The holidays are upon us and everyone is feeling festive! Except possibly the people who are responsible for reviewing their company’s contracts for end/beginning of year obligations, milestones, expiry, automatic renewal, etc.
Managing contracts proactively is a challenge for legal departments of all sizes and is especially hard on those with limited resources. This challenge is not only about the contract creation and review process, which certainly ramps up at year-end as sales gets busy closing those last-minute deals (just as the eggnog is being poured). But, it's also about the ongoing management of all the contractual terms a company is party to. What is a legal department to do?
There are options.
- Staff up to handle it – no one wants to do that.
- Buy or replace software – this helps but often creates new administrative burdens.
- Engage a managed services partner – this can offer the best of both worlds.
Contract Management as a Service is the best of both worlds because it extends your department’s capabilities with manpower and gives you the most valuable benefits from technology without the related administrative headaches. Our contracts clients enjoy an easily configured system for managing contracts that includes a simple user interface with access to the information they need about the contract process. They have a searchable contract repository and reporting capabilities. They also have access to trained lawyers and paralegals to alleviate some of the contracts-related workload.
Managing contracts is one of the most ubiquitous duties of a corporate legal department, and probably not the most exciting one. Every company, of all sizes, in all geographies have contracts with customers, vendors, suppliers, landlords, etc. Mundane details in contracts can distract from more interesting and strategic work. Missed contractual obligations can present serious risk. Untapped opportunities in old contracts can cost serious money.
Engaging a partner to help manage the entire contract lifecycle helps companies avoid these problems. It also helps your lawyers and legal department staff get back to feeling festive!