Contract lifecycle management is a process inherently difficult for businesses to execute effectively.
When you consider how complex legal documents are becoming (due to factors like technology licensing) and the fact that the volume of contracts we deal with on a day to day basis are increasing as well… it makes sense.
But, thanks to artificial intelligence and CLM software solutions, organizations can now store all legal documents within a contract database and manage contracts online more effectively than ever possible before.
What Is Artificial Intelligence?
Artificial intelligence (AI) is a sector of computer science that focuses on building machines and computers to perform actions that require a human-level of intelligence.
In other words, AI is machine-learning – it is a technology that is intended to execute tasks that were once only able to be done by us people.
At one time or another, you might have heard someone joke about ‘the robots replacing us’. While this is meant in good humor, it is becoming more and more real as technology continues to rapidly evolve and become able to take on surprisingly complex actions.
What Does AI Have to Do With Contract Monitoring Tools?
While most people still think of AI as robots and talking computers, what you might not realize is that you likely interact with some form of AI on an almost daily basis.
Yes – AI is very much already ingrained in our culture. And, we can only assume, will only continue to become more mainstream as time goes on.
AI is a very broad term; according to Techopedia, it refers to “any type of computer software that engages in humanlike activities”.
So, a couple of examples of big companies already using AI are Facebook and Tesla.
With Facebook, they openly discuss how they use machine learning for their ad program – that is a great example of Artificial Intelligence in action.
And, with Tesla, their vehicle self-driving features qualify as AI.