Contract Management in a New Political Environment
Call me sappy, but I’ve got this old fashioned notion that just as adults have responsibility for children, businesses should care for and protect their customers–and political leaders should do the same for the people they lead. Unfortunately, though, for whatever reason, these days the notion of self seems to have gotten in the way of these relationships. That is, business and political leaders alike have become more and more focused on their own desire to lead, their own power, their own “political capital,” and their own pocketbooks. All too often, they seem to forget that without their customers, shareholders, and constituents, they would not be leaders at all.
The result has been a breakdown of regulatory order. Just witness recent debacles in the Attorney General’s office, the moves to weaken Sarbanes-Oxley, and even the most recent decision by the Supreme Court to limit shareholder suits. While all of these things may seem favorable to business, the reality is that they probably are not. Let’s remember that the Attorney General is supposed to uphold the law, not bend it, that the Enron disaster occurred before SOX, and that often companies do try to shaft shareholders.
So what’s my point and how does all of this relate to contract management? Simply this: when we finally do get a new president, I hope it’s someone who takes a parental leadership role, not a self-serving, pugnacious one. The country desperately needs to regain its self-respect, and business needs to re-establish the rightful roles of the customer and shareholder. If these things can be achieved, the importance of contract-driven relationships will increase.
Robert Frost said that “good fences make good neighbors.” In a new political environment I think it will become increasingly clear that the “fences” in business are contracts, and that to be sure they drive good relationships, a robust contract management solution will be essential.
- Terry Nicholson