Law firms are moving from resisting to embracing AI and legal tech innovation, investing substantial time and resources into transforming their operations. Roles such as Heads of Innovation have long been established to guide this change, but many firms are still grappling with how to access the right talent to drive it forward. At Boston Hale, we’ve been helping firms find Innovation and AI expertise for over six years, but in the last two years this area has really taken off and a fight for talent is beginning, highlighting both the demand and the challenge of hiring in legal business services.
The power of outside talent is becoming increasingly evident. As firms confront skills gaps in areas such as AI, data analytics, and cybersecurity, expanding their talent pool beyond traditional legal professionals may be the best approach to ensure sustainable growth. This article explores the challenges firms face in finding the right expertise, the benefits of looking beyond the legal sector, and the long-term strategies law firm leaders should adopt to remain competitive.
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The impact of new technologies, primarily generative AI, on legal workflows, pricing strategies and data storage has meant that many firms are scrambling to adopt and integrate the tools they need to maintain client numbers and grow their practice. 41% of firms fear that delaying AI adoption will leave them at a competitive disadvantage, and 30% are concerned the pace of adoption is too slow.
This growing emphasis on digital transformation in the legal industry has created demand for hybrid skill sets that combine legal knowledge with technical, analytical, and commercial expertise.
Law firms now require professionals who can bridge multiple domains including:
This demand spans the full spectrum of legal business services roles, from pricing analysts to Chief Innovation Officers. However, many firms struggle to attract candidates with this mix of skills from within the legal profession itself. The solution for many could lie in accessing outside talent from industries that are further ahead in adopting and embedding technology.
Law firms are increasingly recognising the value of outside talent to strengthen their legal business services teams. Professionals from technology, banking, and consultancy are moving into legal business services roles, bringing skills that complement traditional legal expertise.
What outside talent brings to legal business services:
This isn’t about replacing legal expertise. Instead, it’s about complementing strong professional standards with new skill sets. By blending traditional strengths with external perspectives, firms can continue to meet client expectations while innovating in service delivery.
The 2025 Report on the State of the US Legal Market from Thomson Reuters shows that firms are favouring experienced lateral hires over junior associates. This reflects the impact of AI, which is automating routine, process-heavy tasks that once provided training ground for entry-level lawyers.
This shift highlights the growing demand for professionals who can deliver value from day one -particularly in Legal Business Services, where operational expertise, data-driven decision making and project delivery are critical.
Law firms have traditionally relied on internal expertise to deliver for clients, and this model has served them well. There has been little need to look outside the profession. But AI, changing client expectations, and the growing complexity of legal operations mean the skills required today are broader than before.
Partners are right to value deep legal knowledge, yet this can be complemented by outside talent from technology, data, and project management. These skills do not replace legal judgement; they enhance it. The key is integrating external expertise in a way that aligns with firm culture and client commitments. Demonstrating the benefits, such as faster client delivery, improved profitability, and stronger client satisfaction, helps build confidence across the partnership and ensures these hires are seen as a natural extension of the firm’s strengths.
Alternative Legal Service Providers (ALSPs) have demonstrated how flexible talent models can drive innovation. By integrating professionals from diverse industries including technology, consulting, operations, ALSPs have created service delivery models that combine legal expertise with technical and process innovation.
These organisations often lead the way in legal tech recruitment, offering structured career paths for innovation managers, solutions analysts, and legal engineers. Their success proves that combining outside talent with legal expertise is not only possible but commercially advantageous.
By adopting elements of the ALSP approach, firms can compete more effectively and accelerate their innovation agendas. Traditional firms can learn from this model by:
Short-term hiring alone will not close the skills gap. Firms that invest in structured approaches to long-term talent planning will be best placed to capture the full benefits of AI and digital transformation. Law firm leaders must adopt long-term talent planning strategies that integrate outside expertise into the firm’s DNA to create agile, innovative organisations capable of thriving in a technology-driven market. This means:
The pace of legal innovation is accelerating, and the skills required to manage this transformation are not always found within the legal profession. The power of outside talent lies in its ability to introduce fresh thinking, proven expertise from other industries, and scalable approaches to transformation.
At Boston Hale, we specialise in helping law firms access the legal business services talent needed to drive innovation. Whether you are looking for legal innovation jobs, legal tech recruitment support, or guidance on building long-term innovation teams, we can help.
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