Contract management is an essential business function that should be easily accessible and comprehensible throughout an entire organization. Unfortunately, missed opportunities and milestones, as well as lost revenue, often occur due to inadequate contract management, especially during times of crisis.
However, by adopting an organized approach and adhering to proven smart contract migration strategies and best practices, you can smoothly migrate your contracts as if you were following a step-by-step guide.
What is Contract Migration and why is it needed?
The process of contract migration involves transferring existing contracts to a contract lifecycle management (CLM) system, whether it's the initial transfer of documents into a CLM program or upgrading to a higher-quality program. By making these documents and key data accessible to internal teams, companies gain a competitive edge.
Typically, Contract Migration entails transferring necessary metadata from legacy systems or spreadsheets in SharePoint or a local drive. This enhances a company's overall efficiency while ensuring legal compliance throughout the contract lifecycle. Essentially, Contract abstraction involves extracting key dates, clauses, and other information from physical documents.
With ConvergePoint Contract Lifecycle Management (CLM), existing agreements - along with extracted metadata - can be migrated to a smart contract repository, the system of record. This enables companies to view important details of contractual documents and make well-informed decisions regarding signed contracts.
The ConvergePoint software will assist you with the following essentials
- Extract significant metadata from legacy contracts, which includes parties, dates, and essential obligations.
- Create templates specific to the application for uploading contracts and associated documents to the system, and then map the entries within the templates.
- Migrate existing metadata information and files from the legacy system to the application.
- Establish contract relationships by attaching supplementary contract records to main records.
- Identify supporting documents, such as draft versions of agreements and email correspondence files.
- Identify and organize amendments to align them with the workflow cycles of the application.
The steps to contract migration
The legacy of contract management migration is a complex procedure that involves various steps to transfer your old documents and their associated data. It encompasses tasks such as organization, tagging, and structuring, among others. Some CLM companies may even employ third-party vendors to assist in this process.
These steps are crucial in ensuring a seamless and efficient contract management migration:
Step 1: Inventory organization
The initial step involves assessing your existing inventory. This entails locating and consolidating the relevant legacy contracts that you intend to migrate into your new system. Organizing your documents prior to the contract management migration can save valuable time and minimize the risk of data loss during the transfer process.
Step 2: Converting contracts into a digital format
Converting your contracts into a digital format is crucial when transitioning to a new CLM system. Whether you have physical paper contracts or existing PDF files stored on computers, digitizing them into a new format enhances searchability and reporting capabilities for your documents.
For instance, the ConvergePoint software offers advanced search functionality, allowing you to locate relevant information within metadata fields and document files that have been uploaded during the contract migration process. Therefore, opting for a good CLM software is essential for an effective digitization process.
If you're uncertain about which software to choose, we recommend reading our blog on "What to look for while choosing the right contract management software”. This blog provides valuable insights into the essential factors you should consider when choosing the most suitable contract management software to meet your specific business needs.
Step 3: Establishing fields and elements
Determine the specific data points you wish to capture, such as service fees, renewal dates, and contract types. Tagging these elements to your documents enables easier retrieval of the required contracts within the system.
The ConvergePoint software offers a convenient bulk editing feature, allowing you to efficiently update contract names, classifications, or types. Alternatively, you have the option to import data by selecting a spreadsheet file to associate document metadata seamlessly.
Step 4: Uploading and organizing contracts
By uploading your contracts and their associated data, you seamlessly integrate them into the new CLM software. It is important to structure your contracts and determine suitable storage methods that align with your business requirements. Customizing the structure allows for effective contract management and optimized storage practices.
With the ConvergePoint software, you can attach various types of documents to existing contracts, including:
- Supporting documents
- Amendment documents
- Associated documents
You can attach new documents, make modifications to existing documents, and establish parent-child relationships between crucial documents by adding and uploading them to the existing contract. Adopting a clear parent-child organizational structure simplifies the tracking of individual contractual templates and terms.
It also provides clarity regarding the responsible party for fulfilling the terms of a specific contract, while ensuring that these contracts are appropriately managed within the broader corporate structure.
Conclusion
Contract migration can be a daunting task, and it often becomes overwhelming for many companies. The key challenge lies in executing the process incorrectly or using an unsuitable platform.
However, with the implementation of advanced contract management software, your company gains the ability to migrate contract data correctly. By adhering to the aforementioned steps, you can effectively transfer your contracts and associated data into a new system, propelling your company forward into the future.
Our smart contract migration, facilitated by ConvergePoint's robust contract management software, ensures a smooth transition as you migrate your contracts. We are experts in pioneering innovative solutions in the realm of contract management and setting new standards for successful smart contract management migration initiatives.
To gain a deeper understanding of contract migration, get in touch with us today and request for a demo.