Contract Lifecycle Management (CLM) is evolved as a strategic aspect of legal operations today. It is now the chosen channel to monitor and regulate every component in a contract’s lifetime with the ability to maximize activities, reducing costs and downtime.
With the ongoing tech evolution, it ought to undergo the transformation and stay relevant because CLM solution is considered to be the mechanism for accelerating business outcomes, evolving with time and demand.
What’s fueling CLM expansion?
The irrefutable reality is that CLM cannot only be associated with revenue as it draws the attention of decision-makers who are inclined to optimize productivity, and team efficiency, and accelerate business outcomes. This very demand has been catalyzing significant transformation in the CLM technology landscape. Today, legal tech players are on a constant innovation path to set a new standard for CLM excellence.
Innovation in the legal tech space. Let’s check it out:
The global CLM market is predicted to grow at 11.4% in the next five years. The market is driven by an increasing acceptance of CLM for the end-to-end process starting from managing contract data and processes, improving visibility into financial performance, ensuring compliance with regulations, and enabling better vendor management, making it the hub for the organization’s complete Contract Lifecycle Management.
- Customization at its best
The ‘one size fits all approach is not applicable in CLM. Every in-house counsel is unique, and so does their contracting system. As businesses of all sizes adopt CLM to improve their performance, it must be in conformance with their contracting workflow and allied process. Thus, CLM solutions evolve to be easily customizable in handling the distinctive needs of a legal ops team.
AI is an unassailable force in legal tech and has a profound space in CLM today. It will expand its footprint across the CLM landscape to alleviate some of the crucial pain points and turn them into opportunities. For instance, contract data analytics with AI to assess performance and legal risks will indeed up the CLM game.
Adoption by end-users defines CLM success. Be it the interface, integrated features, workflow, or the learning curve, a stimulating solution will be the focus to deliver a seamless user experience.
- Delivering Insights that matter
The best part of CLM is its ability to provide data-driven insights, and that help in transformation enabling better contract visibility, performance analysis, risk assessment, and delivery of business insights that help in swift response to market dynamics.
- Stakeholders beyond legal
Contracting as a process falls under the purview of an in-house legal team, and other stakeholders from various teams across the organization, thus making it the next-gen CLM tool catering to the diverse needs of enterprises.
The business world is witnessing increased data security risks and emerging data privacy laws. This translates that customer trust will ascend as a key element of CLM, guaranteeing uncompromised data security and protection from potential threats.
The majority of CLM tools are designed to easily integrate with an existing enterprise system, yet the support of an implementation partner is crucial. Because, it is a system with its own nuances, which may not click with the end-users right away. An increasing number of CLM companies are banking on the implementation partners to ensure it is a success. Thus, setting a new course that would traverse in the near future.
Well, it looks like a lot is waiting to unravel in the legal tech space, ushering in a new era in CLM. The Future CLM systems will be more reliable and effective, ensuring that legal operations and contract management will be more secure, integrated, and transparent. With business expectations on in-house counsels to be its strategic partners, the evolution is indeed warranted.
And, this can become a true reality with a CLM implementation partner such as Cenza. With a long history of assisting clients and offering tailored solutions to digital contracting and legal operation needs, we are the ally in ensuring the success of CLM adoption. It’s not about cost savings but an overall experience in elevating the effectiveness of your legal tech transitioning. So, connect with us to learn how Cenza can accelerate the effectiveness of your CLM implementation.