General counsel ‘evolving from traditional legal gatekeepers’, says KPMG’s legal arm
General counsel responsibilities are evolving beyond just providing legal oversight as regulations “become more complex and demanding”, according to a new report from the Big four giant KPMG’s Law arm.
A whopping 75 per cent of the general counsels surveyed by the firm reported to be “frequently providing advice on issues outside of their legal specialty”, which KPMG Law said signals a shift in the traditional GC role.
This is driven by a combination of external pressures and internal demands fostering a more complex environment, including geopolitical uncertainty, technological disruptions – in particular from AI – and heightened stakeholder expectations.
However, the growing and complex patchwork of regulations across the globe “tops the list”, with 39 per cent of general counsel reporting this to be their “biggest source of pressure”.
Stuart Bedford, global head of legal services at KPMG International said this means general counsel are “evolving from traditional legal gatekeepers into enterprise leaders who provide strategic judgement, risk analysis, and governance expertise on key decisions.”
The report, which draws on responses from nearly 500 senior legal leaders across 28 countries, also found that legal leadership seems to be driving performance and growth, with general counsel playing a significant role.
Bedford added that what “sets leaders apart” is being able to “provide insights of real value to the business” that bolster organisational growth.
AI is a key player in driving success
All professional services are feeling the pressure to adopt AI, but the legal sector is at the forefront, with many City law firms pouring huge amounts of cash into integrating the technology to stay ahead of the curve.
Despite “increasing industry pressures”, KPMG Law is seeing strong performance across general counsel, “partly attributed to technological advancements, particularly the prioritisation of artificial intelligence as an integral element of the legal function’s operating model.”
KPMG Law said whilst already seeing “notably improved efficiency in legal operations” due to AI use, allowing legal teams to advance skills, capabilities, and efficiency, it plans to next embed AI “directly into legal workflows”.
“AI is transforming legal work at a fast pace, but technology alone isn’t enough,” Bedford said.
“Legal teams that combine AI with an effective operating model, strong architecture, and a network of tech-enabled providers should boost productivity, make better decisions, and free up time for more valuable advisory tasks.”