In this article, we will examine best practises for streamlining contract lifecycle management in order to get a competitive advantage over your competitors. This strategy helps to keep your company compliant and effi cient in this new business environment.
In recent posts, we have discussed the stages of contract lifecycle management and the defi nition of contract lifecycle management to unpack exactly how critical it is to strategize your business in contract lifecycle management (CLM) initiatives.
Using a manual method for managing contracts could be practical for 3-4 contracts, but when it comes to managing a variety of supply chain contracts, with various workfl ows, due dates, expiration dates, and renewal terms, the manual method will likely fail to prove efficient.
Digitalizing the contract management system is an important step in achieving maximum effi ciency in the process. Contract managers need to have an accurate understanding of every step involved in the contract management process.
Here at Fairlynk, we are leaders in collaborative, AI-powered, and highly effi cient contract lifecycle management. We are partnered with top e-signature systems such as Adobe Sign and DocuSign, as well as an exclusive partnership with Barid E-sign Integration in the Moroccan market, to help businesses and organisations navigate the intricacies of contract management with precision and effi ciency.
#1 Use a centralized cloud-based repository for tracking and managing your contracts :
A digital contract repository enhances the secure tracking, management, and storage of your business’s contracts. Instead of scattering contracts over multiple shared drives and fi les or stowing them in physical storage, a central repository provides an organized solution, where you can use fi ltered searches to locate exact contracts and clauses within seconds. Secure contract storage results in risk mitigation, as you’ll reduce the likelihood of contracts being accessed by the wrong people.
#2 Enable automated notifi cations to avoid missing contract expiration and renewal dates :
Missing important contract expiration and renewal dates can result in considerable fi nancial losses and unwanted business interruptions. With the hustle and bustle of daily business operations, it’s easy to overlook such important dates. Fairlynk offers a customizable automated alerts of 30 , 60, 90 days pertaining critical deadlines, allowing you and your teams to stay on top of obligations. With Fairlynk, you can easily associate these personnalised notifi cations to each contract and tag the appropriate contract stakeholders so you can mitigate legal and fi nancial risks and stay proactive.
#3 Expedite approvals with electronic signatures
With electronic signature integrations like DocuSign, Adobe Sign, and Barid E-sign, you can send off contracts for signature with a simple click and execute contracts within minutes. Speed up approvals and allow clients and vendors to sign contracts at any time, any place, on any mobile device. Increase the security of your contracts by implementing e-signatures that ensure the authenticity and validity of every signature.
#4 Automate contract collaboration and communication
With a cloud-based CLM solution, you can collaborate and communicate on a centralized platform and conduct contract negotiations and reviews in real-time. This allows you to reduce risk and boost the effi ciency of your processes. Fairlynk offers Version tracking as an additional benefi t that creates an easier process of editing your contracts. Audit trails document all collaborative efforts of your team that help with contract accuracy and version control.
#5 Report on contract progress with a comprehensive dashboard
By utilizing a comprehensive, proactive contract dashboard, you can readily obtain crucial insights related to your contracts. This allows you to evaluate contract effi ciency and identify potential areas of congestion. Produce in-depth contract reports to enlighten your team about the specifi cs and the reasoning behind your contract strategies and business objectives. This way, you can work together more effi ciently and defi ne which Key Performance Indicators (KPIs) are crucial for the long-term success of your company’s contract lifecycle management procedures.
In conclusion, Contract Lifecycle Management (CLM) best practices are the cornerstone of effective contract management. By centralizing contracts, standardizing processes, automating workfl ows, and fostering collaboration, organizations can unlock effi ciency, reduce risks, and enhance contract outcomes. Embrace these practices, and your organization will be better equipped to navigate the complexities of modern contract management successfully.