Скачать или смотреть Common risk types in contract management - Legal Risk - Financial Risk - Security Risk

When there are any issues of risk with the contract it creates a negative image and affects the brand image. Therefore proper management of contact is required. It is important to analyze the areas that may lead to risk and should take proper measures. Instead of manual contract management which can get exposed many risks opting for contract management software is the best solution.

• Legal Risk: Legal risks usually occurs when there is a breach of contract. It might be due to the violation of the contract that may lead to legal accountability. It also includes disputes or any regulatory issues. When the violation of a legal clause in the contract happens then it leads to contract disputes and legal risks.
• Financial Risk: Financial risk in a contract regardless of its impact leads to loss of money. It may be a missing contract date, a rollover clause, or continuing the contract term even after the contract expires. Any of these in contract management may lead to financial loss. Also, other issues like termination of the contract, missing milestones, missing delivery dates, claims, and warranty issues also may lead to financial risks.
• Security Risk: Security risk has the severe and highest consequences for the company. When there happens a security breach it may lead to other risks such as legal risks, brand issues, and, financial issues. Security plays a huge role in business. Contracts should be stored in a secured location with a good security mechanism. Also, there should be a proper mechanism for authentication. Since contracts bear sensitive information there should be access security. So having digital contract management software can solve the issue.