Contract Management or Contract Life Cycle Management (CLM) refers to the process of effectively managing the relationship between entities by properly managing contracts resulting in reducing, eliminating or mitigating financial, legal and procurement risks.
Contract Life Cycle Management starts with the Contracts Requesting process where one party requests for or initiates the contracting process and subsequently uses that information for drafting or authoring the contract document.This is usually the first step in Contract Life cycle Management.
In the Contract Authoring or Drafting stage , contract or agreement document is created or generated using CMx which includes all clauses, terms and conditions. It is usually in this stage Contract Approvers and Signing parties are determined and approver and signing details are captured in the contract document.
Agreement document prepared in previous step is submitted to internal or external approvers and then once they approve the document to proceed further, Contractual document moves to the next step in the CLM life cycle.
Contract document which is approved is sent to respective parties for signature either online or using manual process.
Once the contract document is signed it is stored permanently in a easy to retrieve agreement database. Both contractual meta data and documents are indexed and saved for future reference.
This stage enables complete control of all critical business documents through reliable storage of records with backups and retention policy enforcement policies providing confidence that your critical records are in secure for global information management with high compliance.
This stage enables business users to quickly search , apply filters and retrieve relevant documents from the contract system.
Every stage captures user activity logs and the contract meta data and documents are properly indexed for easy retrieval. This stage ensures business users can quickly and efficiently retrieve and mine contract data and produce in depth reports.
Once the contract reaches its end date , it must be renewed to stay in active status.If the contract is not renewed on time it could cause financial risk for the parties involved in the contract.
1. What is Contract Life Cycle Management and how is it important in procurement life cycle ?
2. How to manage Contract Permissions easily during procurement process?
3. What features to look for in a Contract Lifecycle Management Software?
4. How to improve approval process using Serial and Parallel Approval Workflow?
5. What ensures Cloud Contract Security?
6. How Contract drafting software makes life easier for lawyers in authoring legal documents?
7. Audit Trail and Contract Analytics makes any difference?
8. When business grows , will the agreement software scale according to my business?
9. How easy it is to do Contract Migration and what about export?
10. How do choose between on premise contract software and online contract software?
11. How to select best contract administration software for my business?
12. What are the benefits of using Software for legal agreements management?
13. What are the implementation challenges of Contract Software?
14. What value software provides for contract drafting /authoring and redlining?
15. How important is contract renewal?
16. Understanding amendments and how it can benefit business operations?