CLOC Institute, a premier gathering of legal operations professionals, leaders and decision makers will be held at Bellagio, Las Vegas from 14th to 16th May 2019.
Banking laws apart from being strict are also continuously changing and updating, posing a huge challenge to the banks and financial institutions to keep up. With changing regulations, it becomes necessary to update each of the contracts to reflect the new regulations and stay compliant.
Sell-side contracts are legal agreements between two entities for the sale and delivery of goods, services, securities or other personal property. These come attached with a lot of obligations and risks and are vital to companies’ bottom lines. According to the blog CPO Rising, “75% of all corporate revenues are tied/linked directly to sales contracts.” With such high financial value at stake, there is a huge pressure on Sales teams to acquire new customers, maintain relations with existing customers and turn around deals faster. And along with meeting their sales targets, sales teams also need to actively participate in the contracting process from request intake to contract renewal, which, with manual processes takes up a huge chunk of their precious time.
As your business grows, your needs evolve, and so do the complexities of your business transaction record-keeping – a.k.a. contracts. Rings a bell? Recordkeeping or database management for your entire set of contracts is a humongous task and is best not left to run-of-the-mill document management systems. We will tell you why!
According to PricewaterhouseCoopers, the average Fortune 2000 company holds around 20,000-40,000 active contracts. Imagine having to manage such a large number of contracts throughout their lifecycle without any technological aid! Sounds overwhelming right? In most cases, the responsibility of drafting, authoring, reviewing and managing a huge portfolio of high-value contracts falls single-handedly upon the legal function where the execution of the same is largely the responsibility of the legal department operations (LDO) team.
Ultria reached out to a large audience from the Legal Operations and Contract Management function with questions around their contract management profile, processes and challenges. We wanted to get a first-hand understanding into the level of maturity companies stand at when it comes to advances in managing their contract operations, compliance and performance.
The global transport and logistics industry is enormous. As per a Boston Consulting Group survey report ‘Transport and Logistics in a changing world’, transport and logistics is a whopping $ 3.1 trillion market. The popularity of e-commerce has added to the transportation and logistics industry boom and over the past decade, considerable growth has been seen across the transport industry value chain. To sustain in this uphill environment, service providers face the need to dive into digital transformation and go through unparalleled disruption by transforming technology as well as processes inherent in the legacy systems.
Most industries have a large portion of their spending locked in numerous contracts. According to McKinsey, companies in utilities, aerospace, defence, and food manufacturing can have 90 percent or more of their annual revenues represented in contracts. With such significant value locked in contracts, there is a huge potential to optimize contracting processes for improved business performance. With standardized contracting processes and best practices in place, contracts can be turned into high-value power machines enabling massive cost savings and immense benefits for any organization. They can be an effective tool for the legal and contract management teams to unlock maximum potential and value from the contracts.
Year 2019 is going to be the year of Digital Transformation for Contract Management. Next generation technologies like Artificial Intelligence and Blockchain, which were once seemingly out of reach, are fast making an appearance in the main stream Contract Management Systems.
The adoption of Smart Contract as the facilitator for successfully executing the clauses in a contract is fast gaining momentum across industries worldwide. As Smart Contract solutions are intertwined with the AI, which is even today, mostly associated with the financial services sector, there has always been general perception that Smart Contracts are only relevant for that sector.
The rising popularity of smart contracts has given rise to apprehensions. Several of these discussions revolve around possible redundancy of lawyers in contract creation and execution—or that lawyers’ role in the entire process will reduce to a negligible level. Smart contracts now have the legal sector’s attention. The emergence of such concerns is evident by the recent association of major legal firms with ventures like R3 Consortium’s Legal Center of Excellence and the Enterprise Ethereum Alliance. These relationships strive to gain a better comprehension of blockchains and smart contracts, as well as their repercussions on the legal profession.
Contract lifecycle management (CLM) is essential for growth in today’s competitive business environment. Going by IACCM (International Association for Contract and Commercial Management) estimates, 9.2% of an organization's revenue is potentially lost due to inadequate CLM. Commercial and contractual issues are cited by IACCM as the primary cause in over 70% of troubled buy- and sell-side relationships.