EY, one of the world’s leading professional services organizations, unveiled a new solution aimed at revolutionizing contract management processes for enterprises. The announcement came during the annual EY Global Blockchain Summit, where the company introduced EY OpsChain Contract Manager (OCM), a transformative blockchain-enabled platform designed to streamline and enhance contract execution.
The EY OCM solution addresses a common challenge faced by enterprises: managing complex business agreements across various internal and external operational and technology silos. By leveraging blockchain technology, EY OCM synchronizes data seamlessly across business partners and ensures the consistent enforcement of key business terms, such as standardized pricing, volume discounts, rebates, and strike prices.
Paul Brody, EY Global Blockchain Leader, emphasized the significance of the new solution, stating, “We’ve identified from past client work that contract automation can improve accuracy while cutting cycle times by more than 90%, and overall contract administration costs by nearly 40%. With our zero-knowledge privacy technology, we have industrialized this capability, and we can now get these benefits at a fraction of the up-front cost.”
EY OCM operates on the Ethereum public blockchain, offering decentralized operation within a trustworthy environment. This approach aims to eliminate the need for costly private networks and mitigate risks associated with sharing sensitive business information through centralized portals. Additionally, the system ensures enterprise privacy through the utilization of Zero Knowledge Circuits.
One of the key advantages of EY OCM is its compatibility with existing enterprise systems through a standardized API. The solution supports various business contract types, including volume purchase agreements, standardized rate cards, volume discounts, rebates, and price models dependent on market data feeds.
Early adopters of the EY OCM solution are already witnessing its transformative capabilities. The first test users are implementing complex Power Purchasing Agreements (PPAs), incorporating market prices and strike prices with minimum and maximum purchase criteria.
The unveiling of EY OCM comes amid projections of substantial growth in the global smart contracts market. According to Zion Market Research, the market is expected to reach an estimated value of US $1 billion by 2030, with a compound annual growth rate (CAGR) of approximately 24% between 2023 and 2030.
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