Mastering Risk Assessment with Contract Intelligence
In order to drive successful business outcomes, particularly during times of market uncertainty, effective contract management is essential. Despite significant economic shifts over the last two years, some organizations have managed to excel in managing risk amidst these difficulties. In this on-demand webinar, join Evisort legal technology experts for a compelling conversation on how you can get ahead of risk using contract AI. During this live demo, we will delve into how you can use AI to:
Hi everyone, and welcome to today's webinar. My name's Tiffany, and as August said, I'm part of the strategic consulting team here at Evisort. I've spent several years in the CLM or contract management space, and I work closely with a lot of our clients to help solve for a lot of the challenges that they face with their agreements.
I'm going to start with just a few slides here. If you're new to contract management or have no idea who we are, I always like pulling up this slide here. This is really a 30,000-foot view of what we do as a platform. So we're really an end-to-end contract management system, but we approach the space a little bit differently. Really, our step zero is centralizing all of your contracts into one place so we can ingest your contracts from wherever they're living today. Oftentimes that's cloud storage, such as SharePoint or Google Drive, but it can also be a CRM systems such as Salesforce.
Now, once we bring in all of those contracts, we'll run our AI on the documents and it's going to extract several dozen metadata values, as well as provisions out of the box for you really on day one. But a big differentiator for us is not just pulling those out of the box clauses, but allowing you as users to come in and add your own custom clauses or custom fields to the platform to really track whatever is most important to you, and we'll be touching on that today.
Now, once we have all the data about your contracts, we can use that to intelligently inform workflow. So we'll help you draft better templates, negotiate more intelligently, and really expedite that workflow aspect of contract lifecycle management.
Now I want to show this slide super quick just to really hone in on the fact that we are industry and use case agnostic. So a lot of clients will come to us for one, two, maybe three use cases, but really we can help solve for a lot of different challenges that you face down the road as you grow as a business and an organization.
Now, in terms of what we're going to walk through today, this is the demo flow that we'll be walking through. So first, we're going to show you how you can recognize some of the most impactful contract clauses affecting cash flow. We'll then show you how you can reduce unnecessary spend through management of crucial contract data and then how you can optimize risk management across contract operations and help de-risk some of those future agreements.
So with that, let's go ahead and jump into the demonstration. Now, I want to start on the dashboard's tab. I mentioned this in the slide deck, but really on day one, we're able to give valuable insights to a lot of our clients. So upon ingestion of your contracts, within a matter of hours, we're able to give you a dashboard such as the one you see here. And a lot of these data points are out of the box, but those custom metadata fields or clauses that you're adding to Evisort can also be visualized here.
But let's talk to some of the important ones around risk management, but also how it impacts cash flow. So maybe payment terms is something we want to look at. You'll notice this dashboard view is entirely customizable. So depending on the data that I care about most, I can really bring that to the top and have this serve as my landing page when I come into t, so I can focus on the data that's most important to me.
So payment terms is great. We can see where we can delay payment and increase cash flow within the business, but termination for convenience may also be an important one. Maybe we want to know which contracts can we cancel at any time for any reason and see that visualized very clearly here.
In addition to moving these charts around, we can actually add or remove charts as well. So if I don't care about some of these, but I want to see that early payment discount, I can bring that in and I can also filter this data. So maybe I only care about master services agreements, I can quickly see the relevant data now, here on the dashboard. And I can save this view once I get something that I like. We realize that different users, different departments will care about different things. So here, I've actually created one for procurement, again, surfacing some of those data points that we just touched on.
Another out-of-the-box dashboard that you'll get with Evisort is expirations. We get a lot of clients that come to us saying, we need to cut down on spend this year. I want to cut a million dollars out of my spend. This dashboard will really get you 95% of the way there. So not only are we surfacing upcoming expiration dates, but we are giving you that renewal notice period, so you can actually negotiate those contracts or cancel them if need be. And of course, down below with every dashboard, you'll get a table of those documents. So you can actually click in and view the details, like a snapshot view here of those agreements.
Okay, so this is again, data visualized at a 10,000-foot view. But what if we get asked a question about our contracts? How do we answer that with Evisort? Let's come into the search tab. This is where I can really answer any contract question and run any report on the data. So I'll just run an empty search here to show you that I have about 13,000 agreements in my environment. Now maybe I want to see what contracts I have with a renewal notice date coming up in the next 90 days.
I can run that search here and my results will show about 100 documents. So we've already narrowed it down quite a bit, but maybe I want to see renewal notices in the next 90 days that are automatic renewals. I'd say this is a search that's coming up a lot with our clients right now.
A lot of customers once implemented with Evisort or going through a POC process will be shocked to see how many contracts they have that are automatically renewing without them knowing. So very quickly we can cancel some of these contracts or negotiate them and cut down on spend quite significantly.
Not only are we surfacing the documents here, of course I can click into these as well and get that snapshot and I can table through them so I don't have to read through these documents one by one. I can also select the documents that I have here and take action on them. So how are we actually taking action on these results?
I can assign a reviewer maybe and say, okay, take a look at these contracts. They're all automatically renewing. Let's do something about it now. I'll run another search here. So maybe we want to see, I'll cancel these. I just want to do a keyword search and I'll see. Where do I have late payment penalties and I'll put that in quotation so I can see exactly that language. Let's click into one of these agreements.
Now here is all that data surfaced again, so I can see those important data points, but I'll click into the contents tab because this is where I can actually view that document in its entirety and I can do a search for where that late payment penalty appears. And what you'll notice is, this isn't one of the clauses that Evisort will extract out of the box, but as mentioned earlier, you guys can add your own clauses to the platform.
And we realize that every company that we work with will care about different things. So it's a big differentiator for us to allow you to come in and train the AI yourself. So I can highlight this clause, tag it, and I can say, okay, late payment penalty, add that clause, and I could apply it just to this document, but the power is really when we apply it to this and other documents. So this is now going to add that clause to Evisort and AI is now working in the background to go find contracts with that language or similar in the entire repository, in my case, across those 13,000 agreements.
And now what's really cool is I'll see that pulled out in the contract summary and for any contract where that language appears, we're going to see it in that contract summary. So really the flexibility here is what we want to highlight and we're able to catch a clause that may be risky to the business.
So let's quickly touch on alerts. So we touched on dashboards running a search, but how can we get alerted so we actually don't miss those things, right? So what if I'm not in the platform? What if I'm not running a search or looking at a document and I want to make sure I don't miss things? You can set an alert to notify users of important contract language or key dates. You'll notice we have one for the upcoming renewals.
So I'll open up the filters just to show you how this is set up. So here I can see this is set to alert individuals whenever we have a renewal notice date in the next 90 days, that is that automatic renewal. So actually sending out an alert. Those individuals that are assigned to this alert will get an email with a link to all of the relevant documents so they can actually take a look at them and take action on them. So we have a number of different ways of ensuring that you guys don't miss this crucial contract data.
And this is all really speaking to the post signature side of your contracts. So this has all been so far really legacy documents and how we can extract that data. So let's talk about how we de-risk contracts going forward. So how do we handle that for new agreements? I'll step into the workflow side of the tool, and this is where I'll see all of the tickets in Evisort. And tickets are really just new documents or in flight documents.
And just to touch on this view quickly, this is my personal queue. So these are documents that are currently assigned to me that I need to take action on. I can see who submitted them and the status that they're currently in. So really full visibility into the contract process for any new documents.
But for our purposes today, I'm going to kick off a new MSA just to show you what that looks like. So when I click new ticket, it's going to show me all of the contract types that I have access to. You might see as many as me, or you might have just a couple in here, but I'll quickly search for my MSA. And before I click in here, I just want to highlight this hyperlink.
This hyperlink allows you to embed the intake form that we're about to see, wherever you want that to live. So if you want to enable your users to kick off a contract process from a tool they're already used to using, maybe it's Salesforce or an internal portal of sorts, you can take that link and embed it wherever you want and it's going to take them to this form.
And this form is really valuable for a number of reasons. One, we're enabling really any user to come in and create a new contract themselves, but putting guardrails in place to ensure that they're supplying the data that we need them to, to kick off this process properly, right? They're going to have to supply counterparty information, contract information, or any metadata that you want tied to this MSA at the onset. So we're de-risking contracts going forward and really reducing that risk of human error.
So I'll begin filling out the form. You'll notice I can use my template or upload a counterparty paper. For our purposes and really our platform as a whole, we look at third party paper the same. So when it comes to analyzing those contracts and sending them for review, it's really not going to be that different for you as an end user, which is again, another big differentiator for us. So I'll just fill out this form. I'll give the counterparty name, maybe address again, some contract information.
And of course some of this data is going to be put into the MSA itself, but some of the data might help determine how this document gets routed. So a good example here is contract value. If this contract is over $100,000, we're going to loop in finance for review. And if it's under that threshold, we're going to just bypass finance review entirely. So we're taking the thinking out of the process and enforcing that the proper approvals occur at the right time.
Another example of that might be standard versus non-standard language. So if we see that someone's inserting governing law that isn't our preferred or standard, we could enforce legal approval, to make sure that that gets reviewed and looked over before it's actually sent out to the counterparty.
This form though, is entirely customizable. So the types of fields you see here, whether it's a dropdown, text box, radio button, the questions we're asking the user, I do want you all to know that that is entirely customizable based on your process and the data that you're looking to capture.
So once the user fills out that information, they'll be able to generate that MSA. And this is all happening in the background. You'll notice that I didn't touch a Word document or a PDF. You don't have to worry now about users using outdated templates or outdated language. So now I'll be able to view that ticket, and this is going to give me full visibility into this process as this contract moves through review.
So I can see the document and the link to it up top, and I can also see how this document is moving along in the process. I know that the sales manager's going to have to complete their review. And then legal. And again, depending on what your workflow looks like, we can mirror that. So if it needs to be chronological, like you see here, great, but people can also receive this in tandem, so lots of flexibility as to who receives this and when.
Now, I'll open up the document just so we can see what got generated here. And for demo purposes, everything that is highlighted is something that was pulled in dynamically from that intake form. So it could be something as simple as counterparty name and address, but anything blue is actually conditional. So we're inserting our California address because this was a US entity. If we had put that it was a non-US entity, we would use our UK address as an example.
So we can conditionally insert content into that agreement. Now again, you'll get full visibility on the right-hand side, and we have in-app editing. So you can actually come in and modify this agreement directly within our tool. And when we think about risk, this is actually a pretty important piece because we're enforcing that users edit within the platform. This will obviously increase visibility as we go through contract review.
But if we force people to export this and edit it outside of Evisort, people are offline, they might be editing something that another person is editing on their desktop. So it becomes problematic that way during contract review. So we've really embedded Microsoft Word within our tool, so you can have that in-app editing. And as I'm going through this, I'll have access to my clause library as well.
So when we think about de-risking contract negotiation, this is a pretty big piece as well. We want to ensure that we are using the proper language. If we do use fallback language, we're using it at the right time as well. And this is something that's typically built out and managed by our legal team.
So you guys will come in and add your clauses that are defined by you, what your preferred is, what your fallback is, and we can actually have guidance for the user, right? If it isn't legal making those negotiations. Now we can see, okay, I know as maybe a sales user that I should be using this assignment clause maybe 90% of the time, but if I am talking to one of my larger or more trusted clients, then we can safely fall back to this version of the clause. And you'll notice I can easily copy and paste that into the document editor as I'm going through review.
And mention one thing here too, is this is typically something that's very cumbersome to stand up. In the CLM space, this is a manual setup of your clause library. You're taking your best guess at what that standard language is. You might be pulling it from an old template, but we're working really hard to connect the AI side of the house with the CLM side.
So because we've ingested all your contracts and we have all that data, we can tell you confidently what version of your assignment clauses is used 90% of the time. And maybe it's something that isn't in your standard template, but it's something that you had negotiated to and ended on, again, 90% of the time. So taking some of the maintenance and the labor out of building a clause library is how we're approaching that a little bit differently.
So I will pause there. That's the bulk of what I had planned to show you all. Just to quickly recap, Evisort really focuses on turning your contracts into data. And once we have that data on your contracts, we'll give you full visibility into any risky language, but also use that to inform workflow going forward so you can confidently draft better agreements and negotiate better agreements. So with that, I will turn it back over to August and we can go through a little bit of Q and A here.
Awesome. Thank you so much, Tiffany. That was great. Just a reminder to all attendees, if you have any questions, please type them into the Q and A box and we'll try to get them. Looks like there are a few that already came in. So the first one here, do you integrate with TPRM solutions like OneTrust?
OneTrust? That's a good question. So we, to my knowledge, don't integrate with them out of the box. We do have an open API, though, that our clients will use if they want to integrate into really any system of choice. That's something that we can definitely scope out as part of the sales process. I'm usually a part of that, so happy to chat through that and also provide documentation if you were to evaluate Evisort.
Awesome, another one here. How long does it take to get up and running with Evisort?
That's a good question. So this is another big differentiator for us, I would say. When we think about the step one, ingesting your contracts and getting that data pulled out, that's an almost immediate step. So we do that day one. Of course, there tends to be a little bit of cleanup as part of that process, so getting rid of duplicates or maybe really old expired contracts. So that could be anywhere from a one to two week process, and that's for the analytics side.
And then workflow, I safely say, one to two months, just depending on how many workflows you have, the complexity, et cetera. But of course, that's something that our onboarding team helps you with, so you're not on your own for that process. We teach you how to fish and then you guys can manage maintenance and any updates to workflows, et cetera. Going forward.
Awesome. Another integration question here. Do you integrate with RFPIO or other proposal management tools?
That's a good question. So not out of the box, so this would be another instance where we can leverage our API to build out that integration if that is desired.
Awesome. Another one here, our contracts are stored in multiple locations. Can Evisort still analyze them?
Absolutely. So we have a number of pre-built integrations, so really to all cloud storage options. Think your Google Drive, Dropbox, Box, OneDrive, SharePoint, but also with Salesforce. And we do this all the time with clients, of course, if they're living elsewhere, it's usually not too much of a lift to get those documents exported and then uploaded into our platform.
Awesome. And then one more question here. How quickly does it take Evisort actually analyze contracts?
Yeah, so I'll talk to it at the individual document level. So if you're adding a new document to the platform, usually it takes just a few moments, and by moments I mean one to two minutes, again, depending on the length of that document. When we're doing it in bulk though, which is usually that initial step, right? I'll give you an example, worked with a client and a POC. They actually brought in all of their agreements, which were about 45,000 agreements, and we did that in less than eight hours. So again, when we're doing it in bulk, it's going to depend on the volume, but usually no more than a day. And that's for those really big contract volumes.
Awesome. Well, it doesn't look like there's any more questions for today. Just so everyone knows, 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 everyone for joining, and thank you Tiffany for a great demo.
Yeah. Thanks everyone. Take care.
All right, have a great day.
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