An urgent need to act.

In a recent study over 80 percent of companies surveyed stated that they were unable to locate their contracts quickly and reliably let alone to precisely review their contents. Worse still about half of those questioned believed that some 10 percent of the contracts could not even be found which was leading to a considerable risk exposure. Startled by financial scandals and company bankruptcies the US Congress has passed legislation known as the Sarbanes-Oxley Act with which is intended to again boost investors' confidence. Explicit in this legislation is a requirement for more effective contract management. In Europe too there is a need to act. Contract management is without doubt also part of corporate risk management and is an important prerequisite to satisfy the tightening terms for granting credits under Basle II. Companies are increasingly being obliged to address their lack of capability in the domain of contract management. Over and above legislative obligations costs can be saved and legal conflict avoided.