Breakout Session # 2004 Stephen Sopko Vice President, Contracts & Sourcing UnitedLex Corporation

2. Legal Process OutsourcingImplications for Contracts Management Breakout Session # 2004 Stephen Sopko Vice President, Contracts & SourcingUnitedLex Corporation 15 April, 2008

3. Overview • Defining LPO • Current State of the Industry • Public Sector Case Studies • Barriers, Fewer Than You Think • Implications

4. Definitions • BPO, LPO, KPO • Outsourcing vs Out-tasking • Offshoring vs Outsourcing • Jobs, Functions & Tasks

5. State of the Industry • Varying Degrees of Adoption • Litigation Support, IP, Immigration • Contracts, a new frontier • Ample Precedent (Outside Counsel) • Many Small Players, Hype • Big Players on the Sidelines, For Now • Very Different from BPO

6. Case Study OnePost-award Administration • More Customization = More Need for Outsourced Administration • Vendors using LPO have increased ability to economically comply with every provision in every contract • Stressing buyer contract administration functions

7. Case Study TwoIncreasing Time Available to Bid • Monitoring Client sites for RFPs • Increasing ability to bid directly, even with short TAB • Increasing ability to address custom terms in less time • Increased ability to hold reseller accountable (flow-up, flow-down) • Result is more business opportunities for our clients… • …but also more bidders for Public Sector to manage

8. Challenge: • Global 200 client, large industry-facing verticals, commercial and public-sector • Customers reducing time available to bid or TAB (the time between recognition of RFP opportunity and due date) from 14 days to 9.2 days • Disagreement on responsibility for spotting new RFPs (Requests for Proposal, formal invitations to do business) • Because of this disagreement, this Client’s average TAB was only 3.3 days • UnitedLex Solution: • UnitedLex offshore teams took over daily monitoring of 88 customer procurement web sites • On recognition of a relevant RFP, ULX staff sent a notification email to appropriate sales & proposal teams • While client sales staff were reviewing the opportunity, ULX staff prepared standard proposal templates • In certain cases (software, consumer electronics) ULX staff automatically reached out to client alliances and ascertained if those allies were pursuing the opportunity and if not, would they support our Client’s bid • When sales staff decided to pursue the opportunity (which was over 85% of the time), the ready-to-use template was forwarded to the proposal team for completion • Benefit: • Increase of Client average TAB from 3.3 days to 8.8 days (96% of available time to bid) • Client win rates increased by 26% due directly to the increased TAB • Increased direct-bid rates in alliance situations (from 14% of volume to over 80%) • Improved sales and proposal team morale due to refocusing of work to higher priority selling situations • In public sector, added post-award analytics function for improved deal predictability

9. Case Study ThreePublic Sector and SOX Audits • Many clients are using LPO to immediately address workload created by SOX • Questions arise that never have before (non-appropriations) • Incorporations by reference more likely to be questioned • More lawyers in the process, at lower levels • Less likely to understand/accept conventional practice in the Public Sector

10. Barriers?Fewer than you think… • Illegal? • Confidentiality? • Local Content/Vendors? • Responsiveness? • Continuity?

11. Implications • Variability Drives KPO/LPO • Public Sector Contracts are Highly Variable as a Business Vertical • Vendors now have parity with the admin resources available to Public Sector • Without the ability to outsource, Public Sector may be stretched to keep pace