When PeopleSoft Supplier Contract Management was first released my first reaction was, why? How was this module any different than Procurement Contracts, purchasing functionality that had been around for years? Let me share with you what Supplier Contract Management is and the value it provides based on my experiences implementing the application.
Supplier Contract Management allows you to create authored contracts, leveraging pre-defined contract building blocks that you have built and stored in a document library. This authored contract is the document that is executed and signed off, digitally if you choose, by the supplier. The authored document can be linked to the transactional contract, created using procurement contracts, through the use of bind variables. This allows you to populate your authored contract with information from the transaction contract, i.e. item ID’s, prices, quantities, vendor, etc. Supplier Contract Management is integrated with Microsoft Word enabling you to create your authored contract as a Word document.
Supplier Contract Management provides your contract administrator many benefits, including:
- Contract Alert workflow functionality notifies buyers when spend thresholds have been reached.
- Compliance monitoring and analysis functionality ensures suppliers comply with contract agreements.
- External collaboration enables specified supplier personnel to review and update contract documents.
- Document wizards, which act as a guide to the contract administrator, facilitate the creation of documents based on responses to questions. The answers to those questions can be used as input to the contract and can also affect the clauses included in the contract.
- Supplier contracts can be syndicated to third-party transactional systems.
- Legacy clauses and sections can be imported into Supplier Contract Management and incorporated in new contracts.
- Supplier Contract Management integrates seamlessly with PeopleSoft Purchasing, eProcurement, and Strategic Sourcing.
These are just some of the benefits provided by Supplier Contract Management.
There is no doubt that this application can make your contract administrators more effective and efficient, by reducing the risk associated with nonstandard contracts, through the use of preapproved contract configurations that leverage business logic allowing you to adjust the contract makeup based on the sourcing scenario. Through the use of agreements and verification steps your contract administrators can track supplier compliance and be alerted through electronic notifications of supplier non-compliance, reducing the risk of material and service shortages.
I would be happy to share additional information with you regarding Supplier Contract Management or provide you with a demo of the application. If you’re interested contact me at firstname.lastname@example.org.