With Pramata, those foundational functionalities are a given. But having all your contracts in one place, cleaned, deduplicated, organized, digitized, searchable and reportable means you can do so much more than just quickly find the contract you need.
Our customers constantly find ways to use their contract data in unique and valuable ways that pertain directly to their specific industries as well. Here are four use cases for getting impactful business insights you might not have thought about before. All of these are only possible when you start with clean, organized and accurate contract data and then use the power of our Contract Knowledge Engine to unlock hidden insights.
1. Pricing and billing operations within the financial services industry
One Pramata customer, a titan in the financial services industry, leverages Pramata’s platform not just for contract management but for deeper financial analysis that influences pricing strategies and billing operations.
With Pramata, they automate the extraction and analysis of contract data from their entire repository, and then export that data into business intelligence tools like Tableau or Snowflake. By doing this, they can engage in sophisticated pre-deal analysis, examine how similar deals were structured in the past, and predict how new deals could perform financially.
Moreover, they employ this data to conduct billing reconciliations to ensure each invoice they send matches the contractual agreement they’ve made. Doing so prevents revenue leakage and enhances their billing accuracy.
All-in-all, this financial services giant does way more than quickly locate and search through their contracts. Instead, Pramata provides enormous business impact far beyond the legal team’s daily operations.
2. Complex contract compliance in the life sciences industry
Companies within the life sciences sector, which can span from pharmaceuticals to biotechnology to medical devices and beyond, frequently handle contracts with complex pricing terms and conditions. These terms often include discounts, rebates and royalties based on product volumes and sales metrics.
Failing to accurately bill for, pay out or collect payment based on the terms of these contracts can significantly impact the company’s revenue and profits – not to mention its relationship with business partners. This is why many life sciences companies use Pramata to ensure their practices are always in compliance with their own internal standards, the agreements they’ve entered into, and even government regulations.
Pramata customers can use the system to capture really granular data about every agreement and then run a report, which they then pass to teams like finance, compliance and marketing to compare against actual royalty payments. This becomes even more important in an industry with complex contract stipulations where rebates and royalties change when certain levers are pulled, or conditions are met.
It’s inconceivable that these companies could capture and act on this level of contract data through manual processes alone. That’s why Pramata’s such a major part of their toolbox for ensuring they meet their own obligations and are being compensated correctly by their own business partners.
3. Strategic product management and service level agreement compliance in the tech industry
Service level agreements, and penalties for failing to meet them, are a large part of doing business in the tech industry. Common contract SLAs include things like guaranteed up-time, incident response time, incident resolution time, network performance and data security, just to name a few.
For tech companies with dozens, hundreds or thousands of customers, keeping track of which SLAs they’ve agreed to can be a challenge. It becomes even more difficult when a company grows through M&A and inherits contracts and their SLAs that they may not have full (or any) visibility into.
Pramata customers in the tech industry solve these challenges by using the platform to extract key data relating to their obligations and the penalties for missing them from their entire collection of current and past contracts. Being able to quickly identify contracts with nonstandard SLAs means it’s easy for tech companies to target those terms at renewal, or at the very least, be aware of their risks and the consequences of not meeting them.
Tech companies also use Pramata for strategic product management and sales, for example, targeting customers who already have a specific subset of products for the cross-selling of additional products. Using data from their contracts, tech companies can spot customers with gaps in their products or those with a product the company is planning to retire. Having these insights – quickly and accurately – allows companies to reduce risks and identify opportunities.
4. Procurement and supply chain optimization across multiple industries
This example isn’t industry specific, but across multiple industries procurement teams use Pramata to optimize their supply chains and manage vendor relationships more effectively. With access to data from every contract in a company’s history, Pramata can reveal where companies are paying multiple vendors for the same service or the same vendor for multiple services. It can flag upcoming renewal dates to make sure nothing gets renewed by accident (a common and expensive problem in large businesses).
Additionally, by integrating contract data with spend management systems, companies can perform comprehensive vendor risk analyses to reduce costs and leverage their bargaining position to negotiate more favorable terms with suppliers.
More than “just” contract management
Sure, having a single source of truth for organized and accurate contract data drawn from every contract your company’s ever entered into sounds great. And it is! But that’s only the beginning of what Pramata can do for businesses in these industries and many others.
If you’ve already got a CLM but struggle with anything from disorganized storage to the inability to report and gain insights from your legacy contracts, or, if your CLM helps the legal team be more efficient but doesn’t provide real business impact to the entire organization, Pramata can help.
Pramata is the radically powerful CLM-enhancing platform that brings 17+ years of experience with AI to work for you. Our customers find endless unique ways to use their contract data to benefit the larger business and deliver impact, not just efficiency.
To see Pramata for yourself, contact us today to schedule a demo.
