Hidden costs of system downtime for law firms – find out more with oneAdvanced
With a greater reliance on software, law firms are driving efficiency and productivity through tools that power their processes, their matters and their bottom line. However, some systems have the potential for system downtime or other software issues that can disable a firm’s workflow and disrupt progress.
System downtime in law firms is more than just an inconvenience. It’s a significant issue that can adversely impact services delivery and lead to hidden costs that can affect a firm’s bottom line. From lost billable hours to productivity loss and reputational damage, the impact of system downtime can be far-reaching.
In this article, we explore why system disruption may occur, the hidden costs, and how cloud-native software can minimise the risks.
The impact of system downtime
Sometimes there are bugs or issues with software that leave users unable to complete required tasks. This is of particular concern for those with older software, as system disruption can last for hours, or even days, before a resolution is found.
The situation can be frustrating if it’s an on-premise solution that is experiencing problems, particularly for firms who are using an older version of a legacy system that is not compatible with updates. This can be costly from a security, time-loss and IT resource perspective.
Reputational damage and client dissatisfaction
Reputation is everything in the legal profession. Clients expect a seamless service and timely updates. System outages can result in missed deadlines, unreturned calls, and delayed matter progress.
These issues can erode client trust and satisfaction and in today’s digital age, negative reviews and word-of-mouth can quickly spread, further damaging a firm’s reputation. Additionally, repeated system downtime can signal to clients that their legal services provider isn’t technologically adept, raising concerns about the security of their confidential information and the firm’s reliability.
Lost hours and productivity
One of the most direct costs associated with system downtime is lost billable hours. When systems are down, lawyers can’t access essential documents, research, or client information, leading to lack of progression and wasted time.
Employees might try to find workarounds, but these are often inefficient and time-consuming. Instead of focusing on their core tasks, they spend time dealing with the results of technical issues. This shift in focus can delay the job of every individual working in a firm.
Total system downtime could also interfere with billing procedures during the disrupted period of time, while being unable to access critical work tools could prevent services from being delivered on schedule with consequences that affect both client outcomes and the firm. While these scenarios may not lead to a direct loss of income, the impact on cashflow and customer satisfaction is likely to be significant.
Downtime can also disrupt communication between a firm and its clients. Missed emails, calls, fee quotes, or information updates can lead to confusion and delays or lost business, further hampering progress.
Finally, from a people management perspective, trying to make up for lost time can lead to longer workdays and increased stress for legal professionals. This can have a knock-on effect on their overall job satisfaction, wellbeing, and performance.
How to prevent downtime
Cloud-native software offers a reliable solution to the challenges posed by on-premise systems, by allowing them to significantly reduce the risk of downtime and its associated costs.
These systems deliver 24/7 accessibility, ensuring that users can work uninterrupted, whether they’re in the office, at home, or in court. Because all information is securely held in the Cloud, even in rare instances of service interruption, everything is easily and quickly retrievable. This flexibility ensures on-going continuity and peace of mind.
Cloud providers manage all system maintenance, updates, and security, along with automated delivery that frees law firms from these responsibilities. This means that all users are continually on the latest system version, further reducing the risk of outages or disruption from system updates or maintenance.
The benefit of extensibility is also delivered by the cloud. These solutions can easily scale to meet the firm’s needs, ensuring that crucial resources are always available. Inherent scalability prevents system overloads and ensures smooth on-going operation during peak times.
System downtime for law firms can lead to significant hidden costs, including lost billable hours, productivity loss, dissatisfied clients, and reputational damage. Transitioning to cloud-native software offers a reliable solution, providing easy access, minimal maintenance, and scalability. By moving to the cloud, law firms can protect themselves from the impact of system disruption, ensuring business continuity and an efficient delivery of services.
