cloud-based contract management system

More than 80% of businesses operations are managed by contracts. Contracts are an essential part of any business. If you're a young startup or an established company the chances are that you'll be dealing with numerous agreements like partnership agreements, non-disclosure agreements general employment agreements, equipment and property contracts and more. What is your strategy for managing them? Do you use paper sheets, spreadsheets and other outdated systems? Have you thought about switching to contract management systems? If yes, then this article is for you.

contract management

Before you invest in an automated contract management system, ensure that you study these seven questions to make sure you don't fall into traps.

software solutions contract management tools

Does the software come with AI capabilities?

contract life cycle management

Due to the huge volume of contractsto manage, maintaining uniformity when managing contracts and getting the necessary information out is an enormous problem. Many organizations don't have a standard way to organize contract databases. If your business is a good example, it has an extensive number of procuring contracts that have various expiration dates and renegotiation provisions. A group of people could be required to spend hours in tracing, reviewing and recording the data to make sure that the right opportunities are not missed. Instead, if you opt to use an automated contract system that is powered by AI, this task can be accomplished in a matter of minutes. Thanks to Doc.AI capabilities, information such as names of contracts, renewal dates and negotiation terms can be extracted. This makes it easier to conduct reviews, approvals and signs offs.

software contract management

It's not just about it. Furthermore, advanced contract management systems equipped with AI capabilities are able to help review contracts, review clauses, and classify contracts based on the type of clauses. AI-powered CMS can assist in maintaining compliance with ever-changing laws. NLP analyzes every document and provides a list of threats and opportunities.

solution provider contract management software

Are there standard templates for contract drafting and editing?

best contract management software

The writing of contracts is among the most challenging tasks. Think about how hard it could be to make documents with similar clauses, terms and conditions, terminologies, and even the exact same content many of times. That's why your CMS should support easy-to-use templates and clause libraries in a variety of areas. When you use these templates, that have been approved by your editorial and legal teams, you can swiftly write contracts without errors in the language. A further feature that allows you to standardize and centralize contracts gives you the full view of the contracts to trace the contracts with filters that can be customized and interact with peers to discuss changes, modify and store.

What is the ROI potential? What amount can my company save?

The saving numbers are the most convincing factors that will help you make the final decision of whether to decide to invest in a contractual management software or not. A study by Goldman Sachs concluded that an automated system for managing contracts can increase the speed of negotiations by 50 %, decrease payment errors by between 75 and 90 percent, reduce the cost associated with managing contracts between 10 and 30 percent , and reduce the amount of staff required for contract management up to 20 percent. It is true that contract management is indeed a cost-effective option, if chosen correctly.

Ideally, you must consider elements such as time spent in audits and monitoring renewal dates, the reduction of contract disputes and new opportunities that reduce the cycle of sales.

Are the solutions customizable?

Almost every provider in today's market boasts to offer solutions that are custom designed to the requirements of each organization. But is this always the case? Instead of spending thousands on customization, detail down the process flow, key processes, improvements needed, and examine options with more precise questions.

As an example: In a typical workflow for managing contracts once the contract manager drafts 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 function, a modification might include an email that includes the document's link to the person who approves. This link must support or function on all devices- smartphones, tablets and desktops.

But highly customizable software can make it difficult and cumbersome to use, and simplicity may be insufficient. So, it's always a good idea to take a look at the benefits and capabilities solution provider contract management software of the person who will be using the software and take the necessary steps to make adjustments.

What are some distinct features or highlights that can speed up manual processes?

As part of a contract administration system, agreements are stored in a central, secure and searchable database with user-based access. This allows for maximum compliance and large-scale reporting. For instance, contracts could be easily traced, and the procedure of reviewing and signing could be automated by electronic signatures. Another example could be statistics and analysis. To extract information on how long it took negotiating a contract, users can quickly look over limitations, find the number of iterations and prepare comprehensive reports. This can further assist in adding clause libraries and gain insights into the historical performance and decreasing the cycle time of contracts.

Another crucial aspect to look for is contract redlining, also known as editing. Redlining is highlighting the text as a way to identify changes, additions in addition to deletions. It also indicates approvals and rejections. This is a useful feature, especially when two or more people wish to work on the identical document in a collaborative manner. It provides a greater ability to review and negotiate contracts.

How simple is it to install and use?

A contract management program that offers a simple interface and user-friendly features will be highly regarded by your customers. To achieve maximum benefit, when deploying, you should integrate it with current systems that cut down on the times spent moving between different platforms. For instance, integrating CRM with the new contract software can assist sales personnel to supply customer data, make agreements and direct them to approval, as well as being in control of renewals, expirations, and other important dates.

The next step is to search for the process of onboarding. Ideal if it's an in-box solution, so that you are able to go live and begin operating within a couple of weeks' time. Keep in mind that lengthy deployment cycles are no longer feasible.

7. How will your private information be safe?

In the last, but not least secure data storage is of crucial importance. Because contracts contain highly sensitive and sensitive data need to be shielded against unauthorized access to ensure the trust of the people you trust which includes partners, vendors , or even customers. Additionally, the growing cyberattacks and malicious threats make companies more vulnerable to the possibility of legal fiscal, brand, and financial obligations. If you are about to keep the trust of the most important business relationships you have Make sure the supplier hasn't experienced any major data or security breaches.

Contact our experts at [email protected] to find out what Vuram has to offer in its Contract Management Solution.