Fireworks Celebration, Image by svetlanabar from PixabayIcertis and SAP have reviewed its relationship with SAP in 2022 and celebrated its success. The partnership was first announced in 2020. In January 2022, SAP made an undeclared investment in the Contract Intelligence firm, further cementing and expanding the existing partnership. The Icertis integrations to SAP Ariba and SAP Customer Experience became endorsed apps, and both companies have continued to invest in integrations.

During 2022 Icertis has added nearly 50 joint customers to its portfolio, further strengthening the relationship with proof points. The customers include well-known brands such as DATEV, Lufthansa TechnikMercedes Benz Group AG, and Ooredoo. These companies are now leveraging contract intelligence across multiple SAP solutions. Thus solving business challenges that were previously hidden and often complex.

Turning historic contracts into actionable data enables organisations to discover revenue, savings, and compliance risks in their contract and transform them into opportunities. Alongside the newly found contract intelligence is the contract lifecycle management solution’s automation of the SAP core processes.

Sebastian Steinhaeuser, Chief Strategy Officer at SAP SE, commented, “Our partnership with Icertis continues to complement the SAP portfolio, integrating contract intelligence as a critical system of record across the SAP suite and injecting powerful contract insights directly into core business processes.

“The momentum we’ve experienced over the last year with Icertis is just the beginning, and we’re looking forward to further expanding the partnership to help businesses unlock the full value in their contracts across the enterprise.” 

Driving forward on the product integration roadmap

When partnerships are first announced, there is often a commitment to deliver a roadmap of integrations. In some cases, this drifts away as other priorities take over. SAP and Icertis, have worked together to deliver enhancements to the existing integrations and add new integrations. There are now tighter integrations for the Icertis Contract Intelligence (ICI) platform to SAP solutions that include:

  • SAP Ariba
  • SAP Fieldglass
  • SAP CPQ solution, part of SAP S/4HANA.
  • SAP CRM

The integrations enable customers to improve the efficiency of contract creation, negotiation, and obligation management. Once contracts are in place, the AI-enabled contract intelligence baked into the Icertis platform increases the oversight and efficiency of the source-to-pay and lead-to-cash processes.

Icertis helps to improve efficiency and automate processes for finance, legal, and procurement leaders when creating a contract. It also ensures that those contracts on both the buy and sell side remain relevant. In addition, any risks are highlighted quickly to mitigate them.

What of the future for Icertis and SAP?

The firms will continue to look at AI use cases for the contract data. Enterprise Times asked Icertis what these use cases are.

Deanna Lanier, chief strategy officer at Icertis, answered, “SAP and Icertis continue to identify new use cases for automating processes and deriving insights with contract data to deliver enterprise-wide value and strategic outcomes around revenue, savings, compliance, and risk for shared customers.

“While other CLM vendors are focused on pre-signature contract processes, Icertis is uniquely positioned to help businesses realize these benefits by integrating contract data with major software systems like the solutions delivered by SAP, creating a fifth system of record with contract intelligence that’s equally essential to core operations as a company’s ERP, CRM, HCM, and SCM solutions.

“Icertis continues to explore AI use cases to analyse and surface insights from contract data leveraging our robust data lake of more than 10 million contracts worth over $1 trillion. For example, when inflation increases, certain contract clauses become critical. We use AI to help customers identify clauses in their contracts that allow them to adjust prices based on the Consumer Price Index and other indexes, saving them millions by tapping into contract entitlements already on the books.

“AI Studio, a self-serve, self-learning cognitive tool launched by Icertis last year, automatically considers contract currencies to protect businesses from increases in purchasing costs from global suppliers. Our AI capabilities also enable customers to navigate sanctions, applying contract intelligence to better define risk profiles and implement changes that ensure compliance in a global market.”

Icertis will also continue to develop integrations to SAP solutions. SAP continues to invest in joint go-to-market strategies with Icertis. This will further strengthen the partnership, as relationships between the sales teams are built.

Enterprise Times: What does this mean?

The investment by SAP last year was one of the key drivers of the success of this partnership. While other CLM vendors target the SAP market, Icertis is positioned to win much of the SAP/CLM business. However, it cannot get complacent as other CLM vendors look to win market share in a huge market. For example, SirionLabs recently announced it would improve integrations with SAP S/4HANA.

Samir Bodas, Co-Founder and CEO at Icertis Inc. (c) 2018 Samir Bodas, Co-Founder and CEO at Icertis Inc. Image credit Linkedin
Samir Bodas, Co-Founder and CEO at Icertis Inc.

Samir Bodas, Chairman and CEO of Icertis, said, “Icertis and SAP have worked closely to develop integrations that provide a streamlined experience for customers so they can continue managing core operations with SAP while leveraging best-in-class contract intelligence to accelerate revenue, increase savings, improve compliance, and reduce risk.

“Automating contract-driven processes helps ensure that the intent of every contract is fully realized, and surfaces savings and profitability opportunities contained within contracts. These insights better position businesses to face macro-economic factors like inflation and reach their strategic goals in the year ahead.”

The second major advantage that Icertis has is that its integrations are SAP Endorsed Apps. It means that customers have the surety that the Apps that have been tested are secure and benchmarked. While Icertis is not listed within the SAP price lists, unlike BlackLine, customers can quickly access its solutions from the SAP store.

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