Contract management life cycle: Introduction
When it comes to business transactions, the contract management life cycle stands as a critical framework for a range of organisations.
As companies strive to optimise their contractual processes, this digital tool is proving to be invaluable and increasingly popular.
Our buyer’s guide has been designed and written to assist buyers and professionals in understanding some of the finer details, features, and functionalities.
In addition, our advice is focused on helping buyers select the most suitable system for their needs and their business.
Understanding the contract management life cycle landscape
The contract management life cycle encompasses the entire process of creating, executing, and managing contracts effectively.
It is a strategic approach that can significantly reduce risks, enhance compliance, and drive business value.
When searching for a CLM solution, buyers should rigorously research and carefully consider systems that address each phase of the life cycle.
Life cycle stages include initial requests, authoring, negotiations, and approvals through to ongoing management and eventual renewal or termination.
Who can benefit from our contract life cycle management Buyer’s Guide
Implementing a robust CLM system can be beneficial to a wide range of companies across a wealth of industries and sectors.
Legal departments, procurement teams, sales organisations, and any business unit responsible for contract oversight will find CLM tools invaluable.
Industries such as healthcare, manufacturing, technology, government, and financial services, where contracts are complex and voluminous, will particularly benefit from the enhanced control and visibility that CLM solutions provide.
Key features for consideration in contract life cycle management systems
With a wealth of contract life cycle management systems on the market, selecting the best one for your business can be a complex process.
Focusing on carefully constructed criteria, buyers should identify elements and their level of priority and importance.
Among others, some of the more important features for consideration include, but are not necessarily limited to:
Full Automation Capabilities
Look for systems that automate routine tasks, such as contract creation and approval workflows, to save time and reduce errors.
Centralised Repository Features
A centralised contract repository is essential for maintaining an organised and accessible record of all contracts.
Compliance Management
Ensure the system can track regulatory and policy compliance to mitigate risks.
Performance Analytics
Advanced analytics can help you monitor contract performance and identify areas for improvement.
Seamless Integration
The system should seamlessly integrate with other business tools, such as CRM and ERP systems, for a unified workflow.
Customisation
The ability to customise the system to your specific business needs is crucial for maximising its effectiveness.
Leading contract life cycle management systems and solution
During any research process of the market guide for contract life cycle management, buyers will find a profusion of potential suppliers and providers.
Though each company will have formulated bespoke selection criteria, some of the leading providers in the current market include, but are not limited to:
- DocuSign Agreement Cloud
- Icertis Contract Management
- SAP Ariba Contracts
- Conga Contracts
- Coupa Contract Lifecycle Management
- Oracle Contracts
- ContractWorks
- Determine (now part of Corcentric)
- Agiloft Contract Management Suite
- SirionLabs
- HighQ Contract Management
- Zycus iContract
- Apttus Contract Management
- Jaggaer Contracts+
- ContractRoom
Latest technological advancements in contract life cycle management
Some of the latest technological advancements in CLM continue to evolve how efficiently organisations manage contracts.
These include, but are of course not limited to:
- Artificial Intelligence (AI) usage is being increasingly incorporated
- Machine Learning (ML) is being leveraged to enhance contract analytics, predict outcomes, and automate complex decision-making processes.
- Blockchain technology is also emerging as a potential game-changer, offering immutable audit trails and increased security for contract data.
Contract life cycle management: Our conclusion
When it comes to selecting the right CLM system, as our buyer’s guide highlights, there are many things to consider.
Ultimately, the research and procurement process should be firmly focussed on the overall impact a contract life cycle management system will have on an organisation’s operational efficiency and bottom line.
With a full understanding of the contract management life cycle and the specific requirements of your business and industry, buyers can make an informed decision.
In addition to choosing a system that streamlines contract processes, this careful choice can also be part of driving business growth.
References
- Gartner Market Guide for Contract Life Cycle Management: https://www.gartner.com/en/documents/3981569/market-guide-for-contract-life-cycle-management
- Forrester Wave™: Contract Lifecycle Management For All Contracts: https://www.forrester.com/report/The+Forrester+Wave+Contract+Lifecycle+Management+For+All+Contracts+Q1+2021/-/E-RES161387
