Contract management is the process that outlines methods, strategies, and concepts that companies use to streamline contracting processes. From ensuring that contract obligations are being met and reporting to analyzing data from contracts There’s a lot that goes into managing contracts, particularly once they’ve been created and executed.
The contract management process can be boardroomate.net/what-is-a-board-of-directors-portal broken down into the following stages:
1. Contract Drafting
Whether you’re drafting the Non-Disclosure Agreement, Master Service Agreement or Statement of Work, contracts are essential for conducting business and setting up safeguards for relationships. However, the process of contracting is time-consuming and laborious creating delays and obstacles. Thankfully, modern technology has made the process simpler. Digital collaboration, automated reviews, and tracked changes have reduced contract drafting cycles significantly. JAGGAER contracts is a contract management software, has the ability to reduce mistakes through auto-generation.
2. Contract Negotiation
Negotiating terms and conditions is the next step in contract management. This is a difficult cross-departmental task that often includes several versions of the contract. The goal is to arrive at an acceptable solution to both parties, and also aligns with the commercial and legal policies. Contract management software can speed up the contract negotiation and the drafting process by providing templates, clauses, and other pre-approved text. It can also help automate and streamline the process of reviewing and approving by facilitating digital collaboration and allowing teams to submit their reviews from any location anytime. It’s also easy to utilize electronic signatures in CPQ to speed up the executing process and has been proven to reduce turnaround times for contracts by as much as 80 percent.