Abstract
The legal industry has significant importance in service-based economies such as the UK. The rapid penetration of technologies in this sector has led companies to rethink their practices and processes, aiming to become more competitive. Despite this motivation, there are many areas where the market still does not offer suitable solutions for some of these firms. This is the reason why some firms have decided to collaborate with others in an effort to shape the supply and obtain solutions that better adjust to their needs. By investigating a unique open innovation experience, based on the collaboration of 4 Law and 9 LawTech firms in the UK, in this research we aim to capture the process through which open innovation (OI) can succeed in professional service sectors: “What mechanisms enable knowledge exchange (among professional service firms) in open innovation initiatives?”.
Through our analysis following Gioia’s methodology, we propose a four-phases model that shows the key aspects of open innovation in the legal sector. The model illustrates how firms go through (1) a phase of preparation and problem delimitation; (2) develop trust and mutual engagement; (3) collaboration and co-creation; and (4) evaluate the process to readjust if needed. These phases illustrate the mechanisms that reflect the complexities of this sector to openness and collaboration. Precisely, how trust and engagement seem to be conditions to co-creation. Our results are expected not only to contribute to the open innovation research, but also to shed light on the complexities faced by sectors like law in the OI space.