Mtool has been received well, handling licenses and other contracts in Kommuneqarfik Sermersooq in southwest Greenland, the world's largest municipality with an area of 635,600 km².
Kommuneqarfik Sermersooq partly uses Mtool for handling licenses and agreements, as usual. But in addition, the municipality uses Mtool to administrate land allocation, a unique Greenlandic phenomenon.
Scarcity of suitable land requires close administration
In Greenland, a piece of land is not owned by a company - rather, the company leases the land from the municipality through an area allocation that gives the leaseholder the right to use and build.
The municipality administers the land allocation which lapses if the land is not used within 2 years.
For the administration of just this kind of thing CFO of Kommuneqarfik Sermersooq, Troels Tolstrup Pedersen uses Mtool. Additionally, the municipality uses Mtool to gain an overview of all types of licenses, agreements and contracts in IT, school, construction and environment, etc.
Ensures overview and contract management
- We saw the possibility of having Mtool in a central location, so that we can see what agreements we are bound to in the future and which can have major economic consequences. With this contract management system, we know when the individual contracts may be terminated so that they don’t run longer than we need them to, says Troels Tolstrup Pedersen.
- It is important for me to make sure that the municipality avoids financial surprises, and with Mtool I get a fantastic overview - and no unpleasant surprises.
Everyone knows where to find the contracts
In an ideal world, all companies have complete awareness as to all agreements entered, what they’re about, what they cost and how long they are running etc.
In practice, however, many factors can disturb this. Not least, employee replacement can be a challenge.
- We have a relatively large exchange of employees in the municipality, says Troels Tolstrup Pedersen.
- Before we started entering our contracts into Mtool, the knowledge of a given deal could disappear along with the previous employee's calendar, yet the contract still needed to be adhered to which could bring about some bad financial surprises. With Mtool, all contracts and agreements can be found in one place, he says.
Mtool not only provides an overview of the termination deadlines and the content of the contracts and licenses. It also gives an economic overview stating how much cash each contract costs the municipality.
- When we enter the contracts into the system we are able to sort by suppliers and see how much cash we pay them and the numbers of contracts we have. It is a valuable type of management information, which we greatly benefit from.
A user-friendly BI tool
The CFO himself doesn’t work with Mtool at daily basis, but only hear positive feedback about the user-friendly system.
He does use the Mtool app.
- It's a BI tool that gives me a great overview and I can set up what I want to see myself. In addition, I can see which contracts expire within a specific time frame, and I can set which ones I would like to monitor.
- In summary, Mtool gives us a great overview and good functionality that we haven’t had before. I am glad that it is not dependent on people, that all contracts are in one place and that my replacement would have the same easy, quick overview of contracts and licenses, concludes Troels Tolstrup Pedersen.