In the year 2021, businesses need to act smarter and cautiously to stay ahead with their objectives. One practical way to achieve this is by adopting technology solutions. Explained here in detail, some 10 misconceptions about contract management system in the industry.

1. 10 Misconceptions
About Contract
Management System
Explained

2. Contract
Management
System
• Contract management is the process of tracking and
managing contracts throughout their life spans. It
includes all of the activities involved in this including
negotiation, administration, monitoring, and
compliance.
• And a contract management software is any platform
that assists you in moving contracts through their life
cycle.
• Many Organizations employs the help of contract
management system to assist their contract
management process.
• But there are some misconceptions about it in
industry.

3. The automated
system makes the
current process &
people irrelevant
• Contract management is done differently in each
organization.
• There are different people and processes involved in
each of these processes.
• It is common for businesses to think that these people
and processes will become irrelevant with an
automated CMS.
• The truth is you can carry out all the current
processes in the same workflow with the same people
involved digitally.

4. Migration Causes
Data Loss
• Adding contracts to the new system will be an
important task but the chances for losing any data
during that migration process is minimal.
• Service providers are also providing expert
assistance in migration to ensure proper execution.
• The contract management system is designed with
enough fields and options, you get to add enough
metadata regarding a contract, thus making it easier
for you to use it for various processing tasks.

5. CMS is for larger
Enterprises
• It is a common misconception that an automated
contract management system is only for larger
enterprise organizations.
• Truth is, if you are a company that is dealing with
more than 20 contracts a month, the automated
solution is the right choice.
• The primary benefit offered by all contract
management solutions is in eliminating risk and
excess cost.

6. It will block other
processes
• Your organization will have different people assigned
to take care of various tasks.
• Some of the contract approval and verification
workflows might even include different levels too.
• These differences can be handled effectively by
assigning each contract to relevant people and
customizing contract workflows according to each
contract’s character.

7. Complex and
Difficult to Maintain
• This misconception could ne due to a bad
experiences for poorly designed and developed
solutions in the past.
• Microsoft SharePoint and Office 365 powered
business solutions are completely different. They
provide the best security, simplicity, and efficiency
when it comes to getting work done.

8. Takes too long to
Implement
• A standard contract management solution would take
4-5 weeks to be customized and deployed.
• The customers also get expert assistance through
each stage to ensure the smooth execution of the
process.
• Training for users are also done whtin this time
period.

9. Cloud storage is not
secure
• Cloud storage or cloud-based solutions are as safe as
on-premises solutions today.
• With Microsoft 365 based solutions, you get the best
cloud security features and options available.
• Two-factor authentication access, data encryption,
and other abundant security features are the best
examples of the uncompromised security offered by
cloud-based platforms today.
• With proper configuration of security features and
timely checks, you can enjoy all portability benefits of
cloud storage without any worry about security.

10. Customisation is a
luxury
• Microsoft is offering a big bundle of solutions that can
help you with all tasks and requirements in your
business.
• With the help of SharePoint developers, we can help
you get it customized for your business, and make it
look cleaner, and assure a better user-friendly
interface and option.
• You can avoid spending thousands of dollars in this
way.

11. Not able to manage
Contract & Vendors
in one place
• You will have different data and process when it
comes to managing contracts.
• You can control both customer and vendor contracts
separately with the help of an efficient Contract
Management Solution.
• You can store all details about your vendors, and
maintain a detailed record of all information regarding
them with the CMS.
• You can even provide a login for vendors to keep data
up to date always and maintain a sustainable
relationship throughout.

12. It is not affordable • Today, you can find business solutions built for large
enterprises as well as small businesses.
• If designed with proper planning with only the right
features and customization contract management
system could be affordable.
• A SharePoint contract management system is the
right choice for companies looking for an affordable
solution.

13. Conclusion • We have considered all these myths and
misconceptions modern businesses have during our
CMS product designing and development stage
itself.
• A Contract management system is a great solution for
any company to invest in.
• You just need to know which one to choose.