What is Contract Management Software?
Contract management software is designed to help lawyers and other professionals create, negotiate, renew, and collect data on existing business contracts. Contract management software is an indispensable tool for ensuring the intent of every contract in your organization is fully realized, and it can maximize a contract’s performance, ensuring the enforcement of commercial terms, accelerating cash flow and time-to-revenue, and reducing the risk of noncompliance.
With today’s increased business complexity and uncertainty, contract management software is no longer simply a convenience, it is a necessity.
1. Contract management software makes creating a contract easy and automated
Contract management software also known as contract lifecycle management, wires automation into the contract management process. With a library of approved templates and clauses in place, contracts can be automatically assembled based on criteria associated with the contract, such as region, products, services, or price terms. With advanced contract management software, users can auto-build contracts based on defined business rules and bulk data upload. Self-service contract creation enables faster time-to-revenue and significantly reduces legal operating expenses.
2. Contract management software makes contract review and approval cloud-based and completely auditable
Today’s contract management software systems are almost completely offered as cloud-based software-as-a-service (SaaS). This means teams can collaborate and review contracts from anywhere in the world. When COVID-19 hit, this proved to be an indispensable capability for companies that wanted to keep business running despite widespread office closures. And contract management software empowers companies to set up automated workflows to route a contract to the right person automatically. Throughout the contract creation process, the software is capturing changes to contract terms, creating an immutable audit trail and escalations if unapproved clauses are introduced.
3. Contract management software connects contract data to the systems and processes they touch
Once a contract is executed, a best-in-class contract management system can push the contract data into surrounding systems, as well as pull in data to track commitment fulfillments. For example, a supplier contract can get pushed into a spend management system, so that all invoices received under the contract comply with the original terms. This drives down leakage and eliminates rogue spending. In a sales scenario, a company can track delivery data directly against the contract, meaning no obligation goes unfilled, reducing risk and making the company a better partner.
Important: The strongest CLM software products on the market today deliver value long after a contract is executed.
4. Contract management software makes contract data easily accessible and actionable via dashboards
Because contract management software is continuously capturing contract data and connecting it with the run of business, users can surface intuitive metrics within configured dashboards. A common dashboard metric is contract risk. Contract management software enables companies to configure risk scores based on internal data and third-party sources. This then enables users to detect early when a contract is at risk and take action to address it.
Using Contract Management Software to Gain Contract Intelligence
Icertis’ contract management platform turns your contracts from static documents into strategic advantage, giving your company the powerful capabilities it needs to stay out in front, now and into the future. This goes beyond contract management software to become contract intelligence.
Contract intelligence is advanced digital contract management that links the entitlements and obligations in any kind of contract lifecycle to your critical business processes. Contract intelligence ensures that all agreements are in compliance and commitments are upheld, that changing conditions dynamically trigger the appropriate actions, that high-value insights are available in real time, and that new information makes the whole system increasingly smarter and faster.
Icertis distinguishes itself through its bold vision, unrivaled expertise, and enduring commitment to contract management software:
• Icertis was the first company to grasp the true transformative potential of a contract management solution and has boldly pursued the vision of organization-wide contract intelligence for more than a decade.
• Icertis has expertise in any kind of contract and the best ways to connect them to the processes and systems that touch them. We integrate into all major ERP, CRM and spend management systems, meaning we can handle any contract scenario.
• Icertis’ innovations in contract management software continue to push toward self-governance, with continuous monitoring and smart rules that automatically ensure compliance and minimize risk.
• Icertis has the deep knowledge and powerful AI tools to help you ramp up quickly, streamline contracts and processes, close deals faster, and connect the dots across departments.
Today, CLM software is a critical resource for surmounting the challenges of today’s business climate and proactively preparing for those of the future. A contract management software platform, and the hidden contract data it makes visible, is the foundation a company needs to accelerate commerce, mitigate risk, preserve company resources, and negotiate optimal future contracts, turning contracts into indispensable strategic advantages for maximizing a company’s success.