Contract Lifecycle Management: Key Benefits for Legal Departments
The contract lifecycle is the process in which a contract is created, reviewed, signed, and executed. In other words, the contract lifecycle is the entire duration in which the contract is valid and relevant. Given the sheer number of contracts legal teams have to manage at any given time, Contract Lifecycle Management (CLM) is critical in facilitating legal processes and ensuring compliance.
The contract lifecycle is a very complex process that requires significant attention to detail. If contracts are not managed properly, the risk for legal and compliance risk skyrockets. In order to avoid making mistakes in this intricate process, a Contract Lifecycle Management solution is a huge asset.
Utilizing a Contract Lifecycle Management solution ensures complete legal compliance and leads to substantial improvements in cost savings. Efficiency is essential for legal teams balancing multiple deadlines, projects, and clients. By adopting contract lifecycle management and standardizing the legal process, legal teams are sure to maximize productivity and follow the latest compliance regulations. Without CLM, legal teams are more likely to lose time and money due to disorganization and potentially make costly errors.
Easily monitor your contracts with Contract Lifecycle Management
Full visibility is crucial for in-house lawyers who have to manage multiple contracts simultaneously. With Contract Lifecycle Management, contracts are stored digitally and securely. This allows much greater ease of access for all legal contracts, saving time and increasing efficiency. Easily navigate contract data and all related information thanks to smart-tagging features.
CLM also provides an intelligent archiving of contracts to easily retrieve any contract without losing time.
Minimize risk and ensure compliance
Compliance is a significant issue in contracts, and even more so in large contracts involving multiple parties. Keeping up with ever-evolving regulatory compliance has proved to be a continuing (and costly) challenge for legal counsels in 2020.
With flexible user control access rights and the ability to track all edits made on the contract, compliance is met much more easily with Contract Lifecycle Management. In addition to better visibility, CLM also decreases potential litigation due to incomplete or erroneous contracts. Furthermore, contract management also saves time and money by avoiding non-compliance.
Sign your contracts securely, easily, and remotely
Legal departments were no exception in industries affected by COVID-19 disruption. With more and more legal processes becoming digitalized, the ability to sign contracts securely and remotely has never been more essential.
During a time when signing contracts in person is not feasible, a secure electronic alternative to signing contracts is critical. An E-signature tool is a significant time-saver—a task that used to be cumbersome is now quickly done in seconds. Anyone working in a legal department knows that any time saved is worth its weight in gold. Electronic signatures make the signing process more flexible and streamlined.
The DiliTrust Governance suite is easily connectable to E-signature solutions, such as DocuSign. As a result, this saves time and reduces paper waste.
increase efficiency by tenfold
Finally, anyone working with CLM software can be confident they are working on the most up-to-date version of a contract, avoiding the risk of lost time and productivity. CLM ultimately streamlines contract workflow, ensuring time is not spent on redundant or arbitrary tasks. In the long-term, this saves legal teams a significant amount of time and money. CLM transforms contracts into assets, in turn providing the organization with valuable insights.
In conclusion, It is essential for the management of a legal department to monitor contracts and have a centralized and transparent view of its data. When dealing with advanced reporting, the company lawyers need a view of both domestic and international contracts and all their related documents. CLM also eases universal pain points for the legal sector, including long process cycle times, ineffective contract tracking, and inadequate performance management.
To know more about the Contracts module in the DiliTrust Governance suite, click here.