As technology evolves, finding the right contract management solution to reduce operational costs while increasing productivity is crucial for the success of an organization. But there are plenty of factors to consider when selecting the right contract management solution. You have first to consider your business's needs and plans.
Use these following points to determine which contract management solution is best for you!
What Constitutes a Good Contract Management Solution?
1. A Searchable, Central Contract Repository
Keeping track of a paper-based contract is time-consuming. Additionally, misfiled and lost contracts remain a significant drawback for businesses still working on paper.
A digital solution makes it convenient to find, store and organize the data and eliminates the stress of document storage. Virtual contract repositories can organize documents by metadata like tags, date signed, date generated, etc. Thus, removing the manual uncertainty from critical administrative procedures. Check out the benefits of the centralized repository in detail to make the right choice for your business.
2. Standard Contract Templates
Standard templates in a contract management solution make the contracts accurate and standardized. A contract template simplifies the process by providing pre-requisites: start date, end date, payment details, etc. This results in fewer human errors and eliminates the need to skim through old contracts.
3. Real-time Collaboration
Every new contract goes through an extensive review process. Most edits are done via email, virtual meetings, phone calls, and shared drives. This can result in multiple versions of a single contract leading to confusion. Using a contract management solution with real-time document editing and review makes the process less stressful and much easier to compare two versions of a contract.
A contract management platform that integrates e-signature streamlines the lengthy process. It allows multiple signatories to sign the contract from anywhere in the world. Additionally, it saves the employees valuable time by eliminating the need to send contracts and wait for their response.
5. Contract Analytics
Managing risk plays an essential part in every contract lifecycle. In the absence of risk management tools, identifying risky terms in existing contracts is quite difficult. And hiring a separate legal team or purchasing add-on tools is expensive.
An effective contract management solution calculates the risk during negotiations and helps your business make smarter decisions.
Things to Keep in Mind While Selecting a Contract Management Solution:
1. End-user Evaluation
Before you begin your search for a contact management system, you need to determine your end-users’ requirements. The key step is to identify and evaluate the right system to satisfy your business needs. For example, your business may want a software system to facilitate data entry and provide audit trails. Then list down your criteria that have input from end-users.
2. Technical Compatibility
Before committing to it, make sure the contract management solution you select is compatible with existing legacy systems. 'Integration hacks' blow your budget and increase vendor lock-in. Therefore, designate a person who knows about technicalities and develop a clear technical evaluation framework.
3. Information Distribution
The distribution of information is one of the main criteria considered when choosing a contract management solution. Your selected contract management solution should reflect how your company operates. In general, companies want systems that are accessible to all staff members. At the same time, the system should allow for multiple access levels.
A highly functioning contract management solution has a secure process for delivering and storing documentation. Select solutions that ensure data protection, mainly when accessed by or shared with other parties.
5. Support and Training
Lastly, never pick a platform that doesn't offer adequate training or support to its users. Many companies will make multiple promises before you purchase the software, but it's up to you to evaluate and make the right choice.
Set up meetings with potential vendors so that you can compare and differentiate. And make sure you include terms for support and training in your service agreement that you find acceptable.
How Can InkPaper Help You?
Lengthy and stressful contract workflows have various consequences on your business. Hence it is important to choose an efficient contact management solution that helps your business grow faster.
With InkPaper, you can draft a contract, collaborate in real-time, negotiate, optimize standardized templates, and exchange e-signatures with secure blockchain technology. By simplifying the contract lifecycle, you can be more productive and focus on business growth.