Legal leadership has reached a tipping point

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The top 5 KPIs every legal leader should know
The nature of legal leadership is undergoing a rapidly accelerating transformation. Even in markets like Continental Europe, where the shift has been slower, expectations placed on Chief Legal Officers (CLOs) and General Counsels (GCs) by their organizations are evolving at pace. 

Substantive legal expertise is now table stakes. It has taken a backseat to skills which promote business-strategic leadership, cultural transformation and modernization. As the people, processes and technology that make up legal operations take center stage, a deep understanding of how to build and lead the scalable engine room of legal (and the business) is now critical – as is doing so with a strong ethical compass. 

My perception, based on a number of job descriptions for legal leadership roles at larger organizations I’ve reviewed in the past six months, is that we are at a tipping point. Being a “business leader with legal skills”, whose legal function accelerates strategic objectives, and which acts as a competitive advantage to the business, is fast becoming the de-facto profile for legal leaders within any major organization. 

Traditionally, CLO and GC job descriptions focused on a candidate’s substantive, often specialized expertise, and the ability to advise the CEO, board and business leadership team. The purpose of the role was to spot and mitigate risk at the highest levels in real time, and to manage an organization whose goal was to emulate that approach. 

I believe there’s been a significant shift in hiring expectations. We’ve finally emerged from the post-pandemic doldrums, and as more senior legal roles are advertised, leadership and culture change is sitting prominently at the top of the criteria.  

First and foremost, companies want CLOs and GCs who can build high-performing teams, lead them through cultural transformation, and create a modern and effective legal function aligned with their business’s objectives. Second, they are seeking operational leaders: those who can either establish or optimize legal operations to deliver speed, efficiency and value. 

The unfolding of a cultural and philosophical evolution 

Businesses no longer have a need for reactive lawyers who spend their time face down in emails issue spotting. Instead, they are looking for visionary and inspirational leaders who can drive cultural modernization and business-strategic, objective acceleration. 

Transforming legal into a competitive advantage is the fundamental element of this shift – turning the function into a business accelerator. For too long, legal professionals have been focused on reactively identifying risks, solving “legal problems” that arise, and dealing with issues only when called upon. Modern legal leaders take a diametrically opposed approach. They are business leaders with legal skills, and provide strategic value from day one. 

A great legal function, in my experience, doesn’t just facilitate the business; it pushes it forward. Whether that means streamlining workflow processes, identifying commercial opportunities through legal insights and a broad company-wide perspective, or proactively eliminating risks over the horizon, modern legal teams are indispensable to the overall momentum of a business.  

Modern legal leaders instil their teams with an operational mindset. They build the muscle required to move beyond immediate fixes to legal problems and evolve their approach to policy, process and technology improvements – all of which will serve to reduce bottlenecks, accelerate processes, and make their organizations nimbler and more competitive. 

One of the most striking elements of this shift is that it is being driven by businesses themselves. Executives, board members, and recruiters have all evolved in their thinking. I’ve spoken to head-hunters who tell me, “We’re looking for a modern legal leader first, and a lawyer second.”  Some of these changes are generational, no doubt, but I also believe we’re watching the cultural and philosophical evolution of our profession unfold.  

Businesses have moved past the days when legal was only consulted to spot and mitigate risk. Now, the expectation is one of full integration: proactive collaboration with sales, marketing, product and operations teams to accelerate strategic objectives.  

The role of technology 

Another critical factor reshaping legal leadership is the rise of technology. Legal is finally starting to catch up with peers in sales, HR, and marketing departments, who are already using fit-for-purpose platforms as their nexus of operations. Technologies like contract lifecycle management software, document analytics and workflow platforms are transforming the way legal functions work.  

For any modern legal leader, a strong understanding of legal operations is now also table stakes. This means deeply engaging with the ways in which technology and processes can enhance efficiency and support integration with the broader business. The metrics that really matter are the ones that matter to the business – not the ones that matter to legal. 

A CLO who doesn’t understand how technology impacts their team’s operational performance risks being left behind. I liken this to hiring a head of sales. If they don’t have a plan to implement Salesforce or an equivalent platform, they won’t be a realistic candidate for the role. It’s time for legal leaders to embrace the same expectation. 

AI-accelerated legal processes represent an opportunity for legal teams to focus on what truly matters. AI can perform repetitive administrative tasks, such as document review or compliance tracking, at scale and speed, allowing lawyers to devote their energies to strategic and innovative thinking. Legal leaders who can guide their teams through an effective AI transformation will unlock unprecedented potential for their organizations. 

While operational and technological aptitude remain critical, there’s another layer to leadership which often isn’t explicitly taught but is just as vital. Humility, empathy and communication are not optional skills for the modern CLO; they are essential.  

The future is here 

This changing picture of what it means to be an impactful legal leader is also exposing a gap in the way we prepare the next generation of leaders. Most law schools remain oriented toward private practice and the technicalities of the profession. This leaves graduates ill-equipped to thrive in-house, where business acumen and operational fluency carry the greatest weight. 

For those who choose to go in-house, leadership skills, legal operations knowledge and strategic thinking are often learned “on the job”. For many, the path to becoming a successful legal leader is shaped by mentorship and continuing education. Executive training programs have also helped fill the void. These programs bridge the gap left by law schools, equipping future legal leaders with the insights they need to lead, while encouraging them to build the curiosity and humility which are essential traits of impactful business partners. 

However, for this paradigm shift to truly take root, we need systemic change: education which prepares new lawyers to practice not only law, but business leadership also. 

The evolution of legal leadership has brought us to a critical juncture. Leaders who fail to adapt will risk making their departments irrelevant, relegating the legal function to a cost center rather than a driver of value.  

On the other hand, those who do innovate – who focus on culture change, operations, and integration into business strategy – will position their legal teams as accelerators of the business, not gatekeepers. We’re not just witnessing a change in job description; we’re experiencing a paradigm shift to a new profession. 

David Lancelot is the CLO and EVP Advocacy at LawVu and adjunct professor at the University of Florida Fredric G. Levin School of Law, where he teaches International In-House Legal Leadership. 


Reprinted with permission from ALM© (Law.com) August 2025. ALM Media Properties, LLC. Further duplication without permission is prohibited. All rights reserved.

 

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