Imaging for the modern law office

Imaging is the technology buzz word for converting paper documents of all types into digital information. Once the conversion has taken place the information is then available for use by everyone on the law office network. We are going to take a quick look at what imaging consists of and why your law office should consider it in the near future.

Now let’s look at how imaging may fit into your law firm. Always apply our six essential questions to every computer purchase you are considering:

What does it do?

Why does my firm need it?

Who needs it?

When should I buy it?

Where do I use it?

How do I implement it?

So, let’s begin with Who needs this type of technology in their law office?

There are many different reasons that your firm should consider some type of imaging solution. First, there are the firms with remote workers. They may need to transmit information back to the main office from their car, the courthouse, the motel, etc. They may need to take a paper document and modify it with a computer program on their laptop. They may need to see something that arrived in the mail at the main office. Many situations with remote workers are made easier through imaging solutions.

Second, you have firms with significant file storage costs. Most firms that have been in practice more than three or four years know all about the difficulty of storing closed files. Since both the state bar and RESPA require that closed files be kept for several years, there is no option for the law firm. Of course, storage costs can be either internal and external or some combination thereof. External costs are easy. How much do you pay someone to store your files? Internal costs are more difficult to assess. How much does it cost to retrieve a stored file? Are there extra fees assessed by the storage company? How much time is wasted? How much productivity is lost by having to delay a project while retrieving the file? All of these costs are very real but very difficult to assess accurately. Another type of internal cost occurs when a law firm stores their own files on site. The space taken up by the files also has a cost because every square foot of floor space is valuable. Typically, the lease value of the space is used to calculate this cost. Imaging can eliminate 95% of the physical space necessary for long term storage of case files.

Third, most firms reuse work product by modifying existing documents for the specifics of a new case. This eliminates the need to “reinvent the wheel” every time a new client walks in the door. In order to reuse the old documents easily, it needs to be converted to a digital format compatible with your word processor. Imaging is the vehicle that converts the paper document to a digital file and provides quick, easy access without the delay necessary with traditional storage methods.

Fourth, firms with significant fax traffic of documents not produced by computer can utilize imaging to simultaneously fax and provide network access of these documents. This eliminates the additional steps otherwise necessary when traditional fax machines are used.

Obviously, there are many other ways that law firms can use imaging to streamline their workflow. Your specific needs will dictate the way imaging should be implemented in your law office.

What exactly does ‘imaging’ mean? (in plain english)

As stated above, imaging is the conversion of paper documents into digital data. All this means is that whatever is on the paper document is transferred to the computer screen to be manipulated by a computer program. The process of converting the paper document into an electronic version is called digitizing. Once the document is digitized, it is opened in a computer program to be edited. The most difficult part of imaging is deciding how the digitizing is going to be accomplished and what file format is necessary for the program with which it is to be used.

Generally, imaging is accomplished via scanner, however, other methods include digital cameras and fax machines. Of course, there are a lot of different types of scanners to choose from when deciding to begin an imaging program. The two basic types of scanners are flatbed and sheetfed scanners.

Flatbed scanners are rectangular and take up a substantial amount of real estate. This is called its footprint. There are many levels of flatbed scanners. The lowest level costs less than $500 and works fairly well if the scanning volume is low. Generally, it is more cost effective to purchase a sheetfed scanner like the Paperport Srobe from Visioneer for this type of use. The footprint of a sheetfed scanner is very small – about the size of a box of aluminum foil – so it can be installed at every computer station for about $200.

The medium level in flatbed scanners scan about 20 to 50 pages per minute and cost from $2500 to $10,000. This is the type of scanner used for monthly scanning loads up to 20,000 pages per month. All of these scanners have automatic document feeders (similar to a copy machine) and accept virtually any size or type of paper.

The highest level in flatbed scanners scan from 50 to 200 or more pages per minute and can cost $100,000 or more. These scanners are used by law firms who deal in large litigation cases where there may be hundreds of thousands or even millions of pages of documents. The load rating for these scanners can be in the millions of pages per month. The vast majority of law firms would only lease this type of scanner for specialized situations.

Digital cameras can also be used for converting paper to digital and add the capability of a traditional camera without the typical film development costs. A photo booth is set up and the documents are placed in the booth for digitizing. Although this is not an appropriate choice for archiving case files, it provides excellent flexibility for offices with lesser scanning needs. The cost for a good digital camera run from about $500 to $750.

Although not generally thought of as imaging, the traditional fax machine does just that. Paper goes in and digital information is transmitted via phone lines to a destination. Many fax machines now have the ability to connect to the computer. Conversely, most scanners have the ability to fax directly out of the computer through the modem line. Consequently, the lines separating scanners and fax machines are blurring.

The difficulty in selecting a file type stems from the variety of formats currently being used. Gif, tiff, jpg, bmp, pcx, . . . the list goes on and on. These are all graphical formats. That means it is a picture and not editable text. Even a text document such as a Request for Interrogatories is still only a picture when it is first scanned. Special software must be used to turn that picture into text that can be edited by a word processor such as Microsoft Word or Corel WordPerfect. The process of recognizing letters by their shape is called Optical Character Recognition or OCR. Consequently, it is not enough simply to scan. You must also know how to get it into the format that is required in the program you want to use on the file.

Why would imaging solve any of my law firm’s problems?

Remote workers can use portable sheetfed scanners to digitize documents at their location. The laptop computer can then easily fax or email them back to the home office. One example would be if an associate has to travel to a distant county to perform a title search for a rush closing. How to get a copy of the most recent Deed back to the office in time to create the Deed for the closing this afternoon? Sheetfed scanner to the rescue. Scan it into the laptop, fax to the main office, cut out the old legal, OCR it and then paste it into the new Deed.

Imaging will also allow closed case files to be archived digitally on the computer network. At that point the files can be moved onto a CD-Rom for long term storage. This will allow for disposal of the contents of the case file, except for any original legal documents like a will, lease or contract, etc., eliminating 90% of the bulk of the file. The ability to recapture 90% of the wasted storage space is only part of the benefit from imaging closed files.

The other primary benefit is enhanced accessibility. The ability to pull up and reuse previous work as the basis for new documents is essential to the efficient operation of a law firm. It is also necessary to simply look up information from a previous case that may impact the current one. To be able to do this quickly and easily from any computer on the network is a big plus for any law firm.

Another benefit of imaging a case file is the ability to place it on either the hard drive or CD-Rom of a laptop for use in the courtroom or settlement negotiation. This provides all of the material related to the case at the fingertips of the litigator, even the items that were not previously considered important enough to make into exhibits or impeachment documents.

Of course, the ability to scan a document into the computer allows it to be emailed as well as faxed or printed. Email saves the firm any long distance costs which would otherwise apply. In addition, the document is now part of the digital network and will be backed up along with the rest of the network data. This has the dual benefit of making the document accessible and protected.

The benefits of OCR are known to many law firms already. You receive a ridiculously long set of form interrogatories. Unless you utilize OCR the entire set must be retyped from scratch. Everyone who has used OCR in the past knows that it has its limitations but the products are steadily improving and 1999 should be a breakthrough year that finally brings reliability and predictability to OCR results.

When should I buy it?

A careful cost/benefit assessment will provide the basis for making an informed decision. The costs of this technology has been relatively stable for the past 12 months and the technology is steadily but slowly improving. In other words, if you are waiting for a major change in the price/performance ratio, you are probably waiting in vain. The important thing is to pick and choose only the pieces of the imaging puzzle which will provide the desired Return On Investment. A technology plan is quickly becoming an essential planning tool for even the smallest of law firms. Create a technology budget and a long range plan to assist you with timing of the purchase and implementation.

Where do I use it?

This is a more difficult question than it appears to be. The trick is to pick and choose the types and locations depending on what you want to accomplish. OCR of discovery and the like may be accomplished at the staff workstation using sheetfed scanners. Archiving of closed files should be done with a medium level network scanner located conveniently for the task. Scanning of large case contents for litigation purposes may also require the use of this type of scanner or may even require the short term lease of a high level scanner.

How do I implement it?

The best way to implement any new technology is to target a lull in the introduction of other new technology. This prevents the staff from getting overloaded by the “too much – too fast” syndrome. This common ailment stems from the failure to provide adequate and timely training as new technology is introduced. Ensure everyone is on the same page and that expectations are clearly defined. Also, make sure that an entry is made in the office manual setting out the imaging program protocols and procedures.

Conclusion

Every computer related purchase should be carefully scrutinized for ROI. Although unlikely, some law offices would not benefit from any type of imaging. Generally, one or more of the pieces of the imaging puzzle will provide a good fit with the workflow of your law office. Always remember that technology for its own sake is not a valid basis for purchase and implementation. Make sure that every purchase fits your law firm needs.

Lee D. Cumbie is the founder of Cumbie Law Office Automation Consulting, one of the Technology Assistance Program consultants for the N.C. Bar Assn. He is also an Adjunct Professor of Law at Campbell University where he teaches the Law Firm Computer Lab course. Lee is a solo practitioner in Dunn, N.C. focusing on business and computer law issues.

Lee earned his B.S. degree from Regents College after leaving military service in the U.S. Navy. He earned his J.D. from Campbell University, cum laude, in 1997.