cloud-based contract management system

More than 80% of businesses activities are controlled by contracts. Contracts play a vital role in the operation of any business. In the case of a enterprise or a big corporation, chances are you will encounter a myriad of contracts . These include partnership agreements non-disclosure agreements general employment agreements, property and equipment contracts, the list is endless. How effectively are you managing them? Do you have to rely on paperwork spreadsheets, spreadsheets, and other old systems? Have you ever thought of moving to contract management systems? If yes, then this article is for you.

contract management

Before investing in a system for managing contracts, ensure that you study these seven questions to beware of the traps.

software solutions contract management tools

Does the program come with AI capabilities?

contract life cycle management

With the abundance of contractsand the need to maintain uniformity when managing contracts and extracting the essential information is many challenges. Organizations may not have a standard way to organize contract databases. You may have an extensive number of procurement contracts with varying expiration dates and renegotiation provisions. A team of workers might need to work for hours searching, reviewing and tracking the data to make sure that the opportunity isn't missed. Instead, if you opt with an AI-powered software for managing contracts, the task can be completed in minutes. With Doc.AI capabilities, the information like contract titles, renewal dates negotiations terms, and renewal dates can be extracted. This makes it easier for reviews, approvals and signs offs.

software contract management

Then there's more to it. In addition, advanced contract management systems that incorporate AI capabilities can aid in the review of agreements, compare clauses and classify contracts based on the kind of clauses. AI-enabled CMS will also assist in being in compliance with the ever-changing regulations. NLP analyzes every document to highlight the threats and opportunities.

solution provider contract management software

Are there standard templates for contract creating and editing?

best contract management software

Contracts are among the most laborious tasks. What a hassle it would be to prepare documents with similar clauses as well as terms and conditions, terminology, and identical content a lot of times. This is the reason your CMS should provide easy-to-use templates and clause libraries in several areas. By using these templates that have been pre-approved by your legal and editorial team, you can easily draft contracts with no issues with language. In addition, a clause to standardize and centralize contracts will give you 360-degree view of the contract to track the contract's history using customizable filters. You can also work with colleagues to review or edit the contract and then save it.

What is the ROI potential? What are the costs my company could save?

The savings figures are the most convincing factors that will help you determine whether you should invest in a contract-management method or no. A study conducted by Goldman Sachs concluded that an automated system for managing contracts can improve negotiations by fifty percent, reduce payments errors by 75 to 90 percent, reduce the cost management of contracts by 10 to 30 percent and cut the headcount needed for contract management by 10-20 percent. Indeed, managing contracts can indeed be a cost-effective solution, if done correctly.

Ideally, you should think about things like the amount of time on audits and tracking renewal dates reduction in contract disputes or new opportunities that reduce the cycle of sales.

Can the solution be customized?

Nearly every company in business claims to provide solutions that are custom designed to the requirements of every organization. However, does this guarantee that it will always be true? Instead of spending a fortune in customization, be specific about the process, critical steps needing improvement, then explore options with more precise questions.

A good example is: in a typical contract management workflow after the author has written the documents the system will automatically route it to the approver. This is not the only functionality, a different approach could be an email notification that contains the document's document URL, and sent to the person who approves. And this link should support or be compatible with every device, including smartphones tablets and desktops.

While at the same time high-end software that is customizable can also mean cumbersome and complex to use. In addition, simplicity could also be too simple. It's therefore a smart idea to evaluate the advantages and the sophistication of the individuals who will utilize the software and then decide on the best way to customize.

What are some distinct features or highlights that can help reduce manual tasks?

In a contract management system, contracts are kept in a secure, centrally located and searchable repository with user-based access. This allows for maximum compliance and comprehensive reports. For instance, contracts can be easily traced, and the review and signing can be automated with e-signatures. Another example would be Analytics and metrics. To find out data on how long it took for signing a contract. Users can quickly look over issues, figure out the amount of iterations required and write comprehensive reports. This can further assist in the addition of clause libraries, gain insight into the historical performance and improving the length of the contract cycle.

A different important thing to look to is redlining in contracts, also known as editing. Redlining highlights text in order to mark changes, additions deletions, approvals and rejections. This feature is useful, especially when more than two people wish to work on the same document collaboratively. It allows for greater flexibility while reviewing and negotiating contracts.

What is the process to set up and use?

A contract management program with a user-friendly interface and simple to use solution provider contract management software features will be well-loved by your users. To reap maximum benefits, while you're deploying, be sure to connect it to current systems that cut down on the time spent on navigating from one platform to the next. For instance, integrating CRM with the new software for contract management can allow sales staff to automatically transmit customer information, develop agreements and direct them to approvals, in addition to being in control of all renewals, expirations and other important dates.

After that, check for the process of onboarding. Ideal if it's an out-of-the-box solution so that you are able to get up and running within a short time. Do not forget that lengthy deployment cycles are no longer viable.

7. Do the private and confidential information be safe?

And lastly, but certainly not last most importantly, data security is top priority. Contracts contain extremely confidential and sensitive information They must be secured from unauthorized access in order to earn the confidence of your friends, be it partners, suppliers or customers. Also, the ever-growing cyber attacks and malicious threats have made companies vulnerable to danger of legal, financial and brand liabilities. If you are about to protect the trust and confidence of your top business relationships be sure to confirm that the provider hasn't been hit by any serious data breach.

Get in touch with our experts by emailing [email protected] to learn more about Vuram's Contract Management Solution.