For the first time in the history of commerce, contracts are being completely digitized. This development, combined with the rapid evolution of artificial intelligence (AI), has business leaders entirely rethinking the role contracts can play in their enterprise.
Contracts touch every facet of a business, including sales, procurement, and human resources. Prior to digitization, though, they were difficult or impossible to use in a strategic way. They were either relegated to a filing cabinet, or scanned and put into a shared drive as a PDF—forgotten until a problem cropped up. Manual management made contracts very people-dependent. Piles of legacy contracts carried risk that could not be easily surfaced. New contracts required time intensive manual analysis. The list goes on.
We at Icertis are focused on developing software that helps companies transform their contract processes to overcome these barriers, with clients including 3M, Daimler, Johnson & Johnson, Microsoft, Roche and Wipro. These and other global enterprises have used the cloud-based Icertis Contract Management (ICM) platform to gain better insight into and control over their contracts.
Now, with AI, these contracting capabilities will rise to the next level.
Of all the critical data categories in the enterprise, companies can benefit the most from the application of AI to contract management due to contracts' inherent unstructured nature. AI turns these once-unstructured documents into live, strategic assets. AI-infused contracts understand the meaning of clauses, and can identify what contract language could pose risks or opportunities to the enterprise, creating value where there was none before. AI can surface historical contract data to assist in negotiations, and enhance contract data input and visualization.
And this is just the beginning.
With AI, companies can look at every contract—old, in flight, new—and say: where is there opportunity to save money? Where is there opportunity to make money? Where is there opportunity to reduce risk? And where is their more opportunity to learn from previous mistakes?
Contract management software has gone from a simple repository to a system that is live and making sure your contracts are created properly, executed properly, and managed properly.
This technology has massive potential. Contracts form the foundation of commerce, governing every dollar in and out of the enterprise. By transforming how it manages contracts, a company transforms its very foundation.
To learn more, please contact us today.