How To Effectively Manage Contracts In The Post-Pandemic Remote Working Era

The Coronavirus or the COVID-19 has single handedly changed the normalcy of the World. What started as a minor outbreak, quickly fanned across the globe affecting more than 2 million people and the number of victims is just getting higher with every passing day. Declared as a pandemic by the WHO, the COVID-19 outbreak took a toll on not only the virus-affected patients but also on the businesses and industries of the world.

With the cure for the virus not being on the cards in the near future, the current restrictions and alterations will be the new norm going forwards. One such major alteration that the world saw is the option to work from home. Although the work from home option cannot be applied in all industries, most of the businesses opt for this safer version to ensure business continuity.

The pandemic indeed has given rise to a new era of remote working. More and more businesses are embracing this option as it reduces the overhead costs for the company and results in higher productivity. Although it is not feasible for all the industries, the digitally savvy companies and the companies with cloud-based work systems can easily adopt it.

Click here to read Working Remotely Made Easy With Contract Management

The Future of Managing Contracts

The COVID-19 crisis has brought attention to managing contracts effectively to control the financial position of the company. With a reliable contract management software, companies were able to deploy the workforce for remote working. The contract managers can work and collaborate efficiently with his team managing contracts during this period without disruption. The same can be employed even during the post-COVID-19 era, where remote working will be the new norm for most companies.

Points to be remembered during this new era of managing contracts are,

1. Clauses for Future Occurrences

   The sudden pandemic breakout brought about Force Majeure in contracts. Force Majeure comes into play when the conditions quoted in the contract become non-compilable due to the unforeseeable circumstances outside the parties control. Since the pandemic has taught a valuable lesson, the contract managers can add in clauses for future occurrences of the same nature, where force majeure cannot be applied.

2. Provisions for Relief

   The COVID-19 outbreak caused havoc on all the industries. Every business suffered losses due to the mass lockdowns across the globe. Many lost their jobs while almost everyone working men and women had a pay cut to cope with the loss in business. Although force majeure renders the partners in contract, free of the obligations, it is also necessary to support them during the transition towards a virus free world. It would take a considerable time for all businesses to recuperate from the lockdown. Hence a provision for relief must be included in the contract for the business to recover and regain its lost footing.

   Click here to read Tips to Reduce the Impact of Coronavirus Pandemic on Contracts

3. Clear Statement for Better Understanding

   The contract managers must make use of the contract management tools to ensure that the provisions for relief included in the contract are clear and crisp. A clear statement would avoid confusions and eliminate the risk of partners taking advantage of the provisions.

4. Contract Negotiations

   With the contract lifecycle management software, the contract managers can easily collaborate with the team and negotiate with the business partners. Negotiation is a part of the contract process, and the same will apply during the re-drafting of contracts in the post-pandemic era. However, the company needs to include clauses to avoid future disruptions. It is especially true for a supplier contract. We saw a great severance in the supply chain which resulted in lower stock. The company must negotiate on the terms and include a flexibility clause in case of a future pandemic disruption. Meanwhile, it is advisable to keep more than one supplier contact to be on the safer side and keep the stocks going.

5. Managing the Workforce

   The pandemic caused a world-level travel ban where people got stuck in a foreign land. The company to be more productive and profitable during the post-pandemic area must begin to employ local experts rather than depending on foreign contact. Provisions for such employees can be drafted accordingly.

   Click here to read The Benefits Of A Contract Management Software In The Pandemic Stricken Period

   The pandemic period has taught some valuable lessons when it comes to managing contracts. The post-pandemic period will be a slow but steady climb towards business prosperity. There will be several negotiations during this period where every party will try to secure their interests and costs. After the initial struggle, however, contracts can be established clearly with provisions for future natural and man-made disruptions. With sturdy contract management software, the contract managing team can work remotely and efficiently monitor and report on the performance of the contracts.

DocuCollab is an all-encompassing platform for contract management. The advantageous features of DocuCollab enable the users to work remotely and efficiently. Click here to learn more about DocuCollab.