Home      Smart Contract     How Can In- House Legal And Sales Departments Improve Contract Management

How can in- house legal and sales departments improve contract management

Published On : November 15, 2022

How contracts are managed in a best in house legal management software in UAE, KSA, Dubai?

According to legal research, just 10% of B2B companies feel they have the adequate tools to manage their contracts. Most of the times, this is caused by poor (or even non-existing!) collaboration between the sales and legal teams. Generally, Sales tends to see the legal department as a nuisance / bottleneck — the people who slow down their sales process with contract risk assessments and redlines. Conversely, legal thinks sales department puts the organization at grave risk by closing deals before legal can approve the terms. Here, neither department is right or wrong; they just don’t work in sync enough to understand that sales and legal actually share common goals. With the right legal technology, both teams can work together from the early stages of a deal and create outstanding and more efficient internal processes.

How to devise a way for interdepartmental collaboration in a legal software?

Ideally, corporate legal and sales should work together and develop a collaborative process for how the two departments will support and nurture each other. When legal operations work in tandem with sales, both groups can ensure that every minute clause about a new business deal is included in the contract without introducing unnecessary risk or limiting the scope of negotiation. It's better to leverage legal tech to integrate systems and design workflows that benefit both teams. For instance, a contract lifecycle management system can give legal and sales better visibility into the status of a contract at any given time. And with the help of e-signature tools, you can get signoff on contracts every step of the way — easier and faster.

How to Simplify negotiations in the contract process

Negotiations are invariably a part of the sales process, but if legal and sales work together, they can significantly limit the time and effort spent on the back-and-forth discussions. By their very nature, all negotiations require a bit of back and forth, but legal can help sales get to the middle ground faster with pre-defined terms. For instance, legal can establish, say, five different acceptable payment options and simultaneously authorize sales to accept anything that fits those terms. Another way to streamline negotiations is to create “Clause Libraries”. Legal department can use a Contract Lifecycle Management system to create pre-approved clause libraries for frequently negotiated terms, such as limitation of liability. For example, if legal approves three limitation of liability clauses, sales can start negotiations with a contract including Clause A. Now, if the prospect pushes back on Clause A, sales won’t have to stall negotiations by checking with legal — they can simply counter with Clause B or C.

How to Implement contract automation?

Upto 24% of legal departments said they planned to implement some form of contract automation by 2022. If your company isn’t automating parts of the contract creation and review process yet, you’re already behind the curve. Embracing contract automation doesn’t have to be a big endeavor. With tools like Beveron’s Smart Legal Counsel, you can use programs you’re already familiar with, such as Outlook. Smart Legal Counsel’s Contract Management module lets legal establish contract standards so that sales can simply run contracts through the app for a preliminary review without involving the legal team. Additionally, your in-house legal department can also dictate which clauses must be present for a contract to be accepted, which comes in handy when you’re dealing with agreements sent by a third party. For example, legal can stipulate that non-disclosure agreements (NDAs) with open-ended terms will not be accepted.

It is now evident beyond doubt that poor contract management will cost you. Today, the average cost of a contract has risen by 38%, compared to what it was a decade back. But the most efficient organizations — those that leverage contract automation and updated technology — kept that increase to only 9%. The relationship between sales and legal operations can be a tenuous one, but it doesn’t have to be. There’s a significant risk in not encouraging these two departments to collaborate and serious opportunities for the bottom line when they do.

Which is the best in-house legal software in UAE, KSA, Dubai?

The significance of a best-in-house legal software for contract management cannot be overstated. Such software like smart legal counsel plays a pivotal role in transforming the often complex and time-consuming task of contract management into a streamlined and efficient process. With advanced features like centralized document repositories, automated tracking of key dates and milestones, and customizable workflows, the software ensures that legal teams can effortlessly create, store, and manage contracts. It provides a secure platform for collaboration, allowing multiple stakeholders to access and contribute to contract-related information in real time. Additionally, the software often incorporates artificial intelligence and machine learning capabilities, enabling it to analyze contracts for potential risks, compliance issues, and other critical factors. This not only expedites the contract review process but also minimizes the likelihood of errors. In essence, the best in-house legal software for contract management acts as a force multiplier, empowering legal teams to navigate the complexities of contract administration with heightened efficiency, accuracy, and control.

Best In-house legal management software in UAE
Best In - house legal management software in Dubai
best In-house legal management software in KSA

If you need a free demo on best in-house legal software, please fill the form below

share with us your thoughts / your legaltech automation needs