STRATEGIC CHANGE IN A PROFESSIONAL SERVICE FIRM, DURING THE ECONOMIC DOWNTURN

In the economic downturn, leading professional service firms (PSFs) deal with fewer, more informed and demanding clients. They expect to be provided with a broader portfolio of high quality services, as a support in adapting strategy to the tough environment, for maintaining competitive advantage. One objective of the paper is to identify how the economic downturn impacts the competitive environment of professional service firms acting in management training and consulting. Another objective, more specific, is to identify the strategic changes to be made in firms that act in this specific field, in order to meet customers' increased expectations, and to maintain their satisfaction and loyalty. The example of EXEC-EDU was used. Towards these ends, the authors use literature review, prior work, environmental analysis, qualitative and quantitative research methods, a survey conducted on a representative group of clients. They recommend a strategic model for change, to be used by leaders in PSFs, in order to keep competitive advantage in the tough environment created by downturn.