Contract Management
Contract management is critical in any business operation, regardless of size,
type, or industry. Legal contract management is one of the most complicated issues that
businesses today may encounter if it is ignored. Organizations may face reputation
damage, increased error rates, and, as a byproduct, increased costs. That is why, an
increasing number of businesses are transitioning their processes to handle and resolve
these risks. Hence, businesses must optimize their processes in order to maximize
their operational and financial performance.
Contract management is the process of managing how contracts are created,
executed, and monitored. With the pressure on every organization to reduce costs and
improve organizational performance, the company requires effective and efficient
system support for contract monitoring. As a support system, software such as SAP S/4
HANA, which includes an application for managing legal content such as contracts,
could be used. S/4 HANA supports automated and manual processes for operational
demands, and it also allows all legal content to be stored in a single central online
repository.
Overall, I believe that a good software application plays an important role in
contract management because it is critical in the business process to avoid potential
reputational damage, reduce costs, and improve organizational performance. I’ve
learned that legal documents are now transformed and digitized with SAP S/4 HANA,
providing full traceability of obligations, confirmations, signatures, and commitments
both internally and externally. This makes a company's relationship with its
customers/clients bound by the contract more efficient, which benefits both parties.
“I affirm that I have not given nor received any unauthorized help on this
assignment and that this work is my own”