Contract management software solutions – Out with the old, in with the new?

The topic of contract management software[1] solutions is generating considerable interest and one which I have given a fair amount of thought recently. Is how we operate on a day-to-day basis destined to change? If so, for good, or for worse? Let’s discuss in a bit more detail…

Blockchain[2] is a prime example of the digital landscape we now operate in and it is hard to ignore how technology can affect how we operate. The rise of Blockchain technology is worrying major players in the financial services industry, as they don’t know where it will go or its potential to disrupt business models.  This leads me to my recent thoughts and discussions around contract management software solutions.

What are the contract management software solutions of the future?

It has hard to avoid that organisations today place an emphasis on streamlining their operations, thus maximising efficiency and getting better value for money- a recurring theme in all my blogs to date. As a result there is a growing movement to simplify the entire contracting process and thus we welcome contract management software as a solution to a company’s contracting needs. I must admit I have been increasingly convinced recently through extensive research of the viability of software providing an effective, efficient solution to both ourselves and our clients.

Technology in contract management is not new and there have been multiple waves of technological developments. Traditionally, however, these developments were limited to making the process of putting together a contract more efficiently, thereby reducing the impact on the organisation. However I feel that the ’new breed’ of technology has the potential to redefine the landscape in which we manage our contracts.

What are the advantages of applying new technology to current software solutions?

  1. Contract management software is focused on integrated contract management. Current technology appears to allow different parts of the organisation to define a common goal of creating bottom line value as it allows different parts of the organisation to work off common data.
  2. It recognises that most of the value leakage in service engagements takes place after the contract is signed, thus focusing more on the monitoring and governance of contracts post award.
  3. It assists in minimising risk as many systems offer fulfilment tracking, automated alerts and sophisticated analytics and reporting.
  4. It makes it easier to share critical information. Many systems offer a central depository to access contracting information, making it easily accessible and shared to all contracting parties.
  5. It ensures contracts are periodically reviewed through scheduled event and timeline monitoring.
  6. It increases visibility and control of contracts throughout the contract lifecycle.
  7. Ultimately, it improves transparency and trust in contracting relationships.

Present solutions, not problems

As the above suggests, I feel software solutions inevitably present more benefits than problems. I would suggest exploring contract management software as not only a possible solution to your possible problems but something which could enhance your client experience.

Have you had experience recently in using software to assist you in the management of your contracts? If so, I would be keen to hear your feedback.  Share your thoughts below or schedule a meeting to discuss your situation in confidence.

Learn more about how you can realise value for money throughout the contracting lifecycle here.

 

[1] Simply put, contract management software is a program or series of related programs for storing and managing contracts and other contractual documents with vendors, leases and licensing agreements, to name a few.

[2] Blockchain, for those who are not familiar with the concept, is a public record of all bitcoin transaction which have been executed. Bitcoin is a digital currency or “internal money” which can be used to purchase a range of goods and services, which doesn’t require banks of the traditional financial institutions.

Chris McFall | Contract management specialist
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