Effectively managing contracts is crucial yet challenging. Issues like lack of contract visibility, non-standardized templates, and compliance risks can hinder smooth execution and renewals. According to World Commerce & Contracting, companies lose over 9% of their annual revenue due to difficulties in handling contract renewals, a figure that rises to 15% for larger enterprises. Additionally, a Journal of Contract Management study reveals that 71% of organizations struggle to locate 10% of their contracts, complicating renewal and termination processes.

What Is Contract Lifecycle Management (CLM)? Contract Lifecycle Management encompasses all stages of contract handling—from initiation and preparation to negotiation, approval, execution, and renewal—while ensuring compliance with statutory requirements.

Technological advancements in CLM have addressed these challenges, offering automated solutions that streamline processes and adapt effectively to evolving compliance standards. However, selecting the right software can be daunting, with over 200 options available, especially as CLM tools gain traction post-pandemic. Choosing the appropriate platform, simplifying contracts, refining processes, and integrating technology are vital for successful CLM implementation.