Category Archives: Contract Management

Contract Management

Think like a CLM consultant to improve compliance, reduce risk, and increase profit

Interesting how perspectives can make all the difference in the scheme of business. Looking at something differently can change how you approach it and affect the outcome. While I've spent many years in corporate management, for a couple of years, I took on an assignment as a Gartner Research Analyst before coming back to the business side. That experience as a consultant has changed how I look at things today. And I wanted to share some of this perspective as … More

Where to find contract management discussions at ISM 2015

ISM’s annual supply management conference is just around the corner, May 3 – 6 in Phoenix. If you haven’t yet made plans to attend, there’s still time to look into it. If your travel plans are all in place, then you have to make some tough decisions about which breakout sessions to attend. This year, the tracks at ISM 2015 are decidedly strategic and value oriented, making it harder to determine which sessions offer the processes that can best benefit … More

Welcome b-pack!

As CEO of Selectica I am very excited about the opportunity to add industry-leader b-pack to our product portfolio, global market presence, and the amazing team of professionals we have working to serve our clients. It has long been our goal to expand our enterprise CLM and supply management solution to include downstream or purchase-to-pay solution as a part of our strategy. Enterprises, increasingly frustrated with the inefficiencies of managing a myriad of suppliers and disconnected information, are moving to … More

Gartner predicts 2015 as procurement technology matures

Gartner’s 2015 predictions for the procurement technology market, “Predicts 2015: A Maturing Procurement Technology Market Creates New Opportunities for Value Creation” is a good read if you can get your hands on it. With all of the technology that has been deployed over the past 15 years, companies still need to find ways to keep ahead of it. I am actually taken back by the need for enterprises to approach both technology and processes (AGAIN), specifically when it comes to procurement … More

Costly Lesson: Apple cuts 18 suppliers due to non-compliance.

As both procurement experts and suppliers understand, sourcing a product is more involved than simple physical acquisition. Considering the plethora of product recalls that seem to be constantly in the news, it’s clear that making sure products meet certain standards can be challenging if the right monitoring systems aren’t put in place. Let’s face it, defects are not always physical or tangible: more and more, especially as markets become increasingly globalized, companies are building labor standards, fair trade requirements, and … More

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