by Joe Ulm
Law Firms produce documents – a ton of documents. Day in and day out, the knowledge and expertise of a firm is poured out on paper in the form of documents. They are literally the tools of the trade. Yet most firms pay amazingly little attention to how these documents are created. What a document says is scrutinized from end to end, but how it got there, well, that isn’t really discussed. In fact, when you consider that attorneys and their support staff spend most of their time working on documents, it’s a wonder why firms do not put more thought into the process of creating them. Today, with more firms trending toward a flat fee billing model, many are taking a closer look at how they can streamline the process of creating their documents. After all, the more efficient a firm is at creating their documents, the more profitable a flat fee client may be. Hence, “document automation” and the process it describes, is getting much more attention lately.
Document automation in its most basic form is little more than the process of creating documents without typing them from scratch. Often this means using pieces and parts from other documents to create a new one. In fact, whether they know it or not, most firms are utilizing some form of document automation right now. If anyone at your firm has ever used a pre-existing document as a template to create another (usually similar) document rather than typing a new document from scratch, they have engaged in document automation. In effect, they are using a pre-existing template to create their new document. Document automation has come a long way since templates were king, yet the principal has remained the same – use pre-created tools, text, and processes to minimize the time it takes to create a new document. Doesn’t that sound simple? Well, maybe not, because today there are many different types of document automation tools ranging from template driven tools to macros to sophisticated software programs. The question most firms are pondering today is not whether to utilize document automation in their practice, but rather, which document automation tools are right for them.
Document automation can roughly be classified into five different types: manual, simple, merges, custom, and complex. Manual document automation usually entails the interaction of the user and one or more of the tools built into the word processor. Many times this is little more than a cut and paste process, but it can be a significant timesaver nonetheless. One of the most common examples of manual document automation is when an existing document is opened, one client’s name is changed to another, and the changes particular to the new client are made. In this example, the creator of the document probably used the “find-and-replace” feature included in their word processor to change the name to the new client. It is also probable that appropriate phrases were copied from other documents and inserted into the new document to create the finished product. All things considered, manual document automation is relatively inexpensive and it provides an immediate impact. Almost every firm I’ve ever worked with utilizes this type of document automation.
The next type of document automation, simple document automation, utilizes a slightly more technical methodology and includes the use of templates and simple macros. A macro is a mini-program which will execute a series of commands, saving the user from repetitive typing or data input. Macros are typically created to perform frequently used tasks. Macros can be quite complicated, but the more complicated macros generally fall into the category of custom document automation (described below). In many law firms, simple macros are used for adding small, regularly used, pieces to a document. A commonly used closing paragraph is an example of a simple macro. Instead of typing the document closing every time, staff members click on an icon inside their word processor and the macro inserts the closing, proper formatting and all. Templates are files that contain style settings and information on how to create a new document. They often require the document creator to input information into certain “sections” of the template. For example, a pleading has to have specific information formatted in a certain way in order for it to be accepted by the court. Many firms today are utilizing templates for pleadings, fax covers, and other relatively static documents with a fair degree of success. It is important to note, however, that template automation takes planning, staff training, and often help from an outside consultant. While this necessitates an up-front investment of time and money, simple document automation can be a huge timesaver.
Merges are another kind of document automation many firms are using today, but unlike the previous two document automation types, merges are typically used to create many documents that vary only slightly and only in a limited number of locations. For example, many firms use a document merge when they are doing a large mailing of some sort, such as a rate increase letter. The same letter may go to every client, but the name and address on the letter need to change to account for each client. In my view, merges are underutilized by law firms despite the fact that they are an effective way to generate many types of documents. Depending on the word processor the firm uses and their contact management or case management software, configuring a merge for a firm can be very straightforward. Many merges can be set up by someone within the firm, making them a very cost effective document automation option.
Custom document automation is the second most complicated form of document automation. Custom document automation is, quite frankly, my favorite because of the exceptional versatility and increased productivity it provides firms. Combining many of the features the other types employ, custom document automation utilizes templates, macros, shortcuts, predefined criteria, and other tools to significantly streamline the document creation process. All of these are incorporated into a graphical interface customized to your firm. A properly designed custom document automation system can cut the time it takes a firm to create memos, pleadings, captions, letters, fax cover sheets and more in half. Additionally, heavily used portions of a document such as a signature block, the firm’s letterhead, headers, footers, letter openings, and letter closings can be inserted into a variety of documents with a click of the mouse. The time savings and increased efficiency can make a huge difference to a firm. Of course, the word custom often means a higher implementation cost and that is indeed the case here. Implementing a custom documentation automation system requires planning, training, and an upfront expenditure that can range between a couple thousand dollars and ten to twelve thousand dollars. Because this almost always involves an outside consultant, custom document automation is not a cheap option, but it is the one document automation option that guarantees a quick ROI if implemented properly. Firms that deploy a well designed custom document automation system quickly find themselves dependent on it as it provides an enormous advantage over other methods of creating documents.
Complex document automation is the most complicated form and usually employs a sophisticated software program, such as Lexis-Nexis HotDocs, to assist staff members in the creation of documents. Based on templates, these programs prompt the document creator for information in a logical, sequential order and then apply that information accordingly to format answers and assemble the document. For example, firms that practice estate planning might use a complex document automation system to create wills for their clients. In this case, a template could be designed to prompt for information about the client’s family, possessions, and investments, etc., and insert the appropriate paragraphs and phrases to compile a sound, legal document. Most firms are surprised at how effective complex document automation can be and in the right firm it can make a big difference. However, it requires a significant investment in terms of time and money and most firms would be well advised to research this option completely before making a decision. Ultimately, complex document automation software must be a good fit for a firm in order for the firm to feel the full effects of the system.
With the legal marketplace becoming ever more competitive, firms are being forced to get more production from a work day than ever before. No matter which type of document automation your firm employs, the value of a well designed document automation system is undeniable because, if implemented properly, document automation can help your firm create more documents in far less time. This means that document automation has the potential to provide a greater boost to your firm’s productivity than any other technology. The hard part is deciding on a solution and investing the time necessary to make it work.
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