Most facility managers and their teams handle day-to-day operations and maintain facility contracts. As part of the job, many facility managers rely on contracting outside vendors for efficient operations. This includes cleaning and janitorial services, plumbers, electricians, mechanics, and many other aspects of maintaining the facility. Keeping track of these contracts and managing them is cumbersome when they aren’t organized. That’s where contract management systems come in — our software has features and work processes to help everyone on your team. Facility managers can use contract management software to streamline and automate many of their tasks, too. Below, you will find some specific examples of ways facility managers can use contract management software.
- 1 Create a Vendor Contract Repository So You Can See the Whole Picture
- 2 Organize Contact Information to Improve Relationships and Maintenance
- 3 Manage Your Company’s Vendor Contracts
- 4 Manage Lease and Renewal Periods Without Missing a Single Date
- 5 Track Expenses and Budgeting to Maintain Adequate Cash Flow
Create a Vendor Contract Repository So You Can See the Whole Picture
Contract management systems centralize contract data in one location to streamline the contract management process. Facility managers can create a special contract database to store all of their vendor contracts. Then, they can get rid of obsolete file cabinets and unorganized computer files.
A vendor contract repository also provides transparency and ease of access for team members who might need to access information when the facility manager isn’t in the building. This fosters communication among team members. Also, it cuts down on the need to dig through piles of work orders, invoices, and vendor contracts. Users can search the repository by:
- Vendor name
- Product or service
- Any other keyword or metadata
Users can store documents, notes, and servicing records, too. This all-in-one solution ensures that no detail gets lost. With such a versatile tool, everyone can get needed information in seconds. Not only does this save time, but it also helps operations continue smoothly.
Organize Contact Information to Improve Relationships and Maintenance
Not all vendors contracted by facility managers provide service on a specific daily, weekly, or monthly time schedule. Vendors related to building maintenance are typically contracted on an on-call basis. For example, on-call services come in when a pipe bursts, an electrical socket quits working, or a handrail becomes loose on a stairway.
In these cases, a facility manager needs to know who to call. Facility managers can use contract management software to have all vendor contact information organized in an easy-to-access fashion. This cuts down on downtime and reduced productivity. Once the service representative arrives, the facility manager’s team can ensure the vendor’s quote is fair based on previous work. Also, they can review any notes they might have added from the last time the vendor provided a service at the facility.
Manage Your Company’s Vendor Contracts
With a vendor contract management repository and organized contact information, facility managers can better manage vendor contracts. One of the most useful features of a contract management system for managing vendor contracts is the ability to track deliveries and/or work provided by the vendor. Team members can set reminders and alerts to create a preventative maintenance plan.
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Contract management systems don’t only store documents. They also allow for associated documents such as work orders, invoices, and more. A complete work history supports any claims you have to make down the line. For example, a facility manager might order cleaning supplies once per month. They can set an alert so, if the delivery doesn’t arrive as planned, the system sends a notice via email. This allows facility managers to handle any problems or issues with vendor service or delivery in an expedient manner. Depending on your vendor, you can also ensure the documents automatically copy into the contract records with DocuSign and integrated software.
Manage Lease and Renewal Periods Without Missing a Single Date
Commercial leases are highly complex. They can require months of negotiations for renewal. Landlords and facility managers must agree about the type of lease and who pays what costs, as well as factoring in any needed improvements.
Facility managers can use contract management software to set reminders and alerts about tasks associated with negotiating a lease renewal. Some companies might share commercial space with other businesses. As a result, the landlord might pay for common areas or utilities and bill tenants for their portion. These are known as common area maintenance (CAM) fees. Facility managers can also use contract management systems can set alerts to pay CAM fees and other leasing costs that are over and above the base rent for the facility.
If you’re considering moving, contract management software is even more essential. It can help you organize the extensive project of:
- Ending your lease
- Transferring service contracts
- Hiring trusted movers
- Tracking the total expenses of the move
Track Expenses and Budgeting to Maintain Adequate Cash Flow
Part of effective facility management is creating a budget and tracking expenses. Overspending on services can topple businesses. Facility managers can use the data in their vendor contract management software to track facility expenses. As a result, your team can stay on track with your company’s yearly budget. Also, you can save time when creating a new budget. Facility managers can also set alerts for when a specific expense goes over its allocated budget amount.
Facility managers can use contract management software to better maintain company facilities. It’s as simple as that! ContraxAware is here to help you manage vendors in a more productive and efficient way. So, contact us to learn more about how our software solutions can help your facility management team. Alternatively, sign up for a 1:1 demo to see how ContraxAware is an excellent fit for your business.