August 23 by Vijay Shah
While a lot of emphasis and attention is given to implementing Front Office and Back Office tools like CRM, ERP, IT Security, HR and Finance, one of the most neglected, and yet important solutions, gets side-lined, and that’s Contract Management. Many organizations fail to understand the importance of contracts and fall into a trap while facing a litigation. Moreover by neglecting contracts, organizations downplay the risks from revenue leakage, controls, negotiation and compliance, which can directly impact top line and bottom line performance of the business.
Apttus is a leader in Contract Management solutions and sets a very high benchmark for the industry. With over a decade of experience serving many of the Fortune 500 companies, Apttus has learned a lot from General Counsels and Chief Legal Officers as they evaluated CLM options. Here are the top 3 consideration when investigating Contract Management solutions.
Controls and Contract Management
For a Contract Lifecycle solution to be effective it should:
- Make it easy to find any contract, search for files, clauses or terms, or measure the effectiveness of your contract process.
- Give Legal the power to improve contract performance by providing insight into contract cycle times, term usage, and commonly negotiated clauses.
- Provide an easy-to-use repository which empowers Sales with the ability to track renewals, identify opportunities for up-sell and cross-sell, and improve contract terms over time. Which ultimately facilitates increasing every customer’s lifetime value.
Compliance and Contract Management
For a Contract Lifecycle solution to be effective is must ensure compliance with regulations like ASC 606 / IFRS 15, that require companies to identify what constitutes a contract with a customer. A complete CLM solution, as a part of an end-to-end Quote-to-Cash solution, will capture the essential information from the agreements and clearly identify performance obligations. Virtually every company must comply with ASC 606 / IFRS 15 regulations. An effective CLM solution should also give Legal and Finance teams the visibility and control of contracts they need, which enables compliance with GDPR and other key regulations.
Collaboration and Contract Management
You don’t need multiple solutions for your contracts. You gain more benefit from a single enterprise contract management solution which is ideal for both buy-side and sell-side contracts. When using a CLM for sell-side contracts, it should connect seamlessly to other front-office tools for maximum selling efficiency. Same CLM solution should also support buy-side contracts, for a streamlined procurement process. Moreover, the CLM solution should work with popular CRM and ERP solutions effectively without adding agony to the users.
With the 3 ‘Cs’ in your favor, GCs and CLOs can directly justify the ROI on CLM and find themselves adding value to the success of the business. Also read how the new age technologies like AI, Blockchain and Machine Learning are redefining CLM solutions.
About Apttus Intelligent Contract Management: The Trusted Leader in Contract Management
Apttus Intelligent Contract Management is trusted by hundreds of the world’s largest, most complex and most regulated businesses, yet is also accessible to emerging organizations, making Apttus the world’s #1 Contract Management app. designed and built to automate contract management processes at enterprise scale enabling enterprises to leverage the best functionality available across cloud infrastructures including Force.com from Salesforce, Microsoft Azure and IBM Cloud, and it’s fully integrated with the world’s most popular CRM systems including Salesforce and Microsoft Dynamics.