As the leaves continue to fall, it’s that time of the year when contract renewals come into focus. If you’re an account manager, this is a crucial phase that requires careful planning and execution. You should begin by reviewing your contract renewal dates, and maintaining a list of all active contracts with clearly marked expiration dates. To ensure a smooth renewal process and retain valuable business relationships, set a calendar trigger at least 90 to 120 days before the contract’s expiration date.
Contract renewals are far from routine administrative tasks; they hold the potential to impact your organization’s bottom line and client relationships significantly. Never assume that everything is running perfectly. Instead, adopt a proactive approach and establish a well-defined renewal process.
Introducing a Six-Point Contract Renewal Checklist for Account Managers:
Quarterly Walkthroughs and Reviews
Start by verifying whether quarterly walkthroughs and reviews were diligently conducted. Any changes or amendments to the contract terms during these reviews should be brought to the attention of stakeholders and decision-makers. Additionally, be vigilant about any quality or service issues noted during these inspections, and ensure they are promptly addressed.
Set Early Alarms
To avoid last-minute rushes and ensure a thorough review, set alarms well in advance of the contract’s anniversary or auto-renewal period. By initiating the process 60 to 90 days before the contract expires and scheduling an end-of-contract review 30 days before that, you create a buffer of 120 days for a comprehensive review. Adjust the alarm duration as needed to accommodate your organization’s requirements.
Financial Summaries and Reports
Forward financial summaries and reports to key stakeholders for meticulous scrutiny. Pay particular attention to whether the costs and prices outlined in the contract align with the actual services delivered. Evaluate whether hourly budgets are on track and explore opportunities for price adjustments that can benefit your organization.
Update Key Contact Information
Ensure that your records contain up-to-date contact information. Staff titles and positions can change over the course of a year, and having the correct contacts is critical, especially during emergencies.
Scope of Work
Review the “scope of work” to ensure it accurately reflects the current job site conditions. Keeping this information up-to-date is essential for maintaining the contract’s relevance and effectiveness.
If you documented meeting notes during the walkthroughs, consider preserving these notes for future reference. They can provide valuable insights into the client’s evolving needs and expectations.
Above all, maintain proactive communication with your clients throughout the entire renewal process—before, during, and after. This approach will help foster successful renewals and strengthen your client relationships.
Don’t leave your contract renewals to chance. Embrace this checklist as your guide to ensuring seamless, mutually beneficial contract renewals that drive your business forward.
Be Well, Do Good Work, and Keep In Touch.
To Learn More Contact Fred at TrueWinds Consulting
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