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Articles Posted in Structure

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Subservience risk of decentralized in-house lawyers compared to “independence” of outside counsel

The critics of structures where lawyers report to the head of a business unit – decentralized reporting – stress the risk of those lawyers’ loss of independence. The pressure to please your boss, the allegiance the lawyer feels toward their business, the bonus that depends on the business meeting its…

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Matrix-reporting: the bane of combining regional, functional, and business unit orientations

Unilever, with its “500 strong global legal department,” has appointed lead counsel for its three regions – Europe, Asia and North America (Legal Week, Feb. 9, 2006). Along with its regional reporting structure for lawyers, I assume there are also specialty functions, such as HR and litigation. If there are…

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Potential interactions between the law and compliance departments (or staff)

In its massive study of 73 internationally active financial institutions, PricewaterhouseCoopers reported in Protecting the Brand (May 2005) on “areas of potential interaction with the compliance function.” (See my post of Feb. 7, 2006 on the reporting lines of these compliance functions.) The report lists seven areas (at 49) of…

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Law departments in “global,” “multi-national,” and “international” structures

A “multi-national” law department has lawyers based in more than one country. One country has the largest portion, and that country and location is thought of as headquarters. Many large US companies have multi-national law departments. An “international” law department is multi-national, but some of its groups of lawyers are…

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Rule of thumb: one specialist lawyer for every two business-unit lawyers

What is a typical ratio, in law departments of more than 10 or 15 lawyers, between the legal specialists (aka functions) like those handling litigation, HR, bankruptcy, environmental issues, securities, and IP, and the legal generalists who support a business unit or geographic region? At the BBC, according to LegalWeek,…