Consider your finance team's role in your organization. They are the math-heads, the accounting gurus, the goal-makers and your go-to department for all things numerical. Now, consider the same numerical side of contract management. It's more than saved time and increased sales productivity. If you show your finance team the data yielded by a air-tight contract management process, they'll show you exactly where you can stand to improve on revenue growth.
Take a look at your contract process as it operates today and ask yourself these questions:
Given the time and resources, your finance team should be able to spotlight countless instances where you might be letting revenue slip through your fingers. This lost revenue comes in the form of lapsed contracts, excessive contract negotiations, errors in special clauses and missed deadlines. Not only does this put your company at financial risk, but also creates an unpleasant contract process for your soon-to-be customers. An honest mistake at the contract level might end up losing you customer before they even get to use your services or product.
All of those new contracts you're bringing in means more revenue for your business. But the quantity counts as much as the quality of those contracts. Your finance team is exposed to a lot of headaches and potential heartaches during an audit, but a transparent and well documented contract process can enable them to spot risky clauses and conditions before it's too late.
Tip: Consult with your finance team before including any automatic price increase clauses and conditions of renewal - this will help increase customer longevity and prevent otherwise happy customers from slipping through the cracks.
Contract management software uses metrics to track even the smallest successes and failures of your business. These metrics give your sales, ops and finance teams direct visibility into opportunities for improvement and prevention.