Contract management software can help you complete the contract lifecycle process. Contract management is a complex task that requires many steps, but with the right contract lifecycle management software you can save time and money while improving your business processes.
What is contract lifecycle management?
Before you can begin designing and implementing a contract lifecycle management system, you’ll want to understand what it is. Contract lifecycle management (CLM) is the process of managing contracts from creation to termination. It includes processes such as creating contracts, negotiating them, and then tracking their progress through each stage of their life cycle. CLM can include more than just one contract: it can cover many different types of agreements that are created between two or more parties (e.g., vendor agreements).
Why use contract management software?
Contracts are a vital part of any business. They can be used to define the terms and conditions under which a company will conduct business with another party or person, but too often contracts are left to languish in a Word document or digital storage vault. This creates unnecessary stress for both parties, as well as costly delays that could easily have been avoided. Contract management software helps businesses address this issue by automating the contract lifecycle process and ensuring that all stakeholders are aware of changes throughout the life cycle of each contract.
How can contract lifecycle management software help?
Contract lifecycle management software can help you discover contracts in your organization by using a process to identify where they are and what they contain. With the right tools, you can quickly find all the contracts that relate to your business, even if they were never filed electronically or written down anywhere. This lets you audit your contracts and create new ones more easily which saves both time and money.
Contract negotiation is a complicated process full of potential pitfalls, but with contract lifecycle management software, many of these problems become easier to avoid because everything is organized in one place—and it’s always up-to-date. You’ll know exactly what documents need to be signed by whom at any given moment throughout negotiations so there aren’t any surprises along the way when things get tricky or change unexpectedly.
Contract discovery is the process of finding and analyzing contracts. It can also be called contract management, but since that term has become a bit of a buzzword, it’s better to use the more descriptive “contract discovery.”
Contract discovery helps to identify and manage contract risks, as well as opportunities for cost savings. This is an important part of contract lifecycle management (CLM), which encompasses all activities related to the life cycle of a contract including:
- Establishing new contracts
- Updating existing ones
- Terminating, renewing, or revising them when appropriate
The contract lifecycle management software is designed to help you manage the entire process of contracts. It can be used for any kind of contract, whether it’s simple or complex. The software will ensure that all parties involved in the deal understand what they are expected to do and by when. It also helps with managing risks and mitigating those problems before they occur. This ensures that your business will be protected against lawsuits or worse. Overall, this type of software makes sure that your contracts run smoothly from start to finish.