Research and news relevant to the accounting profession
One of my professors once flippantly remarked that in legal practice, the most amusement associates can have is giving juniors the task of checking inconsequential minutiae in a contract – and asking for it to be returned before they went home yesterday.
At once cruel and amusing, this is also a basic form of outsourcing: sending minor or mundane work to less experienced staff who operate at lower cost. (more…)
In Australia it used to be that we talked about the Big Six law firms. But the wave of globalisation in the last five years has washed away the old familiar shoreline, leaving in its place outcroppings of mergers, greenfield start-ups, and acquisitions. In its wake, some old names have vanished, others have mixed with new, and new-to-Australia names now abound – all as the winds of globalisation blow. (more…)
This post explains why firms need to avoid impulse bidding when times get tough. And Keith Dugdale, our guest blogger, advises what firms should be doing instead to win new work.
‘Panic stations’ is a feeling all too many firms experience as they head down the slippery slope of starting to believe ‘Because you never know, we just might win’, ‘Anyway, we really need the work’ and ‘We’ve got salaries to pay, and there’s not much work around.’ (more…)
Beaton's research amongst 10,000s of clients of professional services firms over the last 10 years shows that perceived price is positively correlated with the value perceived by clients. Yes, that's positively correlated. In other words, the higher the price, the higher the value perceived by current buyers users of the service.
In these days of enormous price-down pressure on every firm in every profession, this finding – that perceived price is positively correlated with perceived value – warrants repeating. And explaining. And testing. And learning to use in practice. That's because it's seems at odds with everyday experience of firms. (more…)
We recently received a most welcome testimonial for Beaton's pioneering research into cost conscious, but it's not only law firms that will benefit from being more cost conscious.
In a March 24, 2014 interview with Australasian Lawyer, Herbert Smith Freehills’ Australian managing partner Jason Ricketts is quoted as saying “We just haven’t stopped on cost consciousness, and our rating has improve again this year”.
Here's yet more evidence why cost consciousness is valued by clients and profitable for law and all other professional services firms. (more…)
Very few practitioners have discovered cost consciousness. Yet, of all the client service attributes measured in Beaton’s research studies over the last decade amongst thousands of clients of professional services firms of all types, cost consciousness stands out head and shoulders in its importance – and neglect by practitioners.
Cost consciousness is a ‘missing link’. (more…)
This post is a really helpful insight into why law firms and their corporate clients often appear to be chasms apart on fees. And it's not just law firms that are under fire. To varying degrees accountancy, consulting engineering, management consultants, patent attorneys and all other business-related professions seem under attack. What's changed? And what's to be done about it? (more…)
The risible musical chairs saga of our mid-tier accounting firms is out of step with all other Australian professional services firms. Today's BRW piece by Nassim Khadem graphically chronicles the latest chapter in the sorry story of well-known brands and sizeable practices on whom thousands of clients depend. It's well worth reading. (more…)