How to Choose the Best Contract Management Software: A Buyer’s Checklist

Purchasing software can be hard. No matter what industry you’re looking at, it can be difficult for outsiders to really understand the difference between products which, on the surface, may seem like for like. For those working with construction contracts such as NEC3, NEC4, JCT or FIDIC, the stakes are even higher. You need a solution that can handle the intricacies of these contract standards while ensuring smooth collaboration and risk mitigation.

That’s why we’ve pulled together a list of some of the key features that everyone researching contract management software should look for. But before selecting a contract management system, it’s worth considering the biggest challenges currently facing construction contract management.

Traditional Contract Management Systems: The Common Challenges

• Complexity in Understanding and Interpreting Contracts: Traditional contract management relies on manually updating Word templates and tracking clause numbers. Teams must ensure compliance with contractual deadlines by logging issues in spreadsheets, which can be cumbersome and error-prone. Each contract type requires separate documentation and agreed processes, making contract interpretation time-consuming.
• Challenges in Contractual Compliance: Project teams often rely on spreadsheet trackers to manage contract actions, but these offline tools make it difficult to track outstanding obligations. Management teams struggle to provide remote support, as tracking project issues across multiple contracts becomes increasingly complex.
• Limited Risk Mitigation: The reliance on manual entry increases the likelihood of data errors, leading to potential disputes and compliance risks. Without an automated audit trail, ensuring adherence to contractual obligations and mitigating risks becomes more challenging.
• Lack of a Single Source of Truth: Critical contract information is often scattered across multiple emails and spreadsheets, leading to version control issues and miscommunication. Each party maintaining separate records increases the risk of outdated or inaccurate data, making it difficult to retrieve necessary documents in the event of a dispute or adjudication.

To effectively address these challenges, businesses must consider modern contract management solutions. For a comparison of traditional systems versus digital tools, check out this resource: Built Intelligence Toolkit.

The 10-Step Checklist for Choosing the Right Contract Management Software

• Decide on the features you need vs. the features you like. Looking at long feature lists can be confusing. Don’t lose sight of what it is your system needs to be able to do. Once you’ve checked those off, you’re ready to compare on the extras that may make your job or experience that little bit easier.
• List the features you might need for year 1, 3, or 5. Sure, something may be the best fit for you right now. But what about when you’re looking to scale up operations? Or if you are looking to deploy an enterprise solution across your organisation, rather than just a single project? A scalable system will help future-proof your investment.
• Try a demo or trial version or run a small pilot project You wouldn’t splash out on a new car without taking a test drive first. If you are taking your first steps towards contract management software, the same principle holds. By starting with a pilot project or proof of concept you allow yourself to test and refine your approach in a low risk environment before committing to full implementation. This approach also helps if you need to build a business case to get executive buy in.
• Evaluate expertise behind the software. Contract management software for NEC, JCT, or FIDIC contracts requires expert knowledge. Software is only as good as the people who use it. Ensure the provider has specialists who understand these standards in depth and can train and onboard your teams to ensure you are getting the maximum out of your investment.
• Try your top pick out on mobile and on your own devices to see how it works. The software should function seamlessly across mobile, desktop, and tablet devices to enable remote working and easy access.
• Research the provider to be sure they regularly update and maintain their products. Look for a vendor that regularly updates and improves their platform to keep pace with industry changes.
• Speak to current users.User reviews and case studies offer invaluable insights into how the software performs in real-world applications. Ask your vendor if they can supply advocates and testimonials from similar clients to yourselves.
• Ask about training and migration support. Onboarding can be a challenge, so ensure the provider offers adequate support for smooth adoption and can handle data transfer from legacy systems. Ask if they have experience migrating clients’ contract data from CDEs, internal software or competitor systems.
• Ask about data ownership and how multiple party project data is managed. Security is important in your software partners. Understand how contract data is stored and managed, particularly when working on multi-stakeholder projects.

How Our Contract Management Software Helps

One of the most important steps of choosing your contract management software is making sure that the team behind your systems know what they’re talking about. Without having had that hands-on experience, how could they fully understand the contract management pain points, and introduce a system that combats them?

In our case, we pride ourselves on being contract geeks first. FastDraft, our contract management platform, has been designed specifically to meet the challenges faced by construction professionals. It ticks the key boxes on this checklist, offering:

• A centralised, cloud-based repository for easy access to contracts anytime, anywhere.
• Automated workflows that reduce manual effort and speed up approvals.
• Full NEC, JCT, and FIDIC contract support, developed by industry experts who understand these contract models inside out.
• Robust compliance tracking to help you manage obligations, deadlines, and risks efficiently.
• Mobile-friendly design, so you can manage contracts on the go.

But that’s easy for us to say. Why not follow our checklist’s advice and find out for yourself? If you’re ready to transform the way your organisation handles contracts, you can visit our homepage to learn more about FastDraft. Or, you can start your journey by booking a consultant with one of our product experts, and get a firsthand look at how our system looks and feels. Simply get in touch by filling out the contact form here!