Having the right contract management process within an organization can have a significant impact on areas such as productivity, communication and budget. If you don’t already use contract management software in your organization, you should strongly consider introducing it in the future.
Why You Need Contract Management Software in Your Organization
Simplifies the Process and Saves Time. Some companies believe that training their staff in new systems wastes time. Despite the complexities, this may bring, the time wasted by not using software to automate the contract management process can be even higher. Moreover, using several different contract management systems across multiple departments within a business is inefficient. Often, companies that don’t use automated software use labeling, storage and sharing protocols which differ between each department. Ultimately, this results in many errors that are avoidable by using the right software. Contract management software is uniform throughout all departments, is user-friendly and standardized. Contract management software saves time because it is quick to navigate, and slow processes such as regularly sending e-mails become a thing of the past. The system can even remind the user when contracts are about to be renewed automatically.
Improves Efficiency and Reduces Risk. Often, interdepartmental conflicts can occur in organizations that don’t use contract management software. For example, sales teams are primarily focused on closing deals quickly. Legal teams, on the other hand, perform regular reviews of contracts to make sure they are fully compliant. Because of these conflicting goals, it can be challenging to keep everything unified throughout the organization. Contract management software allows individual departments to set their priorities. Notably, legal departments will have a whole range of tools at their disposal to make their job easier. With only a couple of keystrokes, content can quickly be changed. Electronic signatures remove the hassle of having to post contracts, and compliance becomes more tightly controlled.
Makes Information Easier to Find. E-mail is simply no match when it comes to searching for contract information using contract management software. Of course, e-mail has functionality such as basic searching of keywords. However, even with one misspelling, things can be challenging to find. Things like spreadsheets have similar limitations. Then you have the ancient method of storing contracts in a filing cabinet, one of the most difficult to search which can take many hours. These problems become eliminated by using contract management software. Contacts can be tagged and found quickly using features such as custom queries. Ultimately, information can be found more efficiently in a way that makes sense.
Helps Save Money. With contract management software, it’s easier to spot when a contract is up for auto-renewal, allowing you to negotiate a better deal with yourself and your client. Existing contracts can also be quickly reviewed to identify ones that aren’t performing well or becoming redundant. Because contract management software allows access to all your staff in your organization, negotiation becomes easier and interdepartmental problems become less frequent.