Clean up your contracts.
We live in an era of data-driven decision making, but your contract data is locked behind dense prose, and scattered across dozens of systems, shared sites, and flash drives. Eighty percent of companies struggle to find their contracts, making finding, reading, and interpreting individual agreements a challenge. And yet, if you can’t do that, you can’t say you’re managing your contracts or have a contract data management system in place.
Create a foundation of good contract data.
Knowable builds basic contract hygiene through three key components:
- All your agreements in one, searchable database.
- All agreement families – masters, amendments, statements of work – grouped together to see the full counterparty relationship in one place.
- Basic contract details structured to put commonly re-reviewed terms at your fingertips.
This basic first step pays for itself many times over. By Knowable’s analysis, the average large enterprise spends between $300,000 and $400,000 per year simply in time spent trying to track down answers in individual contracts – to say nothing of the reputational issues and business impact of being unable to locate a contract quickly when time is of the essence. But being able to quickly and confidently answer questions about individual relationships is just the start of the benefits from contract hygiene.
Build a modern legal department - on offense.
Beyond the immediate savings, contract hygiene is the only way to begin asking questions about your whole contract portfolio. This is the secret to the transformational power of contracts to your organization: by organizing your contract management around contract data, not documents or text, you can create an asset that enables deep, scalable contract analysis. This goes beyond efficiency – it means that your contract data becomes a vital part of delivering value to your company.
Contract hygiene helps you transform contract management from a cost center to a driver of real value across the organization, through insights that improve our risk management, cost efficiency, and customer management and retention.