Outsourcing document management to India is not a trend about to sweep law practices in the Asia-Pacific region - despite a recent announcement by Allen & Overy in London that it would relocate around half of its document production department to Chennai.

The move follows the lead of companies in other sectors - notably software development and contact centres - a number of which have moved operations to offshore locations. The firm's head of operational services in London, Stephen Chernikeeff (pictured) claimed the firm was pioneering this form of outsourcing for law firms. "Therefore, [we] are not sure this yet represents a trend."

Law firms have generally been slower on the uptake of IT trends than other sectors of the legal and professional services industry. Offshore outsourcing is no exception, due to the specialised nature of legal work. A spokesperson for one major Australian law firm said the issue was not on the agenda at all, as he couldn't see what part of its business could feasibly be outsourced.

A&O's London-based project would not directly affect its operations in Hong Kong and Singapore. "It is possible we will integrate the work sent to London from our international offices with the work we will send to Chennai," said Chernikeeff. Partners at the firm's Hong Kong, Singapore and other international offices would have the option of requesting work remain in London, he added.

The deal, negotiated with US firm Office Tiger, should deliver cost savings to Allen & Overy, as graduate-level staff are available at far more competitive salaries in South Asia. Earlier this month, Chernikeeff told the UK's Legal Week he expected many other law firms to engage in similar deals in the near future.

Some organisations - such as diversified manufacturing giant GE - have gone as far as to outsource work to law firms in India, reportedly saving US$700,000 in its plastics division alone in 2002.