Adding AI agreements to existing contracts

AI is changing service delivery and, consequently, contractual agreements

Artificial Intelligence (AI) is developing rapidly and playing an increasingly important role within IT service delivery. While AI was primarily viewed as an innovation project a few years ago, it is now being applied structurally in managed services, service desks, software development, monitoring, reporting, and operational processes.

For many organizations, this raises an important question: do existing outsourcing and supplier contracts still align with this new reality?

After all, many contracts were drawn up during a period when AI was barely part of the service delivery. As a result, explicit agreements regarding the use of AI, supplier responsibilities, and the impact on performance, risks, and governance are often lacking.

New technology requires new agreements

When suppliers deploy AI within their service delivery, the way work is performed changes. Processes are automated, analyses are performed faster, and support becomes increasingly intelligent.

This offers opportunities for higher quality, better efficiency, and more innovation. At the same time, it is important to make clear agreements on topics such as:

• Transparency regarding the use of AI within service delivery
• Responsibilities and decision-making
• Information security and privacy
• Compliance with laws and regulations
• Ownership of data and output
• Monitoring and reporting of AI performance
• Management of risks and errors

Documenting these topics creates greater clarity for both the client and the supplier.

Are KPIs and SLAs still future-proof?

Another important point of attention is the way in which performance is measured. Traditional KPIs and SLAs are often based on manual processes and traditional service delivery.

When AI is deployed, existing performance indicators may become less relevant. Consider, for example, response times, error rates, capacity, or productivity. New technology enables different performance levels and sometimes requires additional metrics.

Organizations would therefore be wise to periodically assess whether their KPIs and SLAs still align with the reality of today and tomorrow.

Governance remains crucial

Although AI can support many processes, governance remains essential. Ultimately, organizations must always maintain insight into how important decisions are made and who is responsible for them.

A clear governance structure helps monitor quality, compliance, security, and continuity. In this regard, it is important that clients and suppliers jointly agree on oversight, escalations, reporting, and responsibilities.

Especially in a time when technology is evolving rapidly, good governance forms the basis for sustainable collaboration.

From contract management to strategic supplier management

The introduction of AI offers organizations an opportunity to take a broader view of their supplier relationships. The conversation is no longer solely about service delivery and costs, but increasingly about innovation, collaboration, and joint value creation.

By reviewing existing contracts in a timely manner, organizations gain more control over developments and can optimally benefit from the opportunities offered by AI. At the same time, risks are kept manageable and service delivery remains future-proof.

At SourceMinds, we support organizations in assessing, optimizing, and future-proofing IT contracts, sourcing relationships, and supplier agreements. In this way, we ensure that governance, performance, and innovation remain in balance.