How digitizing the agreement process can enhance your business operations

by | Nov 10, 2021 | Digitization

In an era of unprecedented technological change, businesses are now fast-tracking their digital transformation journey by embracing automation for their central business processes such as contract and agreement management. In light of COVID-19, people and businesses have now been subjected to remote working, thereby causing them to re-think how they run their business, and forcing them to explore digital avenues for streamlining processes. Digital transformation has thus proved to have the ability to enhance every element of an organization, now more than ever. Businesses around the world manage and sign agreements with stakeholders over a million times every day, therefore, digitization of the process enables for more efficient communication and collaboration across a business organization.

What is agreement automation?

In simple, agreement automation is the digitization of the agreement process through all stages of the contract lifecycle – from the customer first filling an application form, through to digital identity verification, electronic delivery, presentation, agreement signing, and the capturing and management of all supporting audit trails.
In today’s evolving competitive scenario, businesses are always under the pressure of performing better, and moving faster than their competitors. However, a lot of organisations are still burdened by manual agreement processes. Shifting from paper-based agreements and contracts to a digital agreement platform offers a plethora of benefits. It is time conserving, cost effective, increases workflow and business efficiency, minimizes risk, has environmental benefits and ensures a streamlined customer experience, all while ensuring complete compliance.

One major problem with the traditional agreement system includes the need for both parties to be physically present at the time of signing. Electronic signatures feature a large range of benefits as opposed to signing agreements and documents the old-fashioned way which may take days, sometimes even weeks. However, by using electronic signatures, businesses can help simplify their processes. In addition, they offer businesses a simple yet effective way to reduce risks, conserve resources and mold a smoother customer experience.

Let’s look at some use cases

The use cases for digital agreement platforms vary across a plethora of industries from financial services to accounting and taxation, construction, healthcare, higher education, insurance, government and legal services, real estate, retail and technology to name a few. To dive into an example, let’s look at the financial service industry. Agreements are fundamental to the customer, like opening an account, securing a loan, or transferring wealth. By digitizing the agreement process and eliminating manual processes- account opening to client servicing, lending, back-office support, customer service and compliance can be streamlined allowing for a frictionless agreement experience.
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In summary!

The world of contract management is changing for the better. Digitisation of such operational processes is becoming increasingly common, and brings with it a plethora of positive business impacts.