Executive Summary
A mid-sized SaaS company faced long contract turnaround times, an average of 18 days, which slowed sales, increased risk, and reduced customer satisfaction. By implementing Aveont’s contract lifecycle automation platform, the company reduced average contract cycle time to under 6 days (a ~67% improvement), improved first-time approval rates, and accelerated revenue recognition. This case study outlines the challenges, solution approach, measurable results, and practical lessons for teams seeking similar outcomes.
Background
- Industry: B2B services (anonymous)
- Company size: 250–500 employees
- Contracts: Sales agreements, amendments, NDAs, and SOWs
- Volume: ~120 contract transactions per month
- Previous cycle time: 18 days average from draft to signature
- Pain points: manual routing and redlines, inconsistent templates, bottlenecks in legal review, limited visibility into status, lost sales opportunities due to delay
Challenges
- Manual workflows: Contract creation, negotiation, and approvals depended on email, shared drives, and manual version control.
- Inconsistent templates and clauses: Sales reps used varied wording, increasing legal review time.
- Legal bottlenecks: Legal team worked reactively and often handled redundant or low-risk reviews.
- Poor visibility: Stakeholders lacked a single source of truth for contract status, causing follow-up delays.
- Compliance and audit risk: Inconsistent approvals and missing metadata made audits expensive and error-prone.
Aveont’s Solution
- Rapid implementation: Aveont deployed its Contract Lifecycle Management (CLM) solution within eight weeks, integrating with the company’s CRM and document storage.
- Template standardization: Legal and commercial teams collaborated to create approved templates and clause libraries within Aveont, with risk-tiered clause options.
- Automated workflows: Aveont replaced email routing with configurable workflows that auto-route based on contract type, value, and risk.
- Pre-approved playbooks: Low-risk contracts were routed through an expedited “self-service” approval path with limits and audit trails.
- Redline and negotiation tools: Built-in comparison and redline acceptance reduced back-and-forth correspondence.
- Real-time dashboarding and alerts: Stakeholders gained visibility into bottlenecks, turnaround times, and aging contracts.
Outcome
- Contract cycle time: Reduced from 18 days average to under 6 days (67% reduction).
- First-pass approvals: First-pass approval rate improved by 45% due to standardized templates and pre-approved clauses.
- Legal review load: Legal spent 60% less time on routine reviews; they focused on high-risk matters instead.
- Revenue acceleration: Sales recognized revenue on average 10 days sooner per contract, improving cash flow and forecasting.
- Employee productivity: Sales and account teams reported 30% less time spent on contract administration.
- Compliance and auditability: 100% of executed contracts included required metadata and stored audit trails, simplifying audits.
Qualitative Benefits
- Improved customer experience: Faster contracting reduced friction during sales negotiations and improved win rates for time-sensitive deals.
- Cross-functional alignment: Legal, sales, and finance aligned around consistent processes and responsibilities.
- Reduced risk: Standardized clauses and approval thresholds lowered unintended legal exposure.
Lessons Learned and Best Practices
- Standardize before automating: Investment in approved templates and clause libraries unlocked the largest time savings.
- Use risk-tiered workflows: Not all contracts require the same scrutiny; tiered routing keeps legal focused on high-value risks.
- Integrate with CRM: Two-way sync ensures contract metadata stays current, enabling accurate reporting and faster handoffs.
- Set SLAs and alerts: Clear owner responsibilities and automated reminders prevent bottlenecks.
- Pilot, measure, iterate: Start with a narrow contract type (e.g., NDAs or standard SOWs), measure results, then scale.
