So…you see the value in contract management software, eh? But your boss or executives don’t seem to get the full picture. Well, you are not alone in this scenario.
According to a recent case study regarding how Manitoba’s contract operations fared during the pandemic, many leaders failed to recognize the importance of leveraging contract management software to help the system survive.
One struggling supply chain professional explained:
“I was asked plenty of times, how many contracts do you have in place and who are your suppliers, and what’s your top ten? I’m running spreadsheets to do contract management, and we manage roughly 3,000 contracts here on Excel spreadsheets! It’s mind-boggling…” [1].
Additionally, another study found that the implementation of smart contracts increases income and reduces risks – while increasing process transparency for both enterprises and third-party suppliers [2].
Presenting scholarly analyses and data regarding the return on investment of contract management software is an excellent start to convincing your boss. But how else can you make your case for contract management software?
Let’s explore three steps that will help you convince your boss to get on board with contract automation.
#1 – Define the “Why” Behind Your Contract Software Recommendation
Human beings resist change unless they understand why they should change. The first thing you can do to convince your boss is to clearly define the “why” behind your contract management software recommendation.
- Start with the pain points: Explain the negative consequences that arise (or can arise) from your team’s current manual contract process. Perhaps you have trouble with version control, contract storage, and missed key dates. This part can really grab your boss’s attention.
- Dig deeper into those pain points: Take a closer look at how these pain points apply to the industry in which your organization functions. Prove the inefficacy of not only current contracting processes in general – but how they more broadly negatively affect the specific industry or organizational processes. For example, if you work in legal, high volumes of mismanaged contracts can increase the potential for compliance violations and contract failure.
- Explain the solutions to paint points: Detail which contract management software features would address your stated paint points. Perhaps numbered version control, a secure contract repository, and automated key date reminders and notification reminders are your top selling points.
- Explain industry-specific features: Dive deeper into your recommendation with coverage of industry-specific features and configuration options that can help you tailor contract management software to your team’s specific needs.
#2 – Face Challenges Convincing Multiple Stakeholders
In order to make your case for contract management software, you need to identify who the business decision makers are and what is important to them.
Are you speaking to General Counsel – focused on legal compliance and business strategy?
Are you speaking to a CIO – focused on cyber security for business operations?
Is it a lawyer – focused on accurate contract language and efficient contract collaboration to meet deadlines?
Maybe it’s another type of C-suite executive.
Regardless of who you need to convince to implement contract management software, make sure your case aligns with what matters most to that decision-maker.
#3 – Leverage Contract Management Software Demos and Free Trials
Your boss will want to be sure you are in the know regarding your contract management software recommendation. As such, you should be sure to leverage free contract management software demos and trials to learn about how your team would use contract management software in practice.
Hands-on experience with the product you are trying to recommend will drastically increase the sturdiness of your case. Also, being able to visualize the contract management system will bridge the gap between imagination and reality.
Get Started With Making Your Case for Contract Management Software!
Now that you know how to make your case for contract management software for your boss, it’s clear that you have some work to do. Make sure to diligently attend to the steps above, as hard work and research dramatically increase your chances of having your contract management software recommendation approved.
[1] Metge, Colleen J., and Md Anisul Islam. “Manitoba 2020: How centralizing the healthcare supply chain helped with pandemic management.” Healthcare Management Forum. Vol. 35. No. 2. Sage CA: Los Angeles, CA: SAGE Publications, 2022.
[2] Garina, I. O., and P. A. Drogovoz. “Smart contracts functionality analysis and game-theoretic modeling.” AIP Conference Proceedings. Vol. 2383. No. 1. AIP Publishing LLC, 2022.
