Miguel Tam, Senior Director of Product Marketing at Apttus, discussed how chief legal officers and general counsels can remove contract bottlenecks during a Thought Leadership Spotlight Presented by Apttus at the 2014 Chief Legal Officer Forum in San Francisco on April 29. In his presentation, "Tales from the Fortune 500: Removing Contract Bottlenecks to Increase Revenue, Lower Costs and Reduce Risks," Tam said CLOs and general counsels often operate as "chief worry officers" who must manage risk within their organizations.
Tam noted contract bottlenecks are problematic for business stakeholders. Because CLOs frequently think about how their businesses makes sales, Tam said, they must find ways to avoid these bottlenecks: "Your business is in place to sell stuff, primarily, and you want to make sure that you open up this bottleneck as much as possible so that you don’t threaten revenue, you don’t introduce additional risk and you don’t make your customers really made because you’re really hard to do business with."
In addition, Tam said one of the biggest challenges for CLOs is finding a way to scale and protect their businesses against myriad risks. Tam pointed out CLOs must understand how to manage business growth to avoid contract bottlenecks: "Even though the company is growing like crazy, you're not going to just be able to go to the CEO and say, 'Hey, you know, since we’re growing at 15% every year, I need to hire that many more attorneys to keep up with the business.' That’s not going to happen. You need to be intelligent about how you actually manage this process.