Today's increased focus on corporate governance means that boards of directors, managers, and others need advice in the development and evaluation of governance structures and processes. The demand for these services has been driven by corporate managers and boards interested in improving governance, satisfying shareholders and regulators, and preventing lawsuits. On the other side, judges, jurors, arbitrators, and mediators need governance experts to help them understand the nuances of governance practices and the way they relate to management.
Arthur Levitt's landmark "Numbers Game" speech of September 1998 called for boards to engage independent professional and legal advisors. Levitt offered further insights on the governance challenges facing boards with "In Defense of Sarbanes Oxley," an op-ed he co-authored with Paul Volcker in the June 14, 2004, Wall Street Journal. Levitt and Volcker went beyond the earlier proposition that a breakdown in "tone at the top" was the primary cause of business collapses, and pointed to the breakdown in "corporate checks and balances." Inherent in these checks and balances are the assignment of responsibilities, the requirement for accountability, and the existence of consequences.
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