Looking for Contract Management in SharePoint? Try CLM 365
                     Looking for Contract Management in SharePoint? Try 
CLM 365
Contract Management in SharePoint: A Practical Guide for 
Modern Businesses
SharePoint has now become much more than a document storage tool. 
Nowadays, almost 300 million people all over the world use it to control 
content, work with teams, and facilitate business processes.
Quick Read
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This guide explains how contract management works in SharePoint, why 
businesses use it, and why CLM 365 is a strong option for SharePoint 
users. It also helps teams understand how to manage contracts using 
familiar Microsoft tools without adding new systems.
As organizations handle an increasing number of agreements, many 
teams are now exploring contract management in SharePoint as a 
reliable and familiar approach.
Contracts control the income, the relations with the vendors, the 
compliance responsibilities, and the business risk. In cases where the 
contracts are distributed in folders, email inboxes or personal drives, 
teams lose visibility and control.
What Is SharePoint?
SharePoint is an web-based platform that is used to manage documents, 
collaborate internally and share information. It enables organizations to 
develop sites, libraries and workflows that facilitate day-to-day business 
activities.
At its core, SharePoint helps teams
 Track changes and versions
 Organize documents in the store
 Access control through permissions
 Collaborate without using lost files
In the case of large and mid-size organizations, SharePoint contract 
management management center across departments.
What Is Contract Management in SharePoint?
SharePoint contract management is a system that uses SharePoint 
libraries, lists, workflows, and integrations to manage the entire 
contract cycle. This involves drafting, reviewing, approvals, storage, 
renewals and reporting.
In the case of organizations that have been using SharePoint, the 
method will decrease the reliance on various tools and enhance the 
control over contract data.
Why Choose SharePoint for Managing Contracts?
Contracts are not documents only. They manage contract renewals, legal 
obligations, and vendor relations. In case the contracts are distributed 
through emails, local drives, or shared folders, and there is no system, 
teams experience friction daily. The following are the most prevalent 
issues associated with contracts.
1. Struggling to find Agreements
Contracts in most teams reside in inboxes, personal folders, or shared 
drives and are named in a way that is not very clear.
In case one requires the most recent agreement, they tend to look 
through emails or seek the assistance of their colleagues. This is time 
consuming and postpones decisions.
When it comes to contract management in SharePoint, contracts are kept 
in one repository and are controlled. The authorized user can access the 
needed document regardless of the location without the use of emails and 
local storage.
2. Pressure to Meet Compliance
Legal and operations teams are concerned with compliance. If contracts 
are not stored properly, it is difficult to establish who approves a 
contract, when a contract needs to be modified or what version was 
accepted.
SharePoint aids in maintaining records using access control, version 
history, and activity tracking.
These functionalities assist groups to adhere to internal policies 
and address regulatory requirements without the use of manual 
tracking or offline records.
3. Financial Losses Due to Missed Obligations
Missed renewals, overlooked provisions and unclear terms of the contract 
may result in loss of revenue or unwanted expenses. In the case of 
scattered contracts, teams can fail to notice the renewal dates or 
payment terms until it is too late.
By keeping contracts in one place, SharePoint helps teams stay aware of 
key dates and responsibilities.
Clear visibility of contractual obligations duces the risk of missed actions 
that affect business revenue.
4. Teams Working in Silos on the Same Contract
Legal, procurement, sales, and finance teams are usually involved in 
contracts. Version problems occur when the groups are working on 
different copies.
The comments are lost, updates are duplicated, and ownership is 
lost.
Contract management in SharePoint provides the ability to share a 
document with other teams with appropriate permissions.
All people operate on one source, which will enhance coordination 
and speed in cross-departmental reviews.
5. Hesitation to Adopt Yet Another Tool
Contract management in SharePoint is already utilized by many 
organizations as a component of Microsoft 365. Implementing a new 
contract system can be associated with training, resistance and slow 
adoption.
As almost every third user of Microsoft 365 already has access to 
SharePoint, dealing with contracts in a similar environment is not 
new.
Teams will work within a system they are already familiar with, and this 
will create less friction and accelerate adoption.
How Does Contract Management Work in SharePoint?
Contract management in SharePoint works by managing contracts, 
access control and collaboration within a single system.
 Build-in workflows control approval steps, alerts, and renewal 
reminders, which help in the entire lifecycle of a contract
 Sensitive contracts are secured by specifying the individuals who 
are allowed to see, edit, or approve documents in the system
 Contracts can be categorized based on type, vendor, 
department, dates or status and hence search and retrieval is 
quicker and more organized
 Contracts are saved in special SharePoint libraries where teams 
have one location to make, store and retrieve agreements 
whenever they need it
 SharePoint captures every change that is made in a contract and 
stores the previous versions, which can be reviewed to ensure that 
teams have the right records
 It integrates with Microsoft 365 apps enabling users to review 
contracts, communicate updates and analyze contract data without 
leaving the Microsoft environment
These steps combined describe how contract management in SharePoint 
supports to handle contracts in growing businesses in an organized, 
secure and scalable way.
Key Features of Using SharePoint for Contract Management
Contract management in SharePoint offers a practical set of features 
that help organizations manage agreements within a system they 
already use every day. Below are the core features that make the 
systema preferred choice for many businesses.
1. Contract Repository
SharePoint is used as a formal contract repository in which agreements 
may be stored according to type, vendor, region, department or contract 
status. This systematized process facilitates the process of finding the 
active, expired, or pending contracts without the need to use personal 
folders or email archives.
Studies suggest that weak contract handling can result in losses close 
to 10% of annual revenue, which highlights the value of having a 
single, well-managed repository.
With SharePoint, contracts remain stored in one controlled location, 
helping teams maintain better visibility over their agreements.
2. Integrated with Microsoft 365 Suite
SharePoint integrates with Microsoft 365 applications like Word, 
Outlook, Teams, Copilot, and Power BI, which are highly beneficial to 
contract management.
Users redline contracts in Word, update them in Teams, read mail in 
Outlook, and analyse data in Power BI, and the contract will be stored 
in SharePoint.
This integration eliminates the reliance on third-party tools and 
enables teams to keep operating in the familiar Microsoft applications.
Recommended Read: Advantages of Microsoft Teams Contract 
Management
3. Multilevel Approval Workflows
In most contracts, the approvals of various departments like legal, 
finance, and leadership are needed. Contract management in 
SharePoint allows
multilevel contract approval process with each level being well 
defined.
The progress of the approval can be monitored at each stage, and the 
teams can know who has already reviewed the contract and what is 
still awaiting.
This systematic flow of approval enhances accountability and 
transparency within departments.
4. Automate Tasks with Power Automate
Power Automate can be used to automate routine tasks such as 
approval notifications, renewal reminders, and status updates.
This minimizes manual follow-ups and assists teams to remain 
concentrated on work of higher value.
The contract automation assists in taking timely measures without 
necessarily having to be monitored or reminded.
5. AI-Powered System
AI features support contract review by summarizing clauses, highlighting 
key terms, and assisting with document analysis.
A research by Deloitte shows that a 79% of legal professionals expect AI 
to influence how legal work is handled in the coming years.
With AI in the SharePoint contract management, teams are able to 
go through contracts more quickly without losing focus on key 
points.
6. Compliance Management
Contract management in SharePoint allows compliance with access 
controls, document retention settings and audit logs.
These characteristics assist organizations in keeping the right records 
and monitor the activity of documents.
Compliance teams can monitor access history and document changes 
where necessary, and this helps to back internal policies as well as 
external regulations.
7. Clause Library
SharePoint allows teams to maintain a clause library containing 
commonly used contract language.
Clauses that have been approved can be reused in numerous 
agreements, which is beneficial in ensuring consistency in the wording 
and structure.
This feature is particularly handy in organizations that deal with 
similar contracts either in terms of vendors, customers or regions.
8. Negotiation Support Within Documents
During contract negotiation workflow, the counterpart receives a one-
time password (OTP) to access the contract securely.
This adds an extra layer of control and confirms that only the intended 
recipient can view or respond to the document.
All edits, comments, and revisions are captured within the same file. 
Stakeholders can review proposed changes and respond directly inside 
the system.
9. Contract Amendment Handling
Contract management in SharePoint allows amendments, addendums, 
and related documents to be linked directly to the original contract.
This keeps the full contract history available in one location, allowing 
teams to review and track contract modification over time.
Teams do not need to go through individual folders or email chains to 
review how an agreement has changed over time.
10. Reporting & Analytics
Contract management in SharePoint facilitates the reporting of 
contract volume, renewal schedule and contract ownership.
These insights can be more easily visualized and analyzed when used 
together with Power BI.
Analyzing contracts assists the teams to monitor the performance, future 
actions and to plan future contract activities more efficiently.
Benefits of Using Contract Management in SharePoint
In the case of organizations that have already been operating within the 
Microsoft tools, contract management in SharePoint is a natural part of 
day-to-day operations. Below is a deeper look at the key benefits and why 
many businesses rely on this approach.
11.Familiar Interface for Employees Already Using SharePoint
One of the biggest advantages of contract management in SharePoint is 
familiarity. Those business who already use SharePoint to store 
documents, internal web sites or teamwork do not require much training 
to work with contracts.
The layout, navigation, and document handling are familiar and this can 
assist teams to learn contract processes quicker.
This familiarity helps to eliminate the hesitation and enables the users 
to work on the contract itself and not to learn a new system.
2. Central Location for All Contract Documents
The contracts may be located on multiple places in email inboxes, local 
drives, or shared folders. SharePoint contract management software 
helps store all agreements in a single place.
Having a single source for contracts makes it easier to
 Type or departmental contracts
 Locate active and expired agreements
 Have a well-defined contract system
This central approach reduces time spent searching for documents and 
improves overall organization.
3. Better Visibility into Contract Timelines and Ownership
When contracts are stored without structure, it is often unclear who owns 
a contract or when action is required.
Contract management in SharePoint enables teams to follow 
contract owners, approval status, and key dates using the same 
system.
Timelines are easily visible, which keeps teams informed of renewals, 
review cycles and obligations. Clarity of ownership also facilitates ease of 
assigning responsibility and follow up where necessary.
4. Reduced Dependency on Email-Based Contract Handling
Drafts are frequently circulated via email, as well as approvals and 
feedback are sought. In the long run, this results in scattered 
conversations and unclear document status.
With contract management in SharePoint, contracts are stored in a 
common workspace where updates, comments and approvals are 
stored in context.
This will minimize the use of long email chains and ensure that the 
contract activity is linked to the document itself.
5. Improved Control Over Document Versions and Access
One of the challenges in contract handling is contract version control. 
The same contract may be reviewed or approved several times, which 
results in the outdated terms.
SharePoint keeps version history automatically and teams can view 
what was changed and when. Access privileges are also used to 
regulate who is allowed to see, edit or approve contracts.
This control level helps in enhanced control of documents without 
additional complexity.
5. Supports Audit Readiness and Internal Reviews
Teams may be required to present contract audit, approvals and 
access records during audits or internal reviews.
Audit logs, version history, and access settings give the organizations 
clear records that enable them to respond to audit requests.
SharePoint contract management is helping with this by providing in-
built tracking capabilities.
6. Scales Easily as Contract Volume Grows
Contract management in SharePoint scales well with increasing 
volume, allowing organizations to add new libraries, metadata fields, 
and workflows as needed.
As businesses grow, so does the number of contracts they manage. 
Contract management in SharePoint helps managing contracts on a 
scale, and as an organization grows.
Whether it is handling huge volume of contracts, SharePoint offers a 
systematic structure that does not interfere with the current 
processes to promote growth.
7. Contracts Become Part of Everyday Work
Contract management does not seem to be a distinct legal activity to 
SharePoint users.
Contracts are integrated into the daily work that is available with 
other business documents and processes.
This integration promotes uniform use by teams and assists 
organizations to have a better control of contracts in their lifecycle.
Steps to Set Up Contract Management in SharePoint
 Use SharePoint as a single place to manage all contracts, where 
users can view requests, drafts, approvals, active, expired, and 
terminated contracts in a single dashboard.
 Create contract requests and drafts easily to allow users to save 
progress, review information, and provide correct information 
without errors.
 Set-up clear approval processes so that contracts are automatically 
forwarded to the right people in the correct order, avoiding delays 
and confusion.
 Easily manage legal reviews by enabling legal teams to add 
comments, files and monitor review status to ensure compliance.
 Complete execution approvals to verify that contracts are 
prepared, policy- compliant and approved prior to publication.
 Publish contracts to ensure that all active agreements are 
visible and accessible to authorized users are in a single 
place.
 Handle termination and expiration of the contracts and make sure 
that inactive contracts are distinctly separated and that there are no 
cases of missing renewals.
 Keep logs of activities to trace all the activities, who did what and 
when, which is useful in audits and transparency.
 Track deviations, risks and mitigation plans, both found 
manually and in reviews, to control exceptions.
 Identify risks, analyze clauses, propose alternatives, and create 
summaries of contracts in a few seconds using AI-powered 
capabilities.
 Enable collaboration with reviews, consultations, extra approval 
levels, and task dashboards, so every stakeholder knows their 
responsibilities.
 Support draft comparison, automatic language detection, and 
continuous workflow improvement, ensuring clarity, global 
usability, and long-term efficiency.
NOTE: Workflow will be the same, however, the installation process will 
be different in case of various integrations. Please, take a look at a 
knowledge base.
Why Is CLM 365 a Great Fit for SharePoint Users?
CLM 365 is built within the Microsoft ecosystem and integrates with the 
applications businesses already use in their daily operations. Built 
directly on Microsoft technologies, it extends SharePoint’s capabilities 
into a full contract lifecycle management solution.
The platform has a natural integration with Teams, Outlook, Word, 
SharePoint, and Copilot, enabling users to use the platform to work on 
contracts within familiar applications.
The AI-based functions are used to review clauses, provide summaries, 
and identify risks, whereas approvals and notifications are automated. 
CLM 365 is user-friendly and has strong security controls, which make it 
suitable to both legal and business users.
Now it is available in Microsoft Azure Marketplace .
Conclusion
Contract management in SharePoint provides a viable solution to 
organizations that desire control, visibility, and collaboration without the 
need to add complex systems. With millions of users who already use 
SharePoint, it is only logical to extend it to contract handling.
Contract management in SharePoint is a reliable option to organizations 
that want to enjoy clarity, control, and scalability.
Explore CLM 365 to manage contracts more effectively inside 
SharePoint.