cloud-based contract management system

Around 80% or more of the business operations are managed by contracts. Contracts are an integral component of every company. When you are a business or a massive corporation there is a good chance that you will manage hundreds of contracts , such as partnership agreements, non-disclosure agreements general employment contracts, property and equipment contracts The list of contracts is endless. Are you able to effectively manage these contracts? Do you rely on paper and spreadsheets or other obsolete systems? Have you considered moving to contracts management software? If so, this article is for your needs.

contract management

Before you invest in a system for managing contracts, ensure that you review these seven questions in order to make sure you don't fall into traps.

software solutions contract management tools

Does the software have AI capabilities?

contract life cycle management

With the sheer number of contractsto manage, maintaining uniformity management of contracts, and pulling out essential information pose an enormous challenge. Companies may not have a standardized method of organizing contracts databases. You may have an abundance of procurement contracts , each with different renewal dates and renegotiation terms. Representatives from your team may be required to dedicate hours trying to track, review and analyze the information to ensure that the right opportunities are not missed. Instead, if you go to use an automated contract system that is powered by AI, this job can be completed in only a few minutes. Through Doc.AI capabilities, important information such as the title of the contract, the date of renewal agreements, and other terms of negotiation can be extracted. This makes it easier for reviewing, approvals, and sign-offs.

software contract management

And that's not even the best part of it. Further, advanced management of contracts systems with AI capabilities help to analyze contracts, evaluate clauses, and categorize contracts based on the kind of clauses. AI-powered CMS can assist in maintaining compliance with evolving regulations. NLP analyzes every document and highlights the threats and opportunities.

solution provider contract management software

Are there templates that are standard for contract or editing?

best contract management software

Drafting contracts is one of the most difficult things to do. What a hassle it could be to make documents with similar clauses including terms and clauses, technical terms, and almost exactly the same content several of times. This is the reason your CMS is required to have simple templates and clause libraries that cover different fields. Using these templates, pre-approved by your editorial and legal team, you can easily create contracts that are free of weaknesses in your language. Plus, the ability to centralize and standardize contracts provides you with 360-degree view of your contracts. You can follow them using filters you can alter and work with colleagues to review editing, storing and revising.

What's the potential for ROI? What's the cost my organization can save?

The saving numbers are the most persuasive factors to take the final decision whether to make the investment in a management software or not. A study by Goldman Sachs concluded that an automated contract management system could accelerate negotiations by up to 50 %, decrease payment errors by 75 to 90 percent, cut the cost of managing contracts by between 10 and 30 percent and cut the number of employees required for contract management up to 20 percent. Yes, contract management is indeed a cost-effective choice, if it is chosen properly.

Ideally, you should think about things like time spent on audits and tracking renewal dates, the reduction of contract disputes and creation of new business opportunities and reduction of sales cycle.

Is the solution scalable?

Nearly every company in industry claims to provide solutions that are tailored to the specific requirements of each organization. However, does this guarantee that it will always be true? Instead of spending thousands on customization, detail down the workflow, the critical processes as well as the improvements that are needed. analyze options with more specific questions.

As an example: In a typical contract management workflow in which the writer creates the documents the system is able to automatically route the document to the person who approves. If you don't want to stop at this basic option, a customisation can be a notification via email which includes the document's URL sent to the approver. The link should work or be compatible with the entire range of devices: smartphones, tablets as well as desktops.

In the same way, highly customizable software can make it difficult and cumbersome for users, and ease of use can be too little. It's therefore a good idea to take a look at the pros and cons and the level of sophistication of the people who will use the software and determine the best approach to customization.

What are some particular features or features that can reduce manual processes?

When using a software for managing contracts, they are stored in a central, secure and searchable repository with user-based access. This allows optimum compliance and comprehensive reporting. In particular, contracts could be easily traced and the review and signing process is streamlined with electronic signatures. A further example would be the use of measurements and analytical. To extract information on how long it took to negotiate a contract, the users can quickly analyze gaps, analyze the number of iterations and prepare comprehensive reports. This can further assist with the creation of clause libraries, getting insights into the historical performance and making the process more efficient and reduce the cycle times of the contract.

Another important aspect to look at is the redlining of contracts or editing. Redlining is when the text is highlighted as a way to identify changes, additions or deletions, as well as approvals and rejections. This feature can be useful, especially when two or more users want to work on the same document collaboratively. It gives you more flexibility when reviewing and signing contracts.

How easy is it to use and deploy?

A contract management application with a user-friendly interface as well as user-friendly features will delight your users. To gain maximum advantage, when you are deploying it, try to integrate it with existing systems that best contract management software will cut down on times spent moving from one platform to another. In this case, integrating CRM into the new contract software will enable sales people to feed information about customers, create contracts and route them for approval, while also being in control of the expirations, renewals and other important dates.

After that, check for the onboarding process. This is especially helpful if it's an out-of-the-box solution so that you can take off and get operational within a couple of weeks' time. Remember long deployment cycles are no longer sustainable.

7. The data and personal information be safe?

Not the least secure data storage is of vital importance. Because contracts contain highly private and sensitive information, they must be restricted from unauthorized access , in order to earn the trust of your entire circle of friends whether that be your partners, suppliers or customers. In addition, the increase of threat of cyberattacks and cyber threats make companies more vulnerable to risks of potential legal claims, financial or brand-related liabilities. If you're trying maintaining the trust of your business partners, double check that the provider hasn't suffered any significant data incidents.

Get in touch with our experts via [email protected] to find out more about Vuram's Contract Management Solution.