The influence of corporate counsel in European businesses is growing and information privacy is their number one concern, an annual survey has found.
Nearly three-quarters (72%) selected this as their main worry in the Association of Corporate Counsel’s (ACC’s) annual Chief Legal Officer (CLO) survey. Data breaches and protection of corporate data came second (69%), followed by regulatory or governmental changes (66%) and ethics and compliance including anti-bribery issues (60%).
The 1,639 CLOs in 55 countries who responded to the survey said the key issues influencing the behaviour of organisations were new regulations (51%), disruptive technology (39%), mergers and acquisitions (37%), and political issues (36%).
The survey highlights the rising influence exerted by CLOs—the proportion reporting directly to their chief executive officer has jumped from 64% to 78%. CLOs are also taking on roles beyond their legal adviser remit—the proportion who said the executive team almost always seek their input on business decisions rose 11% to nearly 70%. Two in three CLOs regularly attend board meetings.
Counsel in search of promotion should develop their leadership, business management and communication skills—the top non-legal skills valued by CLOs. Project management and executive presence are also highly sought after.
Looking ahead, nearly half of respondents anticipate merger and acquisition activity in 2019. The proportion expecting their budgets to increase in 2019 is on a par with previous surveys, at 45%, but less than last year’s 56%.
‘This year’s survey leaves no doubt that we are experiencing the age of the CLO, and that companies are awakening to the significant role their CLO can and should play,’ said Veta T Richardson, president and CEO of ACC.
‘The CLO and his or her legal team are uniquely qualified to advise the CEO and the board of directors on how to chart a path forward, taking the law, ethics, culture, and risk tolerance into account.’
