National Outsourcing Association

AWARDSFor Best Practice In Outsourcing

2012

1

SYNOPSISSYNOPSIS

Innovative national law firm has teamed up with global LPO provider, Exigent, to provide a pioneering solution to one of the most significant challenges facing UK mortgage lenders.

Negligent advice given to lenders by some of their professional advisors caused them to incur significant losses which they needed to recoup. This led to a dramatic rise in professional negligence cases.

This resulted in a major challenge: how to provide a scalable, expert solution to help the client recoup losses as quickly and as cost-effectively as possible, within a highly regulated and conservative environment. It required an entirely new approach. It also required unprecedented technical cooperation between the legal advisor and a global processor of legal work.

The foundations to success required accurate mapping and disaggregation of process in a conservative industry that has not historically embraced outsourcing in delivering value to the ultimate client. Exigent and the law firm collaborated closely to develop a unique and innovative delivery model with bespoke processes and training methodologies.

The law firm’s client needed a large volume of potential claims processed in a very short space of time (in two-week windows) in order to identify where it could recoup losses of up to ₤10 million. In turn, the law firm needed to be able to deliver this work cost-effectively without exposure to additional resourcing whilst maintaining exceptionally high quality of data input/review. In terms of project expectations the key performance indicators included exceptional accuracy of early case assessments and significant cost savings and the project successfully delivered 99%+ accuracy, 40% cost savings and fast, responsive delivery meant early results so that the law firm’s client could more quickly recoup its losses.

As a leader in innovation in its peer group, the law firm has welcomed a novel form of outsourcing to meet its client’s needs for an innovative, timely, and cost-effective solution. Embracing best practice and intelligent outsourcing has augmented the law firm’s competitive advantage over this client’s panel firms and contributed to it being appointed lead advisor for professional negligence cases for major financial services clients.

100%

90%

80%

70%

60%

50%

40%

30%

20%

2

STRATEGYSTRATEGY

Working closely together from the outset, we designed a completely new process and allowed it to evolve as our requirements changed. Ideas from all levels contributed to the success of the project.” Megan Jackson, Associate Director, Exigent (Project Leader)

Mixing regulated UK advice with cost effective support

The law firm was faced with a challange: delivering a scalable, expert solution to its client, as quickly and cost-effectively as possible, at a fixed price within a very short time frame, to a very high level of accuracy, in a highly regulated market. The law firm

required a partner to provide scalable, expert resource to deliver a robust, accurate model, working efficiently and cost-effectively within tight timescales. An alternative delivery model was required.

October2011

January2012

April2012

August 2012

August 2011

Market changes demand higher

volumes processed faster and

cost effecvely

Requirement for secure,

scalable resource

delivering service

excellence

Joint global delivery

team formed

Handover part of

process to trusted external service

provider

Unique challenges

of regulatory environment

overcome

Project 1: completed to

me with 99% +

accuracy

Collaborave approach on

further process

development

Project 2: larger; more

complex processes;

99% +accuracy

Exigent to undertake Project 3

using more efficient process

3

PARTNERSHIPPARTNERSHIP APPROACH

OPPO

RTUNITY

IDEAS VISI O

N

RESOURCESOLU

TIONS EXPERIEN

CEComplete

transparencyin approach

between the law firm, the financial services client and

Exigent

Communication key two-way

secondments for the first time in this

sector

IT securitysystems and

infrastructure far exceeded legal and

regulatory requirements Data protection

requirements were exceeded

Jointresponsibility

for training and staffing

Joint approachto ensuring

complete regulatory compliance was

critical

The joint team identified early on that this particular work type (partially or wholly) had never been outsourced. The project team recognised that there would be additional challenges in terms of data protection, IT, communication and working practices and as a result considerable support was provided by the law firm’s data protection, international data transfer and outsourcing experts.

“Partnership is often an ill-defined concept - we had a shared view that the foundation to our success was trust in each other’s abilities to deliver regardless of the challenges” David Holme, Managing Director, Exigent

“Right from the first meeting with Exigent it was clear that together we could deliver an exceptional service to our client and create something that was not only really innovative for our practice area, but also market leading. This has, in turn, added a facet to our offering that has been warmly welcomed by a number of our existing financial services clients, and added an essential component to our platform when winning work from new clients.” Partner and head of Professional Negligence

4

INNOVATIONINNOVATION

Unique problem

Unique technology

Unique delivery

Unique process

Continuous innovation

Recognising that these processes had never before been outsourced, the joint team committed to finding innovative solutions and have developed a unique global delivery model for the financial services sector whereby data analysis is undertaken at an extremely high accuracy rate with exceptional turnaround times; incorporating a bespoke process and new technology easily adaptable to changing requirements. Particular emphasis was placed on developing an entirely new IT case management process from the ground up. This approach to outsourcing is new to the legal and financial services industry sectors.

“Working in complete synchronicity with Exigent we developed a process and end product that we were very happy to present to our client. The innovations that we together developed as part of the process, including a traffic light colour coding system, was very well received by the client and also by a whole range of internal stakeholders.” Associate, (Project Leader)

5

BENEFITSBENEFITS REALISATION

Benefits for the law firm • Exceeded financial services client’s needs• Appointed as lead legal advisor on professional negligence matters for a number of major financial services clients• Has secured additional work in excess of £100 million pounds• Has achieved cost savings of approximately 40%, (all of which have been passed onto the financial services client)

Benefits for financial services client• Identified cases worth in excess of £10million which clients can pursue to recoup their losses • 40% Cost saving on traditional law firm approach to resourcing this work• Project delivered far ahead of schedule - two weeks vs. seven months so that the financial services client could recap its losses more quickly• Service levels exceeded with an accuracy rate of 99%+; case completion rate twice as fast as originally estimated

Benefits for Exigent• The law firm has engaged Exigent to collaborate on further projects across the business• Exigent has successfully moved into supporting the financial services market• Further validation of Exigent’s unique delivery model• Further demonstration of the consistent quality of Exigent’s teams

More work for the Joint Delivery Model

partnership

Developing more models on the same basis

More benefits for the financial services industry

under pressure

This innovative approach to outsourcing has been a huge success and has delivered exceptional results for the financial services client, the law firm and Exigent.

6

BEST PRACTICEBEST PRACTICE

Instructions for assembly: Step 1Partnership approach to strategy Step 2Clear value proposition and tangible measures of success Step 3Joint approach to transition and change

Step 4Focus on continuous innovation

Step 5Closely managing the relationship - a culture of cooperation and support means opportunities are infinite

STRATEGICLEADERSHIP

TRANSITION& CHANGE

RELATIONSHIPMANAGEMENT

RELATIONSHIPENGAGEMENT

Na�onal Outsourcing Associa�on

AWARDS For Best Prac�ce In Outsourcing

2012

Glue

Glue

Glue

Glue

Glue

Glue

Glu

e

Glue

Glu

e

Fold

“The law firm and Exigent outsourcing partnership has really delivered on this project. The cost-efficiencies and turnaround times alone are worthy of mention, but what has really impressed is that the project has been delivered to the same quality standard that we have come to expect from the law firm.” Financial services client