Contract managers are the backbone of businesses, providing structure and organization to ensure that both sides of an agreement comply. It requires a lot of strategizing, organization, and communication to satisfy both parties involved.
To succeed in contract management, it would be best to develop SMART goals. This type of framework allows you to remain energized while dealing with your responsibilities. In this post, we will cover examples of SMART goals suitable for contract managers.
What is a SMART Goal?
The SMART framework will enable contract managers to establish practical goals for success. For those unaware, SMART is an acronym for specific, measurable, attainable, relevant, and time-based.
Need more clarity? Let’s dive deeper into each SMART component:
Specific
As a contract manager, having specific goals is critical for any business’ success. Knowing what needs to be accomplished helps contract managers stay on task and allocate resources accordingly. It allows them to better understand their expectations and how they can contribute to the company.
Measurable
Measurable goals are vital in streamlining any process, even more so in contract management. Without tracking how well things are going, contractors can’t evaluate their success in meeting their targets.
Furthermore, providing tangible evidence of completed milestones can prove invaluable when negotiating new terms or resolving disputes between parties further down the road.
Attainable
When developing your contract management goals, consider how much time and resources it’ll take to reach them. And be sure that these costs are within your budget and that there is enough time for employees or contractors to complete each objective.
Relevant
Setting relevant goals is not always easy, but it starts by taking time to get to know yourself. Ask yourself questions such as “What kind of person am I?” or “What are my core beliefs?” Reflecting on these questions can help you identify your values and how they will influence the goals that you create.
Time-Based
A robust deadline gives you structure, allowing for more efficient use of your time and greater accountability as you progress toward success. You’ll also be able to clarify what actions need to be taken on a daily basis.
13 SMART Goals Examples for Contract Managers
Here are 13 examples of SMART goals for contract managers:
1. Improve Contract Renewal Rate
“I’ll ensure that all contracts have at least a 90% renewal rate within 8 months. I will review historical renewal rates to determine what improvements must be made and formulate policies or practices to boost the rate. This will help us maintain long-term client relationships and create a sustainable revenue stream.”
Specific: The aim is to ensure contracts have a 90% renewal rate.
Measurable: Historical renewal rates will provide tangible measures for success.
Attainable: This is feasible with the proper review of historical renewal rates and policies to improve the rate.
Relevant: This statement is essential for maintaining profitable, long-term client relationships.
Time-based: You have an 8-month window for completion.
2. Reduce Contract Disputes
“Within the following 7 months, I want to reduce contract disputes by 20%. That will require careful planning and implementation of dispute resolution processes supporting vendors and customers.”
Specific: The SMART goal is well-defined. The contract manager knows they need to reduce the number of contract disputes.
Measurable: The individual will be able to track the reduction of disputes regularly.
Attainable: This is doable, given the careful planning and implementation of dispute resolution processes.
Relevant: The goal is appropriate for the contract manager’s aim to reduce contract disputes.
Time-based: Goal achievement will be met within 7 months.
3. Enhance Negotiation Process
“I want to improve the contract negotiation process by implementing a new system of checks and balances over 6 months. This system will add greater transparency and accuracy to the process by streamlining communication between both parties, increasing efficiency, and ensuring contracts are signed more quickly.”
Specific: The goal is easy to understand, detailing precisely the objective and how it will be achieved.
Measurable: The company can measure whether or not contracts are being signed more quickly and keep track of any changes.
Attainable: It is possible to implement a system of checks and balances in the contract negotiation process.
Relevant: This statement is appropriate to contract management as it will help streamline the negotiation process and increase efficiency.
Time-based: Six months are required to accomplish success.
4. Increase Awareness of Contracts
“The aim is to boost the awareness of contracts and their implications for various stakeholders. I will provide educational seminars on contract terms and conditions for all managers, employees, and contractors in the next four months.”
Specific: It is clear what you must do (provide educational seminars) and when (within four months).
Measurable: You could track how many seminars have been conducted and the people who attended them.
Attainable: You are capable of delivering educational seminars on contract terms and conditions.
Relevant: This goal boosts the knowledge and understanding of contracts, which benefits stakeholders.
Time-based: You have four months to knock down this particular goal.
5. Streamline Documentation
“I want to streamline the contract documentation process for the 6 months ahead. I will review existing procedures and ensure they are up to date and efficient so that executing contracts is always as smooth as possible.”
Specific: This is explicit as the person wants to review and update existing procedures.
Measurable: Track how long it takes to complete the contract documentation process and track progress over 6 months.
Attainable: This goal is possible if the contract manager has enough time to review the existing procedures and make any necessary alterations.
Relevant: Streamlining contract documentation is vital for the efficient execution of contracts.
Time-based: Goal completion should be anticipated after 6 months.
6. Develop Standardized Contract Templates
“To make it easier for the contracts team to work efficiently and accurately, I’ll create a library of standardized contract templates that can be reused and updated within three months. I will also update the templates to comply with our ever-evolving regulations.”
Specific: This goal focuses on creating a library of standardized contract templates.
Measurable: You could count the number of templates created.
Attainable: Creating a library of standardized contract templates is attainable within three months.
Relevant: Templates are necessary for efficient and accurate contract work, so this goal is appropriate.
Time-based: There is an end date of three months for success.
7. Strengthen Collaboration with Vendors
“For the next 5 months, I’ll ensure new contracts have the necessary clauses that allow both parties to work collaboratively to deliver goods and services. I hope everyone involved with a contract knows their roles and responsibilities, eliminating potential delays or misunderstandings.”
Specific: The individual aims to improve vendor collaborations by adding the necessary clauses to new contracts.
Measurable: Examine how many new contracts contain the necessary clauses.
Attainable: This is feasible as the person can ensure new contracts have the desired clauses.
Relevant: This goal is appropriate as it focuses on improving vendor collaboration.
Time-based: You have three months to achieve the SMART goal.
8. Increase Stakeholder Satisfaction
“I want to increase stakeholder satisfaction by addressing any issues they bring up within two weeks. I’ll also keep them informed of any changes we’re making and invite their feedback so that they feel like a part of the process.”
Specific: You have specific actions to address—respond to issues and keep stakeholders informed.
Measurable: You have clear metrics to measure progress—how quickly you can respond and how satisfied the stakeholders are with the changes.
Attainable: This is achievable if you’re proactive in addressing issues and keeping stakeholders informed.
Relevant: This goal directly relates to your primary objective of increasing stakeholder satisfaction.
Time-based: You should expect goal completion within two weeks.
9. Develop Risk Mitigation Strategies
“I want to provide strategies for minimizing the risks associated with contract management by the end of 9 months. This will include conducting a risk analysis of each contract and implementing processes to monitor and control the risks during execution.”
Specific: The SMART goal is evident in that it clearly outlines the intention to develop and implement risk mitigation strategies.
Measurable: One can measure the progress of risk analysis and implementation of control processes.
Attainable: Developing risk mitigation strategies is an achievable goal, provided there is commitment and dedication to it.
Relevant: Creating strategies is relevant to minimizing risks associated with contract management.
Time-based: Goal attainment is anticipated after 9 months.
10. Utilize Automation Technology
“I’ll strive to implement automated software to streamline the contract management process within four months. This automation technology would speed up the process and reduce any chances of errors.”
Specific: The goal is to implement automated software.
Measurable: You can observe the number of tasks performed with this technology and the speed.
Attainable: This goal is possible as automation technology is widely available.
Relevant: Streamlining the contract management process can be a helpful asset to any company.
Time-based: Four months is a realistic timeline to implement the automation technology.
11. Expand Your Knowledge
“To stay ahead of the game and be better prepared, I’ll complete two certification courses related to contract management by the end of the year. I will then apply the knowledge I gained from these courses to maximize my success in my job.”
Specific: The goal sets out a timeline for when courses should be completed.
Measurable: You could determine whether the two certification courses were completed by the end of the year as planned.
Attainable: This can certainly be accomplished with proper planning and dedication.
Relevant: The courses could help the contract manager stay updated with the latest industry best practices.
Time-based: Success must be met by the end of this year.
12. Stress Quality Control
“I’ll increase quality assurance measures and internal reviews of contracts within three months to guarantee all agreements are fair. Conducting thorough reviews and providing feedback on contract changes is essential before sending them out.”
Specific: This goal outlines what should be done (increasing quality assurance measures and internal reviews) and when it needs to be done (within three months).
Measurable: You could count the number of quality assurance measures and internal reviews conducted.
Attainable: Increasing quality assurance and conducting thorough reviews are totally achievable.
Relevant: It is important to conduct quality control before sending out contracts to ensure all agreements are fair.
Time-based: There is a three-month time frame for completion.
13. Improve Resource Allocation
“To maximize our resources and streamline processes, I want to evaluate our current resource allocation system and find ways to improve it. I aim to use our resources better and reduce operational costs for the 6 months ahead.”
Specific: You have a precise goal: to evaluate the current resource allocation system and find ways to improve it.
Measurable: You should measure the difference between the current and improved systems.
Attainable: This goal is realistic as long as you have the necessary resources.
Relevant: Improving resource allocation will help to maximize efficiency and reduce operational costs.
Time-based: You should expect to have a more effective system in place within 6 months.
Final Thoughts
Establishing SMART goals is an amazing way to guarantee the success of any business. By following this goal-setting method, contract managers can better manage their workload while reaching their desired results.
With some creativity and innovation, these goals can help contract managers become even more successful in business ventures.
They keep everyone involved in the contract management process, from the client to the contractor, on the same page, enabling a more efficient workflow.
