As legal departments face growing complexity, tighter budgets, and pressure to do more with less, many are rethinking how work gets done — and by whom. Rightsourcing offers a smarter, more strategic approach to legal resourcing, balancing quality, cost, and efficiency.
What Is Rightsourcing?
“In the simplest terms, rightsourcing is matching the work that needs to be done to the right resource. That could include insourcing, outsourcing to a law firm, or outsourcing to an ALSP. The goal is to meet the needs of the business and legal department in the most efficient, cost-effective way.
A bonus feature of rightsourcing legal services is that it helps make sure your in-house team is not burnt out, and that they are working on the matters that are the highest priority and best use of their time. So it’s a retention tool as well — and can protect you from the costs of high attrition that I outlined here.”
Editor’s note: The above excerpt by President & COO at Paragon Legal, Jessica Markowitz, originally appeared on Brightflag. Paragon Legal has provided the following content to offer additional perspective on how rightsourcing applies to legal staffing solutions. Read the full article on Brightflag.
The Rise of Rightsourcing
The ACC’s 2023 Chief Legal Officers Survey marked a turning point for rightsourcing, identifying it as the second-highest strategic priority for legal departments, cited by 45% of respondents.
This was striking because until recently, I had rarely seen “rightsource” or “right sourcing” used in mainstream surveys or legal publications. Yet, as the President & COO of Paragon Legal, I can confirm that we’ve been helping clients solve this optimal resource allocation challenge since 2006.
Fast-forward to the 2024 ACC Chief Legal Officers (CLOs) Survey, and rightsourcing is still firmly on the radar. In fact, 15% of CLOs identified rightsourcing as a top strategic initiative — second only to operational efficiency (40%). These statistics reflect how CLOs continue to see value in reallocating legal work, whether shifting tasks internally, to outside counsel, or to alternative providers, as a lever for both cost control and agility.
Given that 42% of CLOs also report facing explicit cost-cutting mandates, and more than half experienced outside counsel rate hikes, the push to “right-source” has become a practical necessity, not just a buzzword.
With cost pressures mounting on legal departments, including pressure to reduce labor costs, rightsourcing (sometimes called smart outsourcing or co-sourcing) has become one of the most powerful tools CLOs have to manage budgets while maintaining high-quality work.
Rightsourcing in Action: 2024 Use Cases
The impact of rightsourcing becomes even clearer through real-world examples — here’s how legal departments successfully applied it in 2024 to solve pressing challenges.
Use Case 1: Product Launch Surges
The value of rightsourcing becomes even clearer when you see it in action. The following real-world examples from 2024 show how legal departments used tailored support models to solve complex challenges, from product launches to mergers, while reducing costs and boosting team effectiveness.
A $20 billion SaaS company experienced a significant surge in workload from rapid product rollouts. The General Counsel (GC), concerned about burnout and onboarding delays for new hires, brought in a Paragon interim attorney with expertise in privacy and product counseling. This project management support provided immediate bandwidth and cost savings: $198,600 vs. an FTE and $359,600 vs. outside counsel.
Use Case 2: Merger Pressures
A $6 billion retailer preparing for a merger needed daily coverage and deal support. The GC rightsourced by blending internal leadership, selective outside counsel, and a Paragon attorney to handle ongoing work. The approach saved $151,400 compared to an FTE and $350,400 compared to outside counsel, while providing internal lawyers with valuable opportunities for job title growth.
In the simplest terms, rightsourcing is matching the work that needs to be done to the right resource. That could include insourcing, outsourcing to a law firm, or outsourcing to an ALSP. The goal is to meet the needs of the business and legal department in the most efficient, cost-effective way.
Use Case 3: Major Tech Overhaul
A $500M healthcare provider implementing a contract lifecycle management (CLM) system needed help with templates, playbooks, and team training. Paragon provided two specialists, one with healthcare contracting expertise and another with CLM rollout experience. This rightsourced talent pool improved adoption, strengthened compliance, and saved $163,200 compared to law firm rates.
When to Consider Rightsourcing: Key Triggers for Legal Teams
While rightsourcing can benefit any legal team, certain triggers make it especially valuable. Knowing when to bring in the right external support can help you act quickly and avoid costly missteps.
Common scenarios where rightsourcing makes sense include:
- Sudden workload spikes. Product launches, regulatory updates, or litigation can stretch your internal team to the limit.
- Staff transitions. Parental leave, resignations, or hiring freezes can create coverage gaps that need immediate support.
- Specialized projects. Tech implementations, compliance overhauls, and M&A activity often require niche expertise.
- Budget pressures. When cost control is critical, rightsourcing can offer better ROI than hiring full-time staff or engaging high-rate outside counsel.
- Strategic growth. Scaling your legal function doesn’t always mean expanding headcount — rightsourcing can help you grow smarter.
By recognizing these moments early, CLOs can proactively deploy a rightsourced solution that preserves quality while maintaining control over spend.
Why Partnering With a Rightsourcing Staffing Agency Matters
Unlike traditional staffing agencies that focus only on filling seats, a rightsourcing staffing partner aligns legal resources with business priorities. This means:
- Cost efficiency. Avoid inflated labor costs by assigning work to the right level of expertise.
- Agility. Scale resources up or down using flexible models or managed services.
- Retention. Protect your internal resources by balancing workloads.
- Specialized expertise. Tap into a vetted talent pool without lengthy recruiting cycles.
At Paragon Legal, we take a rightsourcing-first approach. We don’t just match résumés to roles — we collaborate with clients to understand complexity, urgency, and business impact before placing talent. No matter if you’re looking for short-term counsel, subject-matter specialists, or help through transitions, we supply the right fit for your team.
Rightsourcing in Action With Paragon
Paragon’s flexible staffing model is rightsourcing in practice. We help legal departments move beyond traditional outsourcing to smarter, blended solutions. You can read more in our related article, Avoid Decision Paralysis: Start Rightsourcing, which explores how to take the first steps toward building a rightsourced legal team.
Partner with Paragon to empower your legal departments with control, agility, and significant cost savings — without compromising high-quality results.
FAQs About Rightsourcing
If you’re considering rightsourcing for your legal department, you’re not alone. Below are answers to common questions about how rightsourcing works and why it’s gaining momentum among today’s legal leaders.
How Does Rightsourcing Benefit In-house Legal Teams?
Rightsourcing protects in-house legal teams from burnout by aligning resources with the right tasks at the right time. It enables internal lawyers to focus on high-priority, high-value matters, which improves job satisfaction and retention. By taking repetitive or highly specialized tasks off their plates, rightsourcing empowers legal teams to operate more strategically while avoiding costly turnover and staffing gaps.
Why Has Rightsourcing Become a Strategic Priority for CLOs?
Rightsourcing has gained traction as a top strategic initiative because it directly supports the goals of legal departments for operational efficiency and cost control. According to the ACC’s 2024 CLO Survey, 15% of CLOs identified rightsourcing as a leading priority — second only to operational efficiency. This reflects a broader shift toward smarter resource allocation as CLOs face mounting pressure to do more with less, especially amid rising outside counsel rates and internal cost-cutting mandates.
How Does Rightsourcing Support Agility in Legal Operations?
Rightsourcing enables legal departments to quickly scale resources up or down based on changing business needs. By tapping into flexible talent models — including interim attorneys, subject-matter experts, or managed services — teams can respond faster to surges in demand, unexpected projects, or shifting priorities without the delays of traditional hiring.
Why Should Legal Departments Consider Partnering with Paragon Legal?
Paragon Legal takes a rightsourcing-first approach, aligning legal talent with business priorities rather than just filling roles. By understanding the complexity, urgency, and impact of each project, Paragon delivers tailored support, from interim counsel to specialized expertise, helping legal teams stay agile, reduce costs, and maintain high-quality outcomes.