The primary purpose of using a contract lifecycle management software is to expedite and standardize the entire contract life cycle process. However, when the volume of contracts increases, the complexity of managing contracts increases drastically. Standardizing the contractual process has varied benefits for the organization. From ensuring the legal validity of contracts to improving the contract team productivity, the software is the ideal choice for contract management firms and large scale organizations to get ahead of their processes. We have compiled a few tips to standardize the CLM process with the help of contract lifecycle management tools.
Oftentimes, companies would create contracts of similar nature in the course of their business, which would be replicated as per contractual requirements. The contract templating feature allows the users to create a model of contractual content, which can be used to create multiple contracts in under 5 minutes. For instance, employee contracts contain the same terms and conditions, and other crucial information about the company. Templating employee contracts enables the users to modify individual contracts rapidly.
Although the process of contract management begins with accepting/sending/declining contract requests, the activity is not intensively managed, causing several confusions. This is mainly because the in-bound and out-bound contract requests aren’t monitored extensively. The vendor contract management software and enterprise contract management software greatly enhances this process by enabling the users to standardize it. With the software, the users can monitor the in-bound contract requests, verify it, clear it, and accept the contractual invite of the sender. On the other hand, if a request doesn’t fit the company requirements, the team can reject it with a simple message. Likewise, the contract team can send proposals to other concerns via software, thereby enhancing and expediting the entire process.
Creating a Clause Library
The clauses define all the elements that distinguish the company and its work ethics. Creating a clause library enables the entire team to be in the same loop while creating new contracts. The clause library contains the important and key information that are essential for committing with new partners. In times of turbulence or confusion, the contractual clauses pave way for clarity and legal soundness of contracts.
The best way to ensure that the contract management process is standardized is by implementing Key Process Indicators that enable the team to be abreast of the team and their contributions. Establishing and following the KPIs within the contract management for sales enable the stakeholders to understand the progressions made with individual contracts and the impact they have on the company’s business growth.
Standardizing the contractual process can be done effectively through following the above basic measures. DocuCollab is the best contract management tool with an array of beneficial features. Click here to know more.