The Vital Role of the CLO During Times of Volatility

As businesses continuously adapt to unparalleled uncertainty, the Chief Legal Officer (CLO) is increasingly expected to contribute at board level, not just to the legal, compliance and risk issues facing organisations, but to the strategic direction and overall success of the business.

Odgers and Deloitte Legal recently co-hosted a legal breakfast to explore in greater depth how the CLO can provide invaluable foresight and stability during turbulent times.

Alex-Hamilton-Baily, Partner and Head, Legal & Professional Service Practice, along with Michael Castle, Senior Partner, Deloitte Legal, brought together a wide range of voices from across the legal community for an in-depth discussion centred around an impressive panel of guest speakers, moderated by Lizzie Elston, Client Development Director, Deloitte Legal.

The panellists were: Helen Barraclough, Group General Counsel, Company Secretary and Chief Risk Officer, Smith+Nephew; Lord Darroch KCMG, former National Security Advisor and former British Ambassador to the USA; and Alistair Dormer, former Chairman, Hitachi Europe Ltd and former CEO, Hitachi Rail.

Managing Today’s Geopolitics

With global challenges such as sanctions, trade wars, cyber threats and supply chain disruptions, the discussion began with an overview of today’s current geopolitical climate. 

Lord Darroch unpacked his view that “the world is in the most fragile and unpredictable condition at present, certainly that I can remember during my diplomatic career”, touching upon the international pressures faced across Europe, China and the U.S.

A Strategic Partner and Legal Advisor

From supply chain disruptions and geopolitical conflicts to cyberattacks and regulatory risks, the CLO is now central to long-term planning and crisis response. Far more than a legal advisor, the CLO must collaborate across departments and think like a CEO, balancing legal, operational, and reputational considerations in decision-making. This shift reflects the growing importance of legal leadership in shaping robust and adaptive business strategies.

Helen expressed that CLOs should always look for the opportunity and not just the risk, approaching everything from a strategic perspective to drive growth and deliver value for shareholders, and then build in risk management as a secondary layer.

CLOs Leading Through Uncertainty

Over the past 15 years, the role of the CLO has morphed radically from focusing solely on compliance and governance to becoming a strategic leader with geopolitical awareness.

Alistair attributed this shift to rising global uncertainty, where seasoned CEOs spend much of their time planning for the future, commenting: “In this context, the CLO must be a key contributor in strategy discussions, prepared with well-researched scenarios and options”. A proactive CLO can help the business respond swiftly to emerging risks, avoiding costly delays and adding real value at the leadership table. 

Helen emphasised the importance of CLOs being adaptable and the value of resilience and readiness in dealing with constant shifts, highlighting: “CLOs need to be able to navigate and be really comfortable with change, accepting that there will be something different in the inbox or on the desk each day”.

Building relationships and general trust also sets the tone for approaching the issue at hand. Using cyberattacks as an example, it's vital to engage with advisors during normal operations and not for the first time during a crisis, as this early groundwork ensures smoother coordination when incidents happen. CLOs should ensure teams are fully briefed on protocols, roles and responsibilities, and even simple steps like sharing mobile contact details can make a big difference in enabling a fast, cohesive response.

Essential CLO Traits For Disruption

If the CEO is ahead of the game, the CLO needs to be even further ahead. Beyond contingency planning and close alignment with the CEO, the speakers emphasised the importance of a growth-focused mindset to navigate crises effectively.

In reputation management, the CLO plays a key role in understanding stakeholder sentiment and shaping communications - not just from a regulatory standpoint, but as a strategic voice. Bringing calm, confidence, and clarity to teams, leveraging tools like AI, and maintaining strong peer networks are essential for informed decision-making.  

While CLOs may invest significant effort in preparing for risks, they must also navigate budget pressures from CFOs and CEOs focused on hitting financial targets. The key is to position contingency planning not as a sunk cost, but as a tactical investment - one that may never be visibly used but is invaluable when needed. In times of transformation or heightened stakeholder scrutiny, the CLO plays a vital role in helping leadership balance delivery with long-term resilience and avoid costly missteps.

As volatility and uncertainty becomes the norm, CLOs must lead with clarity, courage, and commercial acumen.

Odgers are proud to work closely with the most forward-thinking legal leaders. Whether a FTSE 100 company, a scaling portfolio business, a regulator, or an NGO, our networks can identify and develop world-class legal executives to fundamentally shape the future of your organisation.

Deloitte Legal recognises that Chief Legal Officers are business leaders, expected to increase efficiency, deliver greater value and reduce both risk and cost. We blend business experience, legal excellence and technology to deliver comprehensive solutions to our clients’ challenges that go beyond legal advice.

The Odgers and Deloitte Legal teams would like to warmly thank our panellists and attendees for their participation in the discussion. 

_______________________________________________________

Get in touch. Follow the links below to discover more, or contact our dedicated Legal & Professional Services leadership experts from your local Odgers office here. 

Find out more about Deloitte Legal’s CLO Programme here or by contacting deloittelegal@deloitte.co.uk.