Contracts frequently contain obscure terms and conditions and embedded risk exposures, whose impacts are not well understood. These can be hidden costs, sources of value leakage, or areas for additional gain.
The most insidious contract exposures are those to which a company is exposed but is unaware of even the existence of the risk. A company that has not even identified its risk exposures cannot manage its risks nor be compensated appropriately for holding these risks.
- Have you ever come across a contract and said to yourself “how could we have signed this?”
- Do you understand the financial risks embedded in your contracts?
- Do you have gaps in your processes to structure, create, manage and administer contracts?
- Are you concerned that some of your contracts are difficult to monitor and/or enforce?