Contract Lifecycle Management Implementation: Putting People First
In the realm of Contract Lifecycle Management (CLM), success is not just about the sophisticated tools or streamlined processes, but it hinges on the foundational element that often takes a back seat – PEOPLE. In the hierarchy of CLM readiness, people are the linchpin, the heartbeat, and the driving force behind the seamless operation of this critical business function.
Written by Knowledge Team, posted on February 23, 2023
Imagine making an investment in cutting-edge Contract Lifecycle Management software, refining templates, and automating workflows – undoubtedly a commendable effort. Nevertheless, when challenges inevitably emerge, the resolution does not stem from external entities but rather from individuals within the system. In this context, the indispensable yet frequently overlooked figure that assumes a pivotal role is the CLM Administrator.
The Unsung Hero: The CLM Administrator
While discussions around CLM readiness may primarily revolve around software features and process optimization, the spotlight should consistently find its way to the unsung hero of this narrative – the CLM Administrator. This individual or team plays a pivotal role in the success of CLM implementation, serving as the glue that binds technology, processes, and human expertise together.
Why People Matter in CLM Implementation
Software is Only as Good as Its Administrator
No matter how advanced your CLM software is, its efficacy is inherently tied to the person or team overseeing it. The CLM Administrator is not just a troubleshooter; they are the guardians of the entire contracting process, ensuring that the wheels keep turning smoothly.
Human Touch in Process Support
Automation can undoubtedly enhance efficiency, but it cannot replace the nuanced decision-making and adaptability that a human touch provides. The CLM Administrator brings not just technical know-how but a deep understanding of the unique intricacies and requirements of your organization.
Communication Hub
CLM is not a standalone function; it intertwines with various departments, most notably the legal team and the broader business functions. The CLM Administrator becomes the communication hub, translating technical complexities into understandable insights for legal and business teams.
Selecting Your CLM Administrator: A Critical Decision
As you embark on your CLM readiness journey, it is imperative to give due diligence to the selection and preparation of your CLM Administrator. Consider the following:
Expertise and Training
Ensure your chosen CLM Administrator possesses a solid understanding of both the CLM software and the unique needs of your organization. Ongoing training and staying abreast of updates are equally crucial.
Collaborative Skills
The CLM Administrator is a bridge between technology and people. Strong interpersonal and communication skills are non-negotiable, as they collaborate with legal, business, and IT teams.
Problem-Solving Aptitude
Challenges are inevitable in any technology-driven system. A CLM Administrator with a proactive problem-solving attitude ensures that hiccups are not roadblocks but stepping stones to continuous improvement.
Scalability
As your organization grows, so will the demands on your CLM system. Choose an Administrator or team with scalability in mind, capable of adapting to evolving needs.
Navigating Challenges in CLM
Complexity of Legal Requirements
- Challenge: Legal requirements and compliance standards can be intricate and subject to frequent changes, posing a challenge in CLM.
- CLM Administrator’s Role: Serving as the liaison between legal intricacies and technology, the CLM Administrator ensures the system is updated to reflect the latest legal requirements. They facilitate communication with the legal team, translating legal jargon into actionable insights for seamless compliance.
Variability in Contract Types
- Challenge: Organizations grapple with diverse contract types, each with unique elements, leading to operational challenges in the CLM process.
- CLM Administrator’s Role: The CLM Administrator customizes the CLM system to accommodate various contract types. Collaborating closely with stakeholders, they tailor templates and implement processes to handle the diversity of contracts efficiently.
Integration with Other Systems
- Challenge: CLM operates within a broader ecosystem and needs seamless integration with other business systems, posing technical challenges.
- CLM Administrator’s Role: Collaborating with IT teams, the CLM Administrator establishes and maintains integrations, ensuring data consistency and flow across different systems. They troubleshoot issues, guaranteeing a cohesive information ecosystem.
User Adoption and Training
- Challenge: Introducing a new CLM system may face resistance or hesitancy from users unfamiliar with the technology, leading to underutilization or errors.
- CLM Administrator’s Role: Taking charge of user training programs, the CLM Administrator ensures all stakeholders understand the system’s functionalities. They provide ongoing support, address user concerns, and gather feedback for continuous improvement, fostering a culture of adoption.
Data Security and Privacy
- Challenge: Contracts often contain sensitive information, and ensuring data security and privacy is a critical concern in CLM.
- CLM Administrator’s Role: Working closely with IT and security teams, the CLM Administrator implements robust security measures within the CLM system. They establish access controls, encryption protocols, and regularly audit the system to identify and mitigate potential security risks.
Scalability Challenges
- Challenge: As organizations grow, the volume and complexity of contracts may increase significantly, posing scalability challenges for the CLM system.
- CLM Administrator’s Role: Planning for scalability from the outset, the CLM Administrator ensures the system can handle increased loads. They monitor performance, optimize workflows, and make necessary adjustments to accommodate the evolving needs of the organization.
In navigating these challenges, the CLM Administrator emerges as the linchpin, orchestrating the harmony between technology, processes, and human expertise. By addressing these intricacies head-on, organizations can fortify their CLM implementation and truly harness the power of effective contract lifecycle management. After all, in the realm of CLM, success is not just about choosing the right software or optimizing processes; it’s about empowering the right people to drive your organization’s contracting success.
Conclusion: People-First Approach for CLM Success
In the intricate dance of people, processes, and tools, the choreographer is undoubtedly the CLM Administrator. As organizations recognize the pivotal role this human element plays in the success of CLM implementation, a paradigm shift occurs – from seeing it as a mere technical role to acknowledging it as a strategic linchpin.
So, as you delve into the world of CLM readiness, remember, it’s not just about choosing the right software or optimizing processes; it’s about empowering the right people to drive your organization’s contracting success. After all, in the realm of CLM, the real magic happens when technology and human expertise join hands in harmony.