Contract lifecycle management (CLM) is essentially the management of an organization's contracts from initiation through execution, performance and renewal or expiry.
You can dramatically minimize the amount of data and funds required to handle and manage all of your contracts by investing in contract management software.
CLM software can be used to manage, monitor, and automate every phase of your contract lifecycle, whether you're a small, medium, or large company.
There are numerous advantages of using data and analytics for your business’ contract management. Here are some of the top benefits of contract lifecycle management with CLM software:
1. Reduced Time for Approvals
Contract management software automates your contracting procedure completely. In addition, automated procedures may be customized to speed up the review process and boost productivity.
You may swiftly scan all contracts to get a better picture of the current state of affairs at your firm by establishing a dynamic workflow to-do list.
2. Make the Contract More Visible
Unlike document-based contract management solutions, collecting all files in one centralized, electronic repository ensures maximum adherence and reporting.
You can ensure that your employees work with the most up-to-date contract templates and terms by centralizing the contract repository.
3. Make Audit Preparation Better
CLM software should include a centralized interface with functionality like audit trails that provide instant access to your complete contract history.
4. Don't Forget Your Renewal Date
You may raise renewal awareness by automatically archiving contracts when they expire and sending out alert notifications based on your rules.
Contract renewal is the lowest-hanging fruit for a company, but it's also the most frequently overlooked opportunity. Alarms can be configured using preset or customized parameters.
5. Ensure that Contracts Are Followed
Contract accountability is ensured through a streamlined business procedure. Every contract is subjected to compliance requirements from approval requests. Because contract management tools work natively with Microsoft Word, you can track changes by user and keep track of version control.
6. Streamline Document Control
There will be no more strewn-across filing cabinets or outsourced document storage. Instead, employees can use an automatic image or optical character recognition (OCR) to scan paper documents straight into the system, ensuring that all essential material for the contract is accessible from a specific location.
You may also import electronic contracts of any sort and view their status and other pertinent information for each one.
7. Increase Your Commitment to Completing the Project
You will boost the contract lifecycle completion rate, by using the systematic method from our contract management automation during the authoring, review, and approval phases. Electronic signatures are also available for capturing signatures on the fly.
8. Analytical Tools
The development firm can use powerful tools to measure many aspects of the contract management software in real-time. For instance, you may see the length of the contract lifecycle, document status, approaching deadlines, and so on.
9. Simplify the Contract Personalization Process
A CLM system allows you to generate and maintain various contract draughts and view and amend this information at any time.
10. Automate the Processes That Take Place Before and After a Contract
A CLM system takes care of all the details that need to be addressed before and after an agreement is completed. In reality, CLM software can access these facts from anywhere, regardless of what platform they are used on.
For example, if you need to activate a consumer's unique advantage to an external subscription such as Adobe after booking a contract, CLM can do so immediately.