see, those relationships between law firm and client provide a leg up or catalyst for discussing innovative tech-based projects to assist clients with their needs.

Is this easy to do? Not necessary, there are challenges for law firms in this space. What are some of them?

Firstly, let's face it, those types of conversations are probably out of the comfort zone for many in the legal profession. Technology is probably more intimidating to many lawyers than coming face-to-face with Mike Tyson himself! But, in today's world, those conversations need to be had. Lawyers partnering with technologists within their office to build their “legal tech chops” to empower more informed, targeted discussions is something which is vital to making this a success.

Another hurdle law firms must clear is delivery. Law firms don't have the same resources or expertise as other alternative legal service providers (ALSP) who can more easily partner with companies featuring technologies common to what some call the Fourth Industrial Revolution. But that is a maze which is fairly easy to navigate. Law firms certainly do have the capability of developing enough knowledge in these areas to understand the pros and cons of different tools, they can identify the best options in each area, and they are certainly able to use their superior communications skills to make the appropriate connections between client and tech provider based on each individual need.

Remember, sometimes the assist is more beautiful than the goal itself. Law firms are perfectly positioned to become the Wayne Gretzkys and Magic Johnsons of the legal industry, linking up the best products for each particular need to build a winning team.

The future should be interesting indeed. In the end, I believe this is a battle which the William Hill Sports Book might stake some surprisingly favorable odds on the law firms of the world. Sure, law firms don't always have the huge resources of some of the big boys. So they will not, by any means, win every technology-based engagement. But they do have the moxy to interpret situations, slip a punch and get in a few shots of their own. And, last I checked, Floyd Mayweather has an undefeated record. There's something to be said for that.

The heavy hitters will get their shots in, that's a given. But don't completely count out the law firms. It's probably fair to say that both the ALSPs and law firms will each win their fair amount of rounds in this epic battle to apply innovative tech solutions in the legal marketplace.

Kenneth Jones is Chief Technologist of Tanenbaum Keale LLP, a boutique litigation law firm and Chief Operating Officer of the Xerdict Group, a SaaS legal collaboration software company. Xerdict is a wholly owned subsidiary of Tanenbaum Keale.