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Journal Article

The Effect of Misspecification of Reflective and Formative Constructs in Operations and Manufacturing Management Research  pp34-52

Subhadip Roy, Monideepa Tarafdar, T.S. Ragu-Nathan, Erica Marsillac

© Jan 2012 Volume 10 Issue 1, Editor: Ann Brown, pp1 - 52

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Abstract

This paper highlights theoretical and mathematical differences between formative and reflective measurement models, in the context of academic SEM oriented research in Operations and Manufacturing Management, an area of significant current interest. It discusses problems associated with measurement model misspecification. It further illustrates, using survey data, the effects of possible misspecification on model fit parameters and path coefficients in a nomological model, using the Partial Least Squares (PLS) approach. It then proposes guidelines for the use of the PLS methodology for analyzing formative measurement models.

 

Keywords: formative, reflective, measurement models, PLS, structural equation modeling, model misspecification

 

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