Packaged Services: An Underutilized Approach To Growing Revenue

Editor’s Note: Prepared originally in support of an extended consulting engagement with a leading industry consultancy, the following overview provides a framework to assess, advise, supervise, and manage information governance (IG) and eDiscovery tasks, projects, and programs ranging from targeted IG health checks to holistic eDiscovery vendor management and oversight programs. While not all-inclusive of potentially available packaged service opportunities, these descriptions and examples are designed to share how legal technology providers may be able to enhance their revenue tomorrow by productizing capability they already possess today and packaging that capability to meet the technology, expertise, and business needs of corporations and legal departments.

An Underutilized Approach to Growing Revenue

The combination of market health and hyper-competitiveness continues to push legal technology service providers to investigate productization areas beyond technology features and functions to increase revenue streams, increase margins, and decrease sales cycles. One productization technique that may help providers grow revenue is the creation of packaged services that not only meet customer technology and expertise needs but also meet the planning and predictability business needs of corporations and law firms. These packaged services appear to represent an underutilized but important approach to growing revenue.

Comparative Definitions

• Service: A service is the production of an essentially intangible benefit, either in its own right or as a significant element of a tangible product, which through some form of exchange, satisfies an identified need.
• Packaged Service: A packaged service is a pre-configured set of tasks to be accomplished for customers over a specified period of time for a fixed price.
• Managed Service: An offering that allows an organization to outsource the delivery, operations, and management of a service.

Creating packaged services consists of packaging support previously delivered under pure consulting models into packages that are pre-defined in terms of tasks, time frames, and pricing.  Packaged services may help legal technology service providers bridge the gap between traditional hourly consulting offerings and fully managed services. They may also provide a strong opportunity to create additional sales entry points and potential new revenue streams by making access to current consulting offerings easier to understand, easier to evaluate, and easier to purchase.

A Market Opportunity For Packaged Services

Many data discovery and legal discovery service providers offer a portfolio of consulting offerings that are delivered to market under a traditional consulting hour per engagement model or as part of a conventional eDiscovery line item (e.g., pricing for each task) or total cost model (e.g., flat rate per custodian). While these models are competitive in their own right, they do not fully address the common purchasing pain point of providing capability and accessibility to services at a pre-defined, predictable cost because the variables of time and/or volume are always present. By creating a preconfigured set of tasks to be accomplished for clients over a specified period of time for a fixed price, it appears many providers could package a portion of their current consulting offerings in a manner to address this purchasing pain point and remove the variables that limit cost predictability.

Sales Synergies From Packaged Services

In addition to addressing the customer purchasing pain point of predictable pricing, a set of packaged offerings would also serve to simplify the sales process as communicating the tasks and value of the packaged services could be done by sales representatives who may not have the deep domain knowledge required for developing traditional consulting agreements. This would allow for packaged services to be sold by both consulting-centric and sales-centric members of a service provider’s team without requiring the use of high dollar consulting assets at the front end of sales engagements.  Also, defined packaged service sales materials can be developed to a more granular level of explanation than traditional consulting sales materials because the tasks, time frames, and deliverables of the offerings are pre-defined. This granular level of explanation would enhance the completeness of representing the capability and value of offerings in sales materials and should correspondingly decrease the sales/communications cycle with potential customers.

Packaged Service: Example Offering Descriptions

Provided below are six descriptions of offerings that could be productized and presented as packaged services to meet customer needs in the areas of information governance and electronic discovery.

Information Governance (IG) Packaged Services

• IG Health Check Service: Assessments of IG processes and practices to help organizations understand and comply with legal, regulatory and standards requirements.
  
• IG Retention Requirements Research Service: Identification of the regulations that impact an organization’s records retention and disposition requirements to determine the validity of the organization’s Records Retention Schedule.
  
• IG File Analysis / Defensible Disposition Service: Technology-enabled process providing insight and control over unstructured data, identifying content that has no further value, or poses risk to the organization, lowering costs for storage, backup and eDiscovery.
  

Electronic Discovery (ED) Packaged Services

• ED Health Check Service: Assessments of ED processes and practices to help organizations understand and optimize the execution and management of discovery. 
  
• ED Request for Information/Proposal Management Service: Development and management of organizational RFI and RFP processes to ensure a standardized, complete, and cost-effective sourcing of technology and services.
  
• ED Vendor Management and Oversight Service: Management and oversight of vendor-sourced technology and services to help organizations optimize discovery investments (time and money).
  

Additionally, provided below are examples of how to translate these high-level service descriptions into actionable offerings.

Packaged Services: Six Example Offerings

#1: Packaged IG Health Check Service

Assessments of IG processes and practices to help organizations understand and comply with legal, regulatory and standards requirements.    

IG Health Check Service includes:

• Assessment of IG Program Policies, Procedures, and Compliance
• Analysis of Findings against Best Practices
• Development of Implementation Plan and Strategy

IG Health Check Service deliverables include:

• Fact-finding and Assessment (Interviews/Investigation)
• Maturity Model Rating (Results/Report)
• Gap Analysis Risk Assessment (Results/Report)
• Recommendations, Implementation Plan and Roadmap (Results/Report)
• Executive Cost/Benefit Presentation (Presentation)

IG Health Check Service can be purchased in two ways: 

• One Time Health Check (Two to Three Weeks)
• Annual Subscription: Initial Health Check+Quarterly Updates (12 Months) 

Packaged IG Health Check Service Offering Tasks

The packaged IG Health Check Service can be purchased as a one-time check or as an annual service and consists of four steps:

Planning – Step 1

1. Statement of Objectives
2. IG Program Current Component / Documentation Identification
3. IG Program Stakeholder Identification
4. Overview of Organization Legal, Technical and Operational Environments
5. Determination of Areas to be Evaluated
6. Determination of Maturity Model Criteria
7. Kick Off Meeting
   

Assessing – Step 2

1. Review of all IG Components
2. Review of  Lifecycle Management of Records and Information including:
   

• Classification and Indexing Approaches
• Retention and Disposition Procedures
• Information Storage Processes and Technologies
• Access and Retrieval Requirements
• Legal Hold Practices

Reporting – Step 3

1. Analysis of Results
2. Identification of Issues and Gap Analysis
3. Maturity Rating
4. Recommended Solutions and Implementation Strategy
5. Presentation of Results

Continuity – Step 4 (Annual Subscription Only)

1. All of the Above with Quarterly Check-in to Assess Improvements and Impact on the Maturity Rating
2. Recommended Strategy Modifications

#2: Packaged IG Retention Requirements Research Service

Identification of the regulations that impact an organization’s records retention and disposition requirements to determine the validity of the organization’s Records Retention Schedule.    

Packaged IG Retention Requirements Research Service includes:

• Definition of Jurisdictional Scope (U.S. Federal and State; Up to 4 Additional Countries)
• Definition of Operational Scope for Research (General Business and Industry-Specific)
• Research Services
• Analysis of Research Results to Existing Retention Policy

IG Retention Requirements Research Service deliverables include:

• Regulatory Matrix for Each Country
• Findings and Recommendations (Results/Report)

IG Retention Requirements Research Service can be purchased in two ways:

• One Time Requirements Check (Two – Three Weeks)
• Annual Research Refresh (Annual Subscription)

Packaged IG Retention Requirements Research Service Offering Tasks

Packaged IG Retention Requirements Research Service can be purchased as a one-time check or as annual access and consists of four steps:

Planning – Step 1

1. Statement of Objectives
2. Records Retention Policy Overview
3. Understand Company Geographic Footprint and Legal Entity Structure
4. Understand Business Functions within Scope
   

Assessing – Step 2

1. Conduct Regulatory Research (Attorney with Extensive Regulatory Research Experience)
2. Compile Research into Regulatory Matrix by Jurisdiction
3. Perform Analysis of Existing Retention Policy
4. Develop Gap Analysis and Recommendations for Changes to Existing Policy

Reporting – Step 3

1. Submit Regulatory Matrix
2. Presentation of Results

Continuity – Step 4

• Refreshed / Updated Regulatory Matrix for Jurisdictions within Initial Scope

#3: Packaged IG File Analysis / Defensible Disposition Service

A technology-enabled process providing insight and control over unstructured data, identifying content that has no further value, or poses risk to the organization, lowering costs for storage, backup, and eDiscovery.

Packaged IG File Analysis / Defensible Disposition Service includes:

• Metadata Inventory over Defined Set of Data
• Discovery of Hidden Cost-saving Opportunities and Security and Compliance Risks
• Disposition of Data to Save Money and Reduce Risk

IG File Analysis / Defensible Disposition Service deliverables include:

• File Scan Results Based on Predefined Parameters (dates, age, extension, owner, etc.) Provided Graphically for Immediate Identification of Opportunities for Disposition (Results/Report)
• Analysis and Business Case Recommendations (Results/Report)

IG File Analysis / Defensible Disposition Service can be purchased as:

• One Time Project (One Month)

Packaged IG File Analysis / Defensible Disposition Service Offering Tasks

Packaged IG File Analysis / Defensible Disposition Service consists of three steps:

Planning – Step 1

1. Statement of Objectives
2. Unstructured Content Overview
3. Review of Current Retention Policy
4. Scope of File Scan
5. Technical Requirements
6. Identify Stakeholders
7. Kick Off Meeting
   

Assessing – Step 2

1. Conduct Scan
2. Analyze Scan Results
3. Define Disposition Categories
4. Collect Cost Statistics
5. Develop Business Case

Reporting – Step 3

1. Develop Graphical Representations of Scan Results
2. Present Business Case and Metrics
3. Executive Presentation

#4: Packaged ED Health Check Service

Assessments of ED processes and practices to help organizations understand and optimize the execution and management of discovery.    

ED Health Check Service includes:

• Assessment of Discovery Program, Processes, and Technologies
• Analysis of Findings against Best Practices and Custom Health Check Criteria
• Development of Improvement Strategy and Plan 

ED Health Check Service deliverables include:

• Audit and Assessment (Interviews/Investigation)
• Gap Analysis Assessment of Capability, Cost, and Risk (Results)
• Recommendations, Implementation Plan and Roadmap (Results/Report)
• Executive Cost/Benefit Presentation (Presentation)

Our ED Health Check Service can be purchased in two ways:

• One Time Health Check (Two to Three Weeks)
• Annual Subscription: Initial Check+Quarterly Updates (12 Months) 

Packaged ED Health Check Service Offering Tasks

Packaged ED Health Check Service can be purchased as a one-time check or as an annual service and consists of four steps:

Planning – Step 1

1. Statement of Objectives
2. ED Stakeholders Overview
3. ED Platform Overview
4. ED Task Protocols Overview
5. Storage and Security Infrastructure Overview
6. Geographic Support Requirement Overview
7. Domain Specific Support Requirement Overview
8. Budgetary Objective, Resource, and Constraint Overview
9. Determination of Areas to Be Evaluated
10. Establishment of Custom Health Check Criteria
11. Kick Off Meeting
    

Assessing – Step 2

1. Review of eDiscovery Approaches
2. Review of eDiscovery Processes and Technologies
3. Review of eDiscovery Support Agreements and Licenses
4. Review of eDiscovery Return on Investment

Reporting – Step 3

1. Analysis of Results
2. eDiscovery Approach Recommendations
3. Identification of Capability and Efficiency Recommendations
4. Identification of Integration and Risk Recommendations
5. Identification of Support Recommendations
6. Identification of Return on Investment Recommendations
7. Gap Analysis Assessment of Capability, Cost, and Risk
8. Presentation of Results
   

Continuity – Step 4

1. All of the Above with Quarterly Check-in to Assess Improvements
2. Internal Requirements, Industry Developments, and Best Practices Update
3. Report Gap Analysis With Previous Reports
4. Recommended Strategy, Implementation Plan, and Roadmap Modifications

#5: Packaged ED Request for Information/Proposal Management Service

Development and management of organizational RFI and RFP processes to ensure a standardized, complete, and cost-effective sourcing of technology and services.  

ED Request for Information/Proposal Management Service includes:

• Development of Standardized RFI/P Processes 
• Development of Customized RFI/P Requests (Requirements Based)
• Management of RFI/P Distribution and Communications

ED RFI/P Management Service deliverables include:

• RFI/P Requirements Definition (Interviews/Investigation)
• RFI/P Development (Documents/Forms)
• RFI/P Distribution, Tracking, and Aggregation (Pre-Selection Process)
• RFI/P Vendor Follow Up (Post Selection Process)
• Rapid Response Updates (On Call Discussions)

Our ED RFI/P Management Service can be purchased in two ways: 

• One Time Project: Three Months 
• Annual Subscription: Initial Project+Annual Support (12 Months) 

Consulting Packaged ED Request for Information/Proposal Management Service Offering Tasks

Our packaged ED RFI/P Management Service can be purchased as a one-time project or as an annual service and consists of four steps:

Planning – Step 1

1. Statement of Objectives
2. eDiscovery RFI/P Objective Overview
3. eDiscovery RFI/P Development (Document)
4. eDiscovery RFI/P Process Project Plan
5. eDiscovery Vendor Invitation Recommendations
6. Kick Off Meeting
   

Assessing – Step 2

1. Management of RFI/P Distribution
2. Management of RFI/P Non-Disclosure Agreements
3. Management of RFI/P Questions, Considerations, and Answers
4. Management of RFI/P Response Deadlines
5. Management of Reference Checks / Key Information Validation / Conflict Checks
6. Development of Vendor Response Rating Matrix
7. Development of Vendor Finalist Recommendations for Detailed Evaluation
8. Coordination of Next Step Communications (Finalists and Non-Finalists)
9. Management of Vendor Finalist Presentations (Content/Scheduling)
10. Management of Vendor Finalist Interviews/Testing (Scheduling/Scoping)
11. Development of Vendor Finalist Rating Matrix
12. Development of Vendor Selection Recommendations
13. Coordination of Vendor Finalist Communications (Selectee and Non-Selectees)
14. Development/Support of Vendor Selectee Initial Statement of Work
15. Monitoring of Initial Vendor Selectee Kickoff Meeting
16. Monitoring of Vendor Selectee Initial Project Meetings (90 Days)

Reporting – Step 3

1. Analysis of RFI/P Process
2. Analysis of RFI/P Results
3. Development of RFI/P After Action Report
4. Presentation of Results
   

Continuity – Step 4

1. Development of RFI/P Process Guide and FAQ
2. Monitoring of Selected Vendor Compliance with RFI/P Process
3. Internal Requirements, Industry Developments, and Best Practices Update
4. Rapid Response Updates (On Call Discussions)

#6 Packaged ED Vendor Management and Oversight Service

Management and oversight of vendor-sourced technology and services to help organizations optimize discovery investments (time and money).

ED Vendor Management and Oversight Service includes:

• Technology and Service Requirement Definition
• Vendor Selection, Engagement, and Management
• New Technology and Service Evaluations

ED Vendor Management and Oversight Service deliverables include:

• Audit and Assessment (Interviews/Investigation)
• Findings and Recommendations (Results/Report)
• Monthly Requirements and Performance Review (Report/Meeting)
• Rapid Response Updates (On Call Discussions)

ED Vendor Management and Oversight Service can be purchased as: 

• One Time Project: Three Months 
• Annual Subscription: Initial Project+Annual Support (12 Months) 

Consulting Packaged ED Vendor Management and Overview Service Offering Tasks

Our packaged ED Vendor Management and Oversight Service (VMO) can be purchased as a one-time project or as an annual service and consists of four steps:

Planning – Step 1

1. Statement of Objectives
2. Vendor Landscape Review
3. Vendor Stakeholder Identification
4. Vendor eDiscovery RFI or RFP Program Review
5. Overview of Organization Legal, Technical, and Operational Environments
6. Identification of Organization Strategic and Tactical Requirements for eDiscovery
7. Kick Off Meeting
   

Assessing – Step 2

1. Assess Current Vendor Relationships
2. Establish Formal Vendor Management and Oversight Program
3. Assume Management of Current and New Vendor Engagements
4. Establish Quarterly Account Updates
5. Establish Semi-Annual Review Account Reviews

Reporting – Step 3

1. Capability and Commitment Matrix
2. Cost Alignment and Controls Report
3. Risk and Security Report
4. Task and Technology Roadmap Update (To Include On-boarding Status)
5. Quarterly and Semi-Annual Review Report
6. Presentation of Results

Continuity – Step 4

1. All of the Above with Quarterly Check-in to Assess Status and Progress
2. Recommended Vendor Management Program Modifications

While not all-inclusive of potentially available packaged service opportunities, these descriptions and examples are designed to share how legal technology providers may be able to enhance their revenue tomorrow by productizing capability they already possess today and packaging that capability to meet the technology, expertise, and business needs of corporations and legal departments.

Additional Reading

• An eDiscovery Market Size Mashup: 2020-2025 Worldwide Software and Services Overview
• Defining Cyber Discovery? A Definition and Framework

Source: ComplexDiscovery