What is the best contract management software powered by AI?

What the best AI-powered platforms should deliver

The best AI-powered platforms deliver:

• End-to-end lifecycle automation

• AI-assisted review and risk detection

• Self-service contract creation

• Seamless negotiation and e-signature workflows

• Centralised storage and reporting

These solutions are often referred to as contract lifecycle management software, providing a centralised platform that consolidates and automates every stage of the contract process, from creation and negotiation to renewal. Leading platforms also automate workflows, reducing manual effort and accelerating deal cycles by embedding contracts into everyday business tools.

Plexus stands out for delivering not just tools, but a platform that empowers in-house teams to automate the churn, accelerate business, and reduce legal drag. Rather than relying on disconnected systems, leading platforms embed contracts directly into business workflows. Integrations with CRM and ERP systems can support data flow, but the real value lies in automation, embedded AI, and outcome-driven workflows.

Why do businesses need contract management software in 2026

In 2026, the pressure on in-house legal teams isn’t just growing, it’s compounding. Legal teams are being asked to deliver more strategic value, manage ever increasing volumes of work, and operate at the speed of business, all without expanding headcount. For modern businesses, contract management software is no longer a nice to have; it is a mission critical investment, essential for staying competitive and managing complex relationships in today’s fast-paced environment. Here’s why:

When building a business case for contract management software, it is important to set clear, measurable objectives to demonstrate value and ensure successful implementation.

1. Scaling legal risk management beyond legal

Today, over 80% of legal risk decisions are made by non-lawyers. Relying on the legal team alone to control risk is no longer feasible. Modern contract management software empowers business users to act with legal confidence by embedding risk controls directly into workflows, templates, and approval logic, scaling risk management across the organisation without scaling the legal team. By streamlining contract workflows, organisations can ensure risk management practices are consistently applied and monitored throughout every stage of the contract process.

2. Freeing legal from low risk high volume work

Legal functions remain burdened by churn: NDAs, procurement contracts, renewals, high volume tasks that rarely require deep legal intervention. In 2026, leading legal teams are leveraging contract automation to triage and self serve these requests, freeing lawyers to focus on work that truly moves the needle. Automation streamlines the intake and approval of contract requests, reducing delays and improving efficiency from the very first step.

3. Gaining visibility into legal work and performance

With limited visibility into who is doing what and how long it is taking, legal leaders struggle to optimise resource allocation and report on team impact. Contract lifecycle platforms centralise matter tracking, surface key metrics like time in status, and help GCs demonstrate value through data, not anecdotes.

4. Proving legal’s value through data

Legal teams are often seen as a cost centre. But in 2026, that perception is changing. Contract management software delivers structured, actionable data on turnaround times, risk exceptions, and approval patterns that legal can use to drive business decisions, track ROI, and finally quantify their contribution. By leveraging contract management software, organisations can also achieve measurable cost savings by streamlining processes and reducing the need for additional resources.

5. Controlling the entire contract lifecycle

Contracts are not just about signing. They are living assets that require oversight from creation to renewal. Businesses need tools that handle version control, negotiation, execution, storage, and performance tracking in one connected ecosystem. Contract lifecycle management software provides a comprehensive solution for managing contracts at every stage, from initial drafting through renewal, ensuring streamlined workflows and improved compliance. This is how legal moves from reactive to proactive contract governance.

6. Driving lawyer productivity and agility

With the right platform, lawyers can spend less time chasing approvals, redlining manually, or managing version chaos, and more time on strategic advisory. Modern contract management software enables legal teams to negotiate contracts directly within the system, streamlining collaboration and reducing manual effort. In 2026, contract management software does not just support legal work, it does the legal work, transforming lawyers into strategic partners, not process bottlenecks.

What teams can benefit from contract management software?

Contract management software isn’t just for legal teams. A modern CMS empowers cross-functional teams to manage contracts faster, reduce bottlenecks, and stay compliant, all while keeping legal risk under control. By connecting to existing business systems where needed, a contract management software can reduce friction, but its real impact comes from embedding legal guardrails directly into everyday workflows.

Here’s how different teams benefit from using a CMS like Plexus:

Legal teams

Legal becomes a strategic enabler rather than a bottleneck. With AI-powered review, automated workflows, and real-time visibility, lawyers spend less time on admin and more time advising the business. Self-service tools also allow Legal to scale support without scaling headcount.

Sales teams

Faster contracts mean faster deals. Sales can generate approved agreements, send them for e-signature, and track progress in one platform, reducing friction and shortening the sales cycle. By streamlining contract workflows, contract management software helps accelerate sales cycles and enables teams to close deals more quickly. Built-in guardrails ensure contracts stay compliant without waiting on Legal.

Finance teams

Finance gains control over commercial risk and spend. Automated approval routing, clear audit trails, and visibility into terms help Finance enforce policy, manage obligations, and plan more accurately. Contract management software also supports accurate revenue recognition by ensuring that all contract terms related to revenue are tracked and reported in compliance with financial standards. CMS also streamlines processes like vendor onboarding and payment term tracking.

Operations teams

Ops teams handle complex agreements every day. A CMS ensures that contracts are centralised, searchable, and structured, making it easy to track performance, monitor renewal dates, and enforce service level agreements. Alerts and dashboards reduce manual follow-ups and operational gaps.

HR teams

From employment agreements to policy acknowledgments, HR manages a wide range of sensitive contracts. With CMS, HR can generate and track documents securely, automate approvals, and ensure version control, while keeping employee data protected and accessible only to the right people.

What are the key features of a CMS and its essential tools for contract review and lifecycle management software?

A modern contract management system (CMS) goes far beyond document storage. It equips legal and business teams with end-to-end tools to manage every stage of the contract lifecycle, while minimising risk, accelerating workflows, and improving visibility. Integrated e-signature functionality enables users to sign contracts electronically, streamlining the contract management process and eliminating the need for separate signing tools.

Here are the essential features and tools to look for in a best-in-class CMS:

To maximise adoption, contract management software should fit naturally into existing workflows, whether through integrations or embedded collaboration tools.

AI-powered contract review

Flag risky or missing clauses instantly, compare against company precedents, and accelerate legal review using AI that is powered by your organisation’s knowledge layer. Unlike generic AI tools, Plexus AI aligns every review against your policies, clause libraries, and risk tolerances ensuring accuracy, consistency, and governance at scale.

Plexus vs competitors for contract management

While many vendors offer contract storage or approval tools, Plexus is designed to transform legal operations, not just digitise them. Migrating from legacy systems to modern platforms like Plexus can present data migration challenges, but overcoming these hurdles is crucial for improving efficiency and compliance.

Here’s how Plexus compares:

• AI that works: Automates contract review, redlines, and risk flagging

• Self-service enablement: Lets business users create contracts within policy

• End-to-end lifecycle: From intake to execution to renewal

• Legal workspaces: Manage matters, contracts, and documents together

• Outcome-driven: Focus on reducing legal drag, not just managing documents

Most competitors focus on isolated problems. Plexus delivers a connected platform that scales legal value.

A dedicated, cross-functional implementation team is essential for successful contract management software deployment.

Plexus vs competitors in knowledge governance

Most contract tools stop at document management. Plexus goes further by embedding your organisation’s legal knowledge such as playbooks, clause libraries, approval rules into every step of the contract lifecycle.

With Plexus:

• AI reviews contracts against your company’s standards

• Knowledge management links policies to workflows

• Risk tolerances and governance rules are enforced by design

This ensures consistent decision making, even as your team scales or decentralises.

Not all AI is created equal: Generic AI vs knowledge-powered AI

Many contract management platforms now claim to be “AI-powered.” But there is a significant difference between generic AI tools and enterprise-grade legal AI.

Generic AI can summarise documents or suggest clauses, but it does not understand your organisation’s risk appetite, playbooks, delegation of authority rules, or historical precedents. Without context, it generates information that is not aligned with legal judgement.

Plexus AI is different

Plexus embeds your legal knowledge directly into its AI engine. Clause libraries, approval rules, precedent data, and policy frameworks are layered into the platform, ensuring every review, recommendation, or redline aligns with your organisation’s standards.

This knowledge layer powers Plexus Counsel which is a digital lawyer embedded directly into your legal operations.

Instead of acting like a generic chatbot, Plexus AI functions as:

• A policy-aware contract reviewer
  

• A precedent-aligned redlining assistant
  

• A governance-enforcing workflow engine
  

• A real-time digital legal assistant embedded across contracts and mattersThe result is not just faster contract review, but consistent, scalable legal decision-making.

Plexus Counsel meets lawyers and business users where they work.

Rather than requiring every question to escalate to Legal, Plexus Counsel provides real-time, context-aware guidance directly within contract workflows whether drafting, reviewing, negotiating, or preparing approvals.

For lawyers, it acts as a legal co-pilot: surfacing relevant precedents, flagging policy conflicts, and accelerating redlining.

For business teams, it enables safe self-service by translating legal policy into clear, actionable guidance, without compromising governance controls.

Like modern AI teammates such as Atlassian Rovo, Plexus Counsel is not a standalone tool layered on top. It is an intelligent assistant embedded across workflows.

By meeting lawyers and business teams where they work, Plexus Counsel scales legal capability beyond the legal function without increasing headcount.

How do I choose a CMS for our business

Choosing the right contract management system (CMS) for your business is about more than checking feature boxes, it’s about finding a platform that aligns with your legal and operational goals, supports scale, and delivers measurable value across the organisation.

Here are key factors to consider when evaluating CMS solutions:

1. End-to-end lifecycle coverage

Look for a platform that supports the full contract lifecycle, from request and drafting to negotiation, execution, storage, and renewal tracking. Fragmented tools create silos and risk; an integrated system ensures consistency and visibility.

2. AI capabilities that actually work

Many vendors claim AI, but few deliver real productivity gains. Evaluate whether the CMS uses AI to reduce legal review time, flag risks, compare versions, and enable business users to self-serve with confidence.

3. User experience and adoption

A CMS only works if people use it. Choose a platform with an intuitive interface for both legal and business users. Features like guided forms, self-service tools, and in-platform collaboration drive adoption and reduce legal drag.

4. Workflow automation and compliance controls

Your CMS should make it easy to enforce delegation of authority, automate approval routing, and track every action for audit readiness. These are non-negotiable for risk management at scale.

5. Scalability and integration

Ensure the system can scale with your organisation’s growth. Look for integration options with tools like Microsoft Word, DocuSign, and SharePoint so your CMS fits into your existing tech stack, not against it.

6. Analytics and reporting

To demonstrate legal’s value, you need data. Choose a CMS that provides real-time dashboards and reporting on contract volume, cycle times, bottlenecks, and risk exposure.

7. Support, onboarding, and building your business case

Even the best platform can fall short without the right implementation and stakeholder support. Choose a CMS provider that offers hands-on onboarding, customer success resources, and help navigating internal buy-in.

If you're preparing to pitch a CMS internally, a strong ROI story matters. Use tools like the Plexus savings calculator to quantify time saved, risk reduced, and business impact so you can make a compelling case for change.

While many platforms layer AI on top of document storage, Plexus embeds AI into the fabric of legal operations connecting contracts, matters, knowledge, and governance into one intelligent system.

To demonstrate legal’s value, you need data. Choose a CMS that provides real-time dashboards and reporting on contract volume, cycle times, bottlenecks, and risk exposure.

Five ways AI is accelerating today’s legal work

AI in contract management goes far beyond clause review. Modern AI-powered platforms are transforming legal operations across the entire lifecycle.

Here are five key ways AI is accelerating in-house legal teams:

1. AI-assisted contract drafting

AI suggests relevant clauses, standardises language, and generates first drafts using approved templates and historical contracts. This reduces drafting time and ensures consistency from the outset.

2. Intelligent contract review and risk detection

AI identifies deviations from precedent, flags high-risk terms, and highlights missing clauses in seconds which dramatically reduces review cycles.

3. Contract and document summarisation

AI generates concise summaries of key obligations, risks, and commercial terms. Lawyers and business stakeholders can quickly understand complex agreements without reviewing every page, accelerating decision-making across the business.

4. Regulatory monitoring and compliance support

AI can track evolving regulatory requirements, extract critical compliance data from contracts, and surface potential risks earlier in the lifecycle, supporting proactive governance rather than reactive remediation.

5. Conversational AI and embedded digital assistance

Through tools like Plexus Counsel, users can interact with contracts using natural language, asking questions, analysing terms, and receiving real-time guidance directly within workflows.

Together, these capabilities move AI from a productivity enhancer to a scalable legal decision engine.

Self-serve contract creation

Enable business users to generate compliant contracts in minutes using dynamic templates and guided forms, without waiting on Legal. This helps scale legal support without increasing headcount.

Approval workflows and e-signature integration

Route contracts automatically for internal approvals based on delegation of authority. Execute documents seamlessly with integrated e-signature tools like DocuSign, all within one platform.

In-platform negotiation

Collaborate securely with counterparties using tracked changes, version control, and a dedicated negotiation portal. Finalise terms faster without email chaos or version confusion.

Centralised contract repository

Store and organise all contracts in a single source of truth, with advanced search, role-based access controls, and audit trails for compliance and reporting.

Automated alerts and reporting

Stay ahead of renewals, expirations, and obligations with proactive alerts. Track performance and cycle times to identify bottlenecks and continuously improve contract operations.

Together, these tools streamline the full contract lifecycle from request to renewal, while giving legal teams the control, oversight, and efficiency they need to become true business enablers.

Understanding the stages of the contract lifecycle

The contract lifecycle is the journey a contract takes from its initial creation to its eventual expiration or renewal. Understanding these stages is essential for effective contract management, as it allows legal and business teams to proactively manage contracts, reduce risk, and ensure compliance with contract terms.

The typical stages of the contract lifecycle include:

• Contract creation: Drafting the initial agreement, often using standardised templates to ensure consistency and compliance.

• Negotiation: Collaborating with internal and external stakeholders to refine contract terms and reach mutual agreement.

• Approval: Routing the contract through the necessary approval workflows, ensuring all required parties sign off before execution.

• Execution: Finalising the contract, often with digital signatures, and making it legally binding.

• Performance and management: Monitoring obligations, deadlines, and deliverables to ensure all parties meet their commitments.

• Renewal or expiration: Reviewing the contract as it nears its end date to determine if it should be renewed, renegotiated, or allowed to expire.

Contract management software streamlines each of these stages by automating repetitive tasks, centralising contract data, and enabling seamless collaboration between legal and business teams. With the right contract management tools, organisations can manage contracts more efficiently, reduce errors, and maintain full visibility and control over the entire contract lifecycle.

Best practices for successful contract management

Achieving successful contract management requires a strategic blend of people, processes, and technology. By following best practices, organisations can maximise the value of their contracts, minimise risk, and drive better business outcomes.

Key best practices include:

• Establish clear contract management processes: Define standardised procedures for contract creation, review, approval, and storage to ensure consistency and compliance across the organisation.

• Assign roles and responsibilities: Clearly delineate who is responsible for each stage of the contract lifecycle, from drafting to execution and ongoing management.

• Leverage contract management software: Use management software to automate routine tasks, facilitate collaboration, and provide a centralised system for tracking contracts and contract data.

• Regularly review and update contracts: Schedule periodic reviews to ensure contracts remain relevant, compliant, and aligned with current regulations and business needs.

• Prioritise risk management: Use contract management tools to identify, assess, and mitigate risks throughout the contract lifecycle, ensuring that obligations are met and potential issues are addressed proactively.

• Track contracts and analyse contract data: Monitor key metrics such as contract cycle times, renewal rates, and compliance to identify areas for improvement and demonstrate business value.

By implementing these best practices, organisations can streamline their contract management processes, reduce operational risk, and unlock greater business value from every agreement.

Implementing an AI-powered contract management solution

Adopting an AI-powered contract management solution can transform how legal and business teams manage contracts, driving efficiency, reducing costs, and enabling smarter decision-making. To ensure a successful implementation, organisations should focus on several key areas.

First, select contract management software that offers robust AI capabilities for contract drafting, contract review, and automated approval workflows. These features help automate time-consuming tasks, allowing legal and business teams to focus on higher-value work.

Look for solutions that prioritise automation, risk intelligence, and governance with flexible integration options to support your existing tech stack where needed. Enterprise-grade security is essential to protect sensitive contract data, especially for mid-market organisations handling high volumes of business documents.

User experience is another critical factor. Choose a contract management platform that empowers citizen developers and business users to manage contracts without heavy IT involvement. This ensures faster adoption and enables teams to adapt the platform to their unique needs.

Finally, prioritise solutions that support faster contract cycles, provide comprehensive customer support, and offer flexible integration options. By implementing an AI-powered contract management platform with these key features, organisations can streamline their contract management processes, improve risk management, and achieve greater business value.