A project always starts with a signed contract detailing all expectations and deliverables in order to have the outcomes of the project. But due to the complexity of paper-based contract management, this process can be viewed as a full part of project management.
For companies that interact with multiple parties on a day-to-day basis or those with large projects, mental health and contract management go hand in hand. One wrong contract means delays in shipping, stocking or payment and can really affect risks management, performance maximization and communication management.
Effective contract management can ultimately create a powerful business relationship and pave the road to greater profitability over the long term, but only when managed correctly. Some brands that operate globally even require a legal department or a lawyer to be part of contract management discussions. But not all have the budget or capacity for this.
When a contract is phrased poorly, one organization might lose countless thousands of dollars over a simple technicality they lacked the resources to identify.
Yes, revenue. But what about mental health?
Mental health and contract management are a connection that is sometimes overlooked. It is easy to only think of a contract as a piece of paper or the by-product of an automated system. But there is a great deal of planning and management that goes into overseeing contract creation and execution.
When someone, like a contract manager or a lawyer, is involved in a stressful activity that puts them under pressure it’s not uncommon for them to become stressed, exhausted or even to face burnout.
But what is the difference?
Well, according to Christina Maslach, PhD burnout has three components:
- Lack of professional efficacy on the job
So while people who are stressed and exhausted can’t meet all the demands and have too much to do, they still like their job.
In addition, burnout is not a yes/no phenomenon. Between engagement on the positive side and burnout on the negative side, researchers have identified three other profiles in the middle where people are showing maybe one of the burnout components, but not the full three.
To see how stress affects the body, click here.
You can see why this is a problem that every company should address and, even better, prevent.
Coping vs Prevention
So how do we make it better? Maybe a four-day workweek? A flexible schedule? Or maybe extra vacation time?
Yes, taking a vacation is coping with the stressors. But that doesn’t change the fact that once an employee goes back to work, the setting, culture and stressors haven’t just disappeared. It may help with your problem momentarily, but it doesn’t solve it.
What’s even more, organizations encounter an ever-increasing amount of pressure to reduce costs and improve company performance. Contract management is a time-consuming element of business.
A real solution concentrates on helping a person cope with the environment that produced the burnout while working on the environment to make it a better place.
The solution: decreasing workload
This is the point where contract management solutions come to the rescue of any organization. The sales and marketing companies can go for these solutions that manage the contract in the best possible ways. This creates a path for mental health and contract management to exist in synergy.
Contracts management solutions provide centralized templates that can be used for different contracts. Thus, helping the team save their time and energy while eliminating the complexity of automated contract drafting.
Businesses can create customized templates for different types of contracts. These innovative contract templates are easy to integrate with the customer relationship management (CRM) tools to feed precise data.
When contract management is automated, everyone (sales, sales operations, finance, and the general counsel) benefits. It takes away the stress from contract management, giving you the time to focus and manage your resources so you can make the most of your channel relationships.
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