Today, businesses have completely overhauled the way they manage contracts on a global scale. This is due to the technological advancements that make digital contract lifecycle management more secure and productive than ever. Modern contract lifecycle management has largely transitioned from manual, paper-based processes to online, cloud-based contract lifecycle management solutions. These solutions empower businesses and organizations to optimize their approach towards the contract lifecycle – giving them complete control and visibility over every stage, enabling them to improve risk management, increase the value of their resulting contracts, and as we’ll discuss today, cut costs.
Every business wants to drive value and their return on investment. Eliminating preventable contract-related issues that stand in your way of improving the client and vendor experience are a great place to start to boost the value that your business can provide to others. Contract management can cost your business up to hundreds of thousands of dollars depending on the volume and complexity of your contract portfolio. But it doesn’t have to!
We’re here to support you in cutting costs by adopting a more strategic and intelligent approach to managing your company’s contracts.
With contract lifecycle management software, you’ll be able to sort through and retrieve your contracts and exact terms, clauses, and other pieces of metadata within seconds with advanced text-based search and customizable, savable filtering capabilities. This means you’ll have the exact data you need at the times you need it most (i.e., negotiations, reviews, approvals). Data analysis and reporting are also simplified with contract lifecycle management software, and we’ll dive into this in further detail below.
To attain successful contract lifecycle management, the contract lifecycle management software that you select doesn’t have to be bursting at the seams with numerous features and capabilities. Some of the most trusted solutions offer a few key capabilities that are extremely effective, setting them apart from the rest. We recommend leveraging a digital contracting solution that is easy to deploy and adopt onto your Microsoft 365 environment. Smart contract lifecycle management tools and the ability to set achievable KPIs can assist you in developing an improved contracting approach.
Now, let’s take a look at 5 ways that contract lifecycle management software can save your business money.
Storing all of your company’s contracts in a cloud-secure, digital repository is a phenomenal way to save money. By maintaining all of your contract data in a single location, you ensure that your team only resorts to one place to obtain contracts and associated contract data. Manual contract storage via shared drives, email chains, physical copies, filing cabinets, and other outdated methods only increases the risk for lost and misplaced contracts, as well as heightened security concerns. So, keep your contracts strictly in the hands of authorized users with a cloud-based contract repository that is searchable and accessible at all times on any digital device, in any location with an internet connection.
Maintaining contracts in a digital portfolio can support you in assessing where cost-saving opportunities might be present. With customizable filters, you can filter out your contracts according to data like milestones, expiry dates, auto renewal dates, deliverables, specific contract key words, and clauses. With contract insights readily available, you set yourself up for success when it comes time for renegotiations, assessing vendor performance, and identifying revenue leaks.
Risk management is one of the most critical elements of successful contract lifecycle management. Within your contract management solution, you can easily configure alerts triggered by specified rules to keep you aware of compliance and security issues. This can cut down on the many costs associated with noncompliance, obligations with associated fees, and other cost-inducing items.
The contract lifecycle management technology of today increases insights into the contract types that could potentially threaten your company with increased risks and costs. In addition, you can monitor contracts based on compliance and contract performance to measure which contracts are or are not in good standing.
Contract lifecycle management software synthesizes your contract data to give you a comprehensive picture of how your company’s contract strategy is working. Proactive, all-inclusive contract dashboards will provide your team with all the data and contract metrics they need to predict contract trends and the potential achievement of contract KPIs. Take data from finance, procurement, HR, sales, and other departments to gain awareness of present and potential risks, equipping you with the knowledge you need so you can move forward with corrective action. With all of these insights, you can make data-driven decisions that serve to cut risks and ultimately the expenses associated with these risks.
Does your team ever experience difficulty in finding contracts? Has your legal department ever spent a few weeks searching for a single clause or contract? These scenarios only drive-up costs by wasting time searching for documents rather than closing deals or drafting new agreements.
Digital contract lifecycle management drastically reduces time spent locating your agreements due to advanced search and filtering functions. Quick, text-based searches and customized, saved filters make it easy to refine your queries and obtain contract data right away. An online contract lifecycle management solution will help you locate expired agreements and contracts with linked delays in product/service delivery and/or payments.
Standardization is one of the best ways to increase the value and professionalism of your contracts while minimizing risks. To keep up with the demands of a contract portfolio steadily increasing in complexity and volume, standardization can assist you during contract creation and negotiations. For example, standard preapproved clauses and contract templates are a massive time-saver for your legal team. This means you’ll be able to get contracts written faster with increased accuracy and compliance so you can draft more contracts in the same amount of time and close more deals.
With a consistent sequence of events during the contract lifecycle due to standardization of your contract procedures, you ensure that every contract adheres to compliance regulations and business standards, which can greatly reduce liabilities and the costs that come with noncompliance.
Effective practices for contract tracking and monitoring support companies in cutting costs. Tracking and monitoring contracts is essential for identifying trends and tracking select data points to share with others on your team. Your contract data can be reviewed visually in dashboards, allowing teams to see exactly how certain contracts may drive risks. In addition, these dashboards are useful for obtaining insights on contract items like obligations and relevant key dates like expiry deadlines and auto renewal dates so that your team can prepare ahead.
Contract management has evolved, and the software available today has evolved with it. Electronic contract management revolutionizes the efficiency and productivity of the contract lifecycle, giving contract managers and business owners back into the driver’s seat of their contracts. BY being equipped with the most current contract data and insights regarding contract performance, status update, and compliance, you can identify areas of risk and eliminate the costs associated with these risks. Centralizing your contract data will help you in increasing the security of your contract data, as will the myriad of security features offered by modern contract lifecycle management software. Customizable reporting and proactive contract dashboards empower contract managers with all the contract insights they need to make well-informed decisions to prevent additional expenses and revenue leakage.
Here at Dock, we offer a Contract Management System built onto your Microsoft 365 tenant so that you’ll never have to give access to sensitive contract data to an outside vendor. Our solution easy to adopt, using Microsoft Teams, SharePoint, and electronic signature integrations like DocuSign and Adobe Sign to increase the efficiency and speed of your contract processes. Increase results, improve client and vendor relationships, and build value-driven contracts with ease with Dock. For all of your contract lifecycle management needs, Dock is here to help.
Learn more about our Dock 365 Contract Management System here.
Learn more about Contract Lifecyle Management (CLM) Software here.
For more information, we would like to welcome you to schedule a free demo with us today.