Reflections on a year of change, growth, and learning as a law firm Alternative Legal Service Provider (ALSP).

Looking back on FY2025, we see a year that changed how we deliver legal services, not because of one single breakthrough, but because of several shifts that came together in a way that forced us to rethink how we work. Our clients became more sophisticated, their priorities changed, and AI moved from theory to practice. As an ALSP division, we spent much of this year listening, learning, and adapting. As a result, we didn’t just grow, we evolved, and these are the insights we are carrying into 2026.

1. AI Accelerates, But Human Judgment Delivers

At the start of the year, we thought AI would dominate the conversation. While it did become part of many engagements, the bigger realization was that AI only amplifies what’s already working. Most clients aren’t looking for AI for the sake of AI. They care about consistent results, quality controls that actually make sense, teams that work seamlessly together, and workflows that are repeatable and defensible. AI helps us move faster, but it doesn’t replace disciplined processes, human oversight, and good governance. In fact, some of our most successful matters this year weren’t the ones with the most AI, but the ones with the clearest, strongest processes in place. Technology is powerful, but judgment is what earns credibility.

2. Clients Are Buying Like Operations Teams

One of the biggest shifts we noticed this year was how clients evaluated our services. They no longer focused solely on headcount or hourly rates. Instead, they asked about workflow design, integration with their systems, change management, performance measurement, and how we organize cross-functional delivery. They weren’t buying “people,” they wanted overall capability and smart execution. ALSPs must deliver with the same operational rigor as legal operations teams, not as traditional staffing providers. Clients expect partners who can integrate seamlessly, scale intelligently, and produce consistent, repeatable outcomes. Those who fail to meet this standard risk being viewed as commoditized labor rather than strategic contributors.

3. Flexible Pricing Is the New Normal

This year, many engagements involved some type of alternative pricing beyond traditional hourly rates. Clients are increasingly looking for flexible options, whether it’s fixed fees or subscription-style arrangements. Clients want transparency and predictability in fees, and they expect us to deliver them. Flexibility isn’t a differentiator anymore, it’s a requirement. ALSPs that provide clear, structured pricing options, such as fixed fees for defined scopes, and subscription models for ongoing support, are the ones proving adaptability and a deep understanding of client priorities and operational needs.

4. Collaboration Makes Delivery Smoother

FY2025 reinforced the importance of working as part of a connected legal ecosystem. For us, that means aligning closely with client legal departments, corporate operations teams, and technology groups, while ensuring our workflows integrate with their enterprise systems. It also means adopting a hybrid model that brings together our law firm expertise, ALSP capabilities, and technology providers to deliver a unified solution. Clients increasingly want simplicity. They don’t want to manage multiple vendors for legal, process, and tech needs. By serving as a single point of delivery, we offer one-stop shopping by combining legal judgment, operational discipline, and technology in one streamlined solution for consistent client outcomes.

5. Scale Is About Design, Not Size

Clients also redefined “scale” this year. It was no longer about headcount. They’re looking for repeatable playbooks, tech-enabled workflows, systems that can ebb and flow with volume changes, and the ability to flex resourcing without losing quality. This was a big reminder that credibility comes from structure, not the number of people you can deploy. Scale is engineered, not simply staffed.

Looking ahead to 2026, FY2025 reinforced that ALSPs aren’t “alternatives” anymore. We are core to modern legal delivery. The ALSPs that will thrive in 2026 are those that operate like disciplined legal operations organizations, blending people, process, and technology with precision.

That’s the model we are building at NMSource. If this year taught us anything, it’s that the future isn’t coming, it’s already here.