After looking at how CLM benefits the sales function, let’s see how it improves the way distributor and reseller agreements are managed.
Managing several different entities, spread across the globe, working in different currencies and regulations is a daunting but highly critical task. Often, these distributors and resellers are representatives of the parent organization in certain regions and are tasked with withholding its reputation.
Several considerations need to be made for a reseller/ distributor agreement and it needs to be closely monitored for performance.
Ways in which a CLM can help:
- Track the performance of the distributor on an ongoing basis – Discounting levels are set based on the volume of orders and returns from a particular distributor. Track these in real-time to measure actual performance vs contracted performance
- Ensure that all your representatives meet industry and local regulations– Track all regulatory requirements along with the documents and audits to ensure continued contract compliance. Track expiry and due dates for all necessary documents.
- Authoring and configurable workflows – Rapidly assemble contracts based on the type of agreement from a central clause library and get quick approvals through pre-set workflows based on the value, geography and type of contract
- Renewals – Get a handle on renewal management and improve performance by using old contract data to create better contracts in the future
The benefits of extending the reach of the CLM to the edge of the organization, especially to functions which deal with trading partners, cannot be understated.
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