Did you know that 70% of CEOs say their ideal General Counsel would act as a strategic business partner? Yet, only 55% feel their current General Counsel fits that description. That’s a clear gap between expectations and reality.
Legal teams are often seen as reactive—brought in only when a problem arises. For example, a company might call on legal after a major deal has already been structured, only to find unexpected risks or compliance issues that delay progress. But when legal is involved from the start, they can help identify potential risks early, offer solutions, and even create opportunities for growth.
Take a complex acquisition, for instance. Legal can do much more than review contracts. They can collaborate with the C-suite to ensure the deal aligns with long-term goals, streamline the process, and uncover additional value. This approach not only avoids roadblocks but also enables faster, better decisions.
It’s time to think differently about the role of legal. Let’s explore how they can become a true enabler for the C-suite, helping businesses move forward with confidence.
Why Legal needs to engage with the C-suite
- C-suite priorities: Executives focus on strategic decisions that shape the organization’s future and drive growth
- Evolving expectations for legal teams: Legal teams are expected to go beyond compliance and act as strategic advisors
- Actionable legal guidance: Lawyers need to provide clear, practical advice that aligns with business goals and supports decision-making
- Opportunity-driven approach: Legal teams should help leadership seize opportunities while managing risks and ensuring compliance
How legal can act as a strategic partner
Unique among in-house legal teams, you have the special ability to transcend traditional compliance roles and become true partners with the company's leadership. Align yourself with the C-suite and drive strategic value with these tips:
#1 Shifting from reactive to proactive
“The present-day GC is expected to grow beyond conventional roles and responsibilities and wear multiple hats to eventually become a business enabler.”
- Gitanjali Pinto Faleiro, Company Secretary & CCO, Greenhill & Co.
A) Stay ahead of regulatory trends
Keep a close eye on emerging laws and regulations that could impact the business. Share insights early so the leadership team can act on potential risks before they become issues.
B) Get involved early
Be part of key decision-making processes from the start. This ensures that compliance and risk factors are addressed during planning rather than becoming last-minute obstacles.
C) Think in solutions, not barriers
Move beyond just highlighting constraints. Focus on structuring deals, strategies, or processes that allow the company to grow while staying compliant with the law.
#2 Driving key decisions at the leadership level
In-house legal teams play a crucial role in navigating the complexities of major business decisions. Here’s how they can contribute:
A) Lead the due diligence process
For mergers and acquisitions, legal teams uncover potential liabilities, negotiate favorable terms, and ensure regulatory compliance, enabling smoother and more secure transactions.
B) Support international expansion
When companies venture into global markets, legal teams provide guidance on navigating unfamiliar legal frameworks, protecting intellectual property, and avoiding cross-border risks.
C) Advise on ESG and sustainability
Legal teams help implement environmental, social, and governance (ESG) practices by providing actionable guidelines, ensuring compliance with evolving standards, and strengthening the company’s reputation among stakeholders.
#3 Enabling innovation and growth
Legal teams play a vital role in not just managing risks but actively enabling business growth. Here’s how:
A) Safeguard innovation with IP protection
Work closely with business units to protect the company’s intellectual property in a way that aligns with its strategic goals and fosters innovation.
B) Enable digitization with compliance
Ensure the business adheres to privacy, data security, and emerging technology regulations, providing the foundation to pursue digital initiatives confidently.
C) Shape strategic partnerships
Support the development of partnerships and joint ventures by structuring agreements that meet business objectives while mitigating legal and reputational risks.
#4 Managing risks while supporting business agility
Legal teams are critical in helping the C-suite manage risks effectively and proactively. Here’s how they can contribute:
A) Ensure compliance with evolving regulations
Develop robust systems to keep the organization compliant with changing laws, helping to avoid fines, penalties, or reputational damage.
B) Prepare for crisis management
Equip the organization with tailored strategies to handle crises such as data breaches or legal disputes, minimizing operational disruptions and ensuring business continuity.
C) Resolve conflicts efficiently
Negotiate or use alternative dispute resolution methods to address conflicts early, reducing litigation costs and time while preserving valuable relationships.
Position yourself for success in senior legal roles by starting 6-12 months ahead. Focus on sharpening the skills that matter most.
Why alignment matters
Alignment between the in-house legal team and the C-suite becomes an imperative factor to drive business success. When these two are working in accord, the fruits can be quite transformational, and here's why:
#1 Avoiding costly mistakes
- Legal's early involvement means that compliance, contracts, and regulations are given ample time and attention before decisions are made, thereby lowering the potential risk for fines, lawsuits, or reputational damage
- Misaligned priorities or siloed operations can lead to overlooked legal risks. Collaboration ensures that possible pitfalls have been pointed out and addressed in advance
#2 Gaining a competitive edge
- Effective legal collaboration helps the C-suite make faster, more informed decisions by providing clear, actionable guidance that balances risk and opportunity
- Legal help in structuring deals, partnerships, and strategies in a manner that not only protects the business but also keeps it ahead of the competition by leveraging innovation within the boundaries of the law
#3 Supporting sustainable growth
Where legal and leadership are on the same page, business strategies not only remain within the belt of the law but are also shaped for the long-term perspective, with things such as ESG compliance, intellectual property protection, and global market regulations in mind.
Common challenges in legal-C-suite collaboration
Collaboration between in-house legal teams and the C-suite is necessary but often hindered by several factors standing in the way.
#1 Different priorities between legal and the C-suite
Legal teams prioritize risk management, compliance, and minimizing liabilities, while the C-suite focuses on growth, speed, and taking calculated risks to seize opportunities. These contrasting priorities can lead to friction, especially in time-sensitive or high-stakes scenarios like entering new markets.
Tip: Proactively align legal strategies with business objectives to demonstrate how risks can be managed while enabling growth.
#2 Communication styles that don’t align
Legal professionals tend to rely on detailed analysis and technical language to convey their points, while the C-suite prefers concise, actionable insights that directly relate to business outcomes. This difference can result in miscommunication or diluted impact of legal advice.
Tip: Simplify communication by focusing on business impacts and presenting advice in a clear, concise manner that resonates with leadership.
#3 The perception of legal as a roadblock
Legal teams are often viewed as bottlenecks or cost centers because they’re brought in late, usually to solve problems rather than prevent them. This perception can limit their ability to contribute strategically and showcase their value as enablers of business growth.
Tip: Actively engage in early discussions and demonstrate how legal can facilitate decisions rather than delay them.
#4 Misalignment on strategic objectives
When legal teams don’t share a clear understanding of the company’s strategic goals, their advice can seem disconnected or overly cautious, leading to missed opportunities for collaboration and trust-building with leadership.
Tip: Collaborate regularly with leadership to understand their objectives and tailor legal advice to align with business goals.
Having identified the common challenges that hinder effective collaboration between legal teams and the C-suite, it is essential to explore actionable strategies that can transform these obstacles into opportunities.
Also read: Navigating the C-Suite as a GC - Gitanjali Pinto Faleiro, General Counsel, Company Secretary & CCO at Greenhill & Co.
Ways legal can enable the C-suite
#1 Proactively managing risks
Legal can identify and address risks early, aligning solutions with the company’s broader strategic goals.
- Ensure regulatory compliance in new markets by staying ahead of evolving legal landscapes
- Build robust frameworks for cybersecurity and data privacy to protect against breaches and regulatory penalties
- Provide comprehensive risk assessments that integrate legal considerations into strategic decisions
#2 Leveraging technology for insights
By adopting technology, legal can provide the C-suite with actionable, data-driven insights that enhance decision-making.
- Use real-time dashboards to monitor risks, compliance, and contract performance, keeping leadership informed at a glance
- Implement predictive analytics to forecast litigation trends or regulatory shifts, allowing leadership to plan ahead
- Utilize contract and workflow automation tools to streamline processes and free up time for strategic initiatives
#3 Aligning legal and business goals
Legal teams can align more closely with business objectives by integrating themselves into the company’s strategic planning.
- Participate in strategic discussions from the start to ensure legal considerations are embedded in growth strategies.
- Frame legal advice in terms of ROI, market opportunities, and competitive advantages to resonate with the C-suite’s priorities.
- Design tailored compliance frameworks that support rapid business expansion without compromising on legal standards.
#4 Enhancing speed and efficiency
Legal can leverage automation and technology to improve the speed and efficiency of critical processes.
- Use AI and automation to fast-track routine tasks like contract reviews, due diligence, and document management.
- Provide quick, actionable advice during time-sensitive situations, such as crises or fast-moving opportunities
- Build collaborative workflows that ensure legal processes align with the fast-paced needs of the C-suite
#5 Acting as a trusted advisor
In-house legal can serve as a strategic sounding board for the C-suite, providing guidance that extends beyond compliance.
- Anticipate leadership’s needs by staying informed on market and regulatory trends, offering forward-looking advice
- Offer empathetic counsel in moments of crisis, helping leadership balance legal and business priorities
- Establish open communication channels to foster trust and ensure legal input is valued in key decisions
Stronger partnerships, smarter decisions with SpotDraft
Legal teams have the potential to be more than just risk managers; they can be proactive, strategic partners driving business success. By aligning with the C-suite’s goals, simplifying communication, and embedding legal expertise into key decision-making processes, they can enable faster, smarter, and more informed decisions
SpotDraft helps make this partnership stronger. By automating workflows, providing clear insights, and improving communication, SpotDraft empowers legal teams to work faster and more effectively with leadership. This means fewer delays, better decisions, and more alignment with business goals.
Want more tips on how legal can lead the way? Visit SpotDraft’s Counsel Corner for resources to transform your legal function.
.png)
