Contract Management System: How to Choose the Right One

Key Features to Look for in a Contract Management System

When shopping for a contract management system, there are several key features to look for to ensure that the system meets your business’s needs. Some of the features to consider include the following:

1. Document storage and organization

Look for a platform that offers the ability to search and filter documents. It should also enable you to tag and classify them for easy retrieval. As much as possible, select a cloud-based solution so you can conveniently access your documents even outside the confines of your office.

2. Workflow automation

A typical contract lifecycle management system has around seven stages. Each of these stages has its own corresponding tasks that you need to accomplish. Things can easily get overwhelming. In this light, look for an application that can help reduce the need for manual processing.

3. Collaboration and communication

The system should provide tools for stakeholders to collaborate and communicate on contracts, such as the ability to leave comments or annotations and track the status of contracts in real time.

4. E-signature capability

Nowadays, you no longer need to go through the long-winded process of printing your contracts and mailing them to the other parties just so they can sign them. Electronic signatures have made it possible to enter into agreements digitally. Under the Electronic Signature in Global and National Act (E-Sign Act), they are considered legally binding. So you need to choose a system that allows you to send signature requests online as well as sign documents.

5. Integration with other business systems

It can be helpful to look for a contract management system that integrates with other business systems, such as accounting software or customer relationship management (CRM) systems. This allows you to create a more centralized system that’ll make your work easier.

6. Reporting and analytics

The system should provide reporting and analytics capabilities to allow you to track the status and performance of contracts and make informed decisions.

7. Customer support

It’s essential to consider the level of customer support offered by the vendor, including training, customer service, and ongoing maintenance and updates. Although most contract management systems are relatively easy to integrate, they aren’t without faults. You need to make sure that you have readily available assistance should you need any.