Did you know that 45% of businesses fail during their first five years of opening their doors? If you want to make sure that your business does not become part of this statistic then it is a good idea to become familiar with contract management. We have put together this guide to share more about how contract management processes are evolving. 

Keep reading to learn all about contract management and how advancing technology is making a difference for companies. 

1. AI’s Influence

Artificial intelligence is a technology that is found in many different niches from the healthcare industry to managing contracts. Artificial intelligence has the ability to make any organization a lot more efficient and it allows crucial data to be extracted easier and faster when it is needed. 

Companies that are adopting AI are overcoming most of the challenges that use to come with creating contracts. Even the world of real estate is seeing improvements with some of the best mortgage loan origination software to help make the job easier. 

AI is able to sort through plenty of data and pull out any key information along with the contract terms accurately. It is much easier for AI to do it quickly when compared to a human. 

2. Digital Changes

Another trend that we are seeing in the world of contract management is moving into the digital world with things such as Enterprise Contract Management (ECM) software technology. There are many companies that use a CLM (Contract Lifecycle Management) solution to help with automation but the problem with CLM was that it was mainly for departments in the legal, procurement, and sales world. 

ECM software on the other hand works with contract management with an all-in-one solution. 

3. Voice Activation

Something else that we will see in the future is voice assistant as the primary way to communicate with business software. Voice activation will be able to help with figuring out the active contracts that are up for renewal in the following months or it can explain the differences between your own NDA and your competitors. 

4. Contract Negotiation

In the future, we will also see the ability of AI to analyze contracts and negotiate prices based on supply and demand in the current market. AI will be able to make sure that the policies of the company are being followed and inform you of any discrepancies it might find. Also, any sudden discrepancies during a contract will be easily spotted and pointed out with the help of artificial intelligence. 

How Do You Feel About the Future of Contract Management?

Now that you are aware of where the future of contract management is heading, you can make informed decisions about the technology that you want to adopt for your own company. Thanks to technology you can now use it to improve the processes within the business and become more efficient. 

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