Executive & GCs at Odds Over Legal’s Business Contributions

Key Takeaways

• 86% of GCs see legal as major business contributor, vs 17% of executives
• Nearly half of legal teams now use generative AI, doubling strategic priority
• Only 26% of boards discuss AI at every meeting, limiting oversight
• 58% of CFOs prioritize revenue growth in M&A, while 81% value intangibles
• Staffing constraints affect almost 50% of GCs, hindering business alignment

Pulse Analysis

The perception gap between general counsel and senior executives is more than a statistical curiosity; it signals a structural misalignment that can erode a company’s ability to embed risk management into its growth engine. When legal is seen as peripheral, executives may bypass counsel on strategic initiatives, increasing exposure to regulatory and reputational hazards. Bridging this divide requires clear metrics that demonstrate legal’s impact on revenue, speed to market, and compliance cost avoidance, fostering a partnership mindset rather than a transactional one.

At the same time, the legal function is undergoing a technology‑driven transformation. Nearly half of corporate law departments now have access to generative AI tools, and the proportion citing AI as a strategic priority has doubled in a year. This shift moves AI from a back‑office efficiency enhancer to a core decision‑support platform for contract analysis, litigation forecasting, and regulatory monitoring. However, boardrooms lag behind, with only a quarter of directors raising AI at every meeting, potentially leaving governance gaps as AI reshapes competitive dynamics and risk profiles.

Financial leaders also reveal a narrow lens on M&A success, emphasizing revenue growth, cost synergies, and cash‑flow improvement while undervaluing talent, brand, and intellectual property. As 81% of CFOs acknowledge the importance of intangibles yet admit poor protection, firms risk missing hidden value that could be unlocked through more holistic post‑deal integration. Aligning legal, board, and finance perspectives around both tangible and intangible outcomes will be critical for sustaining long‑term value creation in an increasingly complex business environment.