Reasons to upload your legacy contracts into a CLM
Having a Contract Lifecycle Management (CLM) system in place is only effective if it contains the essential information in an accessible format. The CLM is not an end in itself but a means to an end, in that it can provide the essential information on demand, or triggered by a previously flagged event/activity, but to do so it needs the data.
The benefit of the CLM system is in the data and the ability to get at it, when it is needed. Key to better results is making the process more effective and efficient and this is where properly structured, searchable data in an accessible data base system becomes essential. The imperative is not to miss obligations, nor opportunities, and to take advantage of beneficial opportunities. Missing a deadline, missing an early settlement discount, missing an opportunity for a bonus are all issues that go directly to the bottom line. In business, there is no justification for leaving money on the table because someone in the organization was not aware of a contract clause.
Some of the key benefits are:
- Single and unified repository
- Insight into key provisions at fingertips
- Identification and mitigation of risks
- Management Reporting
- Access to all financials in one place from multiple concurrent locations
- Better informed decisions