THE CHALLENGE
bp has thousands of suppliers around the world, and an increasing number of contracts to process, but a fixed amount of procurement and legal resources. The time to contract for SaaS contracts had risen to an average of 92 days and resources were being stretched to a point where team worried about increased downstream risk. There was no solution on the market that addressed reducing time to contract significantly while mitigating contracting risk.
SOLUTION
bp set out to have a solution built that would streamline the contracting process while reducing contractual risk. The primary objective was to leverage AI and Machine Learning to reduce the average time to contract, while minimizing the risk of errors introduced due to limited resources. Together, the bp and App Orchid team built a solution called ContractAI.
KEY RESULTS:
- Reduced time to contract by 87% for SaaS contracts
- Saved an estimated 80% procurement and legal time
- Gained visibility into current contract risks without combing through PDFs manually
- Controlled the terms of negotiation while reducing friction with suppliers