This report provides an overview and analysis of the current institutional, policy and technical landscapes, challenges, and opportunities to adopt and implement improved tropical forest management. The report advances existing literature and analyses by outlining five pragmatic mechanisms through which tropical forest management can be improved, and suggests how, if substantial carbon funding is available and allocated appropriately, the transition from unsustainable forest exploitation for timber to improved forest management (IFM) can be realized. Challenges and opportunities to the implementation of these five on-the-ground activities are assessed through exploration of case studies in Loreto, Peru and Mato Grosso, Brazil. These case studies are used to take stock of the current situation and to explore the recommended paths towards IFM.