5 benefits of contract lifecycle management software

What is contract lifecycle management software?

Contract lifecycle management (CLM) software describes technology that enables businesses to streamline and automate their entire contract workflows, from contract creation through to tracking and reporting.

Unlike point-solutions, CLM software offers users value at every stage of the contract lifecycle.

Why use contract lifecycle management software?

Contract lifecycle management software has the ability to transform the way your business manages contracts. It can automate repetitive work, reduce risk and give legal teams the opportunity to focus on higher-value work that most requires their skills and expertise.

Businesses that use a traditional, Word-based approach to contract lifecycle management will benefit from a CLM solution in many ways. Let's explore these now.

What are the benefits of contract lifecycle management software?

1. Faster, more efficient contract workflows

The biggest and most transformative benefit of CLM software is that it can enable you to agree contracts faster and more efficiently.

Contract lifecycle management software enables teams to streamline the entire contract lifecycle by providing all of the features they need to manage contracts from end to end in one place. CLM software also delivers the features needed to safely automate routine contract admin and free up legal’s time for higher-value work.

For example, Juro users can: 

• Manage the entire contract lifecycle in just one tool, with native eSigning functionality, browser-based redlining and secure contract storage
• Track the status of contracts across the business using a kanban board that updates automatically and in real time 

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Juro enables legal and business teams to agree contracts 10x faster than traditional tools. To find out how, hit the button below.

2. Enables teams to self-serve on contracts

Contract lifecycle management software also benefits businesses by enabling commercial teams to self-serve on contracts with minimal input from legal.

This is because tools like Juro enable legal teams to capture pre-approved contract terms and conditions into automated contract templates and control what the contract owner can edit. This is distinct from traditional processes where individuals were free to edit and freehand templates they find in shared drives.

Instead, a contract lifecycle management tool like Juro benefits businesses by enabling commercial teams to generate contracts on demand, but with terms pre-defined by legal.

For example, Juro users can:

• Set rules and conditions in contract templates that determine which clauses appear in a contract and under which circumstances
• Lock contract fields, minimizing the need for legal to review as many contracts
• Automate approval workflows for certain templates, ensuring that high-risk contracts receive the attention they deserve

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3. More collaborative workflows

Another benefit of contract lifecycle management solutions is that they enable teams to quickly review and negotiate contracts in one unified workspace. Users can converse in real time in the document sidebar, add redlines and review earlier versions with one click using Juro’s timeline. This collaborative experience means that there's less back and forth when it comes to reviewing contracts internally.

For example, Juro users can: 

• Add comments and contract redlines to contracts in real time without having to move between tools - it all happens in one unified workspace 
• Toggle between internal and external versions of a contract to choose which comments counterparties can see 
• Set up approval workflows to provide security and ensure that contracts are signed off quickly, efficiently, and by the right person 
• Move contracts in and out of Microsoft Word easily if their counterparties wish

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4. Better visibility into contracts

CLM systems that work with dynamic files can also improve contract visibility, giving them instant access to the data within their contracts. This benefits businesses by providing discoverable, actionable insights into their agreements and the overall efficacy of their contract management process.

For example, Juro users can: 

• Run real-time, dynamic reports into contracts, ensuring you have access to the most recent data with no manual work required
• Set automated contract reminders to ensure that you never miss an upcoming contract renewal deadline 
• Filter, sort, search and analyze contract metadata by capturing key contract information in contract smartfields and building custom contract dashboards to display this data
• View all of the different versions of a contract, and the specific changes made, with ease by using Juro’s detailed contract audit trail

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This level of visibility simply isn't possible when businesses create and store their contracts across several different platforms and as static files.

5. Cost-savings for the business

Contract lifecycle management improvements can also benefit businesses by eliminating costly inefficiencies.

According to studies by Aberdeen Research, automating your contract management process can reduce administrative costs by as much as 30 per cent. Similarly, CLM software can cut losses in contract value that come as a result of poor governance, providing even more cost-savings for the business as a result.

By identifying bottlenecks in the contract workflow, CLM solutions enable teams to fix inefficiencies as soon as they occur, ensuring the business maximizes value from contracts.

For example, Juro users can:

• Automate routine legal tasks like contract drafting and contract reviews, allowing legal to focus on higher-value projects
• Use contract analytics to identify bottlenecks in the contract workflow, making it quick and easy to find opportunities to drive greater efficiency
• Minimize contract value leakage by ensuring that upcoming contract deadlines and obligations are monitored and met

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Find out more

To find out more about how CLM software can benefit your business in particular, fill in the form below for a personalized demo.

Or, to explore how CLM software works for different departments, check out the guides below:

• CLM for HR teams
• CLM for sales teams‍
• CLM for procurement teams
• CLM for finance and ops teams