Firms' power base often 'ambiguous'
Partnership structures often make it hard to nail down who wields the power in a firm, finds Cass Business school professor Laura Empson
Partnership structures often make it hard to nail down who wields the power in a firm, finds Cass Business school professor Laura Empson
AN ACCOUNTING FIRM‘s power base doesn’t necessarily sit at the top with the management team, a report has suggested.
In the report Who’s in Charge?, by professor Laura Empson of Cass Business School, she finds ambiguities in what is expected of those placed in leadership roles with professional services firms. Structures that include a managing and senior partner often have little in the way of delineation in duties. Other examples show that the collegiate nature of partnerships sees an ‘unsaid’ devolution of power among individuals.
In some examples, ambiguity in terms of the powerbase can be valuable in the decision-making process.
Where a core group of partners effectively hold power, individuals can use their political skills to “wield considerable power”, where overall leadership is ambiguous. “If they are among the few who really understand the leadership dynamics within the firm, then they are in a particularly strong position to influence them,” the report states.
The research saw an in-depth study and interviews with three large professional service firms. Additional research on the relationship between service line heads and managing partners saw more than 40 interviews undertaken. Another 700 sources were consulted during the process.
More about:
The numbers you crunch tell a story. Your expertis...
11yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleCelebrating excellence in the accounting profession, Accountancy Age's Top 50+50 2023 spotlights the top accountancy firms in the UK. Brought to...
View articleCelebrating excellence in the accounting profession, Accountancy Age's Top 50+50 2022 spotlights the top accountancy firms in the UK Read More...
View articleOffering a broad range of advisory services, alongside core audit provision, is the key to achieving strong market position, according to a number of...
View articleData from Accountancy Age’s inaugural Mid-Tier Power Index (MTPI) shows firms are winning business from larger rivals by championing employee and clie...
View articleThe UK job market could shrink by 30% in the next decade due to automation , new research suggests Read More...
View articleLeaders at mid-tier firms maintain they can compete with the Big Six on Read More...
View articleReferrals may not be the most fruitful source of new business anymore, experts say Read More...
View articleOffering more services is helping firms overcome challenging financial conditions Read More...
View article