Connect Legal and IT with AI-driven Contract Intelligence
According to Gartner® research, artificial intelligence is the technology CIOs are most likely to implement in 2023–how do you make sure you are getting the most out of your AI? In this On-demand Webinar, Evisort Senior Strategic Consultant Michael Clegg leads an engaging discussion and live demonstration on how IT teams can collaborate with legal teams to leverage AI-driven contract intelligence. You’ll learn how to:
Michael Clegg (00:05):
Glad to be here today as August said, I'm Michael Clegg. I'm a senior strategic consultant at Evisort, and today I'm super excited to talk to you all about connecting IT and legal with AI driven contract intelligence. It's a quick agenda for today. You see, as August said, we've saved some time at the end for Q&A, but also want you all to kind of keep in mind one question as we walk through this demonstration today. And that question is how many systems are used in your business today, right?
If you're in the front office, you probably have sales, marketing and customer service. And if you're at the back of the house, you probably deal with ERP, accounting, finance, HR and as I talk to customers and prospects that are in the IT space and IT leaders, I hear a three-part story. Almost without exception, the IT team has to procure the product, maintain it, and set it up.
So what they don't want is another system. That's the last thing they want, but if you listen and you're willing to learn, what I hear is that they do want a system that connects all their other systems and it's going to supercharge the IT department. And that's where to be completely transparent, where Evisort comes in.
A lot of folks that I talk to, they use Evisort as a brain on top of their other systems to pull in powerful information from their contracts and push that back to those systems. Just a couple quick examples. I was working with a sales leader not too long ago and we pulled in 3,000 contracts from Salesforce in less than an hour and the AI analyzed those contracts, pushing information back to Salesforce, allowing their sales team to leverage those viable insights.
Almost quarterly I'm working with someone with their procurement product if it's a REBA or different solution. Again, pulling in contracts, having the AI run those contracts and then pushing information back to those systems as well.
These are a few of our customers. I could say a ton of good things about all the folks that you see on this slide, but what I will say is that the average implementation time for all of our customers is under 22 days. So what does that mean for you as a IT leader is that it's going to be easier for you to stand up, easier for you to maintain. And then also speed to value is what I always hear from our customers. When you pay for something, you want to use it. And with Evisort you can definitely do that as well.
So with that, I'll jump into the live demo and as August said, please feel free to drop questions in the chat box throughout this as well. I'll start with just uploading some contracts and I'm going to drag and drop those contracts, but again, we could pull those contracts from Salesforce or any other solutions SharePoint that you may use as well. Then I'm going to talk about some alerts and search capabilities as well.
So as you all see, I created a folder for us today so you can see how the AI works. Just to level set, I always like to show the actual PDF of a contract just so we're all on the same page there. And as I said, I'm going to just drag and drop these contracts and when I drag and drop these contracts, the AI's going to start to run across these contracts, look for over 60 key fields of metadata as well.
So I'll just click into one of these particular contracts and you can already see the valuable information as it relates to the IT team. You talk about contract type, govern law, some of those key dates that we're always interested in as IT leaders. But then if I go to the contents tab, you'll start to see even more rich information that the AI's pulled out of this contract.
What I'd like to note here is that all the information you see here has been pulled out by the AI and we have a saying here at Evisort, trust but verify. We would love to do this with some of your contracts and show you exactly how it's working with these contracts we just uploaded. It'll work the same way with the contracts from your company or you even third party contracts as well. You can click the view button to actually, and the AI would take you exactly to where that information is being pulled from.
So you see indemnification there. If I wanted to jump into governing law, if I'm thinking about data privacy or other compliance issues, I can see their provision there. And then if I go to the actual govern law and the key information, it'll tell me exactly which jurisdiction this contract is governed by. And I know I don't need to kind of say this as I'm talking to IT leaders, but there's always something new, right? Someone's always asking you a question about something you're not particularly tracking and how do you solve for that problem? Well, Evisort has made it extremely easy.
Say for example, I want to search for there's been a disruption in supply chain and as an organization I want to know who can I invoice for partial shipments. When I talk to customers, what they'll say is, this project without Evisort is months, a month long project because you have to manually go through these contracts. With Evisort you don't have to do that anymore.
What we can do is highlight this provision, give it a particular name and apply it to this and other documents. And when I hit save, two things are going to happen. One, you'll see my partial shipments dropped down here over the contract summary paying, but also behind the scenes, the AI is now looking for this in similar provisions across all my contracts.
I mean, I want to put a pin in this because when we go to the search function, I'm going to show you how quickly the AI finds this example in other contracts as well. But we're not just going to get provisional information. As I said earlier, we're also going to get key dates and other contract information as well.
So you see the affected date there, the initial term, and I would just note that says third anniversary lawyers write contracts up sometimes in different ways, but the system is already identified that means three years. Two key dates that I want to kind of highlight so you can know this is true AI, initial expiration date and renewal notice date.
In this contract and often in contracts I've seen in my background as a lawyer, they're not in the contract. The way that AI has been able to identify that information, that is triangulated data, it does have. It's taken the effective date, the initial term and some information about a renewal notice period to give us that renewal notice date. So it'll reverse engineered that date and some folks might be asking yourself, why is that important? Well, how can we set up an alert or be proactive about our contracts if we don't have true AI pulling out this information as well?
And when I hear from IT leaders, it's nice to have information at a contract level, but also you want information across all your contracts and that's where our customizable dashboards come into play. I often note here that all the information you see here has been poured out by the AI. If I'm talking to the accounting and finance team and I'm more interested in payment terms, I can drag and drop that there.
If I'm working with someone in procurement and I want to know all of our top vendors, I can pull that information there as well and I can filter this information to show the contracts that I'm most interested. For example, if I'm working with our vendor procurement team and I want to look at only certain folders, I can highlight those folders and the dashboard's going to be dynamic. It'll only show me relevant contracts.
So think about this, probably once a quarter I'm working with a IT procurement leader to use this as a reporting mechanism for C-level executives and other folks across the company as well. You're also going to get a dashboard around expirations and renewal notice date. As I said here, renewal notice date and upcoming expiration aren't, oftentimes aren't in the contract, but because this is true AI, we're able to capture that information as well.
I'm sure some folks on the call say, "Okay, Michael, how do I make this actionable?" And every person I talk to I say, "Well, now we have this information, let's set up an alert so we can start to be proactive and not reactive around our contracts." So here I can say, Hey, show me all my upcoming renewals for 120 days and I'm doing 120 days, but we can do whatever cadence best suits your business as well.
And again, because the AI's already pulled out that information, I can say, "Show me all the renewal notice dates in the next 120 days." And then when I select the recipients, I can drop this down into an entire department, an IT leader, or anyone I want to have this information across the organization and once I set it, I can set it and forget it. If I add new contracts in Evisort or a different system, it doesn't matter to the extent they meet this criteria, they will always get notified about those contracts as well.
This is an example on the vendor side, but also what I've seen folks do on the customer side is to take this information and set it up an alert six months, nine months out before a customer is set to expire just to check in and we can push that alert to Salesforce or any other system that you would like and just to check in with the customer and say, "How's everything going? These some things in our roadmap that we kind of want to highlight to you all. Is there anything I could be doing better as a customer success manager to make sure you all are getting everything you need as well?" So the use cases for the alerts are truly limitless as well.
We can also, as I said, search across our contracts in almost a Google search type of way. If you all remember I told you all to put a pin in partial shipments because I wanted to show you how quickly the AI is going to capture that information. So I'm going to go to clauses and then I'm going to search for, "Hey, show me all my contracts that have partial shipments information in those contracts," and we tagged one example and the AI's already found 25 other examples as well. And I can kind of click through those contracts and you can see some of those partial shipments as well.
And you'll see that some of them are similar but even if they're not the exact same, the AI's going to pull out that information as well. Say for example, someone comes to me and I want to know upcoming renewals. What I can do is, "Hey, show me all my renewals in the next," let's call it a quarter, 90 days and I can highlight that information and it's going to show you the 138 contracts that are most relevant to you.
So we went from 14,000 contracts to 138 contracts that I'm most interested in as well. Currently, I'm working with an IT team and a finance team and they want to change their non-standard payment terms. I said, "How would you go about this without Evisort?" And they said we would have to manual look through hundreds, maybe thousands of contracts." And I said, "In Evisort we could do that for you in less than a minute, so if someone has a stopwatch, you can start timing me now."
So let's say your payment terms are, your standard terms are net 60, right? So what I can do is, "Hey, show me all my contracts that are net 60," and it seems like 184 contract or net 60, but that's not what I'm interested in. What I'm actually interested in is where it does not contain net 60. And then I can find all those contracts that are not net 60, right? 13,000 contracts. That's way too many for us to deal with in that first tranche.
But again, how do we make it a more manageable batch? What I can do is I can lay another filter on top of that. Show me all the ones that are not net 60 that are expiring in the next 120 days and then we go from 13,000 to 303 and we're not even done here. What we can do is select all these contracts and I can assign them to someone on the team to take these to the next step.
So Ope is a good friend of mine so I'm sure she won't mine. I can say, "Hey, Ope, can you actually take these contracts? They're not next 60, they're coming up for expiration in next six months. Can we get these on our standard payment terms?" So maybe that took me over a bit over a minute, but it was a lot less than a few months and I think that's the power of Evisort as well.
But we also can pull this information down to a searchable Excel spreadsheet as well and it's completely customized. I can include all the provisions I want, change of control, bankruptcy, any provisions I want and I'll export that Excel file. And one nice thing about this is a former lawyer and I talk to folks that deal with contracts all the time. You spend so much time creating Excel spreadsheets, copy and pasting, control F and drop into an Excel spreadsheet.
So what I hear from team after team, the ability to create an Excel spreadsheet with the click of a button is a huge value add. You're going to be able to, is a link back to the actual document and then on this provisional information, it's not just going to tell us that the provision exists, it's also going to give us the actual text. So start thinking about how we want to push this information back inside other systems. Not only can we tell you it has force majority provision, but we can tell you what that actual clause says as well.
And I know I'm talking to IT folks, so I would be remiss if I didn't include at least one compliance issue. Say for example, I'm looking for open source in my contracts folks, they use open source code so I could look for open source, but I could say even show me open source within 10 words of code. We can, if there's any lawyers on the phone, you can use route expanders very similarly that you would do in Westlaw or Lexis.
And then we can search all of our contracts. So we go again from 14,000 contracts to 96 contracts. Right now maybe we're not doing an open source compliance project, maybe we're doing a data privacy project. Evisort's going to identify standard contractual clauses. But I know, because I've worked with, I work with a customer almost every month on different GDPR regulations. So I know I can, there's one decision in 2010 that needs to be remediated and it's one in 2021 that does not. So how do I drill down those contracts?
I can, "Hey, show me where their standard contractual clause is," but it has that 2010 decision and then I'll drill into those and it'll show me the 54 contracts that I'm most interested in. Again, speed to information. Once you can access the information quicker, what you can do is make business decisions better and quicker as well.
We also have the capability to kind of help you remediate contracts as well. We don't have a ton of time on this call to kind of get into this, but one thing I did want to highlight, all that rich AI you saw on the post signature side for contracts I already signed, we've brought that to the pre signature side as well. So this contract you're looking at and you can redline and edit and comment as well, all that information is being pulled out of contracts that haven't even been signed already. So it's going to show you in your contracts where you have data breach and you could say use our clause library. If that's not our preferred provision, you can replace it or jurisdiction information as well.
And I always tell folks, if you don't believe us, you don't have to take my word for it. You could take the word of some of our customers that we've worked with and I'll just kind of highlight here is that we work with customers all in different industries in different sizes. And the reason they can use Evisort again is because it's a brain that can read your contracts and we can keep that information in Evisort, but more importantly for IT leaders we can also push that to different systems as well. So if you're in the front of the house or the back of the house, you can use Evisort as a brain to supercharge the IT team as well. So would love to hear questions from folks as well. Thank you.
Awesome, thanks so much, Michael, that was great. Just a reminder to all attendees, if you guys have any questions, please type them into the Q&A box and we'll try to get to them. So it looks like there's already a few that came through. So first one here. "Are there any instances of companies using Evisort as their central document management system? Has the software been configured to make this a realistic option? Would be great to hear more about this."
Michael Clegg (18:25):
Yeah, Alex, absolutely. Great question. What I would say, not only are there instances of it, but that is the predominant way that people use Evisort. Say for example you have some contracts in Salesforces, some contracts in SharePoint and some contracts in insert repository. What we see our customers doing is bringing in all those contracts inside of Evisort and having a single repository of truth. So you can bring in all those contracts. So if you're looking for anything, you know can go to Evisort to find that information. And what I'll also add is that we have all the access settings and permissions of a true data room, so you can make sure you have the right security permissions in there as well. But great question, Alex. Really appreciate it.
Awesome. We got another one here. This is a two-parter. First part, "Can the uploaded docs be PDF and also Word?"
Michael Clegg (19:21):
Yes. Yes, they can. So the PDF or Word and always tell people we work with clients that add documents going back to the 1940s, so even if they're messy or been scanned one too many times, we definitely can read those contracts as well.
Okay, great. And then the second part of this question, "Just as an example, an agreement that has 15 amendments over the past 10 years after they're all uploaded into the platform and when a search term such as indemnification is looked for across all 15 documents, can the system chronologically list all instances of that term because they're only interested in seeing the most recent of such references?"
Michael Clegg (20:03):
Yeah, Linton, great question and that's a very common use case. That's basically, as I understand the question you're asking about a hierarchy, documentary, parent-child relationship, different people call it different things, but you are exactly right because the AI is pulling out key date information and vendor, supplier name, counterparty it's going to be quite easy for you to identify, "Hey, A, what's all the contracts I have with this party? And then B, what is the latest in time so I can figure out, I'm only interested in the last indemnification provision I agreed to and not the one from 15 years ago." So that's a common use case and it's very easy because the AI is going to pull out that information as well.
Great. And then one more here. Looks like Gregory jumped a little late. "So related to agreements, do you load the agreements and format them based on AI capabilities?"
Michael Clegg (20:59):
Gregory, I'm going to tell you how I understand the question. So you saying that we'll load the agreements and the AI's automatically going to look for information. Feel free to let me know if I kind of misunderstood your question, but exactly right. So we can pull in the contracts. So at the top of the call I pulled out 20 contracts that the AI had never saw, drag and dropped them into the system and the AI automatically pulled our key information, supplier name, effective date, renewal date, provisional information, indemnification, limitation liability.
So yes it's going to look for information out of the box but also there's going to be new things that kind of come up and you can leverage the AI to look for that information as well. Thank you for that question, Gregory, I really appreciate it.
Great. We got one more here. "So you already talked about how quickly you can get up and running, Evisort, but how quickly does it take Evisort to actually analyze contracts?"
Michael Clegg (21:58):
Yeah, so I think our record is that in one day for a customer our AI analyzed over 400,000 contracts just in one day. So think about that, but the devil's going to be in the details, right, Teresa? So if you think about a contract that's 50 pages long that's a bit messier than a typical contract, that might take longer. From my experience, it takes about six seconds on average for the AI to read an entire contract. Sometimes it might take a bit longer than that, but again, we're talking seconds, maybe a minute or two, but nothing longer than that.
I'll give you one example. I was working with the customer last week, brought in 50,000 of the contracts from their SharePoint. The AI ran across all 50,000 contracts and by the end of the day, four or five hours, we sent them a five-minute video and one of their lawyers called us and they said, "Hey, is this our information?" It was an aha moment for them because they didn't know that the AI was going to work that fast. A previous vendor that they worked with, that process would take six months or a year, but we're talking minutes, hours, and days at Evisort.
Great. Yeah, all attendees, please keep your questions coming. These are great. We got another one here from Teresa. "Does Evisort have the capability to take contracts in SAP as attachment in PO module and upload into Evisort platform?
Michael Clegg (23:25):
Yeah, the devil's going to be in the details. There can be a lot of, SAP can do a lot of different things. We have a open set of rest APIs that basically everything you've seen you do or anything that's possible on the platform, there's usually a hook for that. So we can help you build that out and figure out which information you want pulled from the contract and sent back to SAP, but we have customers currently using SAP and also Ariba as well. I always tell folks the devil's going to be in the details. Would love to find time with you and your team to really serve as a thought partner with you on that and just share best practices about how to go about that.
Awesome. Next one here. Does Evisort have the capability to validate invoices against the contract?
Michael Clegg (24:14):
Yeah, so I've seen this use case a couple of times. Sometimes folks want to make sure the information that's in the invoice aligns with the information in the contract. It's going depend on, hey, where are the invoices stored, where the contracts stored? To the extent they're all on Evisort, it's going to be extremely easy, right? Because we will search the invoice for the information that we're interested in and then we could see what the contract says and marry the two up.
Even more than that, say that invoices are created in a different system, we can use that contractual information that the AI has pulled out and push it back to that invoice as well to the extent we to would like to do that as well.
Okay, next one here. "How do you tag contracts for minority vendors?"
Michael Clegg (25:05):
Yeah, so minority vendors, I think I'll speak about it. You could tag contracts for almost anything, so if you think about Teresa, the way I signed those contracts to obey or I want to bulk edit any information across contracts, I can select all those contracts, create a custom field and do that all on one screen in less than a minute. So that's how we would go about it for minority vendors, but also beyond that we could do that for any unique feel that we want to capture it as well.
All right, awesome. We got one more here. "Can you provide a synopsis of your company's capabilities and how you use AI so that we can share with management for knowledge and consideration?"
Michael Clegg (25:58):
I'm sorry, Aug, you broke up up a little bit.
Sorry. "Can you provide a synopsis of your company's capabilities and how you use AI so that we can share with management for knowledge and consideration?"
Michael Clegg (26:10):
Yeah, Gregory, great question because I see in the chat as well. So what I would say is this. Our AI's been trained on 12 million contracts, so you're going to benefit from all that rich learning of the contracts that the AI's read and then when it adjusts your contracts from wherever they are, that process is going to take hours or maybe a day or two depending on how many contracts you have. And then you can leverage that information to make important business decisions. Speed to information is going to allow you to make more informed and quicker and better business decisions as well. We'd love to kind of find time again, Gregory, with you and your team to share some other materials with you all as well.
Okay, great. Looks like we have time for one more and here it is, "Moving from analyzing existing agreements to building new agreements, can platform master users load standard clause language and the platform be used to create new agreements? Are there new agreement digital signature capabilities in the platform?"
Michael Clegg (27:13):
Yeah, Lynn, and I think the great question, you and I should definitely kind of find time to chat because exactly right. You're thinking about exactly right way. Once you have that historical data, you can start to use that and a lot of customers that we work with do exactly this. They can figure out what their preferred language is and use that to build templates and optimize that contract creation piece as well. So both, we have an end-to-end CLM solution. So yes, we could do exactly that. And we have out-of-the-box integrations with Adobe Sign and DocuSign, so we can definitely accommodate those as well.
Okay. All looks like Teresa got this one in just under the wire. "Do you have standard reporting templates? For example, show a report on vendor spend by commodities or by division?"
Michael Clegg (28:02):
Teresa, exactly right. You think about, I said earlier, how do you go from being reactive to proactive? We can set up kind of alerts or reports on a certain cadence so it drops down to folks on a regular basis so they know all the information they need about those contracts as well. And, Jorge, I see your question. "Do I understand correctly? We can create special filters to search across documents?" Exactly right, so you can look for anything in your contracts that you would like to find.
Okay, great. And then I guess we got time for one more, Alex asks, "Is there an integration with Jira?"
Michael Clegg (28:42):
So there's not an out-of-the-box integration with Jira, Alex, but as I said before, we have an open set of rest APIs. I'm not familiar with customer that has built out integration exactly with Jira, but I know they have an open set of rest APIs as well. So it's possible. The devil's going to be the detail so we can figure out the best way to go about that as well.
Okay, awesome. Well, it doesn't look like there are any more questions for today, so just want to let everyone know, a replay will be sent out to all registrants in case you want to watch again or share it out to your network, so thank you all so much for joining and have a great day. Thanks, Michael.
Michael Clegg (29:20):
Thank you all.
All right, bye, everyone.
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