How do you approach managing legal aspects during periods of instability or crises, and how does your legal strategy align with the broader business strategy to ensure organisational resilience?

During periods of instability and crises, legal risk management serves as a safeguard, helping organisations to anticipate, avoid or minimise legal consequences. Uncertainty or crisis often brings about abnormality, making it difficult for organisations to anticipate all possible legal outcomes. By proactively managing legal risks, organisations can better protect themselves from lawsuits, regulatory penalties, and reputational damage. In additional to my years of service within the in-house environments, I am also a certified enterprise risk adviser, a certified business continuity manager, certified fraud examiner, certified ISO37001 Lead Implementer and certified ESG planner. These certifications have put me in good stead and remain future-proof in the face of the ever-evolving landscapes.

Legal risk management involves risk identification, assessment, prevention, mitigation and response that could be translated into legal liabilities for an organisation. During periods of instability or crises, this becomes even more crucial, as the stakes are higher, as is the potential for significant legal consequences. Legal risk management ensures that an organisation is prepared to navigate the complex legal landscape that emerges in the wake of a crisis.

Legal risk management during periods of instability or crises involve more than just responding to legal threats as they arise. It requires a comprehensive approach that includes understanding the legal environment, preparing for potential legal challenges, addressing velocities, and aligning legal strategies with broader crisis management efforts. Communication is equally important as legal liabilities can have an indelible impact on an organisation during such periods of instability or crises. Legal liabilities can complicate the crisis response, diverting resources and attention away from resolving the crisis itself. It stands to reason the importance of integrating legal risk management into the overall crisis management strategy must not be relegated.

Legal liabilities can lead to financial losses and at the same time collateral effects, including disruptions to operations and reputational damage. In some cases, the reputational damage is so pronounced that it goes to the very survival of the organisation. For example, regulatory fines, class action lawsuits, and breach of contract claims can result in substantial financial burdens. Concomitant to them is the loss of consumers’ confidence and brand loyalty.

What is the most overlooked skill or mindset that today’s in-house lawyers need to succeed at the highest level?

One essential, but often overlooked, skill for in-house lawyers is emotional intelligence. While technical legal knowledge and analytical skills are crucial, the ability to understand and manage emotions both ends of the equation — both the in-house lawyer and those of internal clients, colleagues, and opposing parties — can significantly enhance an in-house lawyer’s effectiveness.

Emotional intelligence which benefits a legal career includes:

Client relationships: understanding clients’ emotions helps in building trust and rapport, making it easier to communicate complex legal concepts and manage expectations.

Negotiation: being attuned to the emotional dynamics in negotiations can help identify underlying interests and facilitate more successful outcomes.

Conflict resolution: high emotional intelligence allows in-house lawyers to navigate conflicts more effectively, as they can empathise with different perspectives and find common ground.

Team collaboration: in an in-house department setting, being aware of team members’ emotional states can improve collaboration and lead to a more cohesive work environment.

Stress management: the legal profession can be high-pressure; being emotionally intelligent aids in recognising stress and managing it constructively, both personally and within a team.

Overall, developing emotional intelligence can lead to better internal client outcomes, improved workplace dynamics, and a more fulfilling career in law.