Icertis has revealed that nearly 50% more contracts on its platform were leveraged by AI in 2022 compared to 2021. This demonstrates that its customers are taking advantage of the latest AI technology on the Icertis Contract Intelligence platform.
Data is critical for AI. The ICI contract data lake has more than 2 billion metadata and transactional elements, which is growing. The platform understands over 7,000+ contract types across 11 verticals. These are broken down into more than 100,000 contracting attributes, clauses and obligations. It means that Icertis has one of the world’s largest repositories of contract data from many leading organisations.
That data constantly grows with Icertis ingesting data from historical contracts of new customers and integrations with ERP, CRM, HCM, and SCM solutions. It effectively means that CLM has become the fifth system of record for organisations. It has its own data, contracts, which interacts with other business solutions and provides insights, processes, and value for organisations.
Monish Darda, Chief Technology Officer and Co-Founder of Icertis explained, “You cannot separate out the data from artificial intelligence. You need that data for the intelligence to be intelligent. We have one of the largest curated contract repositories on the planet, so we have the data. The second is when you use the data, when you use the AI to do something, to ask something, to have a conversation, to generate something. It is also important that you take action on what you have done. If you say I want to discover something, it is not enough to stop and discover. You now have to do something with the discovery. We have an enterprise platform that goes across some of the largest companies in the world. That solves some of the most complex contract problems that exist on the planet. You can apply that technology, that way of taking action to the results that you get from AI.”
Customers are Taking Action
Worldwide, companies are taking action using the insights from ICI. They want to transform operations, inform strategic decision-making, and realize the full value of their commercial agreements with contract intelligence.
Organisations such as Mercedez Benz, Cigna, HERE Technologies, PacSun, and Sunstate Equipment use ICI to apply AI to their contract data. They now have greater control over the contracting processes from the contract management platform. They can also use analytics and AI to power transformation, identify new sources of revenue and savings, improve supplier negotiations and risk management, with faster and more accurate identification of critical clauses. This latter is especially important in a world that has seen so much disruption to supply chains in the last few years.
Linda Jones, Contracts Manager at Sunstate Equipment, commented, “Icertis enables Sunstate to quickly extract contract data and compare it to our standard clauses using AI to analyze potential risk. This saves us time and ensures critical contract language is not overlooked, while giving us a single source of contract information to help eliminate disconnects between departments.”
Darda, commented, “In fast-paced business environments, deviation from contract expectations – in the form of unfulfilled entitlements, purchase price discrepancies, regulatory noncompliance, or missed deliveries – are realities that pose a serious threat at a time when every dollar counts. Leading enterprises have discovered that AI is key to go beyond contract efficiency and process improvements to address more strategic challenges around revenue and compliance. AI differentiates true contract intelligence delivered by the Icertis platform from traditional contract management, and that’s why Global Fortune 500 companies have turned to Icertis to accelerate AI-driven transformation across their enterprises.”
Taking Contract Lifecycle Management and Applying AI
At its heart, Icertis ingests contract data, organises it and enables organisations to improve existing contracting processes, to improve efficiency and accuracy and add value to the contracting process. Icertis began the journey to infuse AI into its platform as far back as 2009. This is not an add-on to the CLM platform but is part of it. IDC recognised this stating, “Icertis was early to adopt and infuse AI capabilities in its platform and is viewed as an industry trendsetter with respect to advanced-level discovery and data mining capabilities,” in the recent IDC Marketscape for CLM, 2023 report, where it also recognised Icertis as a leader in the CLM space.
Once the data is captured and organized, customers can then take advantage of the Icertis AI applications that include:
- AI Studio – Democratizes the power of AI by enabling users to identify patterns, discover hidden insights and revenue opportunities, and recommend actions across their contract portfolio directly from a customized dashboard.
- DiscoverAI – Digitizes legacy contracts – including agreements on third-party paper – to pinpoint potential savings and risk, enabling users to mitigate liability and reduce costs by comparing legacy contract language to established clauses and attributes.
- NegotiateAI – Supports faster, more consistent contract negotiations and improves negotiation outcomes by analyzing high volumes of contract terms and clauses to identify deviations and ensure compliance.
- VisualizeAI – Reduces risk by mapping complex relationships across a company’s full contract portfolio to uncover hidden dependencies and actionable information.
By structuring and integrating contract data directly into the business processes it powers, Icertis has established contract intelligence as the fifth system of record for the enterprise, equally as essential to a company’s core operations as its ERP, CRM, HCM, and SCM solutions.
Enterprise Times: What does this mean
This is a reminder that Icertis is a CLM leader, and that organisations must consider their contracts ripe for digital transformation. The most recent G2 Grid for Enterprise Contract Life Cycle Management Software places Icertis as a leader, as did the most recent Gartner Quadrant. However, this is a hotly contested space, with DocuSign, SirionLabs, Conga and Agiloft all looking to take market share. What makes Icertis stand out is its long history of a focus on AI, bringing the value of contracts to the surface using intelligent insights at its core rather than just operational efficiency.