The Revealing Power of CLM and AI
The complex process of contract review can bring many companies to a standstill, taking days or even weeks to analyze and revise documents. Businesses of all sizes recognize the need to streamline this process and explore technologies that will save time. Recently, companies have turned to advanced technology like CLM (Contract Life-cycle Management) and AI (Artificial Intelligence) to create more efficient and secure processes.
AI-assisted contract review aims to automate the process of analyzing and revising contract documents, providing companies with greater precision and speed. Using natural language processing of large amounts of data, generative AI technology can generate new text and images, which accelerate the review process and provide productivity gains of 15-20% in three years. For instance, Ironclad’s AI Assist utilizes OpenAI’s GPT-4 technology to examine non-disclosure agreements and make recommendations for edits. Accenture and Hoare Lea have already seen notable success as they adopted this technology, drastically reducing contract review time from days to minutes.
AI and CLM together enable businesses to take advantage of the full power of their data. While these technologies are powerful in their own right, they are even more potent when combined together. For instance, CLM provides a centralized platform for organizations to manage their data, which is augmented by AI and its predictive capabilities. As a result, companies are able to instantly visualize and monitor changes or trends in data in real-time, creating greater visibility into the life-cycle of their contracts.
Benefits of CLM and AI
The adoption of CLM and AI technology quickly yields benefits to companies of all sizes. For one, it helps streamline the process of contract review, enabling companies to achieve better accuracy in shorter time spans. With AI-assisted review, businesses are able to analyze existing legal documents and identify discrepancies that may have otherwise gone unnoticed. Generative AI further allows for quick and accurate document-drafting, making it much easier for companies to create complex contracts from scratch.
Moreover, CLM and AI both allow for more efficient data management and storage. As cloud computing continues to advance, hosting large amounts of data has become increasingly more affordable and secure. Not only can companies store their contracts in a central repository, but they can also regularly monitor their performance, allowing them to make smarter decisions in workflows or contractual terms. As a result, companies can reduce risk while simultaneously enjoying greater agility and collaboration.
Conclusion
At the end of the day, CLM and AI technologies are essential for businesses looking to stay competitive in today’s global marketplace. With the help of advanced software, companies can not only generate and review contracts faster, but also gain a clearer view of their performance and legal compliance. Moreover, distributed storage solutions make it easier than ever for companies to manage their contracts securely, allowing for greater trust and transparency. In the end, CLM and AI represent productive gains for any company’s bottom line.