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Law and Accounting Networks and Associations
Chapter 9 – Future of Law and Accounting Firm Networks and
Associations
In 1985 there were approximately 20 networks in the legal and accounting professions combined (in accounting
there were 15, which included the Big 8, BDO, Grant Thornton,391 and a few others; there were eight in legal).
Today there are more than 200 professional services networks. Their members have more than one million
professionals and staff. Cumulative annual revenues exceed $200 billion. Accounting networks have become
the vehicle for providing clients professional services and the model for how networks will develop. This was
inevitable.
Exhibit 9 – Network Growth, 1986 – 2018
There are six factors that made this outcome inevitable: globalization, network structure, economics,
demographics, regulations, and technology. Each of these has been discussed throughout this book, and their
effects can be summarized.
Globalization: The world today is truly flat; all countries and locations adjoin one another.392 Any
significant event occurring in one country or region has an immediate impact on other countries or
regions. While the general commercial globalization will continue, the focus is shifting from the
mature markets of the United States to the developing markets of Brazil, Russia, India, China, and
South Africa (BRICS countries).393 Companies in these countries will become net investors, joining
the already developed countries in the globalization process. Networks will change their international
emphasis to finding new opportunities for members no matter where they are located.
Network Structure: The network structure is both effective and cost efficient for providing services.
As has been demonstrated in Chapter 1, the stand-alone organization has its advantages, as does the
391 See infra Appendix 7.
392 Thomas Friedman, The World is Flat (2004), available at www.thomaslfriedman.com/bookshelf/the-world-is-flat.
393 BRICS, en.wikipedia.org/wiki/BRICS.
80
Chapter 9 – Future of Law and Accounting Firm Networks and
Associations
In 1985 there were approximately 20 networks in the legal and accounting professions combined (in accounting
there were 15, which included the Big 8, BDO, Grant Thornton,391 and a few others; there were eight in legal).
Today there are more than 200 professional services networks. Their members have more than one million
professionals and staff. Cumulative annual revenues exceed $200 billion. Accounting networks have become
the vehicle for providing clients professional services and the model for how networks will develop. This was
inevitable.
Exhibit 9 – Network Growth, 1986 – 2018
There are six factors that made this outcome inevitable: globalization, network structure, economics,
demographics, regulations, and technology. Each of these has been discussed throughout this book, and their
effects can be summarized.
Globalization: The world today is truly flat; all countries and locations adjoin one another.392 Any
significant event occurring in one country or region has an immediate impact on other countries or
regions. While the general commercial globalization will continue, the focus is shifting from the
mature markets of the United States to the developing markets of Brazil, Russia, India, China, and
South Africa (BRICS countries).393 Companies in these countries will become net investors, joining
the already developed countries in the globalization process. Networks will change their international
emphasis to finding new opportunities for members no matter where they are located.
Network Structure: The network structure is both effective and cost efficient for providing services.
As has been demonstrated in Chapter 1, the stand-alone organization has its advantages, as does the
391 See infra Appendix 7.
392 Thomas Friedman, The World is Flat (2004), available at www.thomaslfriedman.com/bookshelf/the-world-is-flat.
393 BRICS, en.wikipedia.org/wiki/BRICS.
80
