Law firms are defined as knowledge-intensive companies. Due to the dependency regarding the resource of knowledge among the firms employees and to the fact that they often are categorised as a type of professional service firm. The purpose of this study is to investigate the different types of profitsharingsystems as a form of reward with focus on the theoretical differences and effects of the True Partnershipmodel and the Stockholmmodel. In addition to these models we will look into the Human Resource processes of; recruiting, integration, retaining and development of employees. The main purpose of the study is to examine the theoretical level on how the profitsharingsystems effect different Human Resource processes and through the knowledge of these connections using this as an analogy when to analyse other law-firms and knowledge??intensive company??s. The method we used to engage this subject has a qualitative approach and both our theoretical frame of reference and empirical material have been analysed using an abductive perspective. The law firms we have been used as empirical base are Delphi & Co, Sigeman & Co, Vinge and Cederquist. The two different models in our study are based on different characteristics which are unique to each model. The Stockholmmodel using a focus on the individual performance while True Partnership focuses on the collective result of the whole firm. The effects these different models have on the Human Resource processes are due to primarily these characteristics. The Stockholmmodel can never fully have complete success using the Human Resource processes since the individual focus on performance, results and rewards is emphasised. True Partnership in its purest form have a very positive effects on the Human Resource processes, although the risk of free-riders effect is much higher in this model in contrast to the Stockholmmodel. Hence the positive effect True Partnership have on the Human Resource pr...
