cloud-based contract management system

Around 80% or more of the business operations are governed by contracts. Contracts make up a significant part of any business. In the case of a startup or an established company it is likely that you will be dealing with numerous contract agreements such as partnership agreements non-disclosure agreements and general employment contracts. property and equipment contracts and more. What are you doing to effectively manage them? Do you use paper, spreadsheets and other legacy systems? Have you ever thought of moving to contract management systems? If yes, then this article will help you.

contract management

Before investing in the contract management system be sure to review these seven points to stay clear of pitfalls.

software solutions contract management tools

Does your software have AI capabilities?

contract life cycle management

With the sheer amount of contractsand the need to maintain uniformity when managing contracts and getting essential information to be accessed is major challenges. Companies may not have a standard method of organizing their contract databases. If your business is a good example, it has an abundance of procuring contracts that have various renewal dates and terms for renegotiation. Representatives from your team may have to spend hours looking over, analyzing and tracking the data to make sure that the opportunity isn't missed. If you opt on an AI powered contract management software, the job can be accomplished in a matter of minutes. With Doc.AI capabilities, the information like the title of the contract, the date of renewal or negotiation conditions can be extracted. This helps with review, approvals and signing offs.

software contract management

That's not all there is to it. Further, advanced contract administration systems that incorporate AI capabilities are able to help review contracts, analyze clauses and classify contracts in accordance with the kind of clauses. AI-powered CMS are also a great aid to maintaining compliance with ever-changing laws. NLP examines each document, highlighting the risks and opportunities.

solution provider contract management software

Are there templates that are standard for contract making and editing?

best contract management software

The process of drafting contracts is among the most frustrating tasks. It is difficult to imagine how complicated it could be to come up with documents with similar clauses or terms and conditions terminologies, and even exactly the same content several of times. That's why your CMS must have easy-to-use templates and clause libraries in a variety of areas. With these templates, which have been approved by your editorial and legal team, you will be able quickly draft contracts without any language flaws. Furthermore, a feature to centralize and standardize the contract means you will have an overview of the contract to track the contract's history using customizable filters. You can also interact with peers to discuss their edits, and to store.

What's the potential for ROI? What is the amount my company can save?

The savings numbers are the major factors in helping you make the right decision whether you should decide to invest in a contractual management tool or not. A study conducted by Goldman Sachs concluded that an automated contract management system can improve negotiations by fifty percent, reduce payments error by 75-90 percent, decrease the expense involved in managing contracts between 10 and 30 per cent and cut the total number of people needed to manage contracts by 10-20. It is true that contract management actually can be a very cost-effective alternative, provided it is selected correctly.

In the ideal scenario, you should consider factors such as the time spent in audits and solution provider contract management software tracking renewal dates, reduction in contract disputes or new opportunities that reduce the cycle of sales.

Does the solution have the ability to be adapted?

Virtually every vendor in today's market boasts to provide an option that is custom-made to meet the needs of every organization. But is it always true? Instead of wasting money for customization, consider a detailed breakdown of the workflowprocess, essential processes, improvements needed, and consider options using more specific questions.

As an example: In a typical workflow for managing contracts when the writer drafts the documents the system then automatically forwards the document to the person who approves. But, without limiting this basic characteristic, a tweak could include an email notification which includes the document's URL sent to the approver. The link should also support or work with every device, including smartphones tablets and desktops.

While at the same time highly customizable software can also be difficult and complicated in use. Its simplicity could be too much. Therefore, it's a sensible idea to examine how the software works and the capabilities of the team who will utilize the software and take the necessary steps to make adjustments.

What are some specific features or highlights which can reduce manual processes?

As part of a contract administration system, agreements are saved in a secure, centrally located and searchable database with user-based access. This allows maximum compliance and ample reports. In particular, contracts could be easily tracked, and the procedure of reviewing and signing is made easier by e-signatures. Another possible example is measures and data analytics. To pull out information on how long it took for concluding a contract, people are able to easily identify issues, figure out the amount of iterations , and create comprehensive reports. This can further assist in adding to clause libraries, gaining insights into past performance, and decreasing the time to complete a contract.

A different important thing to look for is contract redlining or editing. Redlining is the act of highlighting text to signify changes, additions deletions, approvals and rejections. This feature can be helpful, especially when more than two people need to work on same document collaboratively. It offers greater ability to review and negotiate contracts.

How easy is it to set up and use?

A contract management application which has a simple interface and simple to use features will be loved by your end customers. To reap maximum benefits, when you are deploying it, try to connect it to existing systems that can reduce the time required to switch between different platforms. Examples, for example, integrating CRM to the latest contract software could allow sales staff to automatically input customer information, generate contracts and route them for approval, in addition to having control over all renewals, expirations and other important dates.

The next step would be to check for the process of onboarding. Ideal if you have an existing solution, meaning that you can move live and go into operation within a short time. Remember that long deployment periods are now unsustainable.

7. What will the security of the data and the private information be safe?

Not to be left out most importantly, data security is utmost importance. Because contracts contain highly personal and sensitive data and sensitive information, they should be protected from access by anyone else to gain the trust of your circle, be it partners, vendors , or even customers. Also, the ever-growing threat of cyberattacks and cyber threats are making companies susceptible to risks of potential legal fiscal, brand, and financial obligations. If you're looking maintaining the trust of your important business relationships you must ensure that the provider hasn't suffered any significant data hacks.

Contact our experts at [email protected] to find out more details regarding Vuram's Contract Management Solution.