Lawyers should interpret and apply laws and regulations, help executives set strategy to maximize gains and minimize legal backlash, draft legal documents, and give legal advice, but they should not run the operations that result from that work (See my post of Sept. 3, 2008: scope of legal department typical responsibilities.).
Each of the following activities needs a significant component of legal support, but lawyers, in my humble opinion, should not manage their day-to-day activities.
Anti-counterfeiting (See my post of Oct. 11, 2008: role in anti-counterfeiting.)
Compliance (See my post of June 11, 2008: compliance with 33 references.).
Contract management (See my post of May 5, 2006: contracts with 15 references.)
Environmental health and safety (See my post of May 5, 2008: specialty lawyers with 30 references.)
Insurance procurement (See my post of Aug. 21, 2005: tension between lawyers and risk managers on notification of claims.).
Lobbying (See my post of Aug. 21, 2008: government relations and legislation influencing with 6 references.)
Workers compensation (See my post of June 25, 2008: workers comp should not reside in the law department.).