For SEC registrants, the Sarbanes-Oxley Act has transformed federal regulation of corporate governance. It requires CEOs and CFOs to certify that they have evaluated the controls and procedures and that they are effective. Tim Cummins, director of IACCM, comments: "With current contract management practices, I just don't see how they can do that."

In the UK, the Turnbull Report places the ultimate responsibility for identification of the organisation's key business, operational and compliance risks squarely on directors. The board must have "Information systems which provide ongoing identification and capture of relevant, reliable and up to date information."

"We are starting to see board members taking the disorder in contract management very seriously."

MEMBA