Contract Lifecycle Management (CLM) Statistics 2024
– Everything You Need to Know


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Contract Lifecycle Management (Clm) Statistics 2023: Facts about Contract Lifecycle Management (Clm) are important because they give you more context about what’s going on in the World in terms of Contract Lifecycle Management (Clm).

LLCBuddy editorial team scanned the web and collected all important Contract Lifecycle Management (Clm) Statistics on this page. We proofread the data to make these as accurate as possible. We believe you don’t need to check any other resource on the web for Contract Lifecycle Management (Clm) Facts; All are here only 🙂

Are you planning to form an LLC? Thus you need to know more about Contract Lifecycle Management (Clm)? Maybe for study projects or business research or personal curiosity only, whatever it is – it’s always a good idea to know more about the most important Contract Lifecycle Management (Clm) Statistics of 2023.

How much of an impact will Contract Lifecycle Management (Clm) Statistics have on your day-to-day? or the day-to-day of your LLC Business? How much does it matter directly or indirectly? You should get answers to all your Contract Lifecycle Management (Clm) related questions here.

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Top Contract Lifecycle Management (Clm) Statistics 2023

☰ Use “CTRL+F” to quickly find statistics. There are total 22 Contract Lifecycle Management (Clm) Statistics on this page 🙂

Contract Lifecycle Management (Clm) “Latest” Statistics

  • According to Forrester and Aberdeen, digitizing contract administration has the potential to increase compliance by 55%.[1]
  • By automating the drafting procedures and saving up to 70% of attorneys’ time using AXDRAFT, it can reduce the typical contract expenses.[2]
  • According to CLOC 2019 State of the Industry Report, only 12% of surveyed LDs are using AI tools in their processes.[2]
  • According to Gartner, a lawyer spends 25% to 40% of their time on non legal work, which results in $2.7 million dollars in lost productivity.[1]
  • Businesses risk losing up to 40% of a contract’s value without strict contract control, according to a KPMG study of outsourcing vendors.[1]
  • Automation may cut administrative expenses related to contracts by 25% to 30%, according to Aberdeen Research.[1]
  • Price Water House Coopers analysts said that by using contract management, a corporation may save up to 2% of their yearly expenditures by preventing errors and 50% faster negotiating cycles reduce incorrect payments by 75–90%.[1]
  • By 2024, Gartner predicts manual effort for contract review will be reduced by 50% due to adoption of AI based contract analytics solutions.[1]
  • According to Aberdeen Research, IT typically takes a corporation 20-30 days to draft, negotiate, and finalize a contract.[1]
  • According to Mr. Study, the North American contract lifecycle management market would expand at a stunning 10% CAGR.[1]
  • According to the Journal of Contract Management, 71% of companies can’t find at least 10% of their contracts.[1]

Contract Lifecycle Management (Clm) “Management” Statistics

  • 57% of businesses are certain that their vendor management procedures would guard against a data breach.[2]
  • Instead of being an organization wide role for proactive risk management, 87% of firms see technology risk management as a compartmentalized reactive process, according to webinarcare.[1]
  • With a CAGR of 13.5% during the projected period, the worldwide contract lifecycle management market is anticipated to reach $845 million in 2022 and $3 billion by 2032.[1]
  • 80.8% of in house attorneys were required to assist in contract management by only reading and preparing papers, according to the ACC’s 2019 Benchmark survey.[1]
  • According to MR, between 2022 and 2032, the market for contract lifecycle management is expected to increase at a compound annual rate of 13.5%.[1]

Contract Lifecycle Management (Clm) “Other” Statistics

  • According to a worldwide legal survey, 65% of legal practitioners say that time wasted on administrative chores is their main complaint.[1]
  • 57% of businesses don’t retain a list of all the third parties they share sensitive information with.[2]
  • CLOC discovered how prepared attorneys are to adopt digital identities. In their daily business activities, 43% of LDs use eSignature technologies and 27% are completely satisfied with the tool.[2]
  • According to a report, these are the benefits businesses experienced after converting to CLM: 1% larger average deal size, 2.5% higher annual customer renewal rate, 12% higher proposal volume, 20% higher lead conversion rate, and 24% shorter sales cycles.[3]
  • Only 18% of organizations leverage automated processes for IT risk data collection and reporting, even though this methodology provides the most proactive approach to risk mitigation.[2]
  • By 2023, 40% of I&O teams will use AI augmented automation in large enterprises, resulting in higher IT productivity with greater agility and scalability.[1]

Also Read

How Useful is Contract Lifecycle Management Clm

One of the fundamental advantages of CLM is its ability to streamline the contract management process. Gone are the days of mountains of paperwork and endless email chains. CLM digitizes the entire process, providing a centralized and easily accessible platform. This not only saves time and minimizes errors but also allows for greater control and visibility over the contract’s lifecycle.

Another significant benefit of CLM is improved compliance management. Organizations operate in an increasingly regulated environment, where adherence to laws and regulations is essential. CLM solutions allow businesses to stay on top of compliance requirements by providing automated alerts and workflows to ensure that necessary steps are taken timely. This significantly mitigates the risk of non-compliance, which can have severe consequences.

Furthermore, CLM enhances accountability and transparency. Every step of the contract lifecycle is recorded and traceable, leaving no room for ambiguity or dispute. Every change, negotiation, or decision can be clearly documented, reducing the chances of misunderstandings or disagreements between parties. Additionally, CLM allows users to set permissions and access levels, ensuring that only authorized personnel can make changes or access sensitive information, providing another layer of control.

The value of CLM is not limited to its immediate benefits; it also supports strategic decision-making. CLM solutions provide businesses with a holistic and real-time view of their contract portfolio. This empowers organizations to identify trends, analyze contract performance, and make data-driven decisions to maximize business outcomes. Moreover, CLM makes it easier to assess risks associated with contracts, enabling proactive risk management strategies and minimizing potential damages.

Furthermore, CLM facilitates stronger vendor and customer relationships. Efficient contract management ensures that both parties fulfill their respective obligations, reducing frustrations and building trust. Additionally, organizations can optimize contract terms and conditions, negotiate better deals, and forecast future needs with greater accuracy. By establishing fruitful long-term partnerships, both vendors and customers benefit, creating a win-win situation.

Furthermore, CLM increases efficiency in contract negotiation. By providing a centralized, collaborative platform, all stakeholders can easily review, comment, and negotiate contract terms simultaneously. This eliminates the tedious back and forth of emails, speeds up the negotiation process, and reduces the chances of miscommunication or misunderstandings.

Lastly, CLM assists in reducing costs and minimizing revenue leakage. The automated workflows and alerts allow organizations to seize opportunities for renewals, renegotiations, or early payment discounts, maximizing revenue. Additionally, by efficiently managing contracts and ensuring compliance, organizations avoid costly legal disputes and penalties.

In conclusion, Contract Lifecycle Management is an invaluable tool for organizations of all sizes and industries. Its ability to streamline contract management, improve compliance, enhance transparency, support decision-making, strengthen relationships, aid negotiations, and reduce costs cannot be overstated. In an era where contracts have become increasingly complex, CLM offers the structure and efficiency needed to navigate the challenging business landscape. Embracing this technology is crucial to remain competitive, mitigate risks, and unlock new opportunities.

Reference


  1. webinarcare – https://webinarcare.com/best-contract-lifecycle-management-software/contract-lifecycle-management-statistics/
  2. axdraft – https://blog.axdraft.com/contract-management/contract-management-in-numbers/
  3. #1

About Author & Editorial Staff

Steve Goldstein, founder of LLCBuddy, is a specialist in corporate formations, dedicated to guiding entrepreneurs and small business owners through the LLC process. LLCBuddy provides a wealth of streamlined resources such as guides, articles, and FAQs, making LLC establishment seamless. The diligent editorial staff makes sure content is accurate, up-to-date information on topics like state-specific requirements, registered agents, and compliance. Steve's enthusiasm for entrepreneurship makes LLCBuddy an essential and trustworthy resource for launching and running an LLC.

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