Articles
The State of Generative AI in Law Firms: Insights from Tara Waters
By David Malkinson
December 19, 2024
Solution
Law Firm Operations
Market Insights
Generative AI is transforming the legal industry, and Tara Waters, former Chief Digital Officer at Ashurst, is at the forefront of this change. In the latest Speaking of Changing Legal podcast, Morae’s David Malkinson interviewed Tara to discuss her experience in rolling out generative AI tools to over 4,500 staff globally.
Tara Waters: From Technology to Law
With a background in software development, Tara transitioned to practising law in 2007. Her dual expertise has enabled her to lead significant advancements in legal technology. At Ashurst, she spearheaded the implementation of an enterprise-wide generative AI platform, transforming workflows for lawyers and support teams.
Reflecting on her career, Tara said,
I’m the rare person that moved from tech into law rather than the other direction. I made the transition over into the innovation side, and for the past seven years, I’ve been really focused on the challenge of digital transformation in law firms.”
The Evolution of AI in Law
The legal industry is undergoing a period of change, partly thanks to generative AI tools powered by large language models (LLMs). As early as 2019, Tara predicted the transformative potential of applied natural language processing (NLP) during a Legal AI session.
One note from that session read: “We believe applied NLP will transform the practice of law over the coming decade.”
Reflecting on recent developments, Tara stated,
…at the two-year anniversary of ChatGPT … it’s that usability that really shifted the game.”
Unlike earlier AI systems, which were often complex and required technical expertise, modern generative AI tools are intuitive and user-friendly. This ease of use has made adoption more accessible for lawyers and business services professionals. Tara emphasised,
These are tools that are designed to be put immediately in lawyers’ hands to use intuitively without a huge amount of technical knowledge or training.”
Overcoming Challenges: Shifting Mindsets for AI Adoption
One of the biggest challenges in generative AI adoption within law firms is managing expectations around accuracy. Lawyers, who rely heavily on accuracy and precision, often expect near-perfect results. Tara explained the importance of adjusting these expectations to create a culture that embraces AI as a supportive tool rather than a replacement. Tara explained,
What was really key in terms of adoption was shifting the mindset and making it really clear this is these tools are not magic and won’t create a final perfect product. But they will help you create that first draft, and it will help you organize the structure of thoughts better. It’s fantastic to help progress you in your work, but do not expect it to produce completed work product.”
This mindset shift enables lawyers to experiment and explore AI’s capabilities while maintaining quality and value.
Success Stories: Practical Applications of Generative AI
During her tenure at Ashurst, Tara led the rollout of generative AI tools across 23 global offices. Success stories quickly emerged, particularly in business services teams like business development and bids, where AI enhanced efficiency.
On the legal side, generative AI was used to synthesise large amounts of information into actionable insights. Lawyers found this especially useful when processing new regulations or legislation. Tara explained,
People were using it in particular to absorb as much information as possible and get that into a usable form. For example, they wanted to synthesise new regulations or legislation and get the five key bullet points. Rather than spend hours digesting, they could get to the right information and move on to the next task really quickly.”
Driving Adoption and Measuring ROI
Looking forward, Tara stressed the importance of patience and realistic expectations when adopting generative AI. Law firms should allow 12 to 18 months to see measurable ROI, with ongoing support and intervention essential to success. Tara advised,
You need a full 12 months of measurement because you’re going to see peaks and valleys, and also you need to be pushing the adoption throughout that period. You need to be out there constantly reminding people it’s there to get adoption to where it needs to be.”
Final Thoughts: Embracing AI in Law
As the legal industry enters 2025, Tara’s advice is clear: law firms should seize the opportunity to embrace technology. With growing interest in generative AI, now is the time for firms to take bold steps towards innovation and enhanced client service. Tara concluded,
Be bold… this is a time period where the people in law firms will never be more interested in technology than now. And so firms really need to strike while the iron is hot.”
Learn More
For those interested in exploring Tara’s work, she has launched Innovation Esq., a content brand focused on legal industry innovation, and TMW Consulting, which focuses on digital transformation and generative AI initiatives.
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