Why You Need Contract Management Software When Managing Projects
Contract management is an essential consideration for organizations that have multiple contracts to manage. The process can be a cumbersome task when purely relying on manpower, especially once operations expand beyond what a team of humans can manage themselves.
Fortunately, with modern contract management software, many of the problems associated with human management are rendered obsolete. The question then extends beyond the simple ‘what is contract management?’ to ‘What is contract management software?’.
Contract management software is leveraged to negotiate, amend, manage and analyze data from legal contracts. There are many associated benefits, including the ability to manage contracts faster and more efficiently, with less risk.
Here are some of the biggest incentives for utilizing contract management software for modern projects:
Why Do You Need Contract Management Software?
The best time to use contract management software is when the volume of contracts you’re required to manage spirals out of control. This is common when a company experiences significant growth, or during spells when there are more contracts to manage.
Either of these circumstances presents a great opportunity to take control of the situation and implement a contract management system. By doing so, you’ll benefit from the following:
Imagine how much faster it is to use software and craft a document from a template, as opposed to writing one up from scratch. Picture how much quicker this is for one document and multiply that by the number of documents your company processes on a regular basis.
Imagine spinning up the same number of documents, at scale, for thousands of different contracts. With contract management software the possibilities are endless, where you can execute functions digitally with impressive scalability.
Physical contracting involves manual operations, whereas, with contract management software processes like negotiation, collaboration and signing can happen faster.
Documents can be shared easily between invested parties, where you can simply email a link to your intended recipient and you’re away. This same link can be sent to as many people as is necessary at the time, without the need to generate a new link every time.
Contract management software facilitates live edits to documents in real-time. This means modifications can be made effortlessly, without the need to revise and resend information manually.
Traditionally, if you receive a contract from someone with even the smallest error on it, you’d have to call them, request the change in word, export the document to PDF, print it, and send it by mail. This is a lengthy process when you consider the nature of the change to be made.
The ability to collaborate on documents and make immediate changes to a live document is a huge advantage of contract management software.
Using contract management software enables you to search through a database of thousands of contracts and extract the exact information you need within seconds. This differs from a conventional approach, where the process of wading through filing cabinets full of documents is very time-consuming.
The ability to store and manage contracts in a digital environment saves considerable time, where things like amending a completion date, confirming a fee, or simply uncovering a contract become effortless.
Contract management softwares utilize advanced encryption to safeguard contracts from harm’s way, preventing them from being accessed by unauthorized parties. Contracts are no longer as secure as the filing cabinet they’re locked inside, rather secured by sophisticated cybersecurity which locks contracts behinds multi-layered passwords. Though cybersecurity can be an issue, most elite systems have a robust set of defenses to keep sensitive information safe.
These are just a few reasons why contract management software is so beneficial. Believe it or not, there are many more reasons to explore the idea, meaning you’d be foolish to not at the very least consider the idea.