AllCaps Under the Hood
Most procurement teams face a brutal reality: hundreds of contracts, tiny teams, zero bandwidth for negotiation. Here's how we built an AI system that doesn't just assist—it actually negotiates.
Inside AllCaps: How 4 AI Agents Work Together to Master Contract Negotiations
Most procurement teams face a brutal reality: hundreds of contracts, tiny teams, zero bandwidth for negotiation. Here's how we built an AI system that doesn't just assist—it actually negotiates.
After 18 months building AllCaps and watching our AI negotiate real contracts, I've learned something surprising: the best procurement AI isn't one super-agent—it's a specialized team working together.
Think about how elite law firms work. You don't have one attorney doing everything. You have partners crafting strategy, associates building detailed arguments, paralegals organizing evidence, and coordinators managing execution. Each role requires different expertise and works at different speeds.
We've built the same model, but with AI agents. Here's how our system actually works:
Meet The Team: 4 AI Agents That Never Sleep
🔍 Scout: The Contract Intelligence Agent
What Scout Does: Monitors every contract in your organization, tracking expiration dates, parsing terms, and identifying which contracts need attention.
Core Capabilities:
- Contract Parsing: Extracts vendor names, pricing, terms, expiration dates, auto-renewal clauses from PDFs/DOCX
- Renewal Tracking: Flags contracts 90-180 days before expiration with risk scoring
- Policy Compliance: Checks every contract against your procurement policies and flags violations
- Baseline Analysis: Establishes current state for negotiations (what you're paying, what terms you have)
Why This Matters: The average enterprise has 800+ active contracts. Scout ensures zero contracts slip through unmanaged—the foundation of good procurement.
🧠 Strategist: The Negotiation Intelligence Agent
What Strategist Does: Analyzes your negotiation position using a 5-dimensional framework, then generates comprehensive negotiation strategies.
The 5-Dimensional Analysis:
- Bargaining Power Assessment: Evaluates supplier alternatives, switching costs, time pressure, buyer volume impact—calculates relative leverage
- Should-Cost Analysis: Zero-based cost buildup + market benchmarking to identify overcharges (uses web search for competitor pricing, industry data)
- Strategic Value Calculation: Determines how important you are to the vendor (growth account, reference value, partnership potential)
- Market Dynamics Analysis: Assesses vendor financial health, competitive intensity, regulatory pressures (monitors news, funding, layoffs)
- Relationship History Scoring: For renewals, evaluates past vendor performance on SLAs, support, roadmap delivery, commercial integrity
The Output: A complete negotiation brief including:
- Recommended posture (aggressive/assertive/balanced/collaborative/defensive/cautious)
- Target pricing with ask/target/fallback ranges
- Specific leverage points with supporting data
- BATNA/WATNA analysis
- 3-5 primary objectives ranked by importance
- Critical risk factors
Real Example: For an HRIS renewal, Strategist discovered the vendor was pricing 26% above market median, identified 4 viable alternatives, and calculated the client's strategic value at 6/10 (moderate leverage). Recommended posture: "Assertive with collaborative framing." Result: 17.8% cost reduction.
📋 Playbook: The Tactical Execution Agent
What Playbook Does: Transforms strategy into actionable playbooks with step-by-step guidance, email templates, negotiation scripts, and impact calculators.
What's in Every Playbook:
- Lever Cards: 10-15 negotiation tactics with specific ask/target/fallback positions, rationale, and supporting evidence
- Deal Recipes: Pre-built combinations of levers for common scenarios (price-protected scale-up, AI value with guardrails, compliance-first)
- Email Templates: Pre-written initial outreach, counteroffers, competitive leverage, acceptance messages
- Talk Tracks: Conversational scripts for calls and meetings per lever
- Calculators: Interactive formulas to quantify savings, TCO impact, SLA credit value
- Clause Library: Legal-ready contract language with plain-English summaries
- Evidence Pack: Links to market data, competitor pricing, vendor financials, regulatory requirements
Why This Works: Negotiators (whether your team or ours) get McKinsey-level playbooks without spending weeks on research. Everything is pre-built, contextualized, and ready to execute.
🤝 Calm™: The Coordination & Approval Agent
What Calm Does: Acts as your AI assistant throughout the negotiation, managing approvals, answering questions, coordinating stakeholders, and adapting strategy in real-time.
Key Interactions:
Strategy Review & Approval:
- Presents strategy summary via chat interface (Objectives, Next Steps, Key Focus Areas)
- Answers client questions about approach, targets, risks
- Explains reasoning behind recommendations
- Captures approval or revision requests
- Supports delegation (client can assign AllCaps expert to finalize)
Real-Time Guidance:
- Vendor response analysis (sentiment, gaps, next moves)
- Adaptive playbook updates when conditions change (competitor bid comes in, vendor gets aggressive, market news drops)
- Stakeholder routing (auto-assigns tasks to Legal, Finance, IT, InfoSec with context)
- Communication drafting assistance
Decision Support:
- Gap analysis between vendor position and targets
- Accept/counter/escalate recommendations with reasoning
- TCO scenario modeling
- Risk assessment updates
Why Calm is Critical: Negotiations are dynamic. Vendor responses change the game. Market news shifts leverage. Calm ensures the strategy evolves in real-time rather than staying static.
How They Work Together: The Full Workflow
Here's how these four agents collaborate on a typical contract renewal:
Stage 1: Contract Discovery & Alert (Scout)
- Scout parses contract, identifies expiration date
- Flags renewal 90 days in advance
- Extracts baseline terms and pricing
- Routes alert to client with contract summary
Stage 2: Strategic Analysis (Strategist + 5 Sub-Agents + Web Search)
- Client initializes renewal
- Strategist deploys 5 specialized sub-agents, each analyzing one dimension:
- Bargaining Power Agent: Calculates supplier concentration, switching costs, buyer volume impact, time pressure, integration threat analysis → outputs relative leverage score (-10 to +10)
- Should-Cost Agent: Performs zero-based cost buildup, queries web for competitor pricing and market benchmarks, calculates fair market value → outputs target price range with confidence level
- Strategic Value Agent: Assesses growth trajectory, reference value, innovation partnership potential, ecosystem lock-in risk → outputs strategic importance score (0-10)
- Market Dynamics Agent: Web searches for vendor financial health (funding, layoffs), competitive intensity, regulatory pressures, technology disruption risks → outputs market favorability score (0-10)
- Relationship History Agent: (renewals only) Evaluates past SLA compliance, support quality, roadmap delivery, commercial integrity → outputs trust index (0-10)
- Each sub-agent reports findings back to Strategist
- Strategist synthesizes all 5 dimensions into integrated negotiation brief
- Outputs: Recommended posture, target pricing, leverage points, BATNA/WATNA, primary objectives
Stage 3: Client Review & Approval (Calm)
- Calm presents strategy via chat interface
- Client asks questions, requests clarifications
- Calm explains reasoning, offers alternatives
- Client approves or requests revisions
- Strategy locked once approved
Stage 4: Playbook Generation (Playbook + Strategist)
- Playbook generates tactical playbook based on approved strategy
- Customizes lever cards, email templates, calculators
- Strategist informs which levers to prioritize
- Output: 40+ page interactive playbook
Stage 5: Negotiation Execution (Human + Playbook + Calm)
- Negotiator (client team or AllCaps expert) uses playbook guidance
- Sends initial position using email templates
- Logs vendor responses in system
- Calm analyzes vendor position, recommends next moves
- Playbook adapts if conditions change (e.g., competitor bid arrives)
- Continues through multiple rounds
Stage 6: Real-Time Adaptation (Calm + Strategist)
- Vendor responds aggressively → Calm recommends escalation path
- Competitor undercuts pricing → Strategist recalculates BATNA, Playbook inserts switching analysis
- Market news (vendor layoffs) → Strategist updates Market Dynamics score, Calm alerts negotiator
- Vendor makes concessions → Calm assesses gaps, recommends accept/counter
Stage 7: Final Approval & Execution (Calm + Scout)
- Negotiator documents final terms
- Calm routes to client for approval
- Coordinates legal review, signatures
- Scout logs new contract, sets renewal tracking
Why This Architecture Works
1. Specialization Creates Excellence Each agent is optimized for its specific role. Scout is built for document parsing. Strategist is purpose-built for analysis. Playbook excels at tactical generation. Calm handles coordination.
2. Speed Where It Matters Scout and Playbook work in seconds. Strategist takes minutes. Calm responds instantly. Human negotiators focus on relationship and judgment—the parts AI can't do (yet).
3. Transparency & Control Clients see every analysis, approve every strategy, review every recommendation. The AI doesn't operate as a black box—it shows its work.
4. Continuous Learning Every negotiation feeds back into the system. Strategist improves leverage calculations. Playbook refines tactics. Calm learns which recommendations work.
Real Results: 36-Day HRIS Negotiation
Client: 150-employee tech company
Vendor: TalentCore HRIS
Challenge: Vendor proposed 14% increase ($40K → $45.6K), budget allowed only 5%
How The Agents Worked:
- Scout: Parsed contract, flagged renewal 90 days early
- Strategist: 5-dimensional analysis revealed pricing 26% above market median, identified BambooHR as credible BATNA
- Playbook: Generated negotiation playbook with market benchmarking data, email templates, TCO calculators
- Calm: Managed 3 rounds of negotiation, analyzed vendor responses, recommended final acceptance at $37.5K
Outcome:
- $37,500 annual contract (17.8% reduction from vendor quote)
- $13,950 total 2-year savings
- 6% uplift cap secured for future renewals
- TFC clause with 25% declining buyout
- Enhanced SLA commitments (99.5% uptime, P1 1-hour response)
- 36 days start to finish
- 5 hours total client time investment (vs. 40+ hours typical)
The Real Innovation: Agents That Actually Negotiate
Most "AI negotiation tools" are just analysis platforms. They give you insights, then you still do all the work.
Our agents actually execute. They:
- Draft vendor communications
- Analyze responses in real-time
- Adapt strategy based on vendor behavior
- Calculate optimal counter-positions
- Coordinate multi-stakeholder approval workflows
- Handle 80% of negotiation mechanics
The human's job shifts from "do everything" to "make key decisions":
- Approve strategy
- Approve final terms
- Handle relationship escalations
- Apply judgment in ambiguous situations
This is the future of procurement: AI agents that work as your negotiation team, not just your research assistant.
What This Means for Procurement Teams
For Small Teams (3-8 people managing 200+ contracts):
- Scout ensures nothing slips through
- Strategist provides institutional negotiation expertise you can't afford to hire
- Playbook gives every negotiator McKinsey-level playbooks
- Calm handles coordination that eats 50% of your time today
For Executives:
- 10-20% average savings on managed contracts
- 2-4x faster negotiation cycles
- Zero contracts auto-renewing without review
- Full audit trail for governance
For The Industry:
- Procurement teams can finally manage ALL contracts, not just the top 20%
- Low-value contracts ($10K-$100K) get the same rigor as strategic deals
- AI handles repeatable work; humans focus on relationship and judgment
What's Next
We're now handling 50+ concurrent negotiations across Higher Ed, Healthcare, Government, and Manufacturing clients. Every negotiation teaches our agents something new.
Coming soon:
- Category-specific models for Facilities, Logistics, Professional Services (today we're optimized for SaaS)
- Autonomous negotiation for ultra-low-value contracts (AI conducts entire negotiation, human approves final terms only)
- Portfolio optimization (which contracts to prioritize based on ROI potential)
- Predictive analytics (forecast vendor responses before you make offers)
The procurement bandwidth crisis is real. But it's also solvable—with the right team of AI agents working together.
Want to see how our agents would handle your next renewal? Send me a DM or comment below. I'm happy to walk through a specific contract and show you what Scout, Strategist, Playbook, and Calm would recommend.
P.S. If you're building AI agent systems, I'd love to compare notes on multi-agent architecture, especially around decision handoffs, context management, and human-in-the-loop design.