It is always interesting to speak to people and learn about what has cost them money.
Two recent stories have really hit home about how important it is to track correspondence.
Company A is a multinational oil company that has owns billions in assets and has hundreds of subcontractors working for them. A couple of years ago they had an oil rig coming up for renewal of contract and the contract highly favoured the oil company as the dayrate for the rig was well below market value. The contracts manager who was responsible for the rig failed to exercise the option in time and as a result the day rate for the rig went to market value which was over $USD 100k a day more. Missing this deadline was a 3 million dollar mistake.
Company B is a construction company who was working on a government contract. One of their subcontractors was meant to submit documentation to the government for the contract to proceed to stage 2. The subcontractor claimed they did send the documents but there was no way to prove or disprove this and the project was shutdown for 6 weeks which cost hundreds of thousands in associated costs. The main contractor could not legally pursue this matter as there was no evidence to support or deny the claim.
There are a number of root causes that resulted in these unfortunate outcomes but blaming one person is not one of them. Having the right tools for the job, particularly having overview of critical document submittal and deadlines, is one way of preventing these costly mistakes.
Contego Document Management System sit across all aspects of operations including tendering, projects, contracts and integrates with all email systems so that important emails have increased visibility with the whole team.
Contact us today so you can have the right tools for the job and help your company save costly downtime due to misplaced correspondence.