Introduction
The lens from which contract tech was viewed has shifted from a “nice to have” conversation to a massive competitive advantage. Businesses have struggled with numerous contract inefficiencies in the past. Changes in the contract tech space are a reflection of what businesses value in the upcoming economy. In Gartner’s Top Data and Analytics Predicts for 2021, the manual effort for contract review processes will be reduced by 50% by 2024 when advanced contract analytics solutions are adopted. Familiarity with the legal tech trends of 2022 is the first step to faster and efficient adoption.
5 Contract Tech Trends of 2022
- Security and Data Privacy will be at the Forefront
Businesses and legal teams will use automation tools with built-in capabilities to safeguard their data, build trust, and avoid security breaches. Data can be protected by limiting log-ins and the number of users, encrypting, managing servers, and adding passwords for information access. Legal teams can reduce risk by leveraging these capabilities to improve security and data privacy operations.
- Collaborative Contract Management with Contract Tech
Contract tech provides advanced search capabilities that enable fast access and accelerate the pace of remote collaboration. Natural language processing will prove beneficial in today’s fast-changing regulatory environment by reviewing many agreements at once and rapidly comprehending legalese from previously existing documents. Businesses can focus on what matters without worrying about legal issues as the software becomes better trained to build and apply models.
- Businesses will Focus on Climate-friendly Contracting
Customers are now attracted to companies that are climate-conscious and comply with climate regulations, which is why businesses have become more environmentally responsible. Reviewing old and ongoing contracts to comply with climate standards will keep legal departments busy in 2022 as they adopt climate-friendly contracting. Collaborative contract management tools bring your contracts together digitally, allowing you to improve productivity while avoiding wastage.
- Increased Adoption of Automated Contract Review Tools
The delivery of legal services is changing. Inefficiencies that have troubled businesses for decades are being addressed through automation solutions. With manual processes taking a backseat, legal departments are shifting their focus to solutions like BlackBoiler, to build a robust contract infrastructure and ensure a smooth transition into new market changes.
- Massive Focus on Client Journey
Client experience is built from the first meeting till the deal closes. According to the Walters Kluwer 2021, Future Ready Lawyer Report, 80% of clients need to trust the firm to meet their needs. Having optimized touchpoints throughout your client journey demonstrates this trust. Create unmatched experiences for your clients, otherwise, the gap between client experience and client needs will continue to grow.
Conclusion
The contract tech ecosystem will keep you on your feet. According to the Future Ready Lawyer Report, 78% of the clients value legal departments that use technology to deliver services. In the same report, the evaluation criteria that legal departments use is the ability to use technology to enhance work processes. Start integrating these trends into your processes and systems to identify best practices faster and stay on the cutting edge of contract technology for optimal workflows. You can start with BlackBoiler.
