FlexGen’s challenge.
Rapid changes in global tariff policy created contract risk across FlexGen’s supply chain. Tariff exposure was often buried in clauses tied to government action, taxes, regulatory changes, or force majeure.
FlexGen’s achievements.
Identified more than $50M in tariff exposure across supplier and contractor agreements and avoided over $35M in potential costs by analyzing how contracts addressed tariff changes.
The role of Workday.
Using Workday Contract Intelligence, FlexGen located tariff-related provisions, analyzed cost recovery terms, and assessed tariff exposure across contracts in about one day.
Tariffs create contract risk most companies overlook.
Tariffs are usually treated as a pricing issue. When governments change trade policy, companies calculate cost increases and adjust forecasts. But the real exposure often sits somewhere else: in the contract itself.
FlexGen, a developer of large-scale energy storage systems used by utilities and power producers, relies on a global supply chain for the equipment and components used in its projects. When tariffs began shifting across those markets, the company’s risk and procurement team needed to understand exactly how those policy changes affected its contracts.
FlexGen used Workday Contract Intelligence to identify more than $50 million in tariff exposure across its contracts, helping the company avoid over $35 million in potential payments.
Using AI-powered contract analysis, FlexGen identified more than $50 million in tariff exposure across its contracts, helping the company avoid over $35 million in potential payments.
The challenge is that tariff exposure rarely appears in a single clause. Contracts may reference tariffs directly, but they also address the same issue through provisions tied to government action, taxes, regulatory changes, or force majeure.
Those provisions can appear multiple times across hundreds of pages and interact with other clauses that affect cost recovery. Understanding tariff exposure requires seeing the full contractual picture—exactly the visibility Workday provided.
Mapping tariff exposure across the contract portfolio.
The team began building custom AI models in Workday Contract Intelligence to identify contracts that mentioned tariffs directly. From there, they expanded the search to related provisions that could govern tariff changes, including government action clauses, tax provisions, change-of-law language, and force majeure terms.
The goal was not just to find references to tariffs. It was to determine how each agreement handled the financial impact when policy changed.
The analysis revealed several scenarios. Some contracts allowed tariff costs to pass through to customers through change orders, while others required formal notice within strict time windows before those costs could be recovered. A smaller number contained language that created more complex exposure.
Without AI, reviewing those agreements would have required roughly two and a half weeks of manual work by dedicated paralegals working 40 hours a week, saving over $10,000 in wages.
Using Workday, FlexGen completed the analysis in about two and a half days. The insight ultimately helped FlexGen avoid more than $35 million in tariff costs across its supplier and contractor relationships.
Tariffs weren’t just a pricing issue for us. They were a contract issue.
Anthony Tacker, Director of Risk & Procurement, FlexGen
When tariffs change, speed matters.
Identifying the right clause is only the first step. Many contracts include strict notice provisions that determine whether companies can recover new costs triggered by regulatory changes.
If those deadlines are missed, the financial burden can shift immediately.
By mapping those provisions quickly, FlexGen could act immediately when tariff policies changed and ensure the required notices were issued.
“Tariffs weren’t just a pricing issue for us,” said Anthony Tacker, Director of Risk and Procurement at FlexGen. “They were a contract issue. Workday Contract Intelligence helped us to understand exactly which agreements allowed us to pass costs through, which ones required notice, and where our exposure was.”
For FlexGen, the result is simple: when tariff policies shift, the company can immediately see the contractual impact and act.
Anthony Tacker, Director of Risk & Procurement, FlexGen
AI helps FlexGen stay ahead of tariff volatility.
Tariff policy continues to change, but FlexGen’s approach has evolved with it.
With Ask AI in Workday Contract Intelligence, the company can now query its contract portfolio directly to identify tariff-related provisions and verify the source language instantly. When a Supreme Court ruling shifted the tariff landscape again in 2026, FlexGen was able to react and assess its exposure in about a day to a day and a half.
For FlexGen, the result is simple: when tariff policies shift, the company can immediately see the contractual impact and act.
“I can’t imagine trying to manage today’s tariff volatility without Workday,” said Tacker. “Instead of wondering how we were going to handle the contracts and the risk exposure, we knew we could get the answers quickly and make a plan.”