ORGANISING FOR INNOVATION IN PROFESSIONAL SERVICES FIRMS: ECONOMETRIC EVIDENCE FROM THE UK

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

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.


2015 ◽  
Vol 36 (6) ◽  
pp. 779-807 ◽  
Author(s):  
Mark E. Pickering

There has been a trend of large professional service firms (PSFs) to move from the partnership form of ownership to alternative ownership forms. As part of this trend large, publicly-quoted accounting companies have emerged in Australia, the US and the UK. Research on how publicly-owned PSFs, including accounting companies, are governed, whether aspects of the governance of partnership persist, why particular governance interpretive schemes and associated structures and systems are implemented and implications for performance is sparse. This study explores the interpretive scheme of governance in two Australian publicly-quoted accounting companies and finds one of the companies to have mimicked the major attributes of the partnership interpretive scheme while the other company moved to a corporate form of governance eliminating all vestiges of the partnership interpretive scheme. Governance was found to have significant implications for the performance of the companies with moving from a partnership interpretive scheme contributing to the ultimate failure of one of the companies. The cases suggest that failed experiments in the governance of publicly-owned PSFs, a relatively recently emerged ownership form in some professions, may contribute to conflicting prior findings on the implications of ownership form for the performance of PSFs. Two alternative approaches to the introduction of corporate style governance structures and systems were identified with the findings suggesting potential benefits of evolution rather than revolution. Based on the findings, a theoretical model of the interpretive scheme of governance of publicly-traded PSFs is developed including factors affecting the interpretive scheme implemented and the introduction of more corporate-like governance structures and systems, potential performance implications of PSFs moving away from a partnership interpretive scheme and the conditions and contingencies under which the relationship may hold. The paper also extends the application of agency theory to publicly-owned PSFs.


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.


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.


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.


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.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Christopher Findlay ◽  
Hussain Gulzar Rammal ◽  
Elizabeth Rose ◽  
Vijay Pereira

Purpose This study aims to the influence and impact of regulations and highlights the barriers to market entry faced by Australian professional service firms in the European Union (EU) and their strategies to manage and transfer tacit knowledge. Design/methodology/approach The authors collected data by reviewing relevant regulatory documents and conducting semi-structured interviews with key informants from Australian architecture firms and senior representatives from the professional, trade and regulatory bodies in Australia and Europe. Findings Historically, Australian professional service firms use the United Kingdom (UK) as their EU base. The mutual recognition of qualifications and prior experiences are barriers to intra-organizational expatriation and knowledge transfer. The study identifies the dual nationality of the architects as a way of circumventing the residency/nationality restrictions. Originality/value The study discusses Brexit and how the uncertainty surrounding the UK and EU’s agreement adds to the complexity for non-European firms’ market entry and operations in the region.


2015 ◽  
Vol 29 (3) ◽  
pp. 173-187 ◽  
Author(s):  
Gianfranco Walsh ◽  
Sharon E Beatty ◽  
Betsy Bugg Holloway

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.


2018 ◽  
Vol 9 (5) ◽  
pp. 625-635 ◽  
Author(s):  
Nicholas McGuigan ◽  
Alessandro Ghio

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.”


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