Video | Protiviti Legal Perspectives With Managing Vice President Frank Serge
In this episode, host Chad Volkert, Global Solutions leader at Protiviti, is joined by Frank Serge, managing vice president of legal consulting at Protiviti. With over 20 years of industry experience and more than a decade at Protiviti and Robert Half, Frank brings extensive knowledge in legal technology, e-discovery and contract-lifecycle management (CLM). This discussion highlights the growing importance of CLM, the impact of generative artificial intelligence (AI) and how organizations can optimize their legal processes to improve efficiency and mitigate risk.
Navigating the Legal Landscape
Frank begins by sharing his journey in the legal space, from starting in e-discovery to becoming a thought leader in legal optimization. Over the last five to six years, his focus has shifted toward helping clients optimize their systems for CLM. This shift reflects the rising demand for streamlined contract processes and the increasing role of technology in legal operations.
The Growing Importance of CLM
CLM is no longer just an administrative function—it plays a critical role in managing risk, driving revenue and ensuring compliance. According to Frank, more than half of the exhibitors at the recent CLOC Conference showcased some form of contract-management capabilities. This underscores the growing recognition of contracts as a strategic business function.
Frank highlights three key reasons organizations are prioritizing CLM:
- Risk management: Centralized contract management helps mitigate unnecessary exposure by standardizing terms and ensuring compliance.
- Efficiency and revenue acceleration: Automating contract processes allows organizations to close deals faster, ultimately accelerating revenue recognition.
- Service delivery optimization: Effective contract management enables better collaboration with vendors and service providers, supporting the organization’s overall goals.
The Role of Generative AI in Contract Management
One of the most exciting developments in the legal space is the emergence of generative AI. Frank predicts that AI will revolutionize CLM by automating drafting, redlining and risk-assessment processes. However, he emphasizes that organizations must first establish centralized repositories and standardized templates to fully leverage AI capabilities.
Common Challenges in Contract Management
Many organizations struggle with contract inefficiencies due to fragmented processes and inconsistent templates. Frank outlines several common challenges, including:
- Lack of centralized contract storage
- Multiple contract templates resulting from mergers and acquisitions
- Unclear ownership of contract-review responsibilities
- Bottlenecks caused by legal departments handling business-related contract changes.
To address these issues, Protiviti advises clients to establish centralized repositories, standardize templates and create clear delineations between legal and business responsibilities.
Preparing for CLM Implementation
Before selecting a CLM platform, organizations need to lay the groundwork for successful implementation. Frank recommends starting with the following steps:
- Contract data mapping: Identify where all contracts are stored and who owns them.
- Playbook development: Create decision trees and escalation matrices to guide contract approvals.
- Template standardization: Consolidate contract templates to reduce variations and inconsistencies.
- Defining roles and responsibilities: Establish clear guidelines for what falls under legal review versus business review.
Selecting the Right CLM Platform
With dozens of CLM providers in the market, selecting the right solution can be overwhelming. Frank advises organizations to consider three critical factors:
- Budget alignment: Understand licensing, implementation and ongoing costs.
- Business needs: Determine whether the platform will serve as a simple repository or provide advanced automation and AI capabilities.
- Scalability: Choose a platform that can grow and evolve alongside the business.
Protiviti’s Advisory Services
Protiviti offers comprehensive advisory services to guide organizations through every stage of the CLM journey. From assessing providers to implementing large language model enablement tools, Protiviti helps clients streamline their contract processes, reduce risk and improve overall efficiency.
Conclusion
The legal landscape is undergoing a profound transformation, driven by technology and the increasing need for operational efficiency. As organizations navigate these changes, having the right strategy and technology in place is essential. With Protiviti’s expertise in legal optimization and CLM, businesses can unlock greater value, minimize risk and position themselves for long-term success.
Tune in to this episode of Protiviti Legal Perspectives to learn more about how organizations can optimize their contract-management processes and embrace the future of legal technology.
Want to learn more? Listen to our other episodes from the Protiviti Legal Perspectives podcast to stay up to date on the latest trends and insights shaping the legal industry. For more information about Protiviti’s services, visit our website.
