
Leading Experts Cite Reasons to Obtain Contract Management Software Did you know…
-Just 64% of purchasing transactions comply with the terms of their contracts. Ineffective control and management of supplier contracts costs businesses $153 billion per year in missed savings opportunities -The percentage of an enterprise’s revenue dictated by a contract is likely to rise from 56% to 68% over the next two years. It is essential for enterprises to have contract information at their fingertips for historical analysis, forecasting, risk assessment, analysis, and revenue recognition. -Respondents report that on average their enterprises lose 9% of their revenues due to regulatory penalties, missed deadlines, lost sales, maverick pricing, and transactional errors. -Due to non-standard language, we found on average 18% of an enterprise’s sales cycle is attributed to contract creation, negotiation, and approval. A one day reduction in the sales cycle is worth an average $80,000 and in some cases exceeds $250,000. Enterprises have shown a reduction in this key metric by approximately 20% due to improved contract management”
|