Benefits of Integrating e-Signature in Contract Management
Can a simple feature such as e-Signature become so vital thatRead More
With an exclusive facility and breath-taking views, Black Diamond was offering off-the-grid entertainment services to its guests. Being in the competitive hospitality sector, their business and its profitability was highly dependent on their suppliers and the efficiency of the executed contracts.
Boasting a network of over 200 suppliers responsible for supplying and stocking different types of essential materials and equipment, including tents, camping equipment, food supplies, transport, and many other business critical services. Without the proper and on-time arrival of supplies, Black Diamond Ranch would not be able to provide the high level of service their customers have come to expect.
However, since contract management was largely a manual process at Black Diamond Ranch, it became increasingly difficult to keep track of suppliers, deliveries, and managing relationships. The process was taking up too much time and they were losing a lot of money due to contract-related issues.
Poorly managed contracts meant they would lose approximately 11% of their revenue due to the lack of traceability across their contracts and inability to leverage data to negotiate favorable terms.
Before Revnue, Black Diamond’s contracts were either on paper or buried in emails, making it difficult to locate them and extract the required information. Since the entire process was manual, they often lost time and could not leverage valuable contract data. This often led to overspending and lost opportunities.
Additionally, they had no visibility into how many contracts were active at any point of time, how many had expired, what were the terms of those contracts, who were the suppliers, and other useful information that they needed on a day-to-day basis.
Revnue helped them digitize their contracts and store them in a central, cloud-based Smart Repository. AI-based algorithms facilitated quick extraction of contract metadata with very little manual effort. Transition was smooth as uploading contracts was very simple in Revnue. Within a period of one week, they were able to digitize more than a thousand contracts. In fact, they went a step further and uploaded their old contracts too. Once digitized, tracking became extremely simple, and Revnue’s interactive dashboards helped them access almost any contract-related information in seconds.
Smart Contracts using Rev[AI] provides small businesses an opportunity to build an easy-to-use digital profile of their contracts, for all assets and suppliers, easily and quickly, without the need of any technical expertise.
Dave Ung, Owner & Operator of Black Diamond Ranch
Since they were unable to trace the original contracts signed with their suppliers, they were losing a lot of leverage during renewals and renegotiations. The nature of their business resulted in significant discounts during the initial purchase – however, during renewals, the lack of data and insights put them at a disadvantage during negotiations. This resulted in a very difficult and often costly renewal process. Re-negotiations often took 3-4 weeks as both parties (Black Diamond Ranch and the supplier) were looking for contract data, prior transactions, and time for negotiation. Working on good faith was not viable, due to the added risk involved. Lack of contract traceability meant they were losing money as they could not track what discounts were given on assets and services as part of the original contract.
Revnue’s Supplier Management features helped Black Diamond Ranch build automatic profiles for their suppliers and manage their relationships better. Since all the contracts were stored in a central repository, they could pull them out instantly and share with the suppliers. Intuitive dashboards allowed them to track their supplier contracts and compare their offering against others. They could easily pull reports on how much they were spending per supplier, what discounts they got, how much they had to pay to renew, when was the renewal due, and many more such useful nuggets of information. Timely information helped them strike a better deal and cut down renegotiation time by 75%.
Tracking auto-renewals and contract expiry was simply impossible for them. They had no clue when a contract expired and as a result, they would often end up paying much higher than what they agreed upon. For example, a stocking company would bring in supplies even after the contract had expired. They did not even realize this until one day they had to pay a hefty amount since the contract with the agreed upon rates had already expired. Similarly, some contracts would auto-renew without giving them an opportunity to renegotiate the terms or assess them as per their current needs.
Using Revnue’s alert functionality helped keep tabs on their contract expirations and renewals because alerts could be customized to their needs. This ensured that enough time to negotiate or assess the contract terms before the final date approached. After implementing Revnue, Black Diamond Ranch has been able to meet all deadlines without a single missed renewal.
Customized contract alerts saved Black Diamond Ranch from manually tracking contract renewals and resulted in significant cost savings.
Dave Ung, Owner & Operator of Black Diamond Ranch
Black Diamond Ranch chose Revnue because it helped them:
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