Trakti Smart "Legal" Contracts Blog

The importance of contract automation and its benefits for a business

on January 30, 2023

Contract Management is a crucial step for any business and represents the key link between strategy and execution plans. Contracts are the most cardinal documents for each type of company, beyond its size and its industrial sector.
Managing contracts in a proper way can make a difference by providing organizational support and driving major improvements to the business’ goals without upending the strategy.

Contracts automation platforms can transform Contract Lifecycle Management.

Contract automation is the process of developing, managing, and storing agreements online and it means much more than only the digitalisation of contracts. Streamlining the contract process, contract automation shortens the contract cycle by piloting the process through automated tasks. It takes control of the entire process, allows faster execution of contracts, eases collaboration with potential partners, and increases end-to-end visibility.
Blockchain technology is innovating contract management, revolutionising record-keeping, automation, security, and traceability processes. Through a blockchain, a company can speed up the contract processes, reducing the margin of risk, and cutting business costs. Let us see how.

The three pillars of blockchain technology are:

  • Decentralisation
  • Transparency
  • Immutability

A blockchain is a digitally distributed, decentralized, public ledger that exists across a network. The information on a blockchain is decentralized and control is distributed among the different nodes of a network. Data is transparent and immutable, and cannot be altered, copied, or deleted from the network. Anything that is once entered into the blockchain network cannot tamper with, as data is managed by a network of computers and not by a single centralized system.

Blockchain makes the transaction of data visible to everyone in the network, by adding transparency to the process. Automating control with blockchain also increases the levels of security and traceability in data sharing and record management.

A contract automation platform transforms contractual settlement processes, including execution, payment, and dispute resolution.

A manual contract process can run the risk of possible consequences such as:

  • Low-value work
  • Increase the risk of errors
  • Reduce efficiency
  • Increase costs

A manual contract process can still generate low-value work affecting the whole process including the whole counterparty experience. A not automated contract process requires additional manual reviews and approval tracking, reducing the data integrity of documents and increasing the risk of errors or discrepancies.
Manual edits can be countless and error-prone. During a manual redlining process, it is much easier to lose track of edits when sharing and distributing a draft version of a contract.
With an automated contract platform, the amount of version control issues and the consequent risk of sharing a wrong version of a contract are drastically reduced.

In contract negotiations, data are sensitive and confidential. Improper manual redaction of sensitive information can generate a greater impact on a business and lead to legal disputes. When technology is not involved, managing contract deadlines and milestones can require a huge amount of time for the team.

All these blockages and barriers can be definitely exceeded, by adopting an innovative contract automation platform.

Trakti: an innovative contract automation platform

Through the potential of blockchain technology, Trakti provides full control over all phases of a deal with its contract automation platform.
Legal, sales, procurement, HR, and marketing teams can get involved in contracts saving time, improving collaboration, communication, and making smarter business decisions.
The whole Contract Lifecycle Management can be improved with the implementation of a contract automation platform, whose benefits are:

  • Builds up collaboration
  • Improves negotiation and communication for faster approvals
  • Increases efficiency through automated no-code approval workflows
  • Decreases the risk of errors
  • Cuts the costs in waste time-consuming and redundant tasks
  • Keeps content accessible and searchable by anyone with proper access
  • Eases instant access to contract data
  • Facilitates monitoring of data and insights in real-time
  • Stores data efficiently, accurately, and securely

Trakti offers a fully compliant contract automated platform with 30+ features that support both onboarding flows and bilateral and multilateral negotiations.
With real-time access to the latest version of an agreement, the risk of mistakes and oversights are drastically reduced.

With Trakti, configuring, finalizing contract generation, and approval processes have never been so easy.

Quick in minutes, and accessible to anyone with no code, Trakti doesn’t require implementation time or any technical expertise.
With the Trakti double authentication procedure, signing contracts online is secure. Trakti contract automated platform sends authentication codes by email, to validate a signer’s identity before they sign and upload a contract on the platform. Approval and e-signature legally binding phases will get safer, quicker, and smoother for any contract type.

Trakti advanced electronic signatures feature provides message authentication and data integrity, and also non-repudiation of messages as only the signer (sender) knows the signature key (One Time Password).
Our platform offers eSignature support in compliance with eIDAS (Electronic Identification and Trust Services Regulation).

Trakti contract automated platform eases the full contract management process of your business and streamlines its growth, transforming analog manual processes into a digital automated workflow.

Ready to find out more about the Trakti contract automated platform?

Click here!

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