The Synthesis of an Analytical Model for Professional Service Firms

The development of a conceptual model of the professional firm which is drawn from two broad areas is summarised: the task‐oriented literature centred on the abilities of those involved and the people‐oriented literature centred on their motivation. The model is built in stages and its utility tested through an inter‐firm comparison of 36 firms, which is described briefly. The full model is found to explain 86 per cent of the variation in profitability of the firms as measured by a profit/income ratio.