Strategic Management of ProfessionalService Firms	2
	Preface	5
	Introduction	6
	Contents	10
	List of Figures	13
	Part I Professional Service Firms	16
	Chapter 1 The World of Professional Service Firms	17
	1.1 What Are Professional Service Firms?	17
	1.2 Management Challenges and Approaches for Professional Service Firms	19
	1.2.1 Management of Professionals	21
	1.2.2 Design of Organizational Structures Organizational Structures	22
	1.2.2.1 The Vertical Structure of the Professional Pyramid	22
	1.2.2.2 The Horizontal Structure of the Professional Pyramid	24
	1.2.3 Development of the Corporate Culture	24
	1.3 Strategic Challenges and Approaches for Professional Service Firms	26
	Notes	28
	Chapter 2 The Business of Professional Service Firms	30
	2.1 Types of Professional Service Firm Businesses	30
	2.2 Remuneration Forms in Professional Service Firms	32
	Notes	33
	Chapter 3 The Subsectors of Professional Service Firms	34
	3.1 Auditing Firms	36
	3.2 Corporate Law Firms	39
	3.3 Consulting Firms	39
	3.4 Recruitment Agencies	42
	3.5 Investment Banks	44
	3.6 Communication Agencies	45
	3.7 Engineering Service Providers	46
	Notes	47
	Part II Management of Strategic Resources	49
	Chapter 4 Quality Management	50
	4.1 Increase of Service Quality	52
	4.1.1 Knowledge in Professional Service Firms	52
	4.1.2 Knowledge Strategies for Professional Service Firms	53
	4.2 Development and Use of Social Competence	55
	4.2.1 Approaches to Increase Service Quality	56
	4.2.2 Approaches to Increase Quality Perception	57
	4.3 Reputation and Trust as Long-Term Quality Criteria	59
	4.3.1 The Significance of Reputation in Professional Service Firms	59
	4.3.2 Types of and Approaches to Increase Reputation	60
	4.3.3 Trust as Success Factor for Knowledge-Intensive Service Providers	62
	4.3.3.1 The Risk of Knowledge-Intensive Services	63
	4.3.3.2 Development Mechanisms of Trust	65
	Notes	67
	Chapter 5 Knowledge Management and Innovation	70
	5.1 Knowledge and Innovation as Key Success Factors in Professional Service Firms	70
	5.1.1 Knowledge -- A Definition	71
	5.1.2 Innovation -- A Definition	72
	5.2 Management of Knowledge	73
	5.2.1 Strategic Focus	74
	5.2.2 Key Tasks	75
	5.2.2.1 Knowledge Management Controlling	76
	5.2.2.2 Knowledge Transparency	77
	5.2.2.3 Knowledge Acquisition	78
	5.2.2.4 Use of Knowledge	79
	5.2.2.5 Preservation of Knowledge	80
	5.2.3 Critical Influence and Success Factors	81
	5.3 Innovation as a Special Challenge	81
	Notes	84
	Chapter 6 Marketing and Relationship Management	86
	6.1 Criteria when Purchasing Professional Services Purchasing Professional Services	86
	6.2 Effective Marketing of Professional Services	88
	6.2.1 Marketing Aversion of Professionals	88
	6.2.2 Professional Service Marketing as Special Service Marketing	89
	6.2.3 Fundamentals of a Relationship Marketing Strategy	89
	6.3 Operative Professional Service Marketing	92
	6.3.1 Implementation of the Relationship Marketing Strategy	92
	6.3.2 Acquisition of New Clients	93
	6.3.3 Marketing Strategies for Existing Clients	95
	Notes	96
	Part III Management of Professionals	98
	Chapter 7 Human Resource Management in Professional Service Firms	99
	7.1 Objectives and Challenges	99
	7.1.1 Development of Performance	100
	7.1.2 Performance Optimization	100
	7.2 Performance Analysis as Informational Basis	101
	7.2.1 Performance Evaluation	102
	7.2.2 Evaluation of Requirements	103
	7.3 Acquisition of Professionals	103
	7.3.1 Relevant Market Segments	104
	7.3.2 Challenges in the Market Segments	104
	7.3.3 Development and Implementation of Adequate Acquisition Strategies	105
	7.4 Motivation of Professionals	106
	7.4.1 Monetary Incentives	107
	7.4.2 Non-monetary Incentives	108
	7.4.3 Career Incentives	108
	7.5 Development of Professionals	109
	7.5.1 Development of Individual Performance	110
	7.5.1.1 Development by Personal Experience	110
	7.5.1.2 Development by External Experience	111
	7.5.1.3 Development by Synthetic Experience	112
	7.5.2 Development of Collective Performance	112
	Notes	114
	Chapter 8 Professional Service Firms as High Performance Work Systems	115
	8.1 The Idea of High Performance Work Systems	115
	8.2 Elements of a High Performance Work System	116
	8.2.1 Performance	119
	8.3 From High Performance Work Systems to Employee Performance	119
	8.3.1 Motivation	120
	8.3.2 Commitment	121
	8.4 Professional Service Firms as Field of Application of High Performance Work Systems	122
	Notes	124
	Chapter 9 Work-Life Balance in Professional Service Firms	126
	9.1 Ideas About the Balance of Work and Life	127
	9.2 Factors Influencing Work-Life Balance	128
	9.2.1 The Life Cycle as Framework for WLB Measures	128
	9.2.2 Personality Traits, Attitude, Values	129
	9.3 Promotion of the Work-Life Balance of Professionals	129
	9.3.1 WLB Measures for 'Unaffected' or 'Affected' People?	130
	9.3.2 Categories of Work-Life Balance Measures	131
	9.4 Positive Impacts of a Good Work-Life Balance	132
	9.4.1 Attitudinal Effects	133
	9.4.2 Behavioral Effects	133
	9.4.3 Effects on Health and Well-Being	134
	9.4.4 Economic Effects	134
	Notes	135
	Chapter 10 The Alumni Network	137
	10.1 Origins of Alumni Networks in Professional Service Firms	138
	10.2 Organization and Size of Alumni Networks	138
	10.3 Key Elements and Selectivity	139
	10.4 Relevance of Alumni Networks as Success Factor	140
	10.4.1 Improvement of Acquisition of Talented Employees	141
	10.4.2 Survival of the Corporate Culture	141
	10.4.3 Strengthening of Critical Resources	142
	10.4.4 Support of Marketing of Services	142
	10.5 Implications for the Management of Professional Service Firms	143
	10.5.1 Creation of Organizational Framework Conditions	143
	10.5.2 Linking Alumni Network Management with Human Resources Management (HRM)	144
	10.5.3 Strategic Focus of HRM on the Management of Alumni Networks	145
	10.6 Development Tendencies of Alumni Networks in Professional Service Firms	146
	Notes	147
	Part IV Management of Strategic Development	150
	Chapter 11 Strategic Development of Professional Service Firms	151
	11.1 Generic Options for Strategic Development	151
	11.1.1 Growth and the Competitive Situation in the PSF Sector	151
	11.1.2 Strategic Development Options for Professional Service Firms	154
	11.2 Organic Development	156
	11.2.1 Internal Growth Opportunities	156
	11.2.2 Structural Challenges of Internal Implementation	159
	11.3 External Development Through Acquisitions Acquisitions	160
	11.3.1 Opportunities and Limits of Management Acquisitions	160
	11.3.2 Integration Challenges	161
	11.4 External Development Through Cooperations	162
	11.4.1 Networks as Specific Form of Cooperation	163
	11.4.2 Requirements for a Successful Cooperation	164
	Notes	165
	Chapter 12 Networking as a Strategy for Small and Medium Professional Service Firms	167
	12.1 The Basic Problem	167
	12.2 Value-Adding Networks, Social Capital and Professional Service Firms	168
	12.2.1 Social Capital -- A Critical Network Perspective	169
	12.2.2 Seminal Statements	169
	12.3 Configuration of Value-Adding Networks for Small and Medium Professional Service Firms	171
	12.3.1 Structural Aspects of Value-Adding Networks	172
	12.3.2 Aspects Beyond Structure	174
	Notes	176
	Chapter 13 Surviving Crises--Crisis Management	178
	13.1 Growth Crises in the PSF Sector	178
	13.2 Strategic Options	178
	13.2.1 Adapting the Tournament	179
	13.2.2 Horizontal Structuring	180
	13.2.3 Vertical Restructuring	181
	13.3 Company Areas Relevant for Crisis Management Crisis Management	182
	13.3.1 Personnel Measures	183
	13.3.2 Special Sales Measures During Times of Crisis	184
	13.3.3 Compliance Measures	185
	Notes	186
	Chapter 14 Archetype Change Towards Management	187
	14.1 Dimensions of Archetypes	187
	14.2 P2 and the Managed Professional Business	189
	14.3 Change of Archetype Yes or No?	190
	Notes	192
	References	193
	About the Authors	207
	About the Authors	207
	About the Co-authors	208
	Index	210