Law Office Technology 2009 Overview By Joe Kashi

The Basic Challenge You must be efficient AND effective You must be efficient AND effective Reducing costs while increasing effectiveness is within our control Reducing costs while increasing effectiveness is within our control We cannot directly control income but must position and market our practices We cannot directly control income but must position and market our practices This implies practice area differentiation, a hallmark of a maturing practice This implies practice area differentiation, a hallmark of a maturing practice

Our Basic Premise Effective automation is more critical than ever to a successful law practice Effective automation is more critical than ever to a successful law practice Efficiency and effectiveness both require good planning and user group input. Efficiency and effectiveness both require good planning and user group input. Dont merely throw expensive technology and staff time at what is really a law practice management and planning issue. Dont merely throw expensive technology and staff time at what is really a law practice management and planning issue.

Modern Legal Business Models Michael Porters work at Harvard Business School Michael Porters work at Harvard Business School Basic principle - Low Volume, High Profit Basic principle - Low Volume, High Profit Law offices very suited to this approach Law offices very suited to this approach This approach benefits from technology differentiation This approach benefits from technology differentiation

4 Generic Business Strategies CompetitiveAdvantage Many ClientsFew Clients Many Clients Few Clients

Choosing Software Systems VERY hard to change financial systems VERY hard to change financial systems Dont decide upon price alone! Dont decide upon price alone! Long term product viability is critical Long term product viability is critical Good support is just as critical as features Good support is just as critical as features Look for integration capabilities Look for integration capabilities User interface critical User interface critical File formats critical File formats critical Dont forget training, reliability and ease of maintenance Dont forget training, reliability and ease of maintenance Bring the staff into the decision! Bring the staff into the decision!

Financial Control Real time data entry Real time data entry Real time reporting Real time reporting Necessary for good case evaluation and personnel management Necessary for good case evaluation and personnel management Amicus, Time Matters, PC Law, ProLaw Amicus, Time Matters, PC Law, ProLaw

Accounting & Finance Time and Billing tracking Time and Billing tracking Real Time Mgmt Reports Real Time Mgmt Reports Personal, dept and overall Personal, dept and overall Ability to bill immediately Ability to bill immediately Receivables tracking Receivables tracking Disbursement Tracking Disbursement Tracking Access to banking information Access to banking information Real time Trust balances Real time Trust balances Integrated with Case Management Integrated with Case Management

Build the Right Systems… Back Office: Back Office: Integrated Legal General and Trust Accounting Integrated Legal General and Trust Accounting Time and billing Time and billing Cost recovery Cost recovery Real-time financial reports Real-time financial reports Budgeting, goal setting, monitoring Budgeting, goal setting, monitoring Front Office: Front Office: Acrobat/other imaging Knowledge management Document Assembly in practice areas Document Management Case/Practice Management software

Knowledge Management Centralized form file and precedent system Centralized form file and precedent system Enterprise level search – Brainware, Worldox or Interwoven Enterprise level search – Brainware, Worldox or Interwoven File briefs, research memos, cases for reuse File briefs, research memos, cases for reuse Increases ROI on intellectual effort! Increases ROI on intellectual effort!

Cultural Shifting Examine and rid your office of comfortable but obsolete practices that are no longer optimal in the electronic era Examine and rid your office of comfortable but obsolete practices that are no longer optimal in the electronic era Premise – Paper printed only as needed Premise – Paper printed only as needed Follow through is critical to effectiveness, efficiency, and avoiding malpractice through inconsistency Follow through is critical to effectiveness, efficiency, and avoiding malpractice through inconsistency

Abandon the paper file approach to office organization and embrace electronic documents as our primary file – the federal courts did this years ago. Abandon the paper file approach to office organization and embrace electronic documents as our primary file – the federal courts did this years ago. Re-using imaged documents very efficient Re-using imaged documents very efficient Requires substantial cultural change and change in how staff hired and utilized. Requires substantial cultural change and change in how staff hired and utilized. Allows remote access and easy coordination with attorneys and clients Allows remote access and easy coordination with attorneys and clients

Legal Transition Not Difficult Evidence Rules 1001 (3) and 1003 make explicit provisions for the use of printouts, electronic records and duplicates – keep only critical paper originals. Evidence Rules 1001 (3) and 1003 make explicit provisions for the use of printouts, electronic records and duplicates – keep only critical paper originals. No major difference between photocopied duplicate and scanned and saved document and later printed as needed No major difference between photocopied duplicate and scanned and saved document and later printed as needed

Making the Transition Dont elaborately plan a transition to a digital filing system, just start doing it with new documents as theyre produced and received Dont elaborately plan a transition to a digital filing system, just start doing it with new documents as theyre produced and received Within three months, youll find that most documents that you need daily are already imaged in your computer system. Within three months, youll find that most documents that you need daily are already imaged in your computer system.

Cost Efficiency Premise When possible, personally perform minor clerical tasks that can be accomplished just as easily by you using technology When possible, personally perform minor clerical tasks that can be accomplished just as easily by you using technology Often faster, more reliable and less costly Often faster, more reliable and less costly Example: Image, annotate, name and store client documents reviewed by you during interviews Example: Image, annotate, name and store client documents reviewed by you during interviews

Office Infrastructure Phone systems – VoIP, Centrex, Internet Phone systems – VoIP, Centrex, Internet Networked storage and computers Networked storage and computers Imaging: scanners, storage, software, and printers. Photocopiers basically obsolete Imaging: scanners, storage, software, and printers. Photocopiers basically obsolete Document imaging is key to modern law practice – Adobe Acrobat preferred Document imaging is key to modern law practice – Adobe Acrobat preferred

Hardware Purchase Premise: Purchase only the hardware and software that you will be able to install and begin using within the next two months or so. Purchase only the hardware and software that you will be able to install and begin using within the next two months or so. Purchasing binges are inefficient. Purchasing binges are inefficient. Buy mainstream technology and avoid both dead-end and bleeding edge technology Buy mainstream technology and avoid both dead-end and bleeding edge technology

Business needs are paramount Business needs are paramount Choose software systems with great care. Choose software systems with great care. Be particularly careful about ease of use, low demands upon staff, avoiding the last 20%, and full user buy-in Be particularly careful about ease of use, low demands upon staff, avoiding the last 20%, and full user buy-in Document imaging is key to efficiency. Document imaging is key to efficiency.

Smart Purchase Principles Sweet Spot is ½ generation back from the bleeding edge Sweet Spot is ½ generation back from the bleeding edge Consider custom-built Consider custom-built Put $$ into top quality components rather than cutting edge! Put $$ into top quality components rather than cutting edge! Dont pay for gamer video and other needless features Dont pay for gamer video and other needless features Fast CPU and lots of RAM will be beneficial in the long run Fast CPU and lots of RAM will be beneficial in the long run Plan for external file backup *(at home)* Plan for external file backup *(at home)* Have RAID drives in the office Have RAID drives in the office Consider redundant internet capacity Consider redundant internet capacity

Hardware Considerations Hardware should reflect software requirements Hardware should reflect software requirements Voice Recognition and photo/video require higher-end components Voice Recognition and photo/video require higher-end components Otherwise no need for bleeding edge Otherwise no need for bleeding edge Concentrate on: Concentrate on: CPU DRAM Hard Disk Space Screen size Large wide screen or Dual monitors Video to support dual monitors Networking cards

Basic Networking Hardware Need gigabit network switch, not a hub Need gigabit network switch, not a hub Cabling should be at least Category 5E or, better, Cat 6 Cabling should be at least Category 5E or, better, Cat 6 Gigabit networking on all computers Gigabit networking on all computers Western Digital SATA drives currently favored for small systems Western Digital SATA drives currently favored for small systems RAID array levels 0,1, 0+1, or preferred RAID array levels 0,1, 0+1, or preferred Use SATA drives Use SATA drives Reliable power supply Reliable power supply High capacity UPS High capacity UPS Lots of good fans! Lots of good fans! Data offsite data backup Data offsite data backup

Basic Server Requirements Server OS -MS SBS, Windows XP x64 or Windows Server Server OS -MS SBS, Windows XP x64 or Windows Server High reliability key High reliability key Central file server with RAID disk array Central file server with RAID disk array AMD Operton or Intel Xeon CPUs AMD Operton or Intel Xeon CPUs 4 GB or more RAM 4 GB or more RAM Security, backup and recovery systems Security, backup and recovery systems

Desktop Systems Desktop OS - Windows XP or XP x64 Vista bombed; new Windows 7 seems promising, but wait on compatibility AMD X2 or Phenom II or Intel Core 2 dual core or quad core CPU, at least 2 GB RAM, 500 GB -1,000 GB SATA hard disk Large wide screen or dual LCD monitors and matching video card

Store all imaged documents and electronic file on a single network file server. Store all imaged documents and electronic file on a single network file server. Be sure that you have the hardware to completely back up your network file server every evening, and be sure that you actually do. Be sure that you have the hardware to completely back up your network file server every evening, and be sure that you actually do. Avoid data obsolescence Avoid data obsolescence

Buy fast but still cost-effective computers, particularly for image preparation. I favor progressive upgrades Buy fast but still cost-effective computers, particularly for image preparation. I favor progressive upgrades Hard disk performance is crucial - Western Digital Caviar Black and RE3 series good for networks. Use Diskeeper to defragment. Hard disk performance is crucial - Western Digital Caviar Black and RE3 series good for networks. Use Diskeeper to defragment. Plan on a three year replacement cycle Plan on a three year replacement cycle

Youll need fast color laser printers if you plan to use a digital filing system. I now prefer Konica Minolta Youll need fast color laser printers if you plan to use a digital filing system. I now prefer Konica Minolta Ideally, youll be using many more color photos for all purposes, including attachments to complaints and pleadings Ideally, youll be using many more color photos for all purposes, including attachments to complaints and pleadings Combining a scanner, Adobe Acrobat, and laser printer also works well as a copier in your office. Combining a scanner, Adobe Acrobat, and laser printer also works well as a copier in your office.

Printer Essentials Color and B&W capability Color and B&W capability Laser *not inkjet* Laser *not inkjet* Ensure it is fast… Ensure it is fast… Multiple paper selection Multiple paper selection Envelope capacity Envelope capacity Test before buying – many printers claiming workgroup speed are far too slow in reality, especially with Acrobat Test before buying – many printers claiming workgroup speed are far too slow in reality, especially with Acrobat Large format printers for exhibits Large format printers for exhibits

Scanner Essentials Fast sheet feeder Fast sheet feeder Fully duplex Fully duplex Color and B&W Color and B&W Resolution sufficient for OCR Resolution sufficient for OCR Takes business cards Takes business cards Networkable? Networkable? Flat bed scanners, even with sheet feeders, are slower and less adapted to document scanning. Flat bed scanners, even with sheet feeders, are slower and less adapted to document scanning. Scan directly to searchable PDF Scan directly to searchable PDF

The most efficient scanners for handling document imaging are USB 2.0 high speed sheet-fed scanners. The most efficient scanners for handling document imaging are USB 2.0 high speed sheet-fed scanners. Preferred workgroup scanners: Canon DR-2580, Xerox 252/262/272 Preferred workgroup scanners: Canon DR-2580, Xerox 252/262/272 Fujitsu ScanSnap on each desk. Good software, low cost, includes Acrobat Standard, which is inexpensive to upgrade Fujitsu ScanSnap on each desk. Good software, low cost, includes Acrobat Standard, which is inexpensive to upgrade

Many digital photocopiers can be upgraded to include direct-to-network scanning, but at a high incremental cost and are not a good value. Many digital photocopiers can be upgraded to include direct-to-network scanning, but at a high incremental cost and are not a good value. A good multi-function device such as HPs Laserjet 3xxx MFP series combines basic scanning, faxing, laser printing and copying capabilities but is quite unsuitable for regular scanning use. A good multi-function device such as HPs Laserjet 3xxx MFP series combines basic scanning, faxing, laser printing and copying capabilities but is quite unsuitable for regular scanning use.

A compact portable scanner is handy for occasional use but tends to be slow and badly skew documents. Carrying a light regular scanner such as the Fujitsu ScanSnap S500 may be more effective. A compact portable scanner is handy for occasional use but tends to be slow and badly skew documents. Carrying a light regular scanner such as the Fujitsu ScanSnap S500 may be more effective. Youll need also need a high quality flat- bed scanner. I like the Epson V series or the Mustek A x17 series. Youll need also need a high quality flat- bed scanner. I like the Epson V series or the Mustek A x17 series.

Fundamental Litigation Support Digital Dictation – Dragon Legal Digital Dictation – Dragon Legal Office Suites – Microsoft Office 2007 is a worthwhile upgrade. Office Suites – Microsoft Office 2007 is a worthwhile upgrade. Litigation Support: CaseMap, TimeMap, NoteMap, TextMap Litigation Support: CaseMap, TimeMap, NoteMap, TextMap Case Management: Pro Law, Time Matters, Amicus Case Management: Pro Law, Time Matters, Amicus

Benefits of the Electronic File Restructuring a large electronic case file takes perhaps an hour or two Restructuring a large electronic case file takes perhaps an hour or two If you retain a paper file, filing that paper is much simpler when you can first search a digital file. If you retain a paper file, filing that paper is much simpler when you can first search a digital file. You can simply file any retained paper documents by date without sorting them into different categories. You can simply file any retained paper documents by date without sorting them into different categories.

By working with the full purchased version of Acrobat 9 Professional, youll be able to index and bookmark your PDF litigation files and produce sharp looking exhibits quickly. By working with the full purchased version of Acrobat 9 Professional, youll be able to index and bookmark your PDF litigation files and produce sharp looking exhibits quickly. Your clients can use the free Acrobat 9 Reader to comment on documents and markup your Acrobat files. Your clients can use the free Acrobat 9 Reader to comment on documents and markup your Acrobat files.

Authentication Retain original documents to the extent that might be necessary for recording or to prove your case under Evidence Rules 1002 and 1003 Retain original documents to the extent that might be necessary for recording or to prove your case under Evidence Rules 1002 and 1003 You may need to show that any scanned documents have not been altered, which is clear using a file format such as a locked Acrobat PDF You may need to show that any scanned documents have not been altered, which is clear using a file format such as a locked Acrobat PDF

Clerical staff requirements are reduced Clerical staff requirements are reduced Electronic files confer a substantial litigation advantage and allow you to adapt quickly to new or impeachable evidence. Electronic files confer a substantial litigation advantage and allow you to adapt quickly to new or impeachable evidence. Print hard copies as needed and discard the paper copies when theyre no longer necessary. Print hard copies as needed and discard the paper copies when theyre no longer necessary.

Easy Client Copies After you have imaged incoming documents, send the original incoming documents to your clients with the appropriate informational stamp. After you have imaged incoming documents, send the original incoming documents to your clients with the appropriate informational stamp. Retain the electronic copy as your original. Back it all up daily!! Retain the electronic copy as your original. Back it all up daily!! Examples of custom document imaging oriented stamps follow. Examples of custom document imaging oriented stamps follow.

Load your entire case file on to your notebook computer or take it with you on one or two CD disks Load your entire case file on to your notebook computer or take it with you on one or two CD disks Its easy to share a complete file with other counsel or clients by burning a CD or flash disk Its easy to share a complete file with other counsel or clients by burning a CD or flash disk PDF documents and attachments to experts quickly PDF documents and attachments to experts quickly

Document Naming Consistently naming your retained document images is critical. Consistently naming your retained document images is critical. OCR all Acrobat documents and search them for content OCR all Acrobat documents and search them for content Use a document naming convention consistently and train your staff. Use a document naming convention consistently and train your staff.

Example: Discovery should have the word Discovery as the first word of the name, with appropriate identifying information. Example: Discovery should have the word Discovery as the first word of the name, with appropriate identifying information. Discovery – Plaintiff first Interrogatories to Defendant XYZ served You can also scan or combine all related documents into a single PDF file, such as accounting motion - complete. You can also scan or combine all related documents into a single PDF file, such as accounting motion - complete.

Use Simplest Feasible Structure. Current Cases Current Cases Client XYZ Client XYZ Correspondence Correspondence Discovery and Disclosures Discovery and Disclosures Work product Work product Research Research Investigation Investigation Internal notes Internal notes Pleadings Pleadings Witnesses Witnesses Liability Liability Damages Damages Economic Economic Medical bills Medical bills Lost income Lost income Medical records Medical records

Digital Photography/Video Integrate digital photography and videography into your practice. Integrate digital photography and videography into your practice. Our culture is now highly visual – lawyers tend to use too many words Our culture is now highly visual – lawyers tend to use too many words Easy, inexpensive and surprisingly powerful addition to legal persuasion Easy, inexpensive and surprisingly powerful addition to legal persuasion Current picks: Canon G10, Nikon D90 Current picks: Canon G10, Nikon D90

Digital Briefs Extremely powerful. Include video deposition clips, photos, direct excerpts of scanned documents, links to exhibits. Extremely powerful. Include video deposition clips, photos, direct excerpts of scanned documents, links to exhibits. Requires Acrobat Professional to produce Requires Acrobat Professional to produce Re-used portions of imaged documents key to efficiency and speed. Take disclosures, turn into opening visuals, cross-exam materials, closing visuals Re-used portions of imaged documents key to efficiency and speed. Take disclosures, turn into opening visuals, cross-exam materials, closing visuals