Regardless of size, industry, or location, there are a few similarities common to most businesses. For instance, they all operate based on contracts. If you agree that this is true for your business, have you thought of integrating a contract management system?
In an article in “Commitment Matters,” Goldman Sachs projects that contract automation could accelerate cycles by up to 50%, minimize the error by 75% to 90% and reduce operating expenses by 10% to 30%.
Having an advanced online contract management solution has become an integral part of many companies. You may think that since you’re not managing numerous contracts or your contracts are of the same type, then implementing an online contract management solution isn’t for you. However, a contract management solution may just be the ingredient you need to scale your business faster.
If you are unsure of whether to integrate a contract management solution or not, consider starting a free trial at https://www.contractsafe.com/
6 Advantages of online contract management solution
The purpose of having a contract management system in place is to ensure that contracts between stakeholders such as buyers and suppliers operate seamlessly and appropriate documentation is carried out. Both small and large organizations increasingly realize the importance of integrating a contract management system in their business processes. If you have never tried integrating a contract management system, here are some advantages why you should know that will help you embrace this technology.
- Documentation accessible in a central repository
Can you imagine how cumbersome it is when crucial information is needed, and your entire staff turns to researchers, neglecting their duties because they have to search for data that needs urgent attention? Storing contracts in emails shared drives, computers, or filing cabinets becomes problematic and time-consuming as you hardly know where to search. Keeping contracts in an online system helps you retrieve information when you need it the most. An online system comes in handy in the circumstances requiring remote access to agreements, a factor to consider in the contract development stage.
Integrating a contract management solution improves efficiency by allowing every stakeholder to quickly locate information at the right time. With this technology, fundamental data is easily accessible, giving you the option to analyze, review, or assess potential risks. The right contract management solution empowers you and your team to control, discourage reactive responses and encourage acting proactively. You will take control of your business processes and professional relationships.
- Improved efficiency
Organizing information and storing it in a central location improves teamwork effort and collaboration between all departments. Every stakeholder receives the correct information at the right time, encouraging them to take the right action. Managing contracts manually results in human error, allows for repetition and oversight. When you consolidate and automate contract processes, you will assign specific duties to specific individuals, allowing for a better workflow process. With proper reminders in place, relevant parties get prompt notifications regarding contract renewal or expiry and take appropriate action in good time.
- Time management
Contract management entails drafting contracts indicating terms, rules and regulations, duration, agreement terms, and other minor details that govern the contract. However, a contract management solution helps you eliminate the repetitive process of drafting the same agreement multiple times using available templates drawn from an online library. Your contracts are ready. You only conduct minor editing once in a while, saving you time to concentrate on the core business.
- Better communication
Being organized helps you to confidently address concerns, knowing where to refer while involving the right parties. Having the ability to back your claims with contract information is critical during an emergency and is vital for your integrity and business success.
Relying on a manual system presents challenges in analyzing the entire contract portfolio. If your documentation lacks a central and uniformed location to refer from, work teams end up making decisions that impact negatively since they lack accurate data and insights. Most online solutions come with features that allow users to share contract data with relevant department leaders, senior staff, and relevant parties, bringing guidance and transparency into contract details. When contracts are handled in unity, efficiency and productivity immensely increase.
It is easier to manage an online contract than one stored in desktops and shared across various offices because it is easily accessible and immediate action can begin such as restructuring, negotiations and signing agreements. Organization helps you know where to search for specific agreement references, contract details and value of the contract. Improving efficiency in your contract processes frees your time to concentrate on growing your business and signing new contracts. Being organized helps you attract new opportunities, as your delivery speed and efficiency will speak volumes to potential clients.
Contract management online solutions enable you to do so much more with minimal effort as they are created to increase value, efficiency, productivity and profitability, while at the same time minimizing risk and saving time.