Legal analytics is the application of data analysis methods and technologies within the field of law to improve efficiency, gain insight and realize greater value from available data.
Similar to business analytics (BA) in other sectors, legal analytics are used to yield actionable information that can improve processes and increase efficiency. Legal analytics are implemented to give a law firm a competitive advantage and drive corporate profits.
Analytics applications can be used to mine and aggregate data from past cases to explore the information from various perspectives. Analytics software could be used, for example, to compare patterns in the decisions of judges in particular types of cases or the prevalence of particular types of cases over a given period of time. An analysis of past litigation can be applied to inform strategy in the future.
Advanced analytics tools can be used to predict future events and trends. Legal professionals can use big data analytics, predictive analytics and other advanced tools to conduct informed speculation about the effects of potential changes in business strategies.
Legal analytics are complementary to legal reasoning and not meant replacing it. Legal analytics applications still require judgment about their inputs and intelligent interpretation of their output.