Hogan Lovells launches artificial intelligence-based EBA Outsourcing Solution
London, 24 June 2020 – Hogan Lovells has launched its European Banking Authority (EBA) Outsourcing Solution, a new artificial intelligence-based tool helping clients tackle logistical challenges when dealing with the EU regulator’s new guidelines.
In September 2019, the EBA guidelines on outsourcing agreements came into effect and imposed obligations and requirements which must be met by financial institutions and outsourced service providers.
Businesses impacted include banks and certain larger investment firms, and any member of their groups, payment institutions, and electronic money institutions.
To help address the complex challenges posed by the new guidelines, Hogan Lovells developed a custom AI-driven extraction and workflow-based EBA Outsourcing Solution.
Our machine learning software has been trained to process outsourcing agreements and identify any terms that need to be updated in order to be compliant with the new guidelines.
The tool was developed by a team assembled by Hogan Lovells, led by technology partner John Salmon and FTI Consulting Managing Director Ryan Drimalla.
Hogan Lovells technology partner, John Salmon, said: "By combining people, process, tools and technology, this toolkit provides clients with a comprehensive review of outsourcing agreements and in effect, increasing efficiency and reducing costs in a project-managed environment. By supplementing our machine learning software with human review quality control, we maintain high levels of accuracy to ensure only relevant legal issues are sent to our teams for varying or redrafting."
Rachel Dabydoyal, Head of Alternative Service Delivery at Hogan Lovells, said: "We have built an award winning delivery model through working with the right people – both within Hogan Lovells and within our collaboration partners, investing in process and leveraging the best technology. Our model is robust thus enabling us to work on large scale projects but flexible allowing us to build bespoke solutions such as this for the new EBA Regulations."
FTI Consulting Managing Director Ryan Drimalla, who worked with Hogan Lovells develop the toolkit, said: "With the EBA’s new guidelines creating a challenge for firms to identify and review all existing outsourcing agreements by the end of 2021, we were pleased to work with Hogan Lovells to develop a solution that assists organisations in automating and streamlining that process."