§;Fixed fees for patent litigation – the arrangement includes having a firm handle a defined number of litigation cases
(not including appeals) over a three-year period; payments are monthly; the overall fixed fee is set by reviewing
average litigation costs and discussing good faith parameters
§;Anti-piracy cases on a fixed fee basis – the law department has identified a block of cases or matters relating to
anti-piracy efforts that can be handled on a fixed fee basis; arrangements generally set a fixed fee per case; the law
department also implements some practices to have a firm handle ‘x’ cases per year for a set fee
§;Patent applications and prosecutions on flat fee basis – the law department sets a flat fee per patent (pre-defined on a
per unit basis)
§;Monthly Retainers for Trusted Advisor Relationships – the law department has identified nine ‘premier provider
firms;’ as part of these overall relationships, ‘trusted advisor panels’ consisting of around five to seven lawyers are
created by subject matter within the firms; the law department pays a monthly retainer for these services and the firms
provide 60 to 90-minute presentations on a given question or topic
OTHER VALUE PRACTICES IMPLEMENTED BY THE LAW DEPARTMENT
§;Centralized ediscovery systems – This is handled by a centralized in-house team that is led by a director of ediscovery
(a new role within the department); allows the law department to have primary control over the data and helps to
enhance efficiency and avoid reinventing the wheel; in-house team includes paralegals and analysts and practices
include a robust technology process.
§;Collaborative efficiency improvement efforts, including:
§;Lean six sigma – The LCA’s primary focus for these efforts has been in the patent application and
prosecution process; the LCA teams with a premier provider firm to identify inefficiencies in the workflow,
how workflow is assigned, and to determine better ways to provide end-to-end flow.
§;Legal project management – We’re implementing legal project management in connection with litigation
cases. More specifically, the department is building training in-house and outside counsel to implement
these practices (currently in the pilot phase); training includes sessions to help lawyers understand various
phases of litigation, including scoping, transparent communications, milestones, checkpoints and after
action discussions. In addition, the initial pilot phase includes weekly meetings with outside counsel who
will be implementing these practices to discuss tools and elements.
§;Outsourcing – We have invested a good deal of attention in optimizing outsourcing strategies, and increasing the
outsourced work significantly –– especially to India.
§;Secondments – We have a fair number of secondments (between two and five per year) including some free-of-charge,
from our Premier Providers who seek to expose their young attorneys to our business, products and methods.
§;Standardized forms and templates – We have standardized the forms and templates used for agreements, and have
reduced the number of forms by more than 60 percent.
ESTIMATED COST SAVINGS
We’ve experienced savings in a number of areas:
§;Fixed fee patent application work cost has decreased by 40 percent over seven years
§;Bidding patent litigation work has saved 20 percent
§;Fixed fee work on patent litigation has saved more than 20 percent
§;Bidding fixed fee work in immigration and outsourcing has saved more than 20 percent
§;Secondment arrangements have saved 20-50 percent
MOST VALUABLE PRACTICES; PROVIDED GREATEST RESULTS
Bidding work on a fixed fee basis has yielded the greatest cost savings.