Spinning the Wheel of Fortune: Contract Analysis Doesn’t Have to Be Puzzling
By Jason Mitrow | March 17, 2021
The more attempts Wheel of Fortune contestants have to spin the wheel, the greater their chances of winning the game. But sometimes a contestant misses a turn or doesn’t have enough information to solve the riddle and earn their fortune.
Managing contracts without visibility into your data is leaving the good fortune of your business to chance.
When it comes to understanding your contracts, the right software solution is like having unlimited spins on the Wheel of Fortune. Instead of solving business-related questions using incomplete information, you see the whole picture.
People, Places & Contracts
Contracts are fundamental to business. They make it possible for companies to buy and sell goods and services. They drive revenue, ensure accountability, and are a big part of the content within an organization. They also represent some of the riskiest and highest value data an organization can possess.
Contracts also contain highly unstructured data, making them challenging to tap into. Even though you have standard terms, clauses, and conditions, the wording within those sections can change across agreements. Third-party contracts reduce the level of control a company has even further.
Poor visibility into contracts leaves businesses vulnerable to risk, complicates compliance, and limits opportunities for growth.
The Letter V
Visibility into your contracts means having key pieces of information available at your fingertips, including the type of contract, contracting parties, dates, governing laws, and making sure contracts have been signed by both parties. But accessing electronic documents can get messy because agreements are siloed within different business units and located within disparate systems.
There’s a way to make visibility a whole lot simpler, though, without relying on manual contract analysis. With the right Contract Analytics technology, obtaining visibility into your contract documents is far less daunting than you might expect.
C NT NT NT LL G NC: I’d Like to Buy A Vowel
Contract Analytics tools can locate and extract information from contracts to minimize risk and maximize the value companies get from these documents. A robust Content Intelligence platform kicks it up a notch by using AI to automatically fill in the blanks by classifying and extracting key elements of these documents. The result: enterprises don’t need their teams to spend thousands of hours manually sifting through large volumes of contracts and agreements to find what they’re looking for.
With Contract Analytics, unstructured data is turned over into intelligent data. A variety of non-standardized contracts become standardized documents. Previously non-searchable contracts become searchable. Companies can tell what type of contract they’re dealing with without having to open each one. They can even drill down to search and discover specific contract clauses, terms, and conditions, which is a tremendous asset as companies navigate an ever-changing business landscape.
The following use cases illustrate how intelligent data can help you avoid time-consuming manual contract analysis and run a more efficient, compliant, and profitable business.
Liam, CFO, is Solving the Puzzle of Risk
Liam is on the executive team of an insurance company that found itself unable to fulfill a contractual obligation. Despite the fact that Liam had been with the carrier for a decade, he and his colleagues were blindsided by the two-million-dollar payout. In his experience, the limitation of liability threshold had always been a quarter of that amount.
This particular contract originated from a company they acquired fifteen years prior. Without visibility into that type of content, or the technology to conduct a thorough contract review, Liam had no idea how many other legacy contracts existed that exceeded their standard threshold of half a million dollars. He was determined to proactively mitigate future risk by finding missing clauses and non-standard language, among other terms, to expose vulnerabilities.
Liam is also worried about newly acquired assets. He’s looking to maximize investment potential and is often scrambling to review as many contracts as possible in the post-integration phase of a deal. A Contract Analytics solution would help Liam flip the switch from doing the bare minimum with his limited resources to feeling confident that he’s in control of the company’s new assets.
Adlib can reveal the key pieces of data you need in order to mitigate your most pressing business risks.
Olivia, VP of Compliance, is Sick of Taking Chances with Compliance
Olivia’s primary responsibility is to make sure her team is appropriately responding to the ever-changing privacy and security regulations set forth by the GDPR, HMDA, CCPA, and other governing bodies. As much as she focused on protecting the financial and personally identifiable information (PII) of her customers, her last audit exposed weaknesses and resulted in fines.
Olivia knows that growing revenue and meeting compliance mandates aren’t possible if she can’t 1) find where all her company’s contracts are saved, 2) know which versions are the most current, and 3) determine whether an agreement is executed or not. She knows her company needs an automated alternative to manual contract analysis and contract review.
Adlib’s Contract Analytics capabilities empower organizations with data needed for compliance across regulations, including Recovery and Resolution Planning (RRP) requirements and Qualified Financial Contracts (QFC) specifications.
Noah, Director of IT, is Looking for Opportunity
When COVID-19 struck in March 2020, companies around the world grappled with obligations they could no longer fulfill. Noah was overwhelmed with the number of contracts and vendor agreements he had to locate before understanding what the company was obligated to and what its options were.
Conducting manual contract review—combing through contracts to identify force majeure clauses—was expensive, time-consuming, and incomplete. The company is still playing catch-up, making the ripple effects of the pandemic farther reaching than they need to be. Noah lost an opportunity to save the company money when it mattered the most.
With Adlib’s recent platform enhancements, decision-makers can pull documents and clauses faster than ever, decreasing the time and cost of manual contract review.
Pat, I'd Like to Solve the Puzzle
Content Intelligence is the answer to the riddle. Contracts can be complex, but they’re nothing more than documents. They contain valuable pieces of metadata that are labeled a certain way that can help organizations reduce risk, simplify compliance, and improve business outcomes. However, if you always have to spin the Wheel of Fortune to find the answers you need, the insights hiding in your documents and contracts will remain a mystery. Adlib’s latest platform enhancements bring Contract Analytics muscle to where it’s needed most, so you can get at the data in your contracts faster than ever—never leaving an important business decision to chance.
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