Design and Build an Effective Contract Lifecycle Management Process

Your Challenge

• Your vendor contracts are unorganized and held in various cabinets and network shares. There is no consolidated list or view of all the agreements, and some are misplaced or lost as coworkers leave.
• The contract process takes a long time to complete. Coworkers are unsure who should be reviewing and approving them.
• You are concerned that you are not getting favorable terms with your vendors and not complying with your agreement commitments.
• You are unsure what risks your organization could be exposed to in your IT vendor contacts. These could be financial, legal, or security risks and/or compliance requirements.

Our Advice

Critical Insight

• Focus on what’s best for you. There are two phases to CLM. All stages within those phases are important, but choose to improve the phase that can be most beneficial to your organization in the short term. However, be sure to include reviewing risk and monitoring compliance.
• Educate yourself. Understand the stages of CLM and how each step can rely on the previous one, like a stepping-stone model to success.
• Consider the overall picture. Contract lifecycle management is the sum of many processes designed to manage contracts end to end while reducing corporate risk, improving financial savings, and managing agreement obligations. It can take time to get CLM organized and working efficiently, but then it will show its ROI and continuously improve.

Impact and Result

• Understand how to identify and mitigate risk to save the organization time and money.
• Gain the knowledge required to implement a CLM that will be beneficial to all business units.
• Achieve measurable savings in contract time processing, financial risk avoidance, and dollar savings.
• Effectively review, store, manage, comply with, and renew agreements with a collaborative process