Although an essential facet of running a business, managing contracts without a contract database can be a time-consuming headache. With so many different contracts with vendors and service companies, it can be challenging to keep track of them all without reliable contract software. The right solution can help you reduce the amount of time you spend searching through spreadsheets or shared drives so that you can work on growing your business. Here are just a few of the ways that a formal contract database can help your team maximize productivity:
#1 Eliminate Manual Entry
Manually entering information into cumbersome spreadsheets is a great way to waste time. With contract management software, users can automatically populate data into contract templates for one-click contract authoring. Since that document will be attached to the secure online system, users will be able to quickly search for and find the data they need with no hassle.
#2 Improve Visibility
One of the major problems with saving and organizing contracts is a lack of visibility. With a database for contracts, users can access relevant data any time they need it. Increased visibility with contract ad-hoc reports makes it easier to maintain all organizational contracts, improve internal transparency, and reduce simple questions.
#3 Manage Information Exchange
Drafting and negotiating a contract can be time-consuming – especially if you’re still manually sending documents back and forth between the parties involved and their representatives. An advanced contract management software solution provides a one-stop hub to manage all negotiation processes in one place, with version history, electronic approvals, e-signatures, and audit logs.
#4 Streamline Procurement
A database that is specifically designed to track contracts can help you streamline the procurement process by organizing agreements and associated paperwork in one, accessible repository, thus reducing the time it takes to locate and take action on a deal. Storing standard procurement guidelines in an accessible library allows buyers and contract managers to follow consistent procedures, thus reducing risk and maintaining regulatory compliance.
#5 Free Up Time for More Opportunities
Sending documents back and forth through the mail, or electronically, takes up a lot of time. With cloud-based contract management, the necessary documents are in one place for ease of access. This saves a ton of time, which means you can take on more projects.
#6 Say Goodbye to Contract Leakage
Contract leakage is what happens when what a contract promises does not meet up with what is actually delivered. To avoid this, a contract database can easily identify if vendors and partners are meeting their obligations. Moreover, evaluation metrics and scorecards can be defined to ensure that the contract is performing correctly.
Compare a Variety of Vendors to Ensure Best Value is Achieved
To maximize the effectiveness of your vendor contracts, it is important to constantly evaluate various organizations to ensure that you always have the correct supplier for the project. A leading contract database can ensure buyers consider purchasing from existing contracts before realizing the costs of soliciting bids and negotiating new contracts.