EY OpsChain Contract Manager

Blockchain is a type of distributed ledger technology that allows data to be stored across multiple systems in a secure, tamper-proof manner. It stores data in blocks, each one linked to the next via cryptographic signatures, creating a chain. This chain ensures that records cannot be altered without the changes being visible to all participants. Blockchain provides the foundational elements that support OCM.

Implementing a blockchain-based solution for contract management like OCM has several benefits. Often, once a contract is signed, those involved in executing the contract sometimes cannot easily recall the details of the agreement. OCM fosters transparency and traceability, helping provide all parties with one version of the truth. Smart contracts efficiently automate the enforcement of terms, which reduces the likelihood of dispute. Furthermore, with Zero-Knowledge Proof technology (ZKP), confidential information can be validated without exposing the data, ensuring privacy is maintained. Blockchain’s immutable nature, meanwhile, provides a reliable audit trail, enhancing accountability and confirming any decisions made are based on current and complete contract information.

OCM is designed to handle a wide range of contracts, including sales, procurement, and partnership agreements. Its versatility makes it suitable for a comprehensive number of industries and business models.

OCM uses ZKP technology to help provide privacy of all contract terms and conditions. This cryptographic method allows parties to verify the accuracy of information without revealing the information itself.

OCM integrates seamlessly with ERP systems using Electronic Data Interchange (EDI). EDI allows for the structured transmission of data between different software systems, effectively enabling OCM to exchange necessary contract data with existing ERP systems.

While OCM streamlines contract management and increases transparency, it is not a replacement for ERP systems or other business operation systems. It won’t automate routine tasks or replace human decision-making. Rather, its primary function is to help improve accuracy and consistency in contract execution and compliance, thereby reducing errors and inefficiencies.

OCM can benefit various industries that rely heavily on contract management, such as manufacturing, retail, healthcare and finance, among many others.

OCM is highly versatile, with use cases across a multitude of sectors. In the procurement industry, it can handle complex multi-party contracts, enabling efficient tracking and execution of agreed terms. For royalty and subscription management, it helps ensure accurate and timely disbursement of payments, according to contract terms. Power Purchasing Agreements (PPA) can benefit from OCM by securing the agreed energy transaction terms and prices. In the insurance sector, OCM can streamline policy management and claims processing. Overall, any industry or sector that relies on complex contractual relationships can benefit from the transparency, accuracy and efficiency offered by OCM.

No, your vendors don't necessarily need to have their own OCM license to achieve benefits. OCM is designed to streamline the contract management process primarily for the license holder. However, having both parties on the OCM platform can amplify the collaborative, transparency, and efficiency benefits. Vendors can still interact with your smart contracts and follow the terms defined, even if they're not OCM license holders. But, for a more seamless and integrated experience, it is recommended for key partners and vendors to also consider adopting OCM.