Contract Management

Maximize Contract Value, Minimize Risk

For most pharmaceutical manufacturers, managing contracts is a core challenge for revenue and regulatory compliance management. Contract terms and conditions are complex, and pricing guidelines are often ignored or misused, leading to revenue leakage and government price exposure. Lack of contract control may also lead to Sarbanes-Oxley compliance problems.

Model N Contract Management

Model N Contract Management solves these problems by providing visibility and control over the contract creation and negotiation process, ensuring that pricing guidelines are enforced, and reducing revenue leakage. It provides a comprehensive system for setting up pricing and incentives, determining customer eligibility, tracking approval workflows, and managing contract documents. Once a contract is executed, the system manages the entire contract life cycle — including amendments and renewals — and results in increased visibility and efficiency across the organization.

Contract Management also ensures regulatory compliance by providing full auditability, management of business processes, and risk mitigation strategies, such as making sure that contracts are implemented only after appropriate review and approvals.

End-to-End Automation, Controls, and Visibility

Model N Contract Management automates and centralizes contract management processes within a single system. It supports the creation of very complex types
of pricing, rebates, and fees, including the many variants of tiered and dynamic pricing conditions common in pharmaceutical contracts. The software supports
a configurable library of standard legal terms which can be used to create customer-ready contract documents. Document management features allow formatted printing and attachment of documents such as bid analysis spreadsheets and scanned images of signed contracts.

Offers can be quickly generated using templates for customer or product segments. Contracts can contain pricing guidelines that trigger alerts if violated — useful for enforcing corporate policies and protecting government best price. Flexible workflow manages the approvals process and automatically selects the correct approvers according to specific contract conditions.

The solution keeps track of group membership and class of trade eligibility and ensures that pricing is kept up-to-date with changes to referenced membership lists. Bid award generation, used for creation of the EDI 845, allows wholesalers to be notified of initial prices as well as price changes. As part of its full contract lifecycle management, it also handles amendments, renewals, and sends expiration notifications. Additionally, extensive reporting capabilities allow managers to track such variables as contract performance, contract life cycle status, and offer-to-contract speed.

Contract Management at a Glance