The state of modern business is quickly evolving. To flourish, it is basic to make a move and grasp new digital tools that modernize woefully old procedures, with the end goal to drive sustainable growth and success.
However numerous companies are still stuck utilizing obsolete procedures and tools. Does emailing a document back and forth and uploading to shared drives sound familiar?
Maybe slightly reminiscent of certain existing contract management processes? What about walking a contract to an office, or even faxing a signature to a client? Still using two, three or more tools throughout the lifecycle of a typical contract? If so, you’re not alone.
Nearly 95% of businesses today manage contracts manually. This is neither a scalable nor a successful strategy. Contracts are easily lost, often scattered making them hard to find versions are often confused. Workflows are different with every contract. It’s frustrating for all parties involved. More than that, these “processes” result in lost revenue, missed opportunities, and sometimes hefty compliance fines.
Would a CEO enable their finance department to work this way?
Definitely not. However the whole contract process, from beginning, transaction, execution, and renewal, viably supports and decides how a business works.
It, therefore, should garner the same scrutiny as an organization’s financial operations and systems.
Successfully managing contracts and making a proficient, scalable. Contract management the procedure that conveys an incentive for the whole business. Initially requires every document digitized and in one place.
At that point, with best organizational practices set up, contracts can become a source for measurable financial improvements and a vehicle to glean critical insights to organizational performance, while helping groups understand their maximum capacity.
Evolving outlooks and how a whole organization functions can be difficult. A typical contention is that it requires greater investment to take in another procedure.
Computerizing and digitizing these procedures are basic for companies to effectively oversee development. Even though organizations can be resistant to a new process in the beginning, with the right solution in place, in a few months’ time they’ll wonder how they ever used anything else.
Despite contracts being one of the most lucrative resources for a business, their full potential remains untapped by most companies simply because they don’t know how to effectively manage them. Contracts are, in essence, mini gold mines of opportunity—not only for increased revenue but for a stronger adherence to compliance and operational efficiency.
How many times has a contract been sent back and forth between legal and other departments, or worse yet, been burdened with a hefty compliance fine after the fact because it wasn’t reviewed at all? If this sounds familiar, a contract management platform is one of the first tools that can significantly impact compliance. Instead of “forgetting” to send a document to legal or waiting weeks or months for a contract to come back. Documents are centralized in one place. Easily accessed by multiple individuals and teams.
Another sure-fire way to get the C-suite’s attention? Numbers, of course. Revenue growth means positive feedback from a board or public investors, and positive exposure for the business. Creating an effective strategy mitigates these risks and ensures teams have the right tools to capture more revenue and truly uncap their growth.
As companies evaluate their processes, operational efficiency should be top of mind. Working faster means more revenue. It coupled with capabilities that ensure compliance. Growth happens not only when teams work faster but smarter.
Managing contracts efficiently and effectively is at the core of business success, giving the ability to uncap and accelerate growth. Remaining competitive requires visibility and wherewithal to make sound decisions and take advantage of opportunities quickly. This is only achievable when all processes, people and documents are in harmony.