cloud-based contract management system

The majority of business activities are controlled by contracts. Contracts form an integral part of every company. If you're a young startup or an enterprise with a significant size, chances are you will be dealing with hundreds of contracts , such as partnership agreements, non-disclosure agreements and general employment contracts. equipment and property agreements there are many more. What are you doing to effectively manage them? Do you still rely on paper or spreadsheets along with other older systems? Have you thought about shifting to contract management systems? If so, this article is for.

contract management

Before investing in a system for managing contracts, ensure that you have a look at the seven issues to avoid any pitfalls.

software solutions contract management tools

Does the software contain AI capabilities?

contract life cycle management

With the sheer volume of contracts, maintaining uniformity, managing contracts and retrieving essential information poses an enormous challenge. Many organizations don't have a standardized way of organizing contract databases. Think about it, your business is home to many procurement contracts with differing renewal dates and renegotiation dates. A group of people will likely to be tasked with researching, reviewing and archiving the data to ensure the right opportunities are not missed. Instead, if you opt with an AI-powered software for managing contracts, the task is completed in just a few minutes. With Doc.AI capabilities, information like names of contracts, renewal dates agreements, and other terms of negotiation can be extracted. This makes it much easier to do to review, approve and sign off.

software contract management

It's not just about it. Advanced contract management systems that incorporate AI capabilities can help review contract clauses, compare clauses as well as classify contracts by the type of clauses. AI-enabled CMS can aid in staying compliant with the changing regulations. NLP examines each document and points out the dangers and opportunities.

solution provider contract management software

Are there standard templates for contract for editing and drafting?

best contract management software

Writing contracts is among the most difficult things to do. You can imagine just how laborious it could be to create documents with similar clauses along with terms and conditions language, and nearly the exact same information a couple of times. This is why your CMS should provide easy-to-use templates and clause libraries that cover several areas. Using these templates, pre-approved by your editorial and legal team, you can easily create contract management contracts that are free of language flaws. Also, a section to standardize and centralize contracts gives you an all-round view of the contract to track the contract's history using customizable filters. You can also collaborate with your peers to look over editing, storing and revising.

What is the potential ROI? How much money can my business reduce costs?

The savings numbers are the most persuasive factors to make the ultimate decision whether to spend money on a contract administration method or no. A study conducted by Goldman Sachs concluded that an automated contract management system could improve negotiations by 50 percent, cut down on payment errors by between 75 and 90 percent, reduce the cost involved in managing contracts 10 to 30 percent , and decrease the number of people required for contract management by between 10 and 20 percent. And yes, contract management is a viable cost-effective optionif used properly.

Ideally, you should take into consideration factors such that the time spent on audits and tracking renewal dates, less contract disputes or the creation of new opportunities that reduce the cycle of sales.

Can you customize the solution?

The majority of providers in this market claim to provide a solution that is tailored to the requirements of every business. But does that mean it is always true? Instead of spending lots of money for customizing, you should first understand the workflow, the critical processes as well as the improvements that are needed. take a look at options with more specific questions.

For example: in a typical workflow for managing contracts once the contract manager drafts the documents, the system automatically routes the document to the person who approves. In addition to this standard characteristic, a tweak could include an email of the document's URL that is sent to the approver. It should also be compatible or work on all devices- smartphones, tablets and desktops.

But high-end software that is customizable can be a hassle to use. In addition, simplicity could be too much. It's therefore a good idea to look at the trade-offs and sophistication for the team that will be using the software and determine the best approach to customization.

What are some distinct features or highlights that can be used to reduce manual procedures?

In a contract management system, contracts are stored in a secure, centrally located and searchable storage facility with user-based access. This ensures compliance to the highest standards and large-scale reports. In particular, contracts could be traced easily and the review and signing can be made automated using electronic signatures. Another example would be measurement and analytics. To extract information on how long it took negotiations, contract participants can quickly analyze gaps, analyze the number that iterations were made and then prepare detailed reports. This can also assist with the creation of clause libraries, and gain insight into historical performance and in increasing the speed of contract negotiation.

A different important thing to look towards is contract redlining, also known as editing. Redlining highlights text to indicate additions, modifications deleted, approvals and rejections. This function is beneficial, especially for situations where more than one person want to work on the same document together. It will give you greater ability to review and negotiate contracts.

What is the process to use and deploy?

A contract management system which has a simple interface that is easy to use will be highly regarded by your users. To maximise the benefit when deploying the software, make sure to connect it to existing systems , which will reduce the amount of time spent navigating between different platforms. For instance, the integration of CRM with the new contract software will aid sales personnel in automating provide customer data, design agreements and direct them to approval, while also being in control of all renewals, expirations, and other dates.

It is then time to check for the onboarding process. It is ideal if it's something that is available out of the box so that you can launch and start operating within a couple of weeks' time. Be aware that long deployment cycles are not viable any longer.

7. Do the private and confidential information be secure?

Last but not least the security of data is of paramount importance. Because contracts contain highly confidential and sensitive information need to be shielded from unauthorized access in order to earn the respect of your group, be it partners, vendors , or even customers. Plus, the increasing threat of cyberattacks and cyber threats expose companies to the possibility of legal fiscal, brand, and financial obligations. If you are about to maintain the trust of the most important business relationships you have, double check that the provider hasn't had any serious security or security breaches.

Connect with our experts at [email protected] to learn more details regarding Vuram's Contract Management Solution.