In today’s economy, companies are continually challenged by three major issues: Complexity, Dynamics and Speed. It is important to manage these challenges successfully in order to remain a top-performing company. Part of meeting the challenge includes the focus on long term success versus short term gains. It requires a way of thinking outside the box (executing against the trend) and a review of old habits-- how things have been done versus how things could be done.
Looking at the legal departments of big international corporations, it is astonishing that legal experts in most companies still tend towards old habits of manual legal contracting and over-managing operational details. These habits include slow contract creation (e.g. by cutting & pasting word documents) which is time-intensive and error-prone.
On the other hand, top-performing companies have modernized a huge part of their contracting process with automation, gaining various benefits; especially time (speed), which they can use for higher complexity or bespoke deals. Automating the contracts process can help corporations meet all three of today’s challenges.
Business terms and conditions are growing in complexity. One way to address this is with a more intelligent precedents system, which gathers your precedents and clauses in a central place where you can find them without wading through a sea of confusing examples and captures extra knowledge in each precedent.
Document automation software allows companies to capture, manage and analyze all of the information in their contracts. How many are outstanding and when do they expire? How many contracts need to be renewed next month? Having the information at your fingertips allows you to adjust quickly to changing dynamics.
While agility is important, speed can increase errors. Automation allows you to increase your speed and DECREASE your errors. You can lower your drafting costs and speed up your response time.
Again, thinking outside the box is needed as well as the ability to modernize and embrace technology where it makes sense. No doubt about who will survive and thrive in the long run.