Generative AI in Contract Life Cycle Management: A Quick Digest for Its Utility №1

Given that artificial intelligence has shown its value proposition within use cases across various industries, its adoption within contracting is bound to show some merit. Now with this statement being made, it is only fair for us to explain and then assess the merit of artificial intelligence technology within our contract life cycle management platform. Let us do this by showing a written demo of a hypothetical scenario.

Okay, here we have two banks: Bank X & Bank Y. These two banks are acting on behalf of their clients; these clients being a merchant vessel holding company and a multi-national consumer goods conglomerate — respectively. Now this would not be their first time conducting a business transaction with their respective banks, no. But it will be the first time that one of their banks accelerates this process by utilising the hyper-personalisation AI tools integrated into their contract life cycle management platform, yes. And, the bank that has equipped its operations with the AI integration for its contracting platform is Bank Y and not Bank X.

Now alongside this AI will be a human professional from Bank Y. Now why would a human be working alongside artificial intelligence? Isn’t AI going to leave professionals jobless? Well let’s hold off on answering that question for a bit. But, given that Bank Y is utilising this AI only to a degree that it finds useful, it is sound and of course not feasible to leave its entire operation within the care of AI.

Yes, that’s right — as pin-pointed in our last article, AI is not a rogue bully but indeed a friendly horse. And this horse, well this friend will be engaged by the banker just as you would engage your colleague or friend at work, given that the AI has already been strategically prompted to process requests and tasks in respect to international trade financial contracts. Noted.

The professional from Bank Y will write the AI a message in respect to the task at hand. The AI will then give a meticulous response so that the banker will be better equipped with a healthy quantity of quality information that is digestible for him to assess and then act upon in regards to this pending international trade transaction. The professional is very pleased but is also concerned by what the AI has revealed to him. Now why is this so? See, the professional from Bank Y sees AI’s merit for himself — given that it has identified what he had not; the AI has revealed discrepancies within the contracts from Bank X.

The certainty of Bank X being aware of this error is slim. It is indeed a bad look but given that the two banks have years of business between the two, professional from Bank Y calls the professional from Bank X to address his AI aided findings. The two discuss and agree to fix the discrepancies before the transaction is finalised for the ship holding company and the consumer goods conglomerate. See, with the aid of AI and the integrity of the banker from Bank Y, Bank X saves itself from losing a substantial amount of money, on the count of its mal-prepared documents for its consumer conglomerate client. Issue detected, disaster avoided.

Of course, professional from Bank Y made the decision to call this out but he only detected these discrepancies because of AI. Without that, the professional from Bank X would have indeed been cleaning out his desk and signing his name on a not so friendly termination letter. Now see folks, in our little hypothetical scenario good friendly horse AI just saved a person from unemployment and professional embarrassment. And you all thought AI was here to take gigs from folks. Our friendly horse is being of good use and saving the day. What a beauty.