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Investigates the role of the professional in a firm offering professional services aiming to answer the questions of: what marketing activities the professional might use; what proportion of his/her time should be divided into what areas; and how marketing sales and costs might be calculated. Looks at current practices in this area, and attempts to find conceptual frameworks to guide professional service firms in the marketplace.

This paper aims to extend the current research on zone of tolerance (ZOT) and its antecedents, to the context of business-to-business (B2B) professional services from both client and service firms’ perspectives, with a modified ZOT framework including five client and service firms attributes as antecedents of desired (DSL) and adequate (ASL) service levels. Prior research on zone of tolerance (ZOT) and its antecedents mostly focuses on business-to-consumer services and customers’ perspective. The authors address these gaps with a modified ZOT framework with five attributes of client and service firms as antecedents of customer expectations, namely, desired service level (DSL) and adequate service level (ASL), for business-to-business (B2B) professional services.

A combination of qualitative (focus groups) and quantitative (online survey) research methods with managers of professional audit firms and their clients, using a reduced AUDITQUAL instrument with 39 items and seven dimensions.

Professional firm size and fee premium have a positive effect on DSL; service tenure positively influences both DSL and ASL; client firm size has a negative effect on DSL; both client and service firm sizes positively moderate each other’s influence on the DSL; and DSL positively influences ASL.

The authors study a single B2B professional service (audit) in a single city (Hong Kong) from a single perspective (customers) that may limit the generalizability of the findings. Future research should validate the findings for other B2B professional services in diverse locations and also include service providers’ expectations and perceptions.

Managers in professional service firms should understand the factors influencing different levels of expectations for their customers and develop suitable strategies (e.g. customer education and employee training) to manage these expectations more effectively.

The authors extend current research on customer expectations and ZOT by identifying five unique attributes of professional service and client firms and testing their roles as antecedents of adequate and DSLs using AUDITQUAL instrument.

This study investigates whether or not accounting and legal decision-makers at publicly traded US firms exhibit a professional affiliation bias with respect to their selection of business service providers. Executives at NYSE or NASDAQ firms who were affiliated with the accounting profession, the legal profession, or neither profession indicated their likelihood of using one of three randomly assigned types of firms (i.e., a CPA firm, a law firm, or a firm with both CPA and attorney partners) to provide five selected business services. The five business services represent the range of accounting and legal services that firms often outsource: audit, tax representation, mergers and acquisitions, trade regulation/interstate commerce, and litigation. We find that executive level decision-makers at publicly traded US firms do exhibit a professional affiliation bias in the selection of business service providers and that this professional affiliation bias is stronger in attorneys than in CPAs. The fact that all respondents were NYSE or NASDAQ executives, rather than students or another surrogate population, provides additional relevance and generalizability to our findings. Identifying this bias can help executives avoid suboptimal initial selection decisions and/or inaccurate performance evaluations of external business service providers.

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.

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.

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.

The study was limited to numeric analyses and so would be complemented by qualitative research in the future.

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.

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.

Existing measures of productivity were designed to measure productivity in industries in which both input and output are tangible standardised quantities. They are inadequate for productivity measurement of professional services, where intangible and specialised factors of production are in use. This paper seeks to address the difficulties associated with the measurement of productivity of professional service firms and to propose a more adequate measure of productivity in these industries. This measure is tested on a sample of Swedish management consulting firms, and is assessed in relation to several performance indicators of these firms. The findings illustrate the inadequacy of the manufacturing‐based measurement procedures and demonstrate that a measure which acknowledges the unique characteristics of professional services correlates better with firms’ performance. As this field of research is in its infancy, these findings are only suggested as indications for direction in which future research is needed.

Going from the short list to winning the contract is critical to a professional service provider, yet relatively few studies have investigated selection criteria used in this last stage of the selection process. This paper presents a qualitative study that examined the dynamics of the selection process, identified decision criteria which business and organizational clients use when selecting a professional service provider from their short lists, and investigated ways in which client firms assess competing professional service providers on intangible attributes, e.g. personal chemistry. Clients who had recently awarded a contract to a firm in the “built environment” industry (e.g. an architectural and engineering firm) were sampled. Their responses to open‐ended questions provided rich data that revealed factors considered in the selection of a professional service provider in the final presentation/interview stage and yielded insights into nuances of the selection process. Managerial recommendations for getting from the short list to the contract are presented.

Information technology (IT) and, in particular, the Internet is dramatically impacting on the services sector. This paper specifically investigates the relative impact of several forms of Internet use on perceived performance for two groups of service organisations – retail service firms and professional health service firms. Using a mailed‐out self‐administered questionnaire, 625 completed questionnaires were obtained, and 43 per cent of respondents reported that they used the Internet. Thus the final usable sample in the study comprised 262 respondents. Results showed that the Internet does significantly influence perceived performance in both types of service firms. However, there are differences in the forms of Internet use between the two service groups and their relative effect on performance. For retail firms, use of transactional function, such as ordering, selling and payment, was found to be positively related to increases in perceived performance. In contrast, for professional health service firms, the ability to search for information on products and/or services was found to be positively associated with perceived performance. Finally, theoretical and managerial implications of the findings of this study are discussed.

Professional service organizations are finding themselves increasingly involved with marketing in order to develop and maintain relationships with their clients. Restricted by professional standards, and hindered by a lack of experience, firms are struggling to understand marketing and implement marketing programs. Nowhere is this struggle more evident that in the accounting profession, where firms are regulated by professional standards and guidelines. Based on a series of one‐on‐one interviews with accounting professionals, American Institute of Certified Public Accountants standards and guidelines, and information from both practitioner and academic literature, this research identifies the extent to which firms are following the prescriptive advice. Discussions of initiatives are provided as guidelines for further implementation of marketing strategies in the accounting profession and other professional service firms that are following in the accountants’ footsteps.

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.

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.

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.

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.

This paper presents an exploratory study to understand the distinctive quality dimensions of high-contact Professional Service Firms (PSFs) and develop a conceptual model for Quality Management (QM). The paper is based on empirical evidences from multiple cases in leading Indian law firms.

The paper adopted an exploratory, multiple, embedded and comparative case study design. The empirical evidence from multiple case studies in 10 law firms (data includes 42 individual interviews, archival records, field notes) was used to explore the QM dimensions for PSFs.

The results showed that QM in PSFs is a multifaceted and continuous process rather than a straightforward and episodic one. The findings reveal three distinctive dimensions of QM for PSFs: managing the firm's image; managing the client-firm interaction and support processes and; managing the perceived value of service outcome. Further, the results showed a significant variation in the design of QM practices in a relatively homogenous group of PSFs (law firms). This reflected the influence of personnel and organizational characteristics on the QM.

The research is based on evidences collected from 10 Indian law firms and the research design is exploratory in nature. The future research is suggested in terms of extending the scope and research design.

The insights obtained from the paper have implications for managers working on the design of service operations and particularly service quality in high-contact PSFs similar to law firms. While the study does not prescribe a standard design of QM systems for PSFs, it seeks to foster the thinking of managers by helping them conceptualize the broad quality-control checkpoints and quality attributes specific to PSF settings

The academic research in the management of professional service quality is dominated by conceptual/theoretical models for customer evaluation of service provider's performance and the issue of operationalization of QM in PSFs is still needs further investigation. This paper contributes to the theory of service operations management (SOM) by focusing on the structure of QM systems in PSFs.