Public companies considering not having a good system in place to manage contracts are facing a huge burden everytime they make an aquisition and add to the due diligence cost on both sides of a transaction.
One of the first questions asked in the process is, ‘what contracts do you have?’ Well, what contracts do you have and how quickly can you give me a summary into risks and exposure at a contract level?
Putting in place a contract lifecycle management system ensures operational contract management that simply rolls up into reporting.
Many companies I know embark on a massive data gathering expedition each and every time somebody asks a question.