Contract Lifecycle Management Best Practices

Contract Lifecycle Management Best Practices

By Contract Lifecycle Management

The financial consequences of participating in poorly managed contracts can ruin your business for good. To mitigate this risk, it’s essential that you understand what you are getting involved in at every stage of the contracting process. But, contract execution and fulfillment can be overwhelming when you consider the many different factors that could go wrong. Added to that, the situation worsens when an organization tries to manage key contracts manually or via Excel spreadsheets. These are common challenges that business owners encounter regardless of their industry or business niche. Thus, gaining better contract visibility and overcoming these challenges has…

Read More
3 Sample Contract Lifecycle Management Use Cases

3 Sample Contract Lifecycle Management Use Cases

By Contract Lifecycle Management

By eliminating most of the tediousness, oversights, and loopholes that often plague legal agreements, contract lifecycle management (CLM) has the potential to significantly improve your company’s bottom line, protect brand reputation, and boost overall synergy between your organization and the other companies that you frequently do business with. Even better, the benefits and usefulness of CLM are not limited to any industry – every industry needs it. However, as a business owner, maybe you are still hesitant, or you’re not yet convinced about what CLM can do for your kind of business. 3 Sample Contract Lifecycle Management Use Cases Below…

Read More
5 Stages of Contract Management - All You Need To Know

5 Stages of Contract Management – All You Need To Know

By Contract Lifecycle Management

Explained in the simplest terms, a “contract” is a legally binding agreement between two or more parties involving the exchange of money, goods, services, or promises. As organizations aim to get their business done faster while delivering the best services to their clients, contracts will continue to play a vital role in every industry imaginable. In the past, contracting used to be a simple and relatively straightforward process; a contract started with an agreement to exchange and concluded when that exchange was fulfilled. But with some contract figures now running into millions of dollars and multiple parties across different continents…

Read More
4 Main Contract Lifecycle Management Benefits

4 Main Contract Lifecycle Management Benefits

By Contract Lifecycle Management

These days, it is a common business practice for organizations to regularly rely on legal agreements to get important business tasks done. From vendor-related processes to supply chain and procurement, from staff recruitment and employment to facility management and real estate matters, etc., contracts play a pivotal role in how we get work done. However, successful contracts don’t happen based on set-and-forget principles. Rather, it is necessary to manage and track every stage of a contract’s lifecycle to achieve the best performance and compliance. Traditionally, this process was managed through manual paper systems that left too much room for errors….

Read More
5 Reasons Why You Need A Central Contract Repository

5 Reasons Why You Need A Central Contract Repository

By Contract Lifecycle Management

If your business has been in operation for a number of years, the chances are high that you must have participated in a number of contracts over the years. But if you were asked to provide some contract information from a couple of years back, how long would it take to find that information? Can you pinpoint for sure your best and worst performing contracts? On closer scrutiny is the  answer you just gave accurate? Have you made more profits or losses from contracts so far? As more years roll by and your business continues to sign even more contracts,…

Read More
electrician with hardhat and overalls using clamp tester

Integrated Maintenance, Lease and Capital Expenditure Management for Multiple Properties

By Contract Lifecycle Management, IWMS, Maintenance Management, Property ManagementNo Comments

From a tenant’s point of view, when you have multiple properties, you need to easily manage different aspects of leases/space utilization, maintenance of the locations and account for capital expenditures. Traditionally, these tasks are performed using separate CMMS, IWMS, and FAS (Fixed Asset Systems) tools.  Each area is automated to a different extent which creates islands of automation with rigid boundaries. For example, leasing a new space requires inputting of the data in multiple systems. Each system would have its own interface and requirements which would then make it hard to manage the process and would require developing separate expertise…

Read More
IWMS/CMMS/EAM Integration

What An Integrated Workplace Management System Needs To Have

By Contract Lifecycle Management, IWMS, Maintenance Management, Property ManagementNo Comments

Companies need to manage their properties and keep track of their assets for depreciation and maintenance.  This is traditionally done in a disjointed manner requiring several steps to transfer the data from one system to another.  This process is time consuming and error prone.  It also promotes “islands of automation” as they would need to develop and maintain expertise in different programs. A comprehensive IWMS needs to address asset management and depreciation, maintenance and capital improvement and property management and financials in a uniform and integrated manner. Asset Management (EAM) Hard assets and capital improvements have been traditionally depreciated in…

Read More
Accounts Payable process

Accounts Payable Management for Properties, Maintenance and Contracts

By Contract Lifecycle Management, IWMS, Maintenance Management, Property ManagementNo Comments

As property and maintenance managers, you would need to have a good handle on your vendors and suppliers and to make sure their invoices are properly processed and paid timely. Traditionally companies have disjointed systems and groups for handling the accounts payable. This results in errors and extra manpower for managing the incoming invoices including getting the necessary backgrounds and approvals. A comprehensive IWMS, property and maintenance management system needs to include strong financials and effective processes and screens for managing the accounts payable functions. In such a case, the management of AP invoices is more efficient and with less…

Read More
Lease compliance - FASB ASC 842 - IFRS 16

New Lease Accounting Standards Compliance (FASB/IFRS)

By Contract Lifecycle ManagementNo Comments

Lease accounting processes are now required to comply with new Accounting Standards Update (ASU) under the FASB 842(US) and IFRS 16(European) standards. This would fundamentally change the lease accounting practices in ways not seen in decades. First to be impacted are public entities (starting 1/1/2019) and then all entities public and private (starting 1/1/2020). They will be required to change the accounting for leased assets such as buildings, vehicles, furniture and fixtures, office equipment, rolling stock, aircraft and manufacturing equipment to name a few. Who in your or any organization has a definitive list of all leased assets? What about…

Read More
business meeting/brainstorming

How to Post a FASB (ASC 842) or IFRS 16 Capitalized Lease into a General Ledger

By Contract Lifecycle ManagementNo Comments

There are two related accounting standard regulations for lease capitalization which will go into effect as of the beginning of 2019. One is ASC 842 which stands for Accounting Standard Codification Topic 842, Leases (ASC 842). ASC 842 is developed by FASB which stands for Financial Accounting Standards Board and used to be called FASB 13. ASC 842 follows the US GAAP. FASB and GASG (Governmental Accounting Standard Board) and a part of Financial Accounting Foundation (FAF) organization. ASC 842 applies to the companies in the United States. The other standard is the European counterpart of ASC 842 which is…

Read More