Clients and cases: ambiguity and the division of labour in professional service firms

2017 ◽  
Vol 12 (4) ◽  
pp. 408-426 ◽  
Author(s):  
Johan Alvehus
Keyword(s):  
Division Of Labour ◽  
Professional Service ◽  
Service Firms ◽  
Professional Work ◽  
Work Processes ◽  
Professional Service Firms ◽  
Content Type ◽  
The Core ◽  
The Way

Purpose By drawing on a detailed case study of the work of tax consultants, the purpose of this paper is to develop a more detailed understanding of the role of ambiguity in professional work, and its relationship to the division of labour in professional service firms (PSFs). Design/methodology/approach The paper is based on a three-year, longitudinal interpretive case study comprising 42 interviews, supplemented by observations and document data. Findings The research determines that processes of “obfuscation” and “privatisation” separate client work from case work. This maintains a division of labour between junior and senior professionals, which in turn facilitates financial leverage. The findings indicate that a more nuanced view on the role and origins of ambiguity is needed; particularly the role ambiguity plays in the division of labour. While inherent in professional work, ambiguity is also an effect of the way work processes are organised in order to obtain leverage. Research limitations/implications The research is based on a case study. Therefore, the paper explores its topic in empirical detail, but at the same time calls for exploring the topic in different contexts. The paper encourages further research on the role ambiguity plays being constituted by structural arrangements, and on the way the core of professionalism is inverted by the division of labour. The paper highlights the value of detailed empirical approaches for understanding professional work. Practical implications The paper draws attention to the way ambiguity becomes a part in sustaining a division of labour among professional workers, and to the importance of this in maintaining financial leverage as well as in creating a precarious work situation for junior professionals. Social implications The paper raises concerns about the way professional work is legitimated in society as opposed to how it is constructed in PSFs. Originality/value The paper challenges prevalent notions of professional work as ambiguous, offering instead a way of engaging with professional work processes in detail, theoretically and methodologically. Traditional assumptions about the division of labour and the “core” of professional work are problematized, and traditional assumptions about ambiguity as a cause of specific structural arrangements are questioned.

scholarly journals Segmentation of quantity surveying professional services for focus strategy and diversification

2019 ◽  
Vol 24 (3) ◽  
pp. 294-308
Author(s):  
Michael Adesi ◽  
De-Graft Owusu-Manu ◽  
Frank Boateng
Keyword(s):  
Oil And Gas ◽  
Sampling Technique ◽  
Simple Random Sampling ◽  
Professional Services ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Content Type ◽  
Quantity Surveying ◽  
Focus Strategy

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.

scholarly journals Diversification, Branding, and Performance of Professional Service Firms

2018 ◽  
Vol 21 (3) ◽  
pp. 353-364 ◽  
Author(s):  
Carolina Castaldi ◽  
Marco S. Giarratana
Keyword(s):  
Service Providers ◽  
Professional Service ◽  
Panel Regression ◽  
Service Firms ◽  
Professional Service Firms ◽  
Specific Product ◽  
The Core ◽  
Time Period ◽  
Consulting Firms ◽  
And Performance

This article analyzes the effects of diversification and brand breadth on firm performance for professional service firms (PSFs). The research aim is two-fold. First, we test whether moving into products may put at risk the core resources that sustain PSFs’ competitive advantage. Second, we study which branding strategies best match their diversification attempts. Broad (narrow) brands characterize a branding strategy with scarce (plentiful) associations to specific product characteristics. We analyzed trademark portfolios of 47 U.S.-based management consulting firms in the 2000 to 2009 time period. Panel regression results suggest that (1) PSFs always benefit from diversification when they remain pure-service providers; (2) performance is positively related to a strategy of specialized narrow brands.

Language at work in the Big Four: global aspirations and local segmentation

2018 ◽  
Vol 31 (7) ◽  
pp. 2031-2054 ◽  
Author(s):  
Dominic Detzen ◽  
Lukas Loehlein
Keyword(s):  
Corporate Culture ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Organizational Relationships ◽  
Native Languages ◽  
Content Type ◽  
Theoretical Concepts ◽  
Big Four

Purpose The purpose of this paper is to examine how professional service firms (PSFs) manage the linguistic tensions between global Englishization and local multilingualism. It achieves this by analysing the work of Big Four audit firms in Luxembourg, where three official languages co-exist: Luxembourgish, French, and German. In addition, expatriates bring with them their native languages in a corporate environment that uses English as its lingua franca. Design/methodology/approach The paper combines the institutionalist sociology of the professions with theoretical concepts from sociolinguistics to study the multifaceted role of language in PSFs. Empirically, the paper draws from 25 interviews with current and former audit professionals. Findings The client orientation of the Big Four segments each firm into language teams based on the client’s language. It is thus the client languages, rather than English as the corporate language, that mediate, define, and structure intra- and inter-organizational relationships. While the firms emphasize the benefits of their linguistic adaptability, the paper reveals tensions along language lines, suggesting that language can be a means of creating cohesion and division within the firms. Originality/value This paper connects research on PSFs with that on the role of language in multinational organizations. In light of the Big Four’s increasingly global workforce, it draws attention to the linguistic divisions within the firms that question the existence of a singular corporate culture. While prior literature has centred on firms’ global–local divide, the paper shows that even single branches of such firm networks are not monolithic constructs, as conflicts and clashes unfold amid a series of “local–local” divides.

Team learning capability – an instrument for innovation ambidexterity?

2019 ◽  
Vol 11 (4) ◽  
pp. 473-486 ◽  
Author(s):  
Victoria Helen Batt-Rawden ◽  
Gudbrand Lien ◽  
Terje Slåtten
Keyword(s):  
Structural Equation ◽  
Team Learning ◽  
Service Industry ◽  
Reliability And Validity ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Learning Capability ◽  
Content Type ◽  
Learning Capabilities

Purpose The aim of this paper is to develop the concept of team learning capability in professional service firms. Thereafter, to examine the effect of team learning capability on innovation ambidexterity. The aspects of exploitive and explorative knowledge creation in teams and its impact on incremental and radical service innovation are in focus. Design/methodology/approach Structural equation modelling was applied to establish reliability and validity and measure the size of relationships. Evidence is drawn upon an empirical sample of 210 consultants in the professional service industry. Findings The findings support the concept of team learning capability and reveal that team learning capability consists of relationship learning in teams, trusting team climate and employee commitment. The results indicate a strong positive relationship between team learning capability and innovation ambidexterity in professional service firms. Originality/value This study is the first to offer an empirical-based and contextualized framework for team learning capabilities and a valid measure.

Accounting firm partners to public corporation employees

2015 ◽  
Vol 11 (1) ◽  
pp. 96-129 ◽  
Author(s):  
Mark Edward Pickering
Keyword(s):  
Single Case ◽  
Professional Service ◽  
Company Performance ◽  
Service Firms ◽  
Professional Service Firms ◽  
Public Companies ◽  
Content Type ◽  
Accounting Firm ◽  
Study Approach ◽  
Publicly Owned

Purpose The purpose of this paper is to explore the implications on former accounting firm partners becoming employees of a publicly owned accounting corporation, the responses of the former partners and impacts on the acquiring company. Partners of accounting and other professional service firms selling their firms to publicly owned companies often remain with the acquiring company as employees and receive company shares as consideration for their firms. Agency theory suggests public ownership will result in changes to the roles of senior professionals with potential resistance and motivation consequences. Design/methodology/approach This paper uses a case study approach involving the review of publicly available information and interviews with executives and senior professionals of an Australian publicly owned accounting company, Stockford Limited. Findings The Stockford case indicates that selling their firm to a publicly owned company can have significant negative implications for accounting firm partners. The former partners struggled to adapt to their new roles as senior professional employees and shareholders. Their responses had significant impacts on company performance, which ultimately contributed to the collapse of the company, thus reflecting the power senior professionals retain regardless of the change of ownership form. Research limitations/implications Care is required when generalising findings of a single case to other professions and other geographic jurisdictions. Practical implications This paper has significant implications for entrepreneurs and executives consolidating professional service firms, partners considering selling their firms and investors in publicly owned professional service firms. Originality/value Despite the emergence of publicly owned accounting and other professional service companies and the importance and power of senior professionals in professional service firms, this is the first study to explore the implications on senior professionals of selling their firms to public companies.

INNOVATION AWARDS: REWARD, RECOGNITION, AND RITUAL

2017 ◽  
Vol 21 (05) ◽  
pp. 1740006 ◽  
Author(s):  
LISA CALLAGHER ◽  
PETER SMITH
Keyword(s):  
Risk Taking ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Service Firm ◽  
Detailed Case ◽  
Professional Service Firm ◽  
Pluralistic Contexts

This paper draws on a detailed case study of an innovation awards-giving scheme in a professional service firm to consider the role of discretionary awards in encouraging and displaying innovation capabilities. Because of their association with competition, it might seem that awards are likely tools in pluralistic contexts such as professional service firms where risk-taking and collaboration require deep relationships with clients and with professionals from different specialisations. We intend to show how managers and professionals mobilised around the scheme using the rewarding, recognising, and ritualising of innovation through awards, as a platform to initiate and promote other organisational processes that foster innovation capabilities.

An emerging market perspective of what makes professional service firms successful

2020 ◽  
Vol 17 (1/2) ◽  
pp. 57-78
Author(s):  
Felix Nana Abaka Sackey ◽  
Livingstone Divine Caesar
Keyword(s):  
Emerging Markets ◽  
Positive Impact ◽  
Emerging Market ◽  
Professional Services ◽  
Professional Service ◽  
Service Firms ◽  
Strategic Partnerships ◽  
Professional Service Firms ◽  
Content Type ◽  
The Impact

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.

Value Shop Configuration

2011 ◽  
pp. 1-9
Author(s):  
Petter Gottschalk
Keyword(s):  
Value Chain ◽  
Business Processes ◽  
Theory And Practice ◽  
Professional Service ◽  
Insurance Companies ◽  
Service Firms ◽  
Professional Service Firms ◽  
A Value ◽  
Long Time ◽  
The Way

To comprehend the value that information technology provides to organizations, we must first understand the way a particular organization conducts business and how information systems affect the performance of various component activities within the organization. Understanding how firms differ is a central challenge for both theory and practice of management. For a long time, Porter’s (1985) value chain was the only value configuration known to managers. Stabell and Fjeldstad (1998) have identified two alternative value configurations. A value shop schedules activities and applies resources in a fashion that is dimensioned and appropriate to the need’s of the client’s problem, while a value chain performs a fixed set of activities that enables it to produce a standard product in large numbers. Examples of value shops are professional service firms, as found in medicine, law, architecture and engineering. A value network links clients or customers who are or wish to be interdependent. Examples of value networks are telephone companies, retail banks and insurance companies. A value configuration describes how value is created in a company for its customers. A value configuration shows how the most important business processes function to create value for customers. A value configuration represents the way a particular organization conducts business.

International management challenges of professional service firms: a synthesis of the literature

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ciara O’Higgins ◽  
Tatiana Andreeva ◽  
Nekane Aramburu Goya
Keyword(s):  
Design Methodology ◽  
Quantitative Methods ◽  
International Management ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Content Type ◽  
Qualitative And Quantitative ◽  
Qualitative And Quantitative Methods ◽  
Practical Implications

Purpose This paper aims to identify what international management challenges professional service firms (PSFs) face and why they face them. Design/methodology/approach This study carries a focussed thematic literature review of 102 empirical articles. This paper uses content analysis to extract and aggregate challenges identified by researchers in their fieldwork and then analysed this data using qualitative and quantitative methods. Findings This study identifies 10 international management challenges that PSFs face and a number of causes for these challenges. The analysis also suggests that the distinctive characteristics of PSFs generate some of the international management challenges for PSFs. Practical implications This study helps PSF managers understand the international management challenges they may face depending on the specifics of their company, thus helping them better prepare their internationalisation. Originality/value This study contributes to providing a greater understanding of what is holding PSFs back in their internationalisation and why. It demonstrates that distinctive characteristics of PSFs may predict the challenges that PSFs will face, thus paving the way for further research on international management in PSFs and for the development of the diagnostic tool for practitioners that could help them to identify which challenges they should prepare for most.

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