Execution of Contract Management in ServiceNow

[sirisha91]

Overview

Contract management is the management of contracts made with customers, partners, etc. In ServiceNow, contract management can be used to create or maintain contracts. Contracts can be leases, warranties, maintenance, and service.

Roles

The contract-manager role is needed for contract creating/editing.

Contract Compliance Checks

This scheduled job runs on the Contract [ast_contract] table automatically each night.

• Changes the contract state to Active if the contract is approved and reaches the specified start date.
• Renews the contract if the contract is approved for renewal and reaches the specified start date.
• Changes the contract state to Expired if the contract state is Active and reaches the end date.

Contract Life Cycle

       

State	Description
Draft	User adds information about the contract and specifies approver
Active	Contract was approved and has reached the specified Start date.
Expired	Contract reached the specified End date. Expired contracts with an active renewal workflow that are waiting for approval has a substate of Awaiting Review. Expired contracts with an active renewal workflow where the renewal was approved, but the renewal date has not yet passed, have a substate of Renewal Approved. Expired contracts with no active renewal or extension pending workflow have an empty substate.
Canceled	Contract was discontinued and is no longer active

Contract Substates

       

Substate	Description
Awaiting Review	Contract is being prepared for review
Under Review	Contract is sent to the approver and the approver is reviewing the contract.
Approved	Contract is reviewed and accepted by the approver.
Rejected	Contract is reviewed and declined by the approver.
Renewal Approved	Contract renewal is approved by the approver.
Renewal Rejected	Contract renewal is rejected by the approver.
Extension Approved	Contract extension is approved by the approver.
Extension Rejected	Contract extension is rejected by the approver.
None	No substate is specified

Creating Contracts in ServiceNow

Obtaining Contract Approval

Once in Draft state a contract can be sent for approval to only one approver. The approver name cannot be changed.

Contract Management Tutorial

Overview Module

• OOB shows Active Contracts by Vendor and shows many different drill downs
• Most selections are self-explanatory

Data shown on contract record

• Quick Buttons include: Update, Adjust, Cancel Contract, Extend, Renew
• Most all fields are locked down and must be changed through the buttons and they cannot be changed without approval.

Contract Rate Cards

• Every night the scheduler will run to check and will automatically produce an expense line

Create New Contract Type

• Go to Product Models -> Contract Models -> New

[BalpreetKaur]

Hello
When state is draft and substate is approved then what does it mean ??

[himanshi24]

The state is draft and substate is approved means the contract start date is in future & contract is approved, once it reaches the current date it will become  state - active and substate- "--None--" as per the schedule job "Contract Compliance Checks"