All businesses have to deal with contracts, regardless of their size and the sector they operate in. Organizations use contract repository software to help them manage their contracts electronically. Traditionally, the process of managing contracts involved the filing of hardcopy documents in cabinets, which could go missing, become outdated, or be difficult to access by people working remotely when they urgently need them.
Small businesses might have hundreds of contracts that they are managing at any point, and the absence of adequate support technology will make the process tedious and more complex to handle. As a result, some companies resort to spreadsheets that have to be manually managed. However, the lack of data integration and integration with enterprise resource planning or customer relationship management systems can make it hard to scale to match business growth.
Some benefits small businesses can gain from using contract repository software are:
Using the right contract management software encourages paperless business operations and eliminates the need to occupy office space with documents, or to outsource this document storage to another company. Employees can directly scan contract documents with an OCR so all files will be placed and can be accessed from a single location. This software also makes the importation of electronic contacts, and the display of document status possible.
Small businesses can streamline their contract operations to allow all aspects – from request to approval – to be easier to manage. The software can also ensure that no critical contract term can be deleted without proper approval. This is done by making sure only certain assigned people will be able to edit documents.
Using contract repository software to store documents in a single location allows company staff with authorization to easily locate, retrieve and update them as the need arises. All that will be needed is a secure internet connection and the right passwords for them to find and access the files from any location at any time.
Room for Audits
Contract management systems keep an accurate record of the activities of the documents in their care. Therefore, with a click of a button, the history can be accessed and there can be a full audit to monitor policy compliance.
Notification of Renewal Dates
Based on custom-made rules, there can be a notification or reminder of contract expiration dates so renewals can be done in due time. It is possible to miss important milestones while using the traditional means of contract management through human error, which could cause significant problems depending on the circumstance,
Improved Efficiency and Reduced Approval Times
Since contracts can easily be tracked and monitored online, it would reduce the time needed to sort through stacks of paper. In addition, the use of contract management software can expedite contract reviews, facilitate e-signatures, and hasten approvals as employees can be easily notified to take prompt action on certain documents.
Almost all businesses deal with contracts of different sorts; be it from vendors, clients, partners, and so on. Small businesses have a lot to gain by using contract repository software because not only does it make contracts easier to track and manage, it also ensures accurate audits can be carried out.