You may have looked at a contract management solution in the past and decided that it wasn’t worth the investment. But the truth is, you can’t afford not to have one.
Many organizations use their contract management platform primarily for contract storage. But in reality, a robust contract lifecycle management (CLM) solution offers so much more than that. Sixty to 80 percent of B2B deals are managed by contracts, with companies managing on average 20,000-40,000 contracts per year. If this critical business process is not handled accurately and efficiently, it can create significant risk and losses for an organization.
Comprehensive contract management – facilitated by a CLM solution – is critical to mitigating risk and reducing loss related to contracts. A contract management platform is an investment that offers tremendous ROI to any organization, including:
- Process streamlining and efficiency gains
- Improved business flow though insight into how contracts move, perform, and bottlenecks
- Reduced risk and improved compliance
- Source policy and contract language enforcement
- A way to develop policies and best practices around contracts
Integrating a comprehensive CLM solution can lead to 60% faster contract cycles, 50% faster negotiations, a 40% savings in administrative costs, and a 10-30% saving in operating costs.
Even more importantly, a good CLM can provide overall ROI of 150-200% in one year. This is why you can’t afford not to have a CLM platform.