Contract lifecycle management (CLM) software is an invaluable resource to any company handling a variety of multiple, long-term contracts. It provides organizational tools which allow you to reference contracts instantly. It offers the ability to analyze and assess contracts in progress for risks, key performance indicators and regulatory compliance. Plus, it helps push contracts to completion by simplifying negotiations, drafts and approvals for all parties. The goal of contract lifecycle management software is to take your contracts from business-as-usual and use them to create additional opportunities for growth and improved performance.
No two contracts are exactly alike; contract projects vary in scope, detail and turnaround time. In order for you to be able to speak to the progress or performance of any particular contractual project, it is important that your team members know exactly which benchmarks they are seeking. There should be no confusion regarding their obligations. Contract lifecycle management puts all of your contracts into a searchable database for easy referencing. It also alerts you as deadlines approach and goals are being met to keep you on top of your team’s progress.
Financial and Risk Management
Contract lifecycle management is able to take the terms of your contract and use them to identify problem areas throughout the process. In the context of your contract’s lifecycle, it can show you which areas are slowing you down, and perhaps point to a larger trend across all of your contracts where things are getting bogged down using actionable business intelligence (BI). Based on your financial and input data, it can extrapolate over the remainder of the contract to predict final results, allowing you to make course corrections as needed.
Shorten the Paper Trail; Create an Audit Trail
Risk management just got easier. CLM software makes it easy to instantly draft contracts from templates. You and your team can manage contracts from creation to archival easily and quickly. Gentle reminders can be sent to those who do not act on these requests within a specified turnaround time.
Proactive Contract Management
Your revenue will be realized more quickly with shortened contract management time, but the best CLM benefits are that you’ll avoid penalties, lower the risk of liabilities, and meet contract deadlines, which also results in enhanced customer confidence. The bottom line: Contract lifecycle management software can boost your profits and credibility. That makes CLM software an investment; not an expense.