Aberdeen Group Report - Procurement Contract Lifecycle Management - Assessing the Value of Contract Automation
Report Description
Over the past few years, contract management processes have increased in their importance and complexity within global enterprises. There are many drivers that have demonstrated this increase such as an increase in corporate litigation and industry regulation globally. With the demand to increase visibility into supplier relationships for lowering supplier risk, many organizations have turned to automating their contract management processes for internal and external contract collaboration. Based on this research, Best-in-Class companies are realizing 3.25-times more contract savings than Laggards and an average of 39 day cycle time improvement for procurement contract review and approval. Surveying over 130 industry directors and managers, this report demonstrates that organizations distinguishing themselves as Best-in-Class today are those that have established the “paperless contract” approach for managing procurement contracts.
- Best-in-Class companies are 182% more likely to have fully automated contract management processes (contract creation, approval, negotiation, analysis)
- 70% of Best-in-Class companies have contracts leveraged for sourcing efforts compared to 44% of Industry Average and 33% of Laggards.
- 60% of Best-in-Class companies executive sponsorship of contract management initiatives compared to 48% of Industry Average and 42% of Laggards.
- Best-in-Class companies are 100% more likely than all other organizations to establish training programs to improve contracting capabilities of stakeholders.
- 35% of Best-in-Class companies have implemented multi-language capabilities in contract management compares to 29% of Industry Average and 26% of Laggards.
For the full report visit www.seal-software.com/reports
By Guest Blogger: Seal Software Group
