This week the news highlighted a competition of AI and lawyers, a ruling on information in the Cloud, and tips on how to get the upper hand in negotiations.
The legal AI platform LawGeex organized a competition of expert lawyers against their AI in an evaluation of contracts. The lawyers lost by quite a bit: they were 85 percent accurate in finding the 30 issues in five NDAs, while the AI was 95 percent accurate, and in the case of one contract, 100 percent accurate (the lawyer with the highest accuracy was still only 97 percent accurate).
It brings up one of the main existential questions around AI: is technology going to take our jobs? The answer is still no. Using AI such as this can free up lawyers from doing tedious, manual tasks to focus on tasks that cannot be completed by AI.
When information is stored in the Cloud, even outside a country, can they be obtained with a warrant? Microsoft said no, refusing a warrant that requested emails stored on their server in Dublin, Ireland, for a government drug trafficking investigation.
The Supreme Court is currently in the process of making a decision, but more and more it appears they will rule that since the information would be retrieved from Microsoft’s headquarters, located in Washington, the warrant does apply. This means that future information would be required to be handed over with a warrant, no matter where in the world it was stored.
The Cloud has changed how information is stored, and with the results of this case being finalized soon, it’s likely that companies will need to take a closer look at their terms and conditions, especially given the upcoming GDPR requirements.
With such a large part of Procurement’s role being to reduce costs, negotiations are key. Enter game theory: a technique of analyzing competitive scenarios between two parties where the choices and results made by one party depend strongly on the other party’s actions. Procurement teams have started using game theory to create structure around their processes and utilize strategy in their decision-making and negotiating. The article highlights four key elements to incorporate game theory into Procurement negotiation:
2. Cross-functional collaboration
3. Advanced strategy and market design
4. Process and organization
The landscape of business processes and regulations are constantly changing. Ensuring that teams are aware of these changes and best practices helps companies stay at the top of their industry and position themselves as a strategic leader.
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