Scale Development by Taking into Account Common Method Variance.

Bibliographic Details
Title: Scale Development by Taking into Account Common Method Variance.
Authors: Ding, Cherng G., Ten-Der Jane, Chiu-Hui Wu, Hang-Rung Lin
Source: Academy of Management Annual Meeting Proceedings; 2014, Vol. 2014 Issue 1, p1-1, 1p
Abstract: In the present study, an updated procedure for scale development by taking into account common method variance at the item level is proposed, focusing on scale reduction. The CFA marker technique can detect if CMV exists and identify the items contaminated by CMV. We remove the items, one at a time, until none of the items left in the scales for substantive constructs is contaminated. Subsequently, traditional CFA/SEM is conducted, without the threat of CMV, to continue reducing the scale for the focal construct based on the criterion of maximizing convergent validity while maintaining unidimensionality, discriminant validity, and nomological validity. In particular, procedural remedies should be implemented in the stage of item generation to preclude sources of bias and mitigate CMV. Three assumptions for the updated procedure are required. First, the measures are reflective rather than formative. Second, substantive and the marker constructs are uncorrelated and do not interact. Third, a nomological network for substantive constructs is given. Preliminary Monte Carlo simulation has indicated that the CFA marker technique with the method-U model performs well in detecting the items contaminated by CMV. On the other hand, analyses without considering CMV would produce biased parameter estimates, leading to biases in validity assessment. The proposed updated procedure for scale development is recommended to reduce negative impacts of CMV. [ABSTRACT FROM AUTHOR]
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Database: Complementary Index
More Details
ISSN:21516561
DOI:10.5465/AMBPP.2014.11494abstract
Published in:Academy of Management Annual Meeting Proceedings
Language:English