CFOs have a lot on their plate. And, contrary to the second word in their official title, they do not just oversee a company's finances. The dynamic nature of business requires leaders in any capacity to understand and make decisions regarding various matters. Fortunately, there are business solutions available that can make the life of a CFO a lot less stressful. Here is why contract management software (CMS) will help CFOs sleep a bit better at night:
Centralize and Protect Contracts
In the fast-paced business world, company leaders do not have the time to hunt around for documents when they need them. For companies engaged in high volume contracting, using a paper-based filing system would be a logistical nightmare. It is highly unlikely that companies even keep paper copies on hand, but a surprising number continue to rely on enormous spreadsheets to try to keep a handle on things. Spreadsheets may work initially, but as a contract portfolio grows, even the spreadsheet itself becomes difficult to manage, much less the contracts it is meant to summarize. For these reasons, dynamic and practical CMS can help transform the way a company oversees its contracts. Utilizing a cloud-based database ensures that every single contract is conveniently located in one place, so leaders never have to worry about where company contracts are.
In addition, a reputable CMS provider recognizes the importance of keeping contract data secure and thus designs its solution with advanced security features. These security measures help ensure that confidential information actually remains confidential, so CFOs do not have to expend energy or resources dealing with a data breach.
Locate and Share Contracts and Specific Clauses Quickly
Quickly locating needed items is easier when they are all stored in the same place. But, an additional benefit of using CMS as that central location is that multiple people can access the items. And, this access can be assigned and restricted as necessary, so that company outsiders do not continue to have access to contracts when it is no longer appropriate. Plus, CMS should have an advanced search function so that in the event that a specific clause must be reviewed, a search will bring it up quickly.
Generate Reports to Analyze the Portfolio
Solid CMS does more than just help with the storage, locating, and sharing of contracts. It should also help leaders with contract analysis. For example, if a CFO needs to know about impending payments, the management system should have a report generation feature that can create a snapshot of the needed information. In addition, CMS allows users to highlight key terms and create tags for bits of data that are referenced frequently or particularly important.
Never Worry About Missing Deadlines
CMS is particularly useful when it comes to staying on top of important dates. Users can create customized alerts to ensure that they receive email reminders when something is pending or due. This directly impacts revenue by eliminating missed opportunities to renegotiate contracts or autorenewing conracts that are no longer neeed.
Even if key dates are put into a master spreadsheet, someone has to remember to check the pertinent column to see what is in the pipeline. Fortunately, CMS reduces the need for that sort of tedious oversight, preventing the likelihood that things will fall through the cracks.