Sources of Homogeneity and Heterogeneity across Professional Services

Author(s):  
Andrew von Nordenflycht ◽  
Namrata Malhotra ◽  
Timothy Morris

Research on Professional Service Firms (PSFs) has tended to treat them as homogeneous and to assume there are similarities in how they are organized and managed. This assumption has been challenged recently as scholars have drawn attention to organizational differences stemming from sources of heterogeneity. The authors argue that rigorous theorizing about the organization and management of PSFs requires an understanding of sources of both homogeneity and heterogeneity and their specific implications. They synthesize insights from the sociology of professions literature and the economics and organization theory literatures to distil key sources of homogeneity and heterogeneity. They also identify firm-level characteristics that drive heterogeneity within a particular professional service. The authors propose an overarching framework of sources of homogeneity and heterogeneity that helps interpret the generalizability of existing research and has the potential to better inform future empirical research on PSFs.

2019 ◽  
Vol 24 (3) ◽  
pp. 294-308
Author(s):  
Michael Adesi ◽  
De-Graft Owusu-Manu ◽  
Frank Boateng

Purpose Notwithstanding that numerous studies have focused on strategy in quantity surveying (QS) professional service firms, there is a paucity of investigation on the segmentation of QS professional services. The purpose of this study is to investigate the segmentation of QS services for diversification and a focus strategy formation. Design/methodology/approach This study adopts the positivist stance and quantitative approach in which a simple random sampling technique was used to select participants. In total, 110 survey questionnaires were administered to registered professional QS, out of which 79 completed questionnaires were returned for analysis. Findings The paper identifies three main QS service segments characterised by low, moderate and high competition. In addition, this study found that the concentration of traditional QS services in the building construction sector is due to the unwillingness of QS professional service firms to diversify into the non-construction sectors such as oil and gas. The diversification of QS services in the low competitive segment requires the adoption of agile approaches. Research limitations/implications The study was limited to numeric analyses and so would be complemented by qualitative research in the future. Practical implications This paper is useful to QS professional service firms interested in diversifying their services into the non-construction sectors to enhance the pricing of their services. Originality/value Segmentation of QS services is fundamental to the formulation of focus strategy for non-construction sectors such as oil and gas and mining to enhance the pricing of QS professional services.


Author(s):  
JANE BOURKE ◽  
STEPHEN ROPER ◽  
JAMES H LOVE

Undertaking innovation involves a range of different activities from ideation to the commercialisation of innovations. Each activity may have very different resources and organisational requirements, however, most prior studies treat innovation as a single un-differentiated activity. Here, using new survey data for professional service firms (PSFs) in the UK, we are able to examine separately how a range of organisational work practices influence success in ideation and commercialisation. In particular, we use principal component analysis (PCA) to identify and compare the benefits of four groups of organisational work practices relating to strategy & information sharing, recruitment & training, work flexibility & discretion and culture & leadership. Strong contrasts emerge between those work practices that are important for success in ideation and commercialisation. Work practices linked to culture & leadership are important for ideation activities, while strategy &information sharing practices are more strongly associated with commercialisation success. The results suggest clear managerial implications depending on the priority


Author(s):  
Markus Reihlen ◽  
Andreas Werr

Research on entrepreneurship in professional services is rather limited. The authors argue that one reason why the two fields of professional services and entrepreneurship have operated in isolation rather than in mutual interaction is an inherent contradiction between the very ideas of entrepreneurship and professionalism. The perspective on entrepreneurship for this chapter is rather broad, focusing on new venture management and renewal in Professional Service Firms as well as embracing aspects such as learning, innovation, and institutional change. The chapter reviews previous work on entrepreneurship in professional services from three levels of analysis—the entrepreneurial team, the entrepreneurial firm, and finally the organizational field within which the creation and exploitation of entrepreneurial opportunities take place.


2006 ◽  
Vol 28 (2) ◽  
pp. 219-238 ◽  
Author(s):  
Royston Greenwood ◽  
David L. Deephouse ◽  
Stan Xiao Li

Understanding the effects of ownership upon organizational performance is a well-established theme in organization theory, but comparison across ownership forms has been neglected. We develop hypotheses comparing public corporations, private corporations and partnerships and test them in a sample of large management consultancies. We find that private corporations and partnerships outperform public corporations. We attribute this difference to increased monitoring by owners and greater motivation by professional workers seeking ownership stakes. Contrary to Durand and Vargas (2003), we find that organizational complexity has neither a direct nor a moderating effect.


2020 ◽  
Vol 17 (1/2) ◽  
pp. 57-78
Author(s):  
Felix Nana Abaka Sackey ◽  
Livingstone Divine Caesar

Purpose Despite the criticality of strategic partnerships to the survival and success of professional service firms (PSF) in emerging markets, there is a dearth of research on the subject matter. Specifically, not much is known concerning the dynamics of partnerships among small and medium-sized enterprises (SMEs) in the professional services sector of the economy. This paper aims to explore the dynamics of the impact of constructs such as attributes of partnership, communication behaviour and collaborative conflict resolution on partnership success. Design/methodology/approach A quantitative survey sent to 300 small and medium-sized PSFs achieved a 79% response rate. The data is then analysed using bivariate and multi-variate techniques. Findings The results revealed a positive relationship between two of the three constituents of attributes of the partnership (i.e. commitment and coordination) and the success of partnerships. Commitment and coordination emerged as the significant attributes of partners that affect the success of the partnership. Contrary to previous studies, trust and information sharing did not have a positive impact on partnership success. Practical implications PSFs in emerging markets need concerted efforts to maintain competitive and sustainable partnerships. To make any significant impact, they must develop contemporary skills in collaborative conflict management. Originality/value This paper highlights the need for PSFs and SMEs in other service sectors of emerging markets to harness partnerships as a valuable tool to overcome the policy shortcomings of current regulatory frameworks within their respective markets.


2021 ◽  
Author(s):  
John K. Mawdsley ◽  
Philipp Meyer-Doyle ◽  
Olivier Chatain

Collaborations between individuals in firms have important implications for the development of relational and human capital. In knowledge-intensive contexts where collaborations are formed to deliver services to clients, collaboration decisions can involve nontrivial tradeoffs between short-term and long-term benefits: individuals and firms must carefully manage the tradeoffs between leveraging existing relational and human capital for the reliable performance of repeat collaboration and creating new relational and human capital through new collaboration. Building from the premise that servicing clients is central to collaboration decisions in human asset–intensive firms, we examine how client-related factors shape collaboration decisions among lawyers (partners) in UK law firms providing M&A legal advisory services. We focus on three key client-related dimensions that we predict govern collaboration decisions: the depth of individual- and firm-level relationships with the focal client, key client attributes that reflect the client’s status and its use of different firms to undertake its outsourced work, and client-driven individual- and firm-level resource constraint. Our empirical findings support our proposition that client-related factors influence the pattern of collaborations between individuals in firms. We also reveal how client-related factors at the individual level can have opposite effects on collaboration decisions from those at the firm level. Overall, our findings contribute to research on relational capital, strategic human capital, team formation, professional service firms, and the microfoundations of strategy.


2018 ◽  
Vol 72 (9) ◽  
pp. 1497-1529
Author(s):  
Michel W Lander ◽  
J (Hans) van Oosterhout ◽  
Pursey Heugens ◽  
Jorien L Pruijssers

Are governance practices employed by professional service firms equally effective in preventing professional-client misconduct for professionals at different stages of their career? Drawing upon professional-agency theory and the literature documenting professional career patterns, we develop a multilevel theoretical model to answer this question. We test our model in the empirical context of the Dutch legal profession, using firm-level survey data on 142 law firms and individual-level archival data from the 2994 lawyers working for these firms to explain 97 formally adjudicated complaints of professional-client misconduct committed by individual lawyers registered with the Amsterdam Bar Association. We find that the ‘orthodox’ distinction between informal behavioral and formal outcome-based governance practices is too course-grained to receive empirical support, and that firm-level governance practices only reduce professional-client misconduct when they are specifically targeted at the career stage of the lawyers employed. Our findings not only allow us to develop a finer-grained version of Sharma’s professional-agency model, but may also be practically useful in developing firm-level governance practices targeted at different strata of professionals.


1998 ◽  
Vol 11 (2) ◽  
pp. 65-70 ◽  
Author(s):  
J.D. van der Bij ◽  
T. Vollmar ◽  
M.C.D.P. Weggeman

Many views on quality management in professional service firms derived from ideas of industrial quality management. It seems that in the area of professional services these ideas are taken over without much criticism. For instance, the ideas on quality control and quality assurance generally are heavily based on the ISO 9000 standards. In The Netherlands the PACE‐standards have been deduced from the ISO 9000 standards for application in hospitals. In this paper it has been argued that in many cases a more situational approach will be preferable. A global framework for a quality system in a professional service firm has been presented.This framework has been compared with the restrictions for quality systems in hospitals, following from the PACE‐standards.


2011 ◽  
Vol 10 (1) ◽  
pp. 1-37 ◽  
Author(s):  
Julia Evetts

AbstractFor a long time, sociological analysis of professional work has differentiated professionalism as a special means of organizing work and controlling workers and in contrast to the hierarchical, bureaucratic and managerial controls of industrial and commercial organizations. But professional work is changing and being changed as increasingly professionals (such as doctors, nurses, teachers, social workers) now work in employing organizations; lawyers and accountants in large professional service firms (PSFs) and sometimes in international and commercial organizations; pharmacists in national (retailing) companies; and engineers, journalists, performing artists, the armed forces and police find occupational control of their work and discretionary decision-making increasingly difficult to sustain. This paper begins with a section on defining the field and clarifying concepts. This is followed by a second section on the concept of professionalism, its history and current developments. The third section discusses convergences between Anglo-American and Continental European systems of professions and the general, wider applicability of particular explanatory theories and analytical concepts in the field. Section four examines internationalizing processes affecting professions. Markets for professional services are increasingly international and professional regulation is now a matter for international professional federations as well as national and regional states. The final section provides summary and considers consequences for aspects of professionalism as an occupational value in the global world.


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