Fundamentals of Contract Management Systems

Business software is critical to any organization, and companies typically rely on products such as customer management, accounting and risk management software. There is usually a contract for their use in the form of an end-user agreement or software license agreement. These contracts define the terms and conditions of use via clauses and provisions including: the license grant, where the product can be used, number of users, payment terms, and warranties and limitations, among other legal conditions. Tracking software license agreements can be hard for large organizations, but there are many ways to manage them. Some basic methods are with paper document tracking, spreadsheets, and in-house systems. Leading contract software offers out-of-the-box tracking fields for tracking license type, number of users, costs, attachments, etc. Advanced products will include workflow approvals, budgeting, drafting of contracts with terms and conditions, online negotiation and collaboration, and electronic signatures. When selecting a system, confirm the legal requirements for your industry, and any key regulatory demands.