SIG Webinar: Empowering sourcing teams with connected contract data
Today’s sourcing teams must be empowered to make confident decisions faster than ever. That starts with having accurate supplier and contract data at your fingertips. Watch this on-demand webinar to learn how you can use AI to analyze thousands of contracts at a time, automatically extracting the most impactful data for your team. Evisort CMO Michaela Dempsey and Director of Strategic Consulting Tom Boyd shared how you can use this data to:
Ali Music (00:00):
The name of this webinar, make sure you're in the right place, is Empowering Sourcing Teams with Connected Contract Data. We have two amazing speakers today. We'll talk about Michaela first because I have many years of knowing her. Before this webinar, we were talking about how long it's been and it was BC, before kids, so it's been a long time, Michaela. I've loved working with you, so I'm so excited to have her here, and then also Tom both from Evisort. So I'll just do a quick intro about the two of you and then I will pass the virtual baton.
Michaela is the Chief Marketing Officer at Evisort. She has a proven track record in both high growth startups and large enterprises, most recently Workday. She has helped guide some of Bay's Area top startups. She has a degree from Boston University and we're so excited to have her here. And the other speaker is Tom, which I've had the pleasure of getting to know for the first time today and his very cute puppy who may or may not bark or get on camera. I have seen her. She's adorable. I think that we need a picture of her as well during this webinar. So Tom is the Director of Strategic Consulting. He helps clients match the business challenges they face with new capabilities that Evisort offers. We're so excited to have both of you here and I am passing the baton. Catch it and it's all yours.
Tom Boyd (01:21):
All right. Thank you, Ali. I really appreciate it. Excited to be here. And I'm going to share up the deck and take the baton and just in case Sassafras cannot make an appearance, please take Ali's word for it. She is that cute, but it's storming in Houston so she's also a little shy today.
Michaela Dempsey (01:42):
I love the name.
Tom Boyd (01:45):
It shortens to Sassy. You got to have something you can shout if they're not coming.
Michaela Dempsey (01:50):
Sounds good. Let's move on to what our agenda is today. So we're going to do an AI pulse check. We're going to see how we can leverage AI for sourcing. Tom's going to give us an amazing demo and then we'll open the floor up to Q&A. Maybe some of the audience knows me. I've been in sourcing now for a while and so let's move on to the next slide.
Tom Boyd (02:16):
Michaela Dempsey (02:18):
So investments in AI technology are certainly on the rise. A Deloitte survey of over 2,600 businesses leaders have shown that organizations are getting substantial value out of their investments. 82% of those surveys said AI increases job satisfaction and enhances performance, and 79% are fully deploying AI applications. To me this underscores the persistent belief in an importance of AI in the years ahead. This is also reflected in the conversations that we're having with our customers, the sourcing industry and other areas of the business. Augmenting your organization's capabilities with AI is certainly the path forward, but let's take a look at how leaders are getting there.
It's a common question of build versus buy and 65% of leaders are choosing to acquire AI as a product or a service rather than to build it. And of course every organization's preference is trying technology is different. I'd love to kick things off with a quick poll to see where everyone in this audience is today. So can we move on to the poll? So the poll's basically asking, have you used AI in your contract sourcing operations? So I'm not sure where this group's going to land, but what I've seen over the last few months in the webinars is either, "No, but we're planning to this year." Because they said no, they were planning to actually this year. Or they have it but they haven't fully utilized it. Tom, where do you think the audience is going to fall?
Tom Boyd (04:00):
I think it's going to look a bit like one of those early adopter curves. I think we'll get 10 to 20% already live getting full value, proven effective, 20 to 30% starting to get the hang of it. And then I think they'll be the other 50% in C, and I hope for the sake of the people on this webinar that we get no one in category D. Oh, I am surprised and saddened.
Michaela Dempsey (04:28):
Don't be sad. They're going to get there. Okay, well, let's move on.
Tom Boyd (04:38):
Michaela Dempsey (04:38):
And thank you all for participating in the poll. It looks like there's a lot to learn. But Evisort's AI platform for CLM and analysis connects contract data, unlocks productivity and delivers digital workflows that create great experiences across the enterprise. Powered by proprietary AI -- try to say that a lot of times fast and you can't -- and trained on 11 million contracts and over a billion data points, Evisort is the first AI native CLM company to achieve ISO 2701 and 27701 certifications in addition to our SOC Type 2. But what is all that? What is important is how we empower sourcing teams with connected contracts. So Tom, can you kind of explain that?
Tom Boyd (05:27):
Absolutely. So what we offer is an end-to-end contract management system and when it comes to contracts, the way I think about it is it's all about the data and it's all about the processes. So you have to have processes that keep the contract on rails, make sure it gets the eyes on it needs, make sure it gets approved, gets drafted with the correct terms, put away in the right folder. And then you also need to know everything that's in that contract essentially forever or for at least the life of that contract, and that data has to get to the people who need it. So you can imagine how that was a previously insurmountable challenge. Great managers doing great work every day can enforce good processes, but then pulling out that data on top of that, there's really no substitute besides having a human being review, having a human being record. And I say this from personal experience because I used to be a finance attorney.
As recently as 2016, the peak technology in the field for getting information out of contracts at scale was people like myself staying up till 2:00 in the morning, pounding coffee, reading contracts over and over and over and putting that information into Excel spreadsheets. So I'm very excited on both the process and the data side, how far we've come in just a few years. And so a few things we'll highlight right off the top are transparency and visibility. So that means you can see both what's happening in the process with your contracts and what's happening in terms of the data in your contracts. What did they say? What are the obligations we need to worry about? There's a few very obvious things how that helps your organization move faster right off the bat, including you can immediately see the status of a contract and cycle and who still needs to approve.
That means it never gets lost and you're cutting down the email follow up where if we need to know what needs to happen on a contract rather than pulling the team and taking a couple days for people to get back to us, we can immediately see, oh, this contract is now going to this professional for them to take their step on it. That introduces accountability, and so people tend to be a bit more on the ball when they know that not only is it falling to them, but everyone can see it's falling to them. There's benefits for both managers and the people doing the reviewing by creating that visibility. And then you can have automatic approval workflow so that you don't need A+ managers doing A+ work every day to get those results that you want.
The tools should be able to guide you through that process so that you tell it what the rules are and then all you have to do is follow that process. All that judgment fatigue, a lot of that manual drafting and manual follow-up gets removed from the process entirely. And as we saw at the beginning when 82% of people said that AI improved their jobs, you can focus on the part of your jobs that are a bit more enjoyable and a bit more thought provoking. And Michaela.
Michaela Dempsey (08:17):
That's great. I wanted to walk through a customer example of Plug who recently rebranded as Plug, which was Plug Power. They were actually one of our very first customers. They're based in the northeast of the United States and they really found success with our product in a lot of different areas. But they were able to easily upload a little over 10,000 documents in under 15 hours and start tracking the metadata. They were then able to start grabbing some of their information out of their old Iron Mountain boxes, bring that in through OCR scans and a lot of old documents and save their Iron Mountain money, which at the time seemed like maybe not that much money because it was a hundred dollars a box. But at 60 boxes over a year and then ongoing, that really adds up.
But additionally, what Plug had shared with us is it was a great piece of mind that they had overall and having that older contract data to go back and look at some of the clauses and such that they agreed to and the terms that they agreed to so that they had a better overall view of terms that they had adjusted with vendors over the years. And what they found overall is that having these live dashboards and reporting capabilities, the ability to see everything that's renewing, really having a tighter conversation with legal and procurement has made everything so much smoother. And what are your thoughts, Tom?
Tom Boyd (10:11):
No, I mean I completely agree. I think it's a great example of how it's a chance to replace a sort of... I don't want to say outdated, but a manual intensive process like manually keeping track of physical documents, storing them in an offsite repository, dealing with all the risk of what's in those documents is essentially unknown to me. And replacing that with a sleek streamlined tool that can give you all the information in those documents at your fingertips, make it searchable and just give you a chance to stop that both the trickle out of money because you're paying for those manual services, but also the team time and the team effort that goes into supporting those manual services that often don't even deliver the outcome you want because you can't then get the data you need from those contracts.
Michaela Dempsey (11:02):
Yeah, no, it's a wonderful story for Plug and we really love having them as a customer. I think there's another customer story that we'll be moving on to next, but I think Tom, you've got something to share before that?
Tom Boyd (11:18):
Yes. So just to tee us up for the next customer example, a feature of Evisort that we'll show in the demo but that we wanted to highlight upfront is that it helps you automate contract creation so that you're cutting out every manual pain point you can. That means procurement contracts can be largely self-serve. Someone in procurement who needs a contract doesn't have to file a ticket and then speak with an attorney and the attorney will go off and find a template and then begin drafting. And all of that gives opportunities for ambiguity and manual error and delay because someone's manually hunting down something, someone's manually trying to follow a set of directions to get what they need. That can become now a self-served process so that when someone in procurement needs a contract, they can request it, they can have the first draft created automatically and it can automatically be routed out for review by the appropriate legal people based on what's in the contract.
So we can go to different reviewers based on the specific details of the contract. Higher value contracts can go to more senior people, contracts that include data privacy or confidentiality implications can go to privacy council for review, but it just reduces risk across the org by getting that contract on everyone's desk who needs to see it in a streamlined organized way. And we find that a lot of clients are able to not just free up procurement time, but free up a lot of attorney and other team time by using that because they're finding, once they've got this process and the visibility into this process, that there's a lot of contracts that just don't end up needing legal review.
It's on the automatically drafted template. We've made no changes, and so we don't need to burden an attorney or slow down our ability to onboard that vendor by adding people who don't need to be part of that process to the process. And we get that supply faster, the teams can move faster all with less effort and less time spent from both procurement and legal and any other supporting teams. And I'll take us now into the client example of that. Michaela.
Michaela Dempsey (13:18):
This is honestly one of my most favorite client examples. So Care Initiatives stepped into working with Evisort during the pandemic. They have 51 unique facilities, 48 of them are nursing homes and during COVID obviously we all know that the challenges that were faced there. What most of these facilities had were sort of a notebook with plastic pages in it that had certain vendors that would come into the nursing home and obviously this wouldn't work. So what happened here was that they took all the contracts, OCRed them in, made them centralized and allowed for the business to easily flow. And that was really the main step. I know that most people here that are in SIG are well beyond those types of challenges, but what happened from here was what is magical. So first off, they have annual random compliance check-ins. And so now with Evisort, they're able to bring someone in, put them onto a laptop or some kind of computer system and allow them to go into and look at all the contracts and parts and pieces that are critical to each facility.
So each 51 facilities gets a random audit throughout the year and they're able to easily go through all the documentation that the federal government needs to make sure that they are in compliance with Medicare and Medicaid and all the government regulations, so that they have a certain level grade, so that they continue to bring in patients and support the Medicare for diabetes and then for other government supported reviews. There's also additional compliance checks that they have and some of our other healthcare facilities have on doctors and other regulations. And it's easy to grab all that data out of the system, sort against it and have it for any auditor at any time. This was amazing.
But what happened next is life changing, and this is where when you're working in software, you always want to make life better for your customers. In this particular case, we were able to help them get the workflow set up in such a way that when hospice patients came in, there's not a lot of time there, but in the past they would have to mail something in or put it in and it would take anywhere from about 14 days and in some cases two months for approvals for hospice care.
And now with the solution set up the way they have it with the workflow and such, they can easily put information in, spider out the workflow, have that approval, and within an hour they can have a patient getting set up for hospice care. And that is simply amazing. I mean, Care Initiatives has done just an amazing job changing the processes within their business by using a software tool that has helped them serve their patients and their employees. So they have over 150 employees trained on this, so it just makes it easily for any of the nurses or anyone to put things into the system and then work through it. And then of course they had documents stating back to the eighties. And so by being able to use the OCR, scan it in, and get all the contracts in and really have them available for the business has been amazing. They were able to get that done in two months and have everything up and ready in two weeks. I just love the story. The people there are amazing and it's just been fabulous.
Tom Boyd (17:56):
Thank you very much Michaela. And there's two things I want to draw special attention to that Michaela mentioned. I think the entire thing is an amazing story and I'm really pleased that we're able to help people get care faster and take all these pain points out. But I wanted to also just draw everyone's attention to a couple things that were mentioned. One is even if your business doesn't have to deal with any sort of Medicare related audits, we all have to deal with some type of audits or some need to regularly review all our agreements and make sure we're in compliance with some current standard. So a big one for a lot of our clients this year was GDPR where they need to have agreements with their vendors or clauses in their agreements with their vendors where the vendors are taking appropriate care with data that's in line with GDPR standards.
And when the standards change this year, suddenly a lot of companies needed to kick off an immediate look back and review, see across all these contracts where they hadn't tracked this information before. Where do we have these terms and where do we have these agreements? Are they in compliance with the latest requirements? And then kick off amendments where not so that they could make sure all their vendors have agreed to handle data in line with the latest GDPR requirements or ESG, environmental social governance ratings. Another one that we see a lot where ESG ratings have very significant implications for companies in terms of access to capital who can invest all sorts of larger strategic implications for these scores and how powerful is it to be able to train a few models in Evisort and then have hard data on how many of your vendors have agreed to certain kinds of good behavior.
You're able to essentially make those contracts searchable. And so for any kind of audit or compliance review or even just ad hoc inquiries, you're able to get that hard data about what's in your contracts very quickly and give you a lot more confidence that you are quickly and accurately answering any of these questions, whether it is legal compliance, rating agencies or just any sort of risk reduction or review project. And then the last thing I'll call out is in that middle section, expedited contract creation and approval. This is actually a very common sort of combined outcome that we see when clients start using Evisort. At the top, their contract cycle time goes down just because almost every manual pain point in it has been taken out, the process is on rails, you're starting from your best first draft and it's automatically routed from creation through the signature.
But then we're also seeing it's not just process, having access to that data is a pretty powerful savings tool and cost reduction tool because all those savings opportunities that are buried in your contract, that if you had infinite time and money you could send people to go out and find them, that's now at your fingertips immediately and searchable. And I'll show this a bit when we get into the platform, but it means things like finding where you've got longer payment terms than average in a few seconds and delaying payment so that money stays in the business or finding where you've got any kind of early payment discount. Or any kind of beneficial right to goods of a certain caliber or quality or anything like that, it makes all that extremely easy to find and that way you can claim that benefit for your business. So I just wanted to call out that combination of both speed and savings is a fairly common experience once people start using a tool like this.
Michaela Dempsey (21:17):
And Tom, I had seen a question come in about being able to work on different types of contract templates, so I thought we might as well take it since I saw it.
Tom Boyd (21:30):
Yeah, it's a perfect question and please do keep the questions coming in. We'll have a little Q&A in the end, but also I like to make it an interactive session so it's more fun for us if we know what y'all are curious about as we're going through. And the answer is because Evisort's AI, like Michaela said at the beginning, is trained on 11 million contracts and counting, it requires no additional training to work on your templates. So it's already trained on such an enormous sample size, it's already such a sophisticated meaning-based context-based review and we'll show you that on a real contract in a few minutes that it doesn't require any additional training or tutelage to work on your paper. You should expect day one that it works just as well on your paper as on third party paper because it's true AI that can read a contract and tell you, "This is an assignment clause, this is a force majeure clause. You've got a 60-day termination for convenience right or whatever else you need."
Michaela Dempsey (22:28):
Well, that's great. Thank you for taking that question.
Tom Boyd (22:32):
No, of course. And then the last key value highlight and customer story that we'll get into is it's a great way to mitigate risk and I think hand in hand with that, it's a great way to surface opportunities. These are just a few examples, but things like expiration and renewal dates can now be identified automatically so that all the manual effort and the inherent sort of inconsistency when you rely on human beings to do the review and tracking of this is now something that can be automated. That data is surface searchable, you can set alerts on it so you're never having contracts auto-renew that you didn't want to and you're able to make sure you're paying only for what you need. And on the other hand, when you've got an expiration coming up, to make sure that you ensure continuity of supply if the contract's going to expire and you want to keep doing business with that vendor and as I was saying, you can make that an automated process so you don't even have to come in and search for that data every time you'd like it.
You can set alerts so that while I am attending to my other day-to-day duties, every week I get an email with a list of all my contracts expiring in 90 days, renewing in 90 days or whatever other information I need. And overall that makes it very easy to manage the obligations in these contracts. It's not just expiration renewal dates as we'll see, it's payment terms, it's any kind of burdensome obligation: do we have non-competes or non-solicits that we should make sure we aren't breaching? Have we given away publicity rights and maybe in the future we want to make sure we get something in exchange for those so that our vendors can't just use our name and logo and say, "Part of the reason you should use us is that we sell to this exemplary client"?
So all that information is surfaced and searchable, you're reducing risk because now the risk of breaching that by accident, missing a key date, accepting suboptimal terms is much smaller. And paired with that, it's a lot of new opportunities because this information is in your hands, it's in procurement's hands and you can now go to the business with some exciting ideas for here's how we could cut cost, here's how we could consolidate suppliers. Do we want to start asking for something in exchange for the publicity rights that we've been giving out or anything like that? Let's go into a customer example similar to that.
Michaela Dempsey (24:48):
That's great. So this next customer example is a specialty insurance company and they too have been with us for quite a while and they have built this company up over the last I think six or seven years. So it's a relatively new company that was a spin out of a very famous brand and what they have done is they've reduced regulatory risk and more easily provided compliance with their federal banking policies by using the AI solution to dive in and find really everything that they need in the systems, in the contracts and be able to share that information with the regulators. Most recently they had to share a prism impact rating for the central Bank of Ireland and they were able to easily conduct that. They had shared a really happy email with us around that, but most importantly they've been able to increase visibility across their spires across the globe with the whole entire company.
They are a global organization and they have customers and vendors that are based in Ireland, in North America, in Australia and Japan. And so they have one centralized location that allows them to have a unique perspective on all the obligations, et cetera, that the business holds and then they're able to easily communicate with their suppliers and make sure that everything's on track. One of the things that they were able to easily do when they started using this product, and I know this is common with procurement, is auto renewals. Auto renewals are the bane of everybody's existence and can be super expensive, but with this system it is automated. When I say automated, it's not machine learning, it actually is automated through the information that is within the contract and this saved them lots of money like procurement usually does by having the finger on the pulse of this. But this just simplifies your life. It can put it up into a dashboard, you can really see where you are with everything. Tom, do you want to jump in with anything?
Tom Boyd (27:38):
No, I think you covered all the key points here. Just really gives a sense of the breadth of industries that it's able to work in. So it's not just healthcare procurement or not just technology procurement, it's not even just finance procurement, but really whatever kind of contract you need this visibility into, it's a robust enough tool to pull that data regardless of your industry.
Michaela Dempsey (28:03):
That part is what's exciting. When I've spoken to different procurement folks, it does get down to having a great conversation with your suppliers or your vendors because you can see everything that's within the contract. I know that especially in procurement, you do such an amazing job on your own with your negotiation skills and drilling down and making these contracts amazing for your company in every aspect, but then you're onto the next contract and so to go in and be able to grab that information as Tom mentioned, like payment terms or any of those other things, what if there's a data breach and you need to understand what your SLAs are on that so that you can go back to your software supplier and make sure they're within the compliance of that data breach? All of that is easily and readily available to you in seconds and so it's like having an internal Google on all your data.
Tom Boyd (29:11):
Well said Michaela.
Michaela Dempsey (29:12):
Well, thank you. And I apologize everyone, I got COVID right now so I'm a little more daft than I normally am. Anyway, so as you can see we've got our NASCAR customer slide up here. Evisort works with organizations of all sizes and industries and here you can see some of our amazing customers that we get to collaborate with on a daily basis. Working with our customers like Care Initiative and Plug, it is inspiring to see how they are using Evisort in different ways to innovate and connect contract data to transform their businesses. Evisort offers the next generation of AI powered contract intelligence from compliance and payment turns to supplier management, revenue recognition, reporting ESG management. There are so many different ways businesses around the globe are using Evisort to connect contract data and create greater business impact. Tom, do you want to dive into the demo?
Michaela Dempsey (30:12):
Oh, we had a couple questions. I'll throw them out there.
Tom Boyd (30:15):
Perfect. And I'll tee up the demo as we're doing that.
Michaela Dempsey (30:18):
Okay, so people say templates are great but not so much when dealing with software lights that's saying, "Vendors will not accept license paper." How does that track within the program?
Tom Boyd (30:29):
Yeah, it's an excellent question and we'll show you how you could do that within the program. But the quick answer is that you don't have to start from your own paper. You can start from paper that you get from a counterparty and get all the benefit of that automatic routing and pushing through the signature, taking out that manual effort. And then of course the AI is agnostic. It doesn't care if it's your paper or their paper, so that analysis and that insight into what's in there and all the advantage that brings when negotiating or complying with that contract. After the fact, that is exactly the same whether it's your paper or their paper.
Michaela Dempsey (31:06):
Tom Boyd (31:07):
I'll promise I'll get to a few of these as we go. I think we're going to naturally cover the three that I see here as we show the next few features, but please do want to encourage everybody, as we go, please keep adding questions in. It's a lot more fun for us to see y'all engaging and to hear what you guys are curious about. Evisort is a very easy to use platform. You just navigate across the top to the tool you want, and I'm starting in the dashboard's view because I think that's a very helpful... Make a bit more intuitive what I was saying at the beginning that it's about data and it's about processes. And if I was pushed I would say it's even more about data because if you don't have good data about what you actually end up agreeing to and how long it takes you to get there, you don't actually know if you're following your processes or if they're getting you the outcome you want.
So you have to have some ability to quickly and concisely say, "Here's what we've actually agreed to over this period to know whether anything else we're doing is effective at driving the outcomes we want." And so I'll just highlight a few things on this page. This is all information that the platform was able to pull out of contracts within a few seconds of them being uploaded. So here's 13,000 in this demo environment. At a rate of thousands an hour when they get into the Evisort platform, what Evisort does is it reads them like a human would and it turns all the pros in that contract into a set of structured data that is easily searchable and lets you also easily comparable between contracts. And I'll just highlight a few pieces of information that are presumptively very valuable to a procurement professional that the AI is able to pull out automatically.
Here I'll address a couple questions that come up as well. Can we also track certificates of insurance? So we've trained the AI on millions of contracts. That's not just what people typically think of as a contract, it's all sorts of related documents, order forms, terms of conditions, statements of work and things like that. And because it's robust AI and because it'll show as well, you've got the ability to easily expand it and train it to identify new things. There is a lot of value that you can get out of using it for certificates of insurance. I would say the best proof is test it yourself and see what information you need from your certificates of insurance. Put those in, you can group them with your contracts. It'll pull out the parties so it's very easy to search and find those certificates of insurance if you lose track of them.
And then I would expect for a lot of the things the AI's already trained on like when is this effective? When does this expire? A lot of that key information that we need out of our certificates of insurance that would in fact already be something that the AI identifies automatically and you'd get a lot of value out of that. You can see contract type is one of the things that the AI's going to identify automatically as soon as the contract's ingested. There's over 240 and growing all the time, but it's also useful operational information. So I can see too many of these contracts that we're dealing with, have they been signed, what are the suppliers that we're dealing with? And because that's searchable, it's now very easy for us to look across the whole org and say, "I've got two different departments both dealing with the same supplier. I bet we could get a better deal if we made them negotiate as one unit."
Likewise, governing law, we can see where we're agreeing to the terms we think we do or if we've got a problem following our process and we're actually taking on more risk than we thought because we often negotiate away our preferred governing law. And then just some nuts and bolts, reduced risk, make extra money, payment terms identified automatically from the contract, making it very easy to slow down payment where we can and keep that money in the company, have more working capital and all the attendant benefits of that.
Termination for convenience notice, so not just where there's a termination for convenience right, but how much notice you need to give. It's very useful if we're doing any kind of vendor rationalization project because I can see who I can play hardball with, who I can end this relationship in 30 days or one week versus where do I not have this right, or where if I gave notice today, we're still going to be in business for six months and I can plan accordingly and plan my negotiations accordingly so that I'm playing hardball where it's got the best chance of success.
And then as Michaela mentioned, breach notice as well, it'll identify how long a party has to give notice in the event of a breach and that can be very useful in reducing risk and making sure we're complying with our obligations. And then I'll also quickly show our expiration dashboard. As mentioned, one of the bread and butter procurement obligations, know when we're losing our current suppliers and know when these contracts are going to roll over and we'll have to pay them for another year. Those are both identified automatically by Evisort when a contract's put in the platform. So you can see on this page, filter by how far ahead I want to look our internal parties, whether I want to look at just some subsidiaries or others, or contract type only auto-renewing or only manual renewing.
But I can see looking ahead, not just when these contracts will expire, but for those that are auto-renewing, what's the date that I need to give notice to prevent it from rolling over so I'm getting that information in time to take action and I'm not relying on human in the loop review that maybe would make a tool a bit less scalable. This is all polled with a very high level of confidence automatically when contracts are put in the system. And so here I will show next how the AI works when it analyzes a contract and what that actually looks like, but I think it's a good opportunity to also answer a couple of the other questions that have come up.
So can we integrate with other tools? The answer there is yes, we have a number of standard integrations that are ready to go immediately. So for signing contracts, standard e-signature integrations, but also for getting contracts into the platform or getting data out of the platform back to other teams that need it. We've got standard integrations with major file storage repositories, any of which can be set up in a matter of minutes, and integrations with Salesforce as well. An app on the app exchange that lets you both get contracts and data from Salesforce into Evisort and get data from those contracts back to Salesforce.
And where we don't have a standard integration already built, we are built on restful APIs. Our company philosophy is data needs to get to the people who need it, where they need it today. Want to be as minimally invasive in people's existing work processes as possible, not make people learn a new tool if they don't have to. And so what that means is we expose a lot of the data in Evisort, the documents, the data, and a lot of other key process points about that via our API endpoints and so that in almost all cases possible to build a connection to get that data and documents from where they live today into Evisort and the insights we need back to the other tool where teams are already doing valuable work.
Then to show you, we've got all these neat ways to get contracts in very quickly and easily. You can imagine different teams or different departments use different folders. It doesn't matter, we can sync all that in and get one central view for procurement to manage across the company. You've also always got the ability to just drag and drop a contract in as well using the upload tool. And if I do that right now, I'll just drop in a simple services agreement and I hit Upload and you can see it working in real time. So it was just processing. That check mark means the document has now been fully OCRed, optical character recognition has converted the PDF to text and then the AI's analyzed that text, it's read it like a human would and it's telling us what's in there, and I can jump in and see what the AI's identified in this contract. And so we've got our Overview tab, which is sort of quick hits, key takeaways, what do I need to know about this contract.
But what I really like is the Contents tab where you're seeing the text of the agreement alongside what the AI's pulled out of it and it's totally auditable. So the AI's not just giving you a result and asking you to trust, it's tying back to where in the contract it's getting that information from. So if it tells me this is my counterparty, I'm not taking that on faith, I click the magnifying glass and it jumps me to that text. If it tells me this is California governing law, I jump right to that. To highlight a little bit on how it works with dates since I imagine that will be an issue that comes up a lot, we can see here how it works with a contract that is auto renew. So we've got our effective date and it's auditable. I can quickly confirm that we've got our initial term, continue until the third anniversary, which we've correctly identified as a three-year term.
And so from that the platform gives us our initial expiration date, which is three years from the effective date, but it's also identified that and that it's auto-renewing for a 12-month period and that it's with 100 days prior notice requirement to prevent that. So from that what it's done is it's back calculated a hundred days from the expiration date to get us that renewal notice date. And all of these are searchable attributes or things that we can set alerts on so that we're automatically getting notified about this and we're automatically kept in the loop about what do I need to know about my contract? And I like this just as a good example of how sophisticated it can be and how it can put together information in the contract to get to the information that you need. I believe there's a question about duration of pre-work needed training the AI tool.
So what I'll show very shortly is you can add on to what the platform's already going to find in your contracts. You can train it to find new terms very quickly and easily, which I consider to be another key Evisort differentiator that you're not launching a data science project or opening up a coding panel or bringing in thousands of examples and spending weeks training it. You are able to get a new model going in a day and usually very robustly within an hour with just a handful of examples and have the AI start finding new information from old contracts. But for all of the pre-trained models, which I believe is almost everything that you're seeing here on these data points, payment terms and key terms in the contract, termination for convenience notice period, even liability caps, there's a $25,000 cap on liability is very useful. We want to establish all the risk in our supplier portfolio.
All of that that is going to be pre-trained on your contract or pre-trained across 11 million contracts. So the amount of training needed for the AI tool to work for you is zero. And very often when a client has a very urgent need, we've been onboarded in less than a week, they've got 40,000, 50,000 contracts in and we're giving them the initial readout in a few days and using that information to give them actionable intelligence that if we used a human only process would've been weeks or months before we had that kind of information.
Michaela Dempsey (42:07):
So what I can see is one question which is can Evisort initiate a review based on a contract email to a specified address? So I don't fully understand that question, but what I do know is that if you bring in a contract, it can ingest it almost immediately and then start doing a type of review process that you would want to do. I believe it would be dangerous if you just had an open email address that would accept contracts and put it in your system. So that would be my answer to that question. And then another question is, and sorry for this everyone, does OCR work for old signed and scan PDF copies?
So yes, yes it does. So you can take... We kind of covered some of that a little bit in the Plug Power case study and also in talking about Care Initiatives, but the OCR software can actually take handwritten, what I might call my terrible chicken scratch and be able to put that up into the system and contain that information. The OCR system actually can do foreign letter characters too. We just recently upgraded the OCR so that it can do Japanese and all other foreign characters. It really does a great job on handwriting and absolutely amazing on how it captures the information and is very, very accurate. And the next question here is, does OCR... Oh, sorry. That's twice. Does it work with Coupa, Ariba and other CLM tools? So yes, yes it does. We have many customers using our data, so taking the contract data and then connecting it up into their systems.
A great example is Microsoft. So Microsoft has hundreds of thousands of contracts on our system and they are able to take the data from those contracts and put it up into the CLM tool that they use. They put it up also into other systems that they use. So they use it for M&A purposes and other areas of the business and they're able to take that data and implement it into other tools and services. As far as Coupa, one of our customers that is using Coupa quite a bit is Juniper and so they're able to take that data and put it up into Coupa and then work with that. And then we have other customers like NetApp that are using SAP and Ariba and doing the same. It just depends on how you want to use the product. So some people like to use it native as a CLM and other people like to take the data extracted out of a contracts and then put it up into various systems to make sure that the systems are accurately doing what they need to do.
And again, apologies on this Q&A. Glad to know it can work together with these tools like Coupa and Ariba, but what is the investment needed from the company side? Is it huge? I am guessing the question is around time or dollars. I don't know what that question is. So what I would say is it is absolutely amazing how quickly our company can get contracts up and running. So it is more about getting that data. So if your data exists in a box folder or you put it in a box folder or you put it in a DocuSign, or not DocuSign, but you put it in a Dropbox folder or any location that you have the contracts, we're able to extract those contracts and then put them up and into the system.
The system is already pre-trained on hundreds of clauses and so it is able to take that, imagine taking the data, it sifts through it and then it puts that data up and into things. Now obviously each business has its own particular needs. So we have a customer like Netflix and Netflix uses us in marketing and has requirements for entertainment contracts. We have customers that are in healthcare that have requirements for healthcare needs. We have customers that are using us for revenue recognition or for sales contracts. And so it then gets down to the industry or how your business likes to organize it and with any system or any implementation. So it is super fast to get the product up and running with documents.
Tom Boyd (47:50):
Hello everybody. I am so sorry the power went out, and the internet obviously went down and now Sassy is insisting on sitting in my lap to be comforted. I apologize for the disruption.
Michaela Dempsey (48:03):
They can come.
Ali Music (48:04):
I'm glad the puppy's back. For those of you who weren't here at the beginning, I requested an appearance and so it's good Sassafras as Destiny said is back in business. So thank you, Tom, for coming back.
Tom Boyd (48:17):
No, of course, I apologize for the obvious disruption in the flow. Where are we?
Michaela Dempsey (48:24):
I was answering some questions and so I wasn't doing the best of job but hopefully good enough. But anyway, so in getting ready to do that transformation, there is a level of obviously commitment that you're going to want to put into. Getting you up and running is fast and then streamlining it so that your business makes the most out of what this is, that obviously takes time. How much time? It depends on where you're trying to go I suppose. Tom, you want to take it from there? I know I gave you a loaded handful.
Tom Boyd (49:06):
No, perfect. Do you mind, I don't know that I can see all the open questions in the Q&A. Was this about how long it takes to get up and running with Evisort?
Michaela Dempsey (49:14):
Tom Boyd (49:15):
Okay, perfect. Excellent question. Obviously something we get a lot. I hate to be a two-handed economist. We can implement very quickly and then full implementation will depend on exactly what you want to do with it. So you can immediately get value day one, and our standard or target implementation time for pure document analysis is 30 days, and where you're also doing workflow and some process control, it's 60 days. The complexity there is a lot around just what sort of data do we need, how long it takes clients to find all the documents they want to move in before the simplest use case where I want to start tracking my renewals, my expirations and my payment terms on all my major suppliers and those contracts are all-in-one of any number of these repositories, that could be done fully in a couple days.
You just sync the contracts in the platform, analyzes them and then you just build the processes you need on top of that, whether it's regular searches or alerts or sending people views of the dashboard. And then as you add more complexity, if you're building custom integrations to other systems to move data, that can add a little bit of time if you're doing a workflow where you also need to make sure you've got a process mapped and you're capturing that accurately. A lot more time but also just a little bit more time because there's more stakeholders, you're coordinating them and just making sure the process you build starts with everyone or addresses the concerns of everyone whose concerns need to be addressed. And then something else I'll say is that can often be done iteratively.
So someone can start by getting their contracts in, using that information to see how well their current process is working, and then using that as part of designing the workflows they want so that if there's terms they apparently always give on, they can make it start there or if certain conditions are met, have it default to those terms so you avoid unnecessary back and forth. Or may realize based on the terms we're getting, we don't actually need this step in the process. So it can vary just based on what you're trying to do, but then the standard for data and analytics is 30 days and the standard for end-to-end data analytics and workflow is 60 days and we've had people up and running in less than a week.
All right. Does the company have to have contracts in a particular format to implement this platform? No, it does not. As long as their PDFs are worded documents, they don't need to be beautified. As you can see, one of the things the AI pulls out is a text quality score. So you can put in, as Michaela was saying, for one of our clients, they had a lot of contracts in the eighties. You can imagine probably a different typeface than we're using today. Probably actually typewritten and a few smudges and blurs on that. And so that's part of what makes Evisort so smart is the OCR and the AI are trained around some mistakes. So the fact that a word might be misspelled or it might be smudged is not going to prevent it from accurately identifying that term in the agreement. And it's robust against any number of sort of common barriers if there's a few blurry words, if there's coffee stains on the paper.
And then as a third level of check and make sure, it also gives it a text quality rating so that you can cut through your contracts and say show me just the ones where the OCR is not as confident in this contract. And that way rather than manual review on everything, it's manual review on just the ones that are quite blurry or hard to read. And candidly we find that when the OCR is having trouble, it's usually something that a human being would have trouble with as well and it's a bit of a judgment call about what's contained in that text.
So I'll try to keep us on time. I realize we're right at the end. To bring it to a close very quickly, something that I'm also very pleased about with Evisort is the ability to train your own models. And so if I want to start tracking something in this contract that's not already tracked, one quick and easy way to do that is with our quick AI. I just give it an example, tag that clause, call it what I would like and apply it to this and other documents. And when I hit save that language, as you can see, it's also finding terms and key provisions in the agreement, that language becomes part of the auditable contract record and the AI searching across all our other contracts. For example, there's a similar language because our common challenge of contract management is we don't know at the beginning of the year what everything that we'll need to know about our contracts is. It's important that you'd be able to quickly and easily expand the AI and I very much apologize. Let me tap in Ali here. What do we think is best course here.
Ali Music (54:05):
Yeah, I was about to feel the wrap.
Tom Boyd (54:05):
Ali Music (54:05):
I was about to feel it.
Tom Boyd (54:07):
I love sharing the platform, but I want to protect everyone's time as well.
Ali Music (54:10):
So Tom, will you put in your email into the chat for everybody to see, Michaela if you want to do yours as well, because I have moderated a lot of webinars for my time at SIG and I don't think I have moderated that many with this much engagement from the attendees and questions. So that's a great sign. I keep seeing the questions come in, so I know that people are going to want to reach out afterwards. So if you're okay with it... Perfect, Michaela, thank you for doing that. Or connect on LinkedIn with the folks in here. But we do appreciate both Tom and Michaela for showing up and puppy Sassafras.
It was not a distraction. This is life as we talked about in the beginning of this. This type of stuff happens. But it really was such an engaging session. As I said, the questions are flawless, they're coming in left and right. And just appreciate everyone for coming. SIG members, you will have a recording afterwards. I think non-members will as well emailed out in the next few days, but if there's anything that SIG can do to help anybody in this call, reach out and I hope everyone has a wonderful rest of the week.
Tom Boyd (55:08):
Thank y'all very much. Apologies for the turbulence and a real pleasure to speak to you all.
Ali Music (55:13):
No problem. Have a great day.
Michaela Dempsey (55:16):
Thank you everyone. Have a great week.
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