Diversity Dividends Collective logo

Diversity Dividends Collective

A consortium of legal departments working together to track and measure inclusivity on outside counsel teams.

Diverse Dividends Collective focuses on equal treatment, equal opportunity, and equal access.

A Roadmap for Legal Departments to Foster Collaboration and Inclusivity with their Firms’ Outside Counsel Teams

Legal departments want their trusted law firms to reflect their commitment to equal opportunity and inclusion, but often lack the resources and the time to gather, analyze, and operationalize data they receive from law firms.

The Diversity Dividends Collective (DDC) standardizes the requested data, collects it on behalf of legal departments, and then presents it in a user-friendly dashboard. This allows corporate legal departments to focus their efforts on reviewing the data and engaging in meaningful conversations with their relationship partners.

Two Key Reasons DDC Remains Legal and Important Right Now: 

  • DDC promotes equal access, equal treatment, and equal opportunity, not equal outcomes or quotas: Collecting demographic data and analyzing trends remains lawful, as long as it is handled appropriately and is not used to make hiring or staffing decisions. Data is a valuable–and legal–starting point for conversations between legal departments and their outside counsel. 

  • DDC provides increased transparency through metrics: DDC’s metrics help assess whether high-quality opportunities are fairly distributed without discrimination based on lawyers’ skill sets, seniority, and professional goals—regardless of their identity. Both legal departments and law firms have access to their own specific data and dashboards. When there is clear visibility into how opportunities are distributed—free from hidden bias or opaque practices—it can help organizations better align with legal standards and ensure equal access, equal treatment, and equal opportunity. These are all key components for satisfying the ongoing nondiscrimination requirements under laws like Title VII, the ADA, etc.

Additional Note: The Diversity Dividends Collective does not encourage or require law departments or law firms to make staffing decisions based on traits protected by law. Rather, the Collective leverages the power of data to educate the legal profession on existing diversity and identify opportunities where inclusivity may be improved. Law departments and law firms are encouraged to use the Diversity Dividends Collective in tandem with other inclusivity tools and programs and are advised to seek legal counsel before implementing any actions or changes.

Impact Highlights

93%

response rate from law firms.

650+

outside counsel teams have been positively impacted.

40+

legal departments have connected with 300+ law firms.

Purpose

The Diversity Dividends Collective is an award-winning consortium of legal departments working together with Diversity Lab to standardize how the legal profession measures, evaluates, and drives the inclusion efforts of outside counsel teams.

The Collective generates five main dividends for legal departments and the legal profession:

  • Insight into outside counsel teams’ demographics, including who has access to high-quality work, regular client interactions, leadership roles, and financial credit
  • Engagement with firms’ relationship partners, who handle work allocation decisions and can help root out discrimination
  • Industry-wide coalescence on the five outside counsel demographic data points
  • Magnified impact on firms — 320+ firms, 650+ client teams, and 13,700 lawyers so far! — by leveraging the collective of 40+ legal departments
  • Increased fairness and inclusion of all lawyers, regardless of background, on outside counsel teams

Process

Diversity Lab minimizes the legal department resources needed to analyze outside counsel diversity efforts by helping with data collection, analytics, and resources, and providing access to the Diversity Dividends Dashboard that evaluates each legal department’s top 20 firms.

Participating legal departments are asked to:

Ask their top 20 participating law firms to complete the Annual Outside Counsel Evaluation each year.

Step 1

Step 2

Engage in follow-up conversations with their top law firms, leveraging various resources provided by Diversity Lab, including a customized Dashboard, as seen below: 


A screenshot of the Diversity Dividends Collective dashboard

Step 3

Participate in quarterly community calls with fellow legal department members.

Step 4

Proof

In its second year, 620+ client teams from more than 320 law firms received Diversity Dividends evaluations, including:

92% of the Am Law 50
90% of the Am Law 100

LEARN MORE ABOUT THE COLLECTIVE

If you are a legal department interested in the Diversity Dividends Collective, please reach out and one of our team members will contact you.