Category Archives: Contract Management

Contract Management

Six (6) Contract Writing Tips to Avoid Ambiguity – and Litigation

There is a reason that contracts are full of legal language. They are, after all, legal documents. But the fact that contracts are legal documents is all the more reason to make sure that language is precise. When contract language is imprecise, or worse, incomplete, the door opens to ambiguity and misinterpretation that could lead to disputes. I’ve seen a lot of contracts, and know nothing is worse than foggy language. Believe it or not, good contract management often has … More

A New Metric for a New Perspective on Procurement

In March of 2014, Matthew Eatough, CEO of Proxima Group, wrote an article for Harvard Business Review discussing what he called ‘corporate virtualization‘. The concept is based on research that found that, on average, “69.9% of corporate revenue is directed toward externalized, supplier-driven costs.” The fact that such a large percentage of corporate revenue is spent with external business partners is surprising enough, but the study also uncovered that the percentage increased by 4% from 2011 to 2014, marking a … More

3 quick tips on using CLM to work smarter and faster

If you’re reading this, you already know the importance of contracts to any organization. Just about every business transaction involves contracts, so it’s important to make the most of them. Here are three reminders of how to use CLM to help you work smarter, make deals faster, and be better informed to make intelligent business decisions and ensure compliance. Be quick on the draw With CLM software, you can automate frequent actions such as contract requests, approvals, and renewals. Leverage … More

Opportunities for improvement in sourcing and contracts

A look at Aberdeen’s recent research: I had the opportunity to read “Strategic Sourcing: Lessons Learned” recently published by the Aberdeen Group. You can download it for free at the following link: http://www.aberdeen.com/research/9814/RR-strategic-sourcing-lessons.aspx/content.aspx It is interesting that many companies are holding onto old technologies when the proliferation of new technology to support their sourcing environments is abundant. Given the numbers from the Aberdeen survey as well as analytics from Gartner, Forrester, etc., it is puzzling why companies remain reluctant to … More

How contract management improves supplier relationships

According to Gallup, supplier relationships are among the most overlooked but most important connections a business can have. Being a “customer of choice” can help mitigate risk, lower costs, and spur innovation. Companies that are great customers benefit from a more reliable supply chain and receive “flexible, non-bureaucratic support” from suppliers during crisis situations. What does this mean for enterprises seeking to improve their relationships with suppliers? Based on their research, Gallup came up with a list of five “core … More

CEOs’ top three concerns and how CLM can help

Every day CEOs like me are challenged to realize the objectives they’ve envisioned for their companies. To help ensure their business goals are being met in today’s demanding marketplace, three critical areas of business operations should be considered: compliance, cost reduction, and innovation. Fortunately, a Contract Lifecycle Management (CLM) system can create value in all three of these crucial aspects of the company. Compliance: Maintaining compliance is one of the CEO’s top concerns. While the day-to-day work involved in being … More

A Current Scandal Proves Why Employee Contracts Shouldn’t Live in Spreadsheets

Identity theft is a huge concern these days with estimates of 15 million people becoming victims each year. And if you’re one of the unlucky ones like me – you know firsthand that identity theft can be expensive! Each year, identity theft cases can total up to more than $50 billion in damages, according to identitytheft.info. With these concerns on the rise, it’s no surprise that employees for a large entertainment organization are upset that hackers found pay rates, social … More

7 Reasons to Move to ECLM in 2015

In the earlier blog we noted that CLM in the past was based on the inability to completely address the needs of an enterprise due to siloed approaches – so how do we look forward? Contracts are the lifeblood of all business relationships. Today, organizations need the ability to be govern contracts and contract data holistically from a common solution framework to get the best understanding of the obligations that financially bind the entire enterprise. As such, siloed approaches for … More

The Future of CLM in 2015

Recently, Selectica hosted a webinar – now on-demand — titled, Creating Strategic Value from Contract Management. Guest presenter Andrew Bartels, VP and Principal Analyst at Forrester Research, Inc. and Patrick Stakenas, Chief Strategy Officer at Selectica had an interesting discussion on the current landscape of CLM. Andrew shared the findings of his recent report and painted the picture of a complicated landscape of solutions in CLM that shows how technology continues to be placed in buckets of functionality, including buy-side, … More

Pushing Sourcing Strategies into Contracts

In the world of Strategic Supply Management, everyone knows that the ROI of strategic sourcing initiatives is only as good as the resulting contracts and the contract compliance in purchasing. Last week, I attended a Selectica webinar — now on demand — titled, “Creating Strategic Value from Contract Management.” Guest speaker Andrew Bartels, Vice President and Principal Analyst at Forrester Research, Inc. discussed the importance of choosing an enterprise Contract Lifecycle Management (CLM) solution that is cross-process, not process-based. He … More

How Much Are Your Contracts Worth?

How much value is your business gaining from your contracts? If a procurement executive asked you what a given contract was worth, you would likely give an answer based on estimated spend value as a result of projected volume, negotiated costs, and term. While this is accurate, it is also a limiting perspective that places more emphasis on the transactional footprint of the contract than what it means to the company’s operations. Patrick Stakenas, Chief Strategy Officer of Selectica, recently … More

Contracts Go Enterprise: Increase Strategic Value of Procurement with ECLM

What can Enterprise Contract Lifecycle Management do for you? We’re glad you asked – and we’re excited to answer that question in Selectica’s upcoming webinar with guest presenter Andrew Bartels from Forrester Research Inc. Now, we realize that relative to other procurement responsibilities and activities, contract lifecycle management (CLM) may not consume much of your day. You have pressures from your executive team to reduce costs. You are being told to provide powerful analytics that share valuable insights into future … More

Procurement Goes Back to Kindergarten for a Lesson in Relationships

As kids enter Kindergarten, one of the basic lessons we teach them is learning how to play well with other children. Almost any kindergartner will tell you, “If you play nice with others, they will play nice with you.” But as adults, it seems as though we’ve forgotten this basic lesson we teach children – especially in the daily routine of our working relationships. Procurement is no exception. For instance, from a procurement perspective, it has often been argued that … More

5 Executive Approaches for Enterprise Contract Management

I’ll never forget the first time I learned about marketing automation (MAS) tools. I quickly realized having access to an MAS tool would make my life and job a thousand times easier. And once I saw a demo of the tool, I was ready to do whatever it took to sell the solution internally. Now, I know what you’re thinking, what does marketing software have to do with contract management software? Well, not a lot in terms of functionality. However, … More

Getting Enterprise Contract Management Right: Join Iasta at IACCM

Iasta is kicking off October by prepping to attend the International Association for Contract & Commercial Management (IACCM) on October 14-16 in Chicago. IACCM is the global forum for innovation in trading relationships and practices and is leading the way in responding to the demands of global networked markets. What’s On The Agenda? On Day 1, Selectica will host an executive boardroom session, “2015 Readiness: Contract and Commercial Management Trends & Transformation Discussion.” Patrick Stakenas and Bill DeMartino from Selectica … More