As the main revenue center for companies, the Sales department deals every day with a series of contracts: from those in negotiation with potential customers, to those under analysis to identify new transaction opportunities.
But the value these contracts generate for the company goes beyond the figures negotiated. The good management of these documents directly affects the success of operations as a whole.
In today's text you will understand the main risks generated by an inefficient management of contracts in the sell-side, and how Contract Lifecycle Management - CLM software can improve your company's operations.
Although it might not be the manager's intention, an inefficient administration of contracts signed by the Sales department creates a series of problems for almost all areas of the company. The first of them hits close to home: makes the art of selling considerably more difficult.
The Sales team needs to establish a relationship of trust and proximity with the customer throughout the negotiations. The success of this link is directly related to the efficiency of communications.
It is very common, however, that the means and platforms used to exchange information do not have all the necessary functionalities to ensure this efficiency. As a result, some of the following situations end up happening frequently:
And yet, for a sale to be completed, it is often necessary to engage other areas of the company. In general, the Legal department is one very requested department in this flow. Inefficiencies in this interaction can create friction between these two sectors and harm the quality of work within the company, with problems such as the following:
Scenarios like this are part of everyday life for many companies, but they invariably undermine customer trust and generate friction between departments.
Efficient contract management generates greater visibility to negotiate agreements and ensures the information's reliability, enabling the extraction of intelligence from documents that were not previously monitored in such detail. All these points favor the relationship with the customer and the interaction between the company's areas.
When interacting with the customer, a CLM software such as netLex generates several advantages. Among them are the following:
In the articulation between the company's departments, a CLM software such as netLex unlocks the potential of both the Sales and Legal departments.
Once the contract is signed, the management of the agreed obligations can be fully carried out in the platform through a simplified dashboard, including alerts on relevant terms and conditions. This makes it simpler to ensure that everything that was agreed at the negotiation stage will be carried out in the way that the parties wished.
The CLM system can also become a reliable database, as commercial contracts set other departments in the company in motion. For example:
In addition to supporting the activities of other areas of the organization, the intelligence generated on each stage of the contract’s life cycle can offer important insights for the management of teams and procedures as a whole.
The contracts negotiated by the Sales department are very relevant to the company as a whole. The obvious side of this statement leads us to the fact that, if the company does not sell, it will hardly remain in the market.
wever, these contracts also have a systemic impact on the corporation's activities, channeling interaction between departments, and influencing almost all of its activities. Thus, it is essential to create solutions, not problems, for the management of these documents.
netLex is a company specialized in document automation and management. In it’s CLM platform it is possible to program intelligent workflows to provide precision and quality to company documents.
Would you like to bring forth solutions to upgrade your Sales department? Talk to our experts now!