Are you finding it challenging to keep your contracts’ terms, provisions, and obligations in a systematic way? You can save this headache by automating your contract management software.
Research shows that contracts contribute to 80% of B2B revenue. Poor manual contracting results in a lot of time wastage. A study by the IACCM found that poor manual contracting wastes up to 92% of the time on contracts. Additionally, you are at risk of missing the critical dates in your contracts’ lifecycle, and the renewal process is expensive. For these reasons, you need an effective contract management system.
If you’re not sure where to get this software, we offer a contract management software free trial.
- 1 What are the uses of contract management software?
- 2 Benefits of contracts management software systems?
- 3 Three key tips for developing and implementing a new contract management system
- 4 Bottom line
What are the uses of contract management software?
Below are some of the critical uses of contact management software.
A contract management system provides safe storage of your contacts and organizes them based on terms. This makes it easier for you to assign the responsibilities of the contract based on their stages. The contract stages involve authoring the contract, negotiating, auditing, and accepting the contract. The system provides a secure platform to hold and manage contracts.
Contract management alerts you of any changes made by contracts. These changes include agreement terms that broadly impact your company. The system highlights the changes using colors to know what the other party wants or is requesting quickly.
Further, the system allows you to monitor what the other party is doing and highlights any omission errors. This helps you make any changes quickly and work according to the agreed time.
Authoring tools and language
Crafting perfect contracts requires hard work and is time-consuming. Remember, you have to use the correct language and clauses consistently to write an excellent contract. This can be tedious when done manually. Thankfully, the contract management system provides authoring tools to make this work easier for you.
The system’s menu has a library of terms of clauses that you can drag to your document. It allows you to customize the clauses to suit your needs. This makes it easier to craft a contract with the correct terms and clauses. Additionally, semi-automated contract authoring saves you time and money because one worker can create many contracts within a few hours
Benefits of contracts management software systems?
The contract management system creates many contracts within a short period. It allows you to optimize contracts for easier updating of information such as clauses and contractual terms automatically. The system also enhances faster collaboration, negotiation, and signature.
The system allows actual time editing of contracts to the parties involved. This ensures that both parties work according to the agreed terms.
You only need to send the link to your contract to the relevant party. The link will enable the specified party to access your document from anywhere and make edits or approve the contract.
The system uses encryption and sophisticated cyber security to keep all contracts safe. Contract management software saves files in the cloud, so you can never lose your contracts.
Three key tips for developing and implementing a new contract management system
1. Assess the current state of contract management
Before implementing a new contract management system to your company, it’s best to assess the state of your current software. Ask yourself this. What are its shortcomings? How do I improve the system?
After the assessment, try and find solutions on how you can improve your system. Research on other best systems that could help improve on your current one.
2. Engage your business partners
If you want to succeed in developing and implementing a new contract management software, you have to engage your business partners actively. Their views can help you choose the best management contract that is fit for all. These business partners include sales, marketing, human resource, finance, manufacturing, and logistics.
3. Manage the process strategically by engaging the people
Implementation and maintenance of the system are where a lot of work lies. You need to involve your legal department in this process actively. Your legal department will:
- Ensure all key stakeholders are trained on the new contract management process
- Engage the right merchants at appropriate stages throughout the contract management process
- Maintain and update policies, procedures, and templates that establish the contract management process
Contracts influence the success of any business. Poor contracts could expose your business to legal risks, loss of revenue, and negotiation may take a long time. These inefficiencies can lead to your business losing money through legal action, penalties, and unmet conditions.
That is why implementing contract management software will bring remarkable success to your company. You will be able to manage contracts more efficiently and effectively, which will increase your revenue. The system removes the manual burden and helps builds better contracts easily within the shortest time possible. If you want a favourable report for your company, implement the contract management software now.