Artificial intelligence (AI) has been around for years – integrated into widely-used products and advancing day by day. In any work environment, AI should be incorporated, too, but many people still fear that AI will become so advanced that the need for human labor will be eliminated altogether.
As we advance into this technology-filled world, many people will adapt while others will stick to their old habits and fall further behind. Of course, this does not mean that the latter cannot catch up today or sometime in the future.
In a previous blog, we discussed why AI will not replace your job – in any work environment. Now, let’s look at how artificial intelligence is being used as a tool by corporate counsel and legal teams: contract management software, and automation for organization and review.
On average it takes 92 minutes for contract review
HOW AI CAN HELP LEGAL
Simply stated, contracts are essential to every corporation, big and small. In fact, the average Fortune 2000 company has between 20,000 and 40,000 active contracts at any given time. So how do they manage all of these contracts? Manual review is a common activity, along with the use of tools like Excel or SharePoint to manage all of the contracts. But it takes copious amounts of time and effort to read through and organize contracts, staying on top of important dates, and making changes to errors. On average, it takes 92 minutes for contract review, in particular.
By introducing artificial intelligence, though, manual review can be completed by machines, alone. This helps corporate legal departments to focus on other challenging tasks – those that they do not get to spend much time on, normally. According to Gartner, by 2023, 40 percent of I&O teams will use AI-augmented automation in large enterprises, which will result in higher IT productivity, and greater agility and scalability. And with the adoption of AI-based solutions, manual contract review will be reduced by 50 percent by 2024.
THE FEAR OF IN-HOUSE AND LEGAL TEAMS BEING REPLACED
With the adoption of AI-based solutions, manual contracting will be reduced by 50% by 2024. As stated in a previous blog, artificial intelligence is here to enhance your job, not replace it. Whenever a new technology is introduced, people tend to fear that it will affect their jobs when, in fact, that isn’t always the case. That is because when jobs are replaced, entirely new ones are created. AI for corporate counsel has been introduced to speed up their jobs and increase productivity. The technology exists to aid the process of day-to-day work. For more information on why artificial intelligence won’t replace jobs altogether anytime soon, check out our previous blog.
SHOULD LAWYERS START USING AI?
With new advances in technology, especially around artificial intelligence and legal tech, there are constant changes to business practices. And there is an ongoing competition between those who choose to adapt to these changes and those who do not. Naturally, the latter will fall behind in every aspect; for corporate counsels, leveraging best practices invariably means employing artificial intelligence.
A great place to start is making your contracts completely digital with ContractPodAi’s contract management solution. Contact us and request a demo today to see how you can transform your corporate counsel for the better.
Author:
Sajel Mistry
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