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Central Contract Platform:
How Stadtwerke Leonberg Saves €80,000 a Year
"The AI's reliability is remarkable. When we enter new contracts into the system, we have a 95 percent accuracy rate, even for our custom content."
Dr. Frank Mildenberger
Managing Director, Leonberg Public Utilities
95
%
Fewer unplanned renewals / missed terminations
100.000
€
Savings in the first year through better terms, fewer auto-renewals, and cost control
90
%
Less testing and approval time thanks to standardization and AI analysis
90
%
Less testing and approval time thanks to standardization and AI analysis
80.000€
Expected annual savings due to faster contract work
100+
Contracts are centrally recorded in ContractHero
5 min.
to enter a contract into the system in its entirety
95%
AI Success Rate for New Contracts
Several hundred contracts, scattered across a hard drive, paper folders, and various systems used by the individual divisions. Today, at Stadtwerke Leonberg, they are all stored in one place, organized in a single structure, and with all deadlines clearly visible. The AI processes a contract in 5 minutes instead of 30. The result: savings of around €40,000 per year, with the potential to reach €80,000 once digital signatures are fully rolled out.
About Stadtwerke Leonberg
Stadtwerke Leonberg is a municipal enterprise of the City of Leonberg and provides services to the city in several areas: drinking water supply, operation of swimming facilities (including an outdoor and indoor pool), parts of the public transit system, energy generation for the district heating network, as well as parking garages and parking lots. Approximately 70 employees ensure that all of this runs smoothly on a daily basis.
Dr. Frank Mildenberger, as sole managing director, is responsible for the strategic direction and operational implementation. Upon taking office, he asked how well Stadtwerke Leonberg actually understood its contracts. The answer was the impetus for a new contract management system.
Because parts of Stadtwerke Leonberg are considered critical infrastructure, one issue played a central role from the very beginning: data protection and IT security.
"Data protection and IT security must be guaranteed, because we have areas that are considered critical infrastructure and require a higher level of protection. That’s the case with ContractHero: certified, with server locations in Germany. That was a key quality criterion for us when selecting a provider!"
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
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Dr. Frank Mildenberger
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
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You can find the complete video experience report here:
Challenges
Contracts stored on the drive, in a folder, and, in some cases, only on paper
When Dr. Frank Mildenberger took over as CEO, he found a traditional way of doing business. Documents were scattered and fragmented across various folders. Some contracts even existed only in paper form. Anyone who needed specific information had to search for it, ask around, or go to the filing cabinet.
Each division has its own system
In addition, the individual divisions documented and managed their contracts in different ways. There was no uniform structure. For management, this meant that gaining an overview of all of Stadtwerke Leonberg’s contracts required a great deal of effort.
Unknown Deadlines as a Risk to Further Development
The biggest problem was the deadlines. It was not always clear when a contract would end or whether it would be automatically renewed. In addition, knowledge of the contract terms was scattered among various individuals and not centrally available. This hindered the strategic development of Stadtwerke Leonberg.
"There was no clear information on when contracts would end or when they would be automatically renewed. There were also some discrepancies in understanding the terms of the contracts. This poses a very high risk if the goal is to advance and develop the municipal utilities."
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
Critical infrastructure requires more than a standard solution
When searching for a contract management system, Stadtwerke Leonberg had three key criteria in mind: complete transparency regarding all contracts; deadlines that are ideally monitored automatically; and a provider that guarantees data protection and IT security. This is because areas that are part of critical infrastructure are subject to heightened protection and security requirements—including those for software.
Solutions
Provider Comparison with Clear Results
Stadtwerke Leonberg compared several providers. ContractHero was the provider that fully met all three criteria. Certifications and server locations in Germany were key factors in the selection process. ContractHero is certified to ISO/IEC 27001:2022 and hosts all data in Frankfurt.
All contracts in one place, organized in a single structure
Today, all of Stadtwerke Leonberg’s contracts are stored centrally in ContractHero, organized according to the same structure. Amendments, addenda, and supporting documents are directly linked to the respective contract. This makes employees’ day-to-day work easier. And even management can find their way around the system at any time without having to ask anyone for help. This is a real advantage, especially in a small team.
"If an employee happens to be unavailable, I can quickly review the contracts myself or look up the contact person. I have everything in one place, completely transparent, no matter how many addenda and amendments there are."
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
AI Summary: Stay Up to Date Instantly
With the AI summary, Dr. Frank Mildenberger gets a quick overview of each contract. Instead of having to read through the contract and amendments, he can see at a glance what the current status is and where action is needed.
"With the AI summary, I can immediately see: What is the current status of the contract? Where do we stand? How should I proceed as CEO?"
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
Keeping an Eye on Deadlines, Making Decisions Based on Strategy
With ContractHero, Stadtwerke Leonberg can keep track of all deadlines at all times. This allows management to decide in a timely manner which contracts should be renewed and which should be terminated. Automatic renewals no longer happen by mistake, but only when intended.
"I keep a close eye on all deadlines at all times and can decide, based on my strategy, which contracts to keep and which ones to terminate."
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
Qualified Electronic Signature for Legally Binding Transactions
With the qualified electronic signature, Stadtwerke Leonberg can also enter into fixed-term contracts digitally in a legally compliant manner. The qualified electronic signature is the highest level of electronic signature under the European eIDAS Regulation. It is legally equivalent to a handwritten signature and thus meets the requirements even in cases where the law mandates the written form. For Stadtwerke Leonberg, this means that contracts no longer need to be printed, signed, scanned, and sent by mail. The entire process—from draft to signed contract—takes place digitally.
The signed contract is then stored directly in ContractHero, with all deadlines and data in one place. The digital signature is the next major lever for Stadtwerke Leonberg. It is currently being rolled out further. Once it is fully operational, Stadtwerke Leonberg expects to double its annual savings from approximately €40,000 to approximately €80,000.
Results
80.000€
Expected annual savings due to faster contract work
100+
Contracts are centrally recorded in ContractHero
5 min
to enter a contract into the system in its entirety
95%
AI Success Rate for New Contracts
More than €80,000 in savings per year
Leonberg Municipal Utilities is already saving around €40,000 per year with ContractHero. A key reason for this is faster data entry: Instead of 30 minutes, staff now need only 5 minutes per contract. Added to this is the time saved in day-to-day operations thanks to centralized storage and a standardized structure. The calculation is based on several hundred contracts and the hourly rate specified in the collective bargaining agreement.
"The time we save, calculated based on our hourly rate as set by the collective bargaining agreement, already amounts to savings of about €40,000 per year for several hundred contracts; we expect this figure to reach €80,000."
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
Over 100 contracts from all business lines are centrally recorded and can be retrieved at any time
Leonberg Municipal Utilities has now entered several hundred contracts into ContractHero. Instead of being stored on a hard drive, in paper folders, or in the systems of individual divisions, they are now all organized according to the same structure in one place, including all amendments and addenda. Anyone looking for a contract, a deadline, or a contact person can find it immediately. This creates a reliable database for strategic management decisions.
"I can definitely recommend ContractHero without reservation. It offers the flexibility to implement the system even in a municipal setting with multiple departments, it meets our regulatory requirements, and we’ve realized both qualitative and quantitative savings."
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
95% accuracy rate for AI
The AI analysis correctly identifies 95% of the content in new contracts. This applies not only to standard information such as contracting parties, contract term, or notice period, but also to the fields that Stadtwerke Leonberg has created specifically for its various divisions and requirements.
This fundamentally changes the workflow for administrative staff. They no longer enter contract data themselves, but instead review the AI’s results and simply fill in individual details. This ensures that every contract is recorded completely and according to the same structure, regardless of who uploads it.
Dr. Frank Mildenberger therefore describes the AI’s reliability as remarkable. And he sees this as just the beginning: In his view, AI will find its way into all systems, and ContractHero is already demonstrating the benefits that AI-supported contract management can offer.
Flexible for everyday municipal operations across multiple departments
ContractHero can be flexibly adapted to the structure of a municipal utility, from drinking water supply to public swimming pools, local public transportation, district heating, and parking garages.
“I can definitely recommend ContractHero without reservation. It offers the flexibility to implement the system even in a municipal setting with multiple departments; it meets our regulatory requirements; and we’ve realized both qualitative and quantitative savings.”
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
5 minutes to enter a contract into the system in its entirety
In the past, staff members needed about 30 minutes to fully enter a contract into the system. Today, it takes about 5 minutes. That represents a time savings of over 80% per contract.
This is made possible by AI-powered data capture. After uploading a document, the AI extracts the relevant data and automatically fills out the forms, including the custom fields used by Stadtwerke Leonberg. Staff members review the results instead of having to enter each piece of information themselves. As a result, each contract is not only entered into the system faster but is also complete and recorded according to the same structure. With several hundred contracts, this difference is clearly noticeable in day-to-day work.
The time saved is available for other tasks, and new contracts can be found immediately with all deadlines and content included. At the same time, the faster data entry is a key factor in achieving annual savings of around €40,000.
"Now, thanks to the AI-powered feature, we're able to fill out the forms in such a way that we can upload a complete and fully compliant contract to the system and map it in just 5 minutes."
Dr. Frank Mildenberger, Managing Director, Stadtwerke Leonberg
Conclusion: Clear advice for other municipal utilities
Contract management is centralized and tailored to each division. Instead of being stored on a hard drive, in paper folders, or in separate systems, all contracts are now in one place. Deadlines, renewals, and contract details are easily accessible at any time. This delivers measurable benefits. AI can process a contract in 5 minutes instead of 30, with 95% accuracy.
As a result, Stadtwerke Leonberg is already saving around €40,000 per year. With the addition of digital signatures, that figure is expected to rise to €80,000. Data protection and IT security were decisive factors in the selection process, as parts of Stadtwerke Leonberg are considered critical infrastructure. Stadtwerke Leonberg is thus demonstrating that digital contract management is far more than just filing. It is a management tool for business leadership.
For Dr. Frank Mildenberger, the recommendation to other municipal utilities is therefore clear: it’s time to say goodbye to floppy disks and outdated document management systems.
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Frequently asked questions
How much does Stadtwerke Leonberg save with ContractHero?
According to its own calculations, Stadtwerke Leonberg saves approximately 40,000 € per year with ContractHero. This figure is based on the time that staff members save when working with contracts. Stadtwerke Leonberg valued this time based on its hourly rate as specified in the collective bargaining agreement and extrapolated it to its portfolio of several hundred contracts. This does not yet represent the full potential. Once digital signatures are fully implemented, Stadtwerke expects to save around 80,000 € per year. In addition to the measurable savings, Managing Director Dr. Frank Mildenberger also cites qualitative benefits: greater transparency, reduced risk from missed deadlines, and a better foundation for strategic decisions.
How long does it take to enter a contract into ContractHero?
At Stadtwerke Leonberg, entering a new contract now takes about 5 minutes. Previously, it took about 30 minutes per contract because all the information had to be entered by hand. This is made possible by AI analysis. It extracts the relevant data from the contract and automatically fills out the forms in ContractHero. This applies not only to standard information such as the contracting parties, term, or notice period, but also to the fields that Stadtwerke Leonberg has created specifically for its own requirements. The staff members now simply review the results instead of having to enter everything themselves.
How reliable is ContractHero's AI analysis?
Stadtwerke Leonberg achieves a 95% accuracy rate on new contracts, even for those with customized content. Dr. Frank Mildenberger therefore describes the AI’s reliability as remarkable. In day-to-day operations, this means there is virtually no need for follow-up work, and new contracts are entered into the system quickly and completely. At the same time, management views AI as just the beginning. According to Dr. Frank Mildenberger, AI will find its way into all systems, and ContractHero is already demonstrating the benefits that AI-powered contract management can offer.
Is ContractHero suitable for municipal utilities with critical infrastructure?
In buy-and-build transactions, risks are often documented in the due diligence report. What matters most is implementation. TRG records critical points—such as special clauses, termination rights, terms, and deadlines—as structured contract data in ContractHero. Responsibilities are clearly assigned, and reminders ensure that deadlines are monitored. This makes due diligence issues manageable in day-to-day operations.
Why is contract management a key management issue for TRG as a data-driven corporate group?
The AI summary shows at a glance the current status of a contract. This is particularly helpful when a contract includes multiple amendments, addenda, and supporting documents. Instead of reading everything yourself, you immediately get answers to the most important questions: What has been agreed upon, what is the current status of the contract, and where is action needed? At Stadtwerke Leonberg, Dr. Frank Mildenberger uses the summary to quickly get an overview for himself as managing director. This is especially important in a small team: If the person in charge is unavailable, he can look at the contract himself or find the right contact person.
