Addressing Contract Management Needs with SharePoint
Addressing Contract Management Needs withSharePointA webinar on the benefits of a SharePoint based eContractssystem with SharePoint’s document management, workflow,and collaboration capabilities.
We think the Internet and the adoption FEATURED CUSTOMERSOUR PASSION of trends on the Internet are a leading Indicator for the upcoming innovations in the Enterprise. We are passionate about Products helping our customers Interpret, leverage and maximize the business benefits of • Purchasing Automation with SharePoint these incremental or disruptive trends • eCommerce with SharePoint and making it a reality in their operating • Contracts Management with SharePoint environment. SharePoint Add-Ons • Delegate n Extend for Active DirectoryOUR VISION Be a leader in the adoption of new and • SharePoint Room Reservation significant trends in the technology marketplace that influence our • Resolve 2.0 for SharePoint customer’s business. Pace ourselves to the Urgent needs of our customers. Be a Trusted Advisor. Add Value to every Services relationship. • Intranets 2.0 • SharePoint Application Development • Idea and Innovation Management Uncompromising focus on the success of Social Platforms & Social Media • PARTNERSHIPSOUR VALUE every relationship, project and solution. • Project Management & Collaboration We go the extra mile, stay the extra night • Business Intelligence solutions in our quest to help our customers achieve the 110% results from the investments they are making with us and the solutions we build.
Some Interesting Facts About 63% of transactions in today’s enterprise are not compliant with the contract’s negotiated terms. - Forrester Study 100% of organizations that have implemented electronic contracting would recommend doing so to other corporations, and only 8% of respondents indicated that they were dissatisfied with the results. - IACCM Survey 90% of enterprises view effective contract management as either ‘very important’ or critical to their overall success. a $1 billion company with annual purchases totaling $500 million, of which $400 million is under contract, loses $18 million every year due to lack of proper supplier contract management. - Aberdeen Report
Day in the Life of a Contract Administrator The person I have too many approving the back and forth emails contract is on leave around contracts to Say what? We keep track of need to review all of our contracts – it will take sometime to pull We never knew that all of them together the contract was up for renewal. We have too many contracts to keep The version I have track of is outdated, I need to We have missed a hunt for the latest few milestones on the version. contract. We don’t have a system to track all of these Is there a quicker I’ve emailed it to all way to get a signature the stakeholders for a than faxing it to them? review and approval
The Biggest Pain Points in Contract Management Authoring Inefficiencies & Inadequate & inaccurate information to authors on negotiated information such as budgeting, services, and performance levels Turnaround Delays Collaborating with stakeholders from multiple businesses, departments, units Authoring issues: Non-availability of standard, updated templates, unique contract needs Delayed review cycles: stakeholder unavailability, proof reading, formatting Information assembly from and submitted to multiple systems via accounting, emails, fax Storage, Access & Non-availability of single point for organized, searchable, & reportable contract information Securely sharing of renewal, updates, obligations to multiple stakeholders Sharing Issues Retrieval of audit trails and history is impossible as evidence Storage of artifacts like multiple document formats, graphics and images Integration with external systems like sourcing, payments, and ERP Nonconformity to Poor visibility of metrics, performance levels and payments, penalties Non-conformity goes unnoticed and unaccounted for resulting in loss of negotiated prices Compliance & Obligations Overlooked compliance terms leading to loss of credibility, penalties imposed Inability to track obligations or performance at a unit/department or enterprise level Appropriate individuals are not informed of obligations and timelines Overall increase in potential legal risk
Contract Automation Maturity Model Continuous process evaluation with improvement efforts; Best of Continuous breed systems implemented; Enterprise-wide adoption with active Level 5 Improvement participation Systems integrated with related processes like sourcing and accounting. Collaborative contract creation and management Level 4 Integrated extended to suppliers Formalized process with mandates and monitoring. Automated contract management systems in place with well-defined ownership Level 3 Measured and accountability Basic processes in place. Formal storage and approval process. Limited and time consuming tracking, ownership . Not a strategic initiative Level 2 Structured Usually manual and email based; Informal documentation; Very little formal process Level 1 Ad Hoc
eContract Overview Built ground up on the SharePoint 2010 platform Pre-built portal templates, workflow templates, and features for common contracting scenarios More than 50 “out of the box” features Modular and business process driven Ability to extend forms, business logic, data sources, integrations Extends SharePoint data, document, and content framework with ease of SharePoint administration and management Supports Active Directory Groups and User Security model All solutions integrate “out of the box” with extranet portal Continuous feature upgrades, improvements with a dedicated product team focused on improving the product Maintenance & support agreements allow customers to Simplified Vendor Selection! access our development and product engineering resources on-demand for all solution level issues
Feature Summary 1. Creation & Documentation 3. Management & Governance 5. Access Control & Security End user contract requisition with Well organized contract repository Item level contract permissions withintuitive forms with identification privilege levels Supporting content forms & Contract versioning and audit trails for User groups and accounts integratedattachments for budgeting, scope of work, continuous tracking with Active Directorydeliverables, KPI Configurable contract metadata and Target audience group based display of Auto- contract document generation categorization option reports, components, and actionswith standard templates Master Agreement and addendum relationships. 2. Delivery & Approval Routing 4. Collaboration & Tasks 7. Monitoring Contract sharing features for review, Alerts on milestones including renewal Monitoring of contract statuses fromapprovals, signature collection, and and expiration dates, delivery timelines requisition to archival with time durationreference Activity subscriptions for contract for each status Workflow based approval routing events such as updates and status Reporting on contract performancebased on pre-defined conditions changes and turnaround time Review and digital signatures from Auto task assignment for approvals SQL reporting server based reportexternal parties such as vendors and and other contract obligations creationcustomers. Contract comments and discussion boards for stakeholder interaction.
Incremental Approach towards Contract Management Adoption “Most companies take a phased approach to rolling out CLM tools rather than disrupt several important processes simultaneously .” -Forrester Research 3. Best of Breed Integration with organization’s existing 2. Optimizing master data from CRM, Accounting or ERP systems. Document automation with standard 1. Enabling templates and clauses Process integration with sourcing contracts (procurement), CRM (sales) High levels of user awareness and Highly collaborative environment with Centralized Contract Repository adoption of the system suppliers, partners collaborating on Conversion and migration of existing Robust identification and workspaces, meeting spaces contract to standard electronic formats categorization of contracts with ID, Third party digital signature Basic categorization, search, and search, categorization and taxonomy implementation identification features Workflows and tasks for approvals, Business Intelligence and advanced Readily available with restricted access monitoring, and governance processes performance analytics Contract views and basic status reports Supporting documents, information, and attachments manageable within the system.
SharePoint Extension Capabilities Changing Business Process Easy configurable workflows with SharePoint Designer Needs Condition & action based workflows Out of the box notifications, Exchange integration Out of the box audit rules with extension options Drill down reporting capabilities with SSRS Advanced Content Management External DB Connections through BCS Needs Business Connector for Microsoft Dynamics Built-in Microsoft Office document automation, with 2-way sync Support for videos, images, office documents List & content type driven metadata management Configurable search with scope & rules Collaboration & Transparency Collaborative workspaces Needs Wiki based end-user content authoring Calendaring, workspaces, discussion boards Real-time dashboards and KPIs
Home Page The home page forms the landing page of the application. Components like announcements and FAQs provide general information to users. 1 The list of requisitions created by 2 the logged in user/requestor will display in this web part. It provides a quick view of the status and information on the requisition. 2 Tasks assigned to the logged in 1 user like approval requests and change requests will be displayed in this web part.
Requisitions The requisition page shows a list of all requisitions available filtered by parameters such as status and management regions. The filtered views are hidden or shown based on the logged in user’s role 1 The requisition context menu shows the item level actions which 2 can be taken on a contract based on user permission. 2 Requisition attachments shows for supporting documents and files for each requisitions such as RFQs, SOWs, etc. 1
Create Requisition Form 1 End users can place requisitions with complete and accurate information like negotiated prices, scope of work, KPIs, and supporting documents. A checklist ensures that all the details required for contract 1 creations is validated and available before submission.
Requisition Approval Built-in pre-defined approval routing workflows creates tasks for corresponding approval groups. Approvers can review the requisition, comment on them, approve, reject, or request change
Create Master Agreements Each contract can be related to a master agreement. In this case, these contracts form an addendum to an existing agreement with the vendor. The master agreement governs the overall terms and condition between the company and the vendor and the addendums are created at a project or transaction basis.
Contract Details 1 Contracts are automatically created using templates and information provided in the requisition. These contracts can be viewed from the browser. 2 For each contract, metadata information is displayed based on 1 the logged in user. Comments allow for collaboration 2 and tacit information sharing of contracts.
Vendor Management 1 Vendors can be managed within the application along with master agreements, contact information, product and service offerings. 1
Vendor Approval 1 Completed contracts can be sent to external vendors and customers for approval/ acceptance. These external users can initiate a change request or accept the contract. Information like IP address and signee information are captured on acceptance.
Contract Lifecycle ManagementBENEFITS Increase organizational efficiency and productivity with a faster, accurate contract creation, review, and implementation process Track contract usage and performance for better vendor negotiations Improve business relationships with reduced disputes with vendors and customers Increased adherence to compliance and legal policies Automatic alerts for contracts approaching renewal dates or expiration to better prepare for the next contracting cycle Reduce maverick spending with improved visibility and self- service contract reference capabilities
Our Collaborative Engagement Model Implementation Plan Prototype & Design Approach · Workshop & Discussions · Customization and · Feature Prioritization Configuration · Process Mapping Approach · Review & Approval · Infrastructure/System Set up 1 2 2 Consulting OPTIMUS BT Team Analysis Technical Support IT Other Teams Customer Team 4 4 3 User Acceptance Stabilize & Roll Out Testing: · Deployment and · Solution Support Implementation · Training · Data Migration · Go Live · Testing and Stabilization