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.

Intangible resources influencing the international performance of professional service SMEs in an emerging market

2018 ◽  
Vol 35 (1) ◽  
pp. 113-135 ◽  
Author(s):  
Lori Radulovich ◽  
Rajshekhar (Raj) G. Javalgi ◽  
Robert F. Scherer
Keyword(s):  
Emerging Markets ◽  
Structural Equation ◽  
Emerging Market ◽  
Professional Services ◽  
Relationship Building ◽  
Professional Service ◽  
Equation Modeling ◽  
Service Firms ◽  
Content Type ◽  
International Performance

Purpose The purpose of this paper is to empirically examine the relationships between the drivers of economic growth in emerging markets to include entrepreneurial orientation (EO), human capital (HC), relational capital (RC), and international performance (IP). Design/methodology/approach Data were collected from 199 small- to medium-sized Indian professional service entrepreneurs that employ less than 500 employees and engage in international business. Given the multidimensional nature of IP, structural equation modeling (SEM) was used to test the measurement and substantive models. Findings SEM and mediation tests confirmed significant relationships among the constructs in the model and indicated that HC can be leveraged for international growth using RC to deliver new professional services across borders. EO, the strongest predictor, along with HC and RC, directly influenced IP. The effect of HC is mediated by an EO and RC. Research limitations/implications By design, only successful professional service firms in India were studied, which limited generalizability. Practical implications Entrepreneurs can enhance the likelihood of international expansion success by utilizing highly skilled HC and developing strong network relationships. Entrepreneurial managers should leverage their professional service resources through judicious investments in personnel and relationship-building skills to develop RC. Originality/value This study examined entrepreneurial professional HC and RC as related to international entrepreneurship emerging market research. Data collection in India contributes to empirical research on internationalization from emerging markets.

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 Intellectual capital and organizational ambidexterity in Chinese and Irish professional service firms

2016 ◽  
Vol 3 (2) ◽  
pp. 94-114 ◽  
Author(s):  
Na Fu ◽  
Qinhai Ma ◽  
Janine Bosak ◽  
Patrick Flood
Keyword(s):  
Firm Performance ◽  
Organizational Performance ◽  
Intellectual Capital ◽  
Professional Service ◽  
Service Firms ◽  
Organizational Ambidexterity ◽  
Professional Service Firms ◽  
Content Type ◽  
Internal Management ◽  
The Impact

Purpose – Organizational ambidexterity enables firm to simultaneously exploit existing resources and explore new resources. It is associated with high levels of organizational performance. The purpose of this paper is to identify key internal management resources which contribute to building organizational ambidexterity. In particular, this study examines the impact of intellectual capital, i.e. human, social, and organizational capital, on organizational ambidexterity which in turn influences firm performance. Design/methodology/approach – The research was conducted within the context of professional service firms due to the importance of intellectual capital and organizational ambidexterity. Data were collected from 112 Chinese (cross-sectional design) and 93 Irish accounting firms (time-lagged design). Findings – Results provide support for the linkage of intellectual capital to organizational ambidexterity and firm performance. Interestingly, findings are mixed regarding the impact of the three types of capital resources on organizational ambidexterity across both countries. Practical implications – This study finds that various components of intellectual capital facilitate organizational ambidexterity which in turn improves firm performance. Therefore the authors provide managers with evidential support for the salience of intellectual capital in enabling organizations to simultaneously engage in exploiting existing resources while also exploring new ideas and opportunities. Originality/value – This study is unique in that it highlights the importance of internal management resources in building up organization’s ambidexterity capability. The link between intellectual capital and organizational ambidexterity was established using a rigorous research design which has not been done before. It also emphasizes the role of people in leading to organizational effectiveness via developing organizational ambidexterity. Furthermore the evidence is gathered in two countries.

The impact of change readiness on the knowledge sharing process for professional service firms

2014 ◽  
Vol 18 (4) ◽  
pp. 687-709 ◽  
Author(s):  
Fariza Rusly ◽  
Peter Yih-Tong Sun ◽  
James L. Corner
Keyword(s):  
Knowledge Sharing ◽  
Service Industry ◽  
Change Readiness ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Content Type ◽  
Organisational Context ◽  
Holistic Understanding ◽  
The Impact

Purpose – The study aims to assess the influence of change readiness on the knowledge sharing process. This study proposes that readiness for knowledge sharing involves developing holistic understanding of the process through identification of individual and organisational readiness. Design/methodology/approach – The study adopts a qualitative case study design involving three New Zealand professional service firms (PFSs). Using grounded theory analysis, categories and concepts of change readiness that shape the knowledge sharing process were identified. The linkages among these elements offer an explanation of how readiness for knowledge sharing is formed. Findings – Findings show that beliefs regarding knowledge sharing and individual expertise determine individual readiness to share knowledge. Readiness for the process is escalated by instilling collective commitment for knowledge sharing. A conducive organisational context, which comprises communication, participation and learning, represents a firm’s capability to implement the knowledge sharing process. Findings also highlight the moderating influences of firm archetype, inter-profession differences and knowledge nature in the interplay between change readiness elements and the knowledge sharing process. Research limitations/implications – Findings reveal elements that motivate readiness for knowledge sharing from a change perspective. The propositions and theoretical model offered could extend understanding of the phenomena and lead to further studies assessing readiness for other knowledge management processes. The study involves three PFSs; hence, interpretation of the findings is limited within the scope and context of the study. Practical implications – Findings contribute to the formulation of firms’ knowledge sharing strategies by offering holistic insights into the importance of motivating readiness for knowledge sharing through consideration of multidimensional change readiness: individual and collective beliefs, individuals’ characteristics and organisational context. Originality/value – It is the first empirical study that seeks to develop theory how change readiness elements influences knowledge sharing in the organisation. To offer more contextualised findings, the study focusses on the phenomena of change readiness and knowledge sharing within the professional service industry.

Measuring client-based corporate reputation in B2B professional services: scale development and validation

2015 ◽  
Vol 29 (3) ◽  
pp. 173-187 ◽  
Author(s):  
Gianfranco Walsh ◽  
Sharon E Beatty ◽  
Betsy Bugg Holloway
Keyword(s):  
Reliability And Validity ◽  
National Sample ◽  
Professional Services ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Content Type ◽  
Professional Services Firms ◽  
Business To Business ◽  
Business Professional

Purpose – The purpose of this paper is to develop and validate a client-based reputation of business-to-business professional services firms scale (PSF-Rep) which measures clients’ perceptions of the reputation of professional service provider firms. So far, no multidimensional scale exists in the literature to measure the reputation of professional service firms, although the reputation dimensions of importance are likely to be very different from other settings. Design/methodology/approach – From an initial pool of fieldwork-based items, an 18-item PSF-Rep scale is developed, which is validated using several samples – corporate financial decision-makers’ views of their accounting firms in a US national sample and organizational clients of one large legal firm with national presence. Findings – The four-dimensional PSF-Rep scale meets all established reliability and validity criteria. Further, reputation and its dimensions (using PSF-Rep) are positively associated with important marketing outcomes, including word of mouth, loyalty intentions, trust and share of wallet. Originality/value – As professional service markets become more competitive, firms recognize the importance of a good reputation in attracting customers. This research is the first to propose a psychometrically robust measure to capture client-based reputation of business-to-business professional services firms.

Queering accounting: opening up and connecting professional services firms

2018 ◽  
Vol 9 (5) ◽  
pp. 625-635 ◽  
Author(s):  
Nicholas McGuigan ◽  
Alessandro Ghio
Keyword(s):  
Queer Theory ◽  
Research Impact ◽  
Business Environment ◽  
Critical Discussion ◽  
Professional Services ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Accounting Profession ◽  
Content Type

Purpose The purpose of this paper is to provide a commentary on the research undertaken by Egan (2018), arguing for the themes of opening and connecting to be embraced, adopted and practiced by professional service firms, those who work within them and the academic researchers actively engaged in investigating this field. Design/methodology/approach This study provides insights into the need for professional service firms to ensure breathing space for LGBTQI-identifying accountants rather than a simple acceptance and assimilation of LGTQI peoples within the consolidated heteronormative structures of the accounting profession. Starting from the recent societal and legislative changes coupled with the ongoing disruption of the business environment, this paper urges professional service firms and accounting researchers to open up and connect to cultural identification, theory, research ideas, research methodologies and research impact and dissemination. Originality/value This study represents the beginning of a discussion around the lifeworlds of LGBTQI-identifying accountants and how embracing these may be beneficial for their accounting profession. It provides a critical discussion of the current use of Queer Theory and it supports future studies around the notion of “intersectionality.” It also includes empirical evidence about connecting academic, professional and public communities around the topic of “Queering Accounting.”

scholarly journals From outsider to insider: how creative professional service firms internationalise

2018 ◽  
Vol 35 (5) ◽  
pp. 869-888 ◽  
Author(s):  
Deirdre McQuillan ◽  
Pamela Sharkey Scott ◽  
Vincent Mangematin
Keyword(s):  
International Business ◽  
Professional Services ◽  
Professional Service ◽  
Business Strategies ◽  
Local Market ◽  
Service Firms ◽  
Structured Interviews ◽  
Professional Service Firms ◽  
Content Type ◽  
Business Professional

Purpose The management of reputation and status is central to creative professional service firms (CPSFs) rendering the internationalisation process a particular challenge. The authors build on arguments that internationalisation requires moving from outsidership to insidership within client networks and focus on how CPSFs build signals about quality to start this process. The paper aims to discuss these issues. Design/methodology/approach The exploration draws from the international business, professional services and organisational status bodies of literature. A multiple case study design was developed comprising ten Irish architecture firms. In-depth semi-structured interviews were conducted. Findings The findings clarify how relationships start in the internationalisation process through signal building about quality. This allows CPSFs to join client networks moving from outsidership to insidership. The findings systemise three different approaches for CPSFs: from outsidership to insidership within a local market network, within a global industry network and within a global project network. Research limitations/implications Research within other sectoral and geographical contexts could support transferability of the findings. Practical implications The study has implications for international business strategies as it identifies multiple paths to relevant network insidership and the tactical responses managers can use to achieve this. Originality/value The authors believe that incorporating signal-building mechanisms into the internationalisation process is a novel approach to theorizing about how CPSFs move from outsidership to insidership. The authors offer important theoretical insights into the international business, professional service firm and organisational status literatures. CPSF business leaders should benefit as it helps them to focus on a portfolio of signal-building approaches that can start the internationalisation process.

Remote working, management control changes and employee responses during the COVID-19 crisis

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Gianluca F Delfino ◽  
Berend van der Kolk
Keyword(s):  
Design Methodology ◽  
Management Control ◽  
Professional Service ◽  
Primary Data ◽  
Service Firms ◽  
Professional Service Firms ◽  
Content Type ◽  
Data Source ◽  
The Impact ◽  
Employee Responses

PurposeThe authors examine the impact of the sudden shift to remote working, triggered by the coronavirus disease 2019 (COVID-19) crisis, on management control (MC) practices in professional service firms (PSFs). In addition, employee responses to these changes are explored.Design/methodology/approachThe authors carried out a field study of MC changes in PSFs in Italy, the first country in Europe that was severely impacted by COVID-19. Interviews with PSF employees form the primary data source. Pattern matching was used to identify similarities and differences and investigate how employees respond to the MC changes.FindingsAs a response to the shift to remote working, managers at PSFs made various MC-related changes. For instance, they increased the number of online meetings and made use of technologies to monitor employees from a distance. Employees reacted to this by engaging in “voluntary visibilizing practices”, i.e. by trying to make sure they got noted by their superiors, for instance by doing overtime. In addition, collected evidence suggests increased stress levels among employees, changes to employee autonomy, changed perceptions of hierarchies and a weakened sense of relatedness with others in the organization.Originality/valueThis is one of the first studies to examine the impact of the sudden shift to remote working on MC. In addition, this paper contributes by exploring employee responses to the MC-related changes. The findings add to the growing literature on MC and motivation, and the notion of voluntary visibilizing practices is mobilized to warn against over-commitment and self-exploitation.

Picking professionals: a client-centric knowledge assessment framework

2018 ◽  
Vol 22 (4) ◽  
pp. 333-345
Author(s):  
Tale Skjølsvik ◽  
Karl Joachim Breunig
Keyword(s):  
Knowledge Management ◽  
Professional Services ◽  
Point Of View ◽  
Professional Service ◽  
Service Firms ◽  
Professional Service Firms ◽  
Content Type ◽  
Starting Point ◽  
Recent Developments ◽  
Knowledge Intensive

Purpose This paper aims to explore how professional competences are defined and assessed by clients of professional service firms (PSFs). Extant research has studied the knowledge base of professionals, but limited research has been conducted to develop an understanding of how clients value this knowledge. Design/methodology/approach The study is based on in-depth qualitative research design, which is suitable for inductive theory building. The collected data consist of interviews with 80 clients and sellers of professional services. Findings The authors offer a framework detailing the interrelationships between knowledge, experience and references as assessed by clients. In particular, references are used to evaluate experience, which in turn function as a proxy for how clients assess knowledge. Also, the study shows how the clients’ assessment of professional knowledge assets involves multiple levels and factors. Research limitations/implications Limited research has been conducted to understand client preferences and PSF competitive advantage from a client perspective. This paper contributes to extant literature on knowledge management by integrating it with insights from recent developments within service marketing focusing on client centricity and the role of clients in value creation. This perspective complements and extends what is already known about knowledge management. Practical implications The paper suggests that while it is essential to manage knowledge as such, references and experience has a very central role in selling and commercializing knowledge-intensive services. Thus, to the degree that clients buy knowledge, sellers should think carefully about how experience and references are developed, captured and conveyed to clients. From a client point, the identified framework has value in offering a client-centric conceptualization of knowledge that can be used as a starting point in defining their knowledge needs and in structuring and professionalizing their purchasing efforts related to professional services. Originality/value Knowledge-intensive service organizations sell their knowledge and resources to clients directly as experts and indirectly through their services. It is therefore imperative for these organizations to understand how their knowledge is evaluated by buyers. The paper takes a unique client-centric perspective in understanding knowledge from a buyer’s point of view and as perceived by the buyer, which largely has been lacking in existing knowledge management research.

Innovation and competitive advantage creation

2018 ◽  
Vol 35 (4) ◽  
pp. 580-600 ◽  
Author(s):  
Thomas Anning-Dorson
Keyword(s):  
Emerging Markets ◽  
Competitive Advantage ◽  
Emerging Economies ◽  
Emerging Market ◽  
Power Distance ◽  
Leadership Role ◽  
Service Firms ◽  
Cultural Perspective ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to explain how emerging market firms create competitive advantage through innovation. The study through the upper echelon theory and the power distance cultural perspective examines the mediating role of organisational leadership in the innovation and competitive advantage relationships. Design/methodology/approach Data were collected from the service sectors of two emerging economies, i.e. India and Ghana. Robust standard error regressions were run at two levels. First, at the specific country level and later on the aggregated level for robustness check. Findings The results show that in both India and Ghana, innovation largely relates positively with competitive advantage. In specific terms, market innovation was found to be the most significant determinant of competitive advantage in both contexts. Additionally, organisational leadership was also found to be mediating between innovation and competitive advantage in both contexts independently and collectively to confirm the effect of power distance and leadership role in such cultures. Research limitations/implications The current study looks at only two emerging markets with high power distance cultures. The implication is that the impact of leadership may differ in emerging economies with low power distance. Originality/value The current study looks beyond the mundane relationship between financial performance measures and innovation to assess innovation and competitive advantage in emerging markets context, which has not received the needed attention. It further explains how emerging markets firms can ride on the back of power distance to create a competitive advantage with their innovation development and implementation through organisational innovation leadership. The study offers that the maximum exploitation of the beneficial effect of innovation – competitive advantage – in service firms can only be achieved when leaders spearhead the innovation process and see it through implementation.

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