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In Structural Equation Modelling (SEM) cases, a number of steps to ensure that the measurement of the latent constructs, variables, and indicators have been appropriate, reliable, and meet the rules of quantitative research that must be passed by researchers. One of them is the criteria for determining the presence (or not) of a discriminant validity violation, which is still a fierce debate among researchers today. The last recommended method is the Heterotrait–Monotrait ratio of correlation (HTMT) which seeks to revise the previously existing discriminant validity criteria such as the Fornell–Larcker and Cross-loadings criteria. This chapter discusses the implementation of HTMT in the case of manufacturing small and medium enterprises (SMEs) in Indonesia with the aim of providing an illustration of how the HTMT is capable of detecting the violation of discriminant validity and the solutions that can be carried out following the recommendations given by the originators.

The effect of dynamic capabilities on operational excellence and the moderating effect of environmental dynamism on the relationship between operational excellence and dynamic capabilities in the apparel industry in Sri Lanka were investigated while developing new psychometric scales to assess operational excellence and dynamic capacities constructs.

We followed the exploratory sequential research design with a mixed-method research approach, aligning with the pragmatic research philosophy. Thus, both qualitative and quantitative research methods were followed.

Dynamic capabilities positively affect operational excellence, and environmental dynamism moderates the relationship between operational excellence and dynamic capabilities in the apparel industry in Sri Lanka such that when a higher environmental dynamism exists, a weaker positive relationship exists between dynamic capabilities and operational excellence. The two main dimensions of the operational excellence construct are continuous improvement of sustainable operational performance and sustainable competitive advantages. It empirically confirmed that sensing, seizing and reconfiguring capabilities are the three main dimensions of the dynamic capabilities construct.

This study was limited to the apparel industry in Sri Lanka. This research phenomenon should be explored in other industrial sectors worldwide to generalize the findings. The practitioners in the apparel sector may improve the organizational dynamic capabilities to achieve operational excellence and keep a strong positive relationship between dynamic capabilities and operational excellence in a highly dynamic environment if they address out-of-family situations with out-of-the-box thinking.

We generated two new empirical findings: (1) dynamic capabilities positively affect operational excellence, and (2) environmental dynamism moderates the relationship between dynamic capabilities and operational excellence. Also, we introduced validated new scales for assessing operational excellence and dynamic capabilities.

This study seeks to find an interactive effect between ethical leadership (EL) and corporate governance (CG) variables and investigate whether they would affect employee organizational citizenship behavior (EOCB) in a Malaysian organizational setting. The collected data from the 300 accounting/finance department employees were analyzed using Statistical Package for Social Sciences (SPSS) and Partial Least Square–Structural Equation Modeling (PLS-SEM; SmartPLS 3.0). Several primary results confirmed a coherent significant relationship between EL and ethical climate (EC), EL and EOCB, EL and CG, and CG and organizational success. Theoretically, it implies a more enhanced EOCB literature on how it can be infused in an organization. It also offers valuable knowledge by providing organizations with several insights concerning the improvement of EOCB, enabling the organization to achieve its desired success and, more importantly, how the findings could contribute directly and indirectly to emerging markets in terms of their industrial and financial performance.

The purpose of this paper is to examine how sub-criteria of the European Foundation for Quality Management (EFQM) model is structurally connected and influence each other. This paper also tries to find the underpinning logics in the EFQM model.

The study uses the empirical methodology based on assessment scores of 58 different organizations to gauge the underlying structure, develop the construct and establish interlinkages among the various sub-criteria in the EFQM model. Statistical analysis is used to find the impact on results and cross influencing of criteria at the sub-criteria level. The factorial analysis is carried out using the Doe technique to create factorial plots for result categories (customer results, people results, society results and business results). The approach is to unravel (1) the role played by each sub-criterion of the model, (2) the effects of sub-criteria on the results of the EFQM model and (3) the influence of sub-criteria on the managerial aspects of the model in an organizational context.

The EFQM sub-criteria are categorised as promoters, proponents, defenders or detractors based on their impact on the results and cross-influence on each other. The study unfolded seven sub-criteria positively impacting the results and one sub-criterion negatively impacting the results if not handled properly. Out of 32 sub-criteria, nine sub-criteria are influencing more than six other sub-criteria.

The paper investigates, for the first time: (1) the role played by each sub-criteria of the model; (2) the relationships that are produced between these sub-criteria on the EFQM results and (3) identify how such sub-criteria would influence the managerial aspects of the model in an organizational context. This research develops underlying logics in the EFQM model using Doe factorial methods for overcoming the multi-collinearity.

The purpose of this paper is to investigate the determinants of mobile banking (m-banking) for individual performance and whether or not there are any age or gender differences.

The research model is based on the task-technology fit (TTF) theory, which integrates elements of task and technology characteristics, technology usage, and individual performance, while combining the age and gender subsamples. The empirical approach was based on an online survey questionnaire of 256 individuals. Partial least squares based on the multi-group analysis were used to analyse the proposed framework construct relationships.

The results reveal that TTF and usage are important precedents of individual performance. The authors find statistically significant differences in path usage to performance impact for the age subsample, and no statistically significant differences for the gender subsample.

The paper highlights the TTF model to understand the determinants that influence the individual performance of m-banking, and whether or not there are any age or gender differences. While most earlier research focuses on m-banking adoption, the approach diverges from the majority of the work by examining the individual performance, which has not been considered in earlier studies.

The purpose of this study is twofold: to examine the effect of information sharing and contract on increasing the trust level in the relationship between the batik small- and medium-size enterprises (SMEs) and supplier and to examine the trust on performance of a supply chain related to the procurement of raw cotton fabric (mori).

This research used primary data collected through interviews and closed questionnaires using a five-point Likert scale. The sample included 65 people, including batik SME-owners in Pekalongan, a Central Java city. This research was conducted using partial least square (PLS) through SmartPLS 3.0 software to analyze the hypothesis.

The results of hypothesis testing indicate that trust between owners of SME and their suppliers has a significant positive effect on the performance of supply chain management (SCM). Strong trust between batik SME- owners with their suppliers will be beneficial for both parties. Among other things, trust can reduce unnecessary cost and activity, reduce the waiting time for the arrival of raw material, reduce the number of inventories and increase profit and customer satisfaction. This result has also show that information sharing and informal contract have a significant positive effect on trust between batik SME-owners and their mori suppliers. In this case, information sharing has a higher effect on trust compared to informal contract. Broader information was distributed to the batik SME-owners and their suppliers, resulting in stronger trust between them.

The limitations of this study include the relatively small sample size and data collection method used to determine the effect of trust, the number of the antecedent variables of trust and the type of scale used to measure the performance of the supply chain. Suggestions for future research may include expanding the scope of the data collection to other regions in Indonesia; adopting a dyadic approach and longitudinal research in providing evidence on the effect of trust as a component of an interactive activity along the supply chain; adding other variables that contribute towards increasing the trust between SMEs and their suppliers (such as commitment); and enhancing the performance measurement of SCM by using a direct measure of financial and non-financial performance instead of recording the perception of the batik SME-owners.

As the scale of their business increases, it is better if the batik SMEs can enhance information sharing and informal contract with suppliers to promote the development of trust. In this case, to ensure that batik SMEs will have better information sharing from their supplier, it is better if the batik SME-owners using the criteria of supplier willingness to share detailed information when they select the new supplier. Then, to increase the role of contract on trust, it is better if owner of batik SME learn to understand the written contract processes and procedures as their business scale increases.

The research confirms that information sharing, informal contract and trust between batik SMEs and their suppliers can have a positive effect on the performance of the supply chain. It may encourage more SMEs and suppliers in the batik industry to build better information sharing, informal contract and trust as a bottom line for the economic and non-economic growth of their business.

The conceptual model used in this study is original, built from past research about the relationship between information sharing, informal contract and trust on the performance of the supply chain. Besides, the selection of the sample is also original, which in this case is on the batik SMEs which have informal contracts. This case has still been rarely studied, and the research is therefore highly valuable.

The purpose of this paper is to provide a model that tests to what extent researchers’ interactions in the early stage of their collaborative network activities affect the number of collaborative outputs (COs) produced (e.g. joint publications, joint grant proposals and joint patents).

Using self-reports from 100 tenured/tenure-track faculty at a US-based university, partial least squares (PLS) path models are run to test the extent to which researchers’ individual innovativeness (Iinnov) affects the number of COs they produced taking into account the tie strength (TS) of a researcher to other conversational partners. Iinnov is determined by the specific indicators obtained from researchers’ interactions in the early stage of their collaborative network activities.

The results indicate that researchers’ Iinnov positively affects the volume of their COs. Furthermore, TS negatively affects the relationship between researchers’ Iinnov and the volume of their COs, which is consistent with the famous “Strength of Weak Ties” theory.

By investigating the degree of impact of researchers’ Iinnov on their CO, college administration could be informed regarding the extent that the social cohesion formed by interpersonal ties affects or drives the collaboration activity that results in COs. When this paper is extended to the entire university, university administration would know the capability of the different colleges, or even the university as a whole, in transforming the ideas embedded in researchers’ networks into a productive work in a collaborative manner.

It is one of the foremost attempts to investigate the relationship between researchers’ Iinnov during ideation phase and their CO. Moreover, this paper contributes to the literature regarding the transformation of tacit knowledge into explicit knowledge at a university context.

The advantages of applying big data analytics for organizations to boost innovation performance are enormous. By collecting and analysing substantial amounts of data, firms can discern what works for their customer needs and update existing products while innovating new ones. Notwithstanding the evidence about the effects of big data analytics, the link between big data analytics and innovation performance is still underestimated. Especially in today's fast-changing and complicated environments, companies cannot simply take big data analytics as one innovative technical tool without fully understanding how to deploy it effectively.

This study tries to investigate this relationship by building on the knowledge absorptive capacity perspective. The authors conceptualized effective use of big data analytics tools as one general absorptive capacity rather than a simple technical element or skill. Specifically, effectively utilize big data analytics tools can provide values and insights for new product innovation performance in a turbulent environment. Using online survey data from 108 managers, the authors assessed their hypotheses by applying the structural equation modelling method.

The authors found that big data analytics capacity, which can be conceptualized as one absorptive capacity, can positively influence product innovation performance. The authors also found that environmental turbulence has strong moderation effects on these two main relationships.

These results establish big data analytics can be regarded as one absorptive capacity, which can positively boost an organization's innovation performance.

This study aims to examine moderated-mediation between ethical leadership (EL) and organizational citizenship behavior (OCB). Specifically, a moderating effect of high performance managerial practices (HPMPs) on the indirect effect of EL on OCB through employees’ psychological empowerment (PE) was tested.

Data were collected from 267 bank employees including subordinates and their supervisors. Partial least squares structural equation modeling was used for data analysis.

The results indicate that PE mediates the relationship between EL and OCB, and HPMPs enhance OCB by increasing the effect of EL on employees’ PE.

This study contributes to human resource management and leadership literature by explaining the moderated-mediation mechanisms between EL and OCB. The findings help to understand how HPMPs enhance employees’ OCB by strengthening the effect of EL on PE. Limitations are related to external validity and cross-sectional nature of data.

Organizations’ use of HPMPs makes ethical leaders more effective in enhancing employees’ PE and, subsequently, their OCB.

Previous research lacks evidence on the indirect effect of EL on employee OCB through PE. Moreover, to the best of the authors’ knowledge, no previous study has examined the moderating effect of HPMPs on the abovementioned indirect relationship. This study has addressed the abovementioned research gap.