Texas A&M University-Corpus Christi (A&M-Corpus Christi) implemented a contract software management database solution resulting in a centralized repository of all contracts including audit trails stored in digital format that have the tools to quickly access important information, generate reports, execute contracts and receive automatic reminders of critical dates all at once without having to track contract folders and deal with misfiled or missing paperwork. The primary beneficiaries of this system are the contract, purchasing, and accounts payable department and our customers; i.e., internal departmental managers and the many external vendors, entities and organization with which the university does business. The system has increased efficiency and has contributed to both cost avoidance and cost reduction.
The university now has an ability to review contracts in advance and research renegotiation points; cancel contracts in required timeframes without penalty or increased escalation costs; monitor complete contract status in the centralized database; and has timely communications with departments. Personnel time is saved, thus minimizing missing deadlines. We have eliminated time consuming manual processes and now have every contract available at a click of a mouse, resulting in improved customer service.
The total cost of the system was $11,395 with 12 license users. The annual support and renewal maintenance fee is $2,482. The return on investment is in contract efficiencies, with improved processing of contracts with fewer errors, personnel time freed up and allocated to more important tasks, and reduced paper.
April 2010 Report—Public College and University Procurement: A Survey of the State Regulatory Environment, Institutional Procurement Practices, and Efforts Toward Cost Containment. AASCU study conducted in collaboration with the National Association of Educational Procurement. Recommendations for systems and institutions articulated on pages 26-28, which supports operational efficiencies that streamline the procurement process, such as contract management database solutions, as featured in this case illustration.