Contributing to the success of PLS in SEM: An action research perspective

The article below discusses how I employed an action research approach, by working closely with WarpPLS users, to contribute to the success of PLS in SEM. A big thank you to WarpPLS users!

Kock, N. (2023). Contributing to the success of PLS in SEM: An action research perspective. Communications of the Association for Information Systems, 52(1), 730-734.

Link to full-text file for this article:

Contributing to the success of PLS in SEM: An action research perspective

Abstract:

I share with Evermann and Rönkkö (2022) the belief that classic composite-based partial least squares path modeling (PLS-PM) presents shortcomings when used to conduct structural equation modeling (SEM) analyses. The shortcomings can be traced back to one fundamental problem, which is that latent variables (LVs) are approximated in PLS-PM as exact linear combinations of their corresponding indicators. In SEM, each LV is in fact a factor; i.e., a linear combination of the indicators and a measurement residual. My approach to addressing the shortcomings of PLS-PM is rather unique among researchers concerned with quantitative methods. I have employed an action research approach, helping investigators employ SEM in their empirical studies. This has led to my development of a widely used software tool for SEM analyses. I illustrate my action research orientation by discussing three recent methodological developments with which I have been closely involved.

Best regards to all!

Assessing multiple reciprocal relationships in PLS-SEM

The article below discusses how one can assess multiple reciprocal relationships, in the context of structural equation modeling via partial least squares (PLS-SEM).

Kock, N. (2023). Assessing multiple reciprocal relationships in PLS-SEM. Data Analysis Perspectives Journal, 4(3), 1-8.

Link to full-text file for this and other DAPJ articles:

https://scriptwarp.com/dapj/#Published_Articles

Abstract:

Two latent variables may influence each other in both directions, in what characterizes a reciprocal relationship. This paper discusses how one can assess multiple reciprocal relationships in the context of structural equation modeling via partial least squares (PLS-SEM). We discuss the assessment of multiple reciprocal relationships, through an illustrative model analyzed with the software WarpPLS.

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On the validity assessment of formative measurement models in PLS-SEM

The article below discusses how one can conduct a validity assessment of formative measurement models, in the context of structural equation modeling via partial least squares (PLS-SEM).

Amora, J. T. (2023). On the validity assessment of formative measurement models in PLS-SEM. Data Analysis Perspectives Journal, 4(2), 1-7.

Link to full-text file for this and other DAPJ articles:

https://scriptwarp.com/dapj/#Published_Articles

Abstract:

Structural equation modeling via partial least squares (PLS-SEM) is the preferred approach when a research model includes formative measurement models. In this paper, the validity assessment of first-order and higher-order measurement models is illustrated using real data employing the WarpPLS, a prominent software tool for PLS-SEM.

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Assessing univariate and multivariate normality in PLS-SEM

The article below discusses how one can assess univariate and multivariate normality, in the context of structural equation modeling via partial least squares (PLS-SEM).

Ma, K. Q., & Zhang, W. (2023). Assessing univariate and multivariate normality in PLS-SEM. Data Analysis Perspectives Journal, 4(1), 1-7.

Link to full-text file for this and other DAPJ articles:

https://scriptwarp.com/dapj/#Published_Articles

Abstract:

Partial least squares structural equation modeling (PLS-SEM) has gained popularity among researchers in part due to its relaxed requirement for multivariate normality. One important step in performing structural equation modeling (SEM) is to test the normality assumption. In this paper, we illustrate how to assess univariate and multivariate normality in PLS-SEM using WarpPLS.

Best regards to all!

Conditional probabilistic analyses with WarpPLS

If an analysis suggests that two variables are causally linked, yielding a path coefficient of 0.25 for example, this essentially means in probabilistic terms that an increase in the predictor variable leads to an increase in the conditional probability that the criterion variable will be above a certain value. Yet, conditional probabilities cannot be directly estimated based on path coefficients; and those probabilities may be of interest to both researchers and practitioners.

By using the “Explore conditional probabilistic queries” menu option, WarpPLS users can estimate conditional probabilities via queries including combinations of latent variables, unstandardized indicators, standardized indicators, relational operators (e.g., > and <=), and logical operators (e.g., & and |). The article below provides an illustration of the use of this software feature in the context of a study of technology, innovation, and SMEs' export intensity.

Haddoud, M. Y., Kock, N., Onjewu, A. K. E., Jafari-Sadeghi, V., & Jones, P. (forthcoming). Technology, innovation and SMEs' export intensity: Evidence from Morocco. Technological Forecasting and Social Change. (Online availability details: Volume 191, June 2023.)

Link to full-text access from the publisher:

https://www.sciencedirect.com/science/article/abs/pii/S0040162523001609

Abstract:

This study seeks to understand the scarcely examined relationships between SMEs' foreign technology licensing, R&D expenditure, innovation and export intensity. Espousing an integrated open innovation and self-selection paradigm, observations of 446 Moroccan SMEs are analysed through structural equation modelling. The definitive path analysis showed that foreign technology licensing and R&D expenditure distinctively affect innovation and, in turn, innovation increases export intensity. In further insights, to illustrate how the distribution of these inputs enhances internationalisation, a probabilistic analysis shows that foreign technology licensing, R&D expenditure and innovation will incrementally stimulate export intensity by >71 %. The permutations of these variables in the fresh setting of Morocco summon scholars' empirical attention at the same time as policymakers' consideration.

(Many thanks to my co-authors, particularly Dr. Mohamed Haddoud, and to the review panel, for all of their work!)

Best regards to all!

PLS Applications Symposium; 12-14 April 2023; Laredo, Texas

PLS Applications Symposium; 12-14 April 2023; Laredo, Texas
(Abstract submissions accepted until 17 February 2023)

*** Attendance (face-to-face or online) ***

The Symposium will be conducted as part of the multidisciplinary Annual Western Hemispheric Trade Conference, organized by the Center for the Study of Western Hemispheric Trade. Our workshop in PLS-SEM will be conducted entirely online. Our expectation is that participants will be allowed to attend Conference sessions either face-to-face or online.

When indicating the type of their submission, participants should indicate whether they intend to attend face-to-face or online. This should be done within parentheses after indicating the submission type. For example - "Type of submission: Presentation (online)".

*** Only abstracts are needed for the submissions ***

The partial least squares (PLS) method has increasingly been used in a variety of fields of research and practice, particularly in the context of PLS-based structural equation modeling (SEM). The focus of this Symposium is on the application of PLS-based methods, from a multidisciplinary perspective. For types of submissions, deadlines, and other details, please visit the Symposium’s web site:

https://plsas.net

*** Workshop on PLS-SEM ***

On 12 April 2023 a full-day workshop on PLS-SEM will be conducted by Dr. Ned Kock and Dr. Geoffrey Hubona, using the software WarpPLS. Dr. Kock is the original developer of this software, which is one of the leading PLS-SEM tools today; used by thousands of researchers from a wide variety of disciplines, and from many different countries. Dr. Hubona has extensive experience conducting research and teaching topics related to PLS-SEM, using WarpPLS and a variety of other tools. This workshop will be hands-on and interactive, and will have two parts: (a) basic PLS-SEM issues, conducted in the morning (9 am - 12 noon) by Dr. Hubona; and (b) intermediate and advanced PLS-SEM issues, conducted in the afternoon (2 pm - 5 pm) by Dr. Kock. Participants may attend either one, or both of the two parts.

The following topics, among others, will be covered - Running a Full PLS-SEM Analysis - Conducting a Moderating Effects Analysis - Viewing Moderating Effects via 3D and 2D Graphs - Creating and Using Second Order Latent Variables - Viewing Indirect and Total Effects - Viewing Skewness and Kurtosis of Manifest and Latent Variables - Viewing Nonlinear Relationships - Solving Collinearity Problems - Conducting a Factor-Based PLS-SEM Analysis - Using Consistent PLS Factor-Based Algorithms - Exploring Statistical Power and Minimum Sample Sizes - Exploring Conditional Probabilistic Queries - Exploring Full Latent Growth - Conducting Multi-Group Analyses - Assessing Measurement Invariance - Creating Analytic Composites.

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Ned Kock
Symposium Chair
https://plsas.net

Model-driven data analytics (MDDA): Resources for teachers and students

The technique of model-driven data analytics (MDDA) involves the creation of a path model expressing an applied theory, and testing the model using path analysis with latent variables. The latter, path analysis with latent variables, is generally known as structural equation modeling (SEM).

MDDA emerged from the work of a special category of users of the software WarpPLS – data analysis consultants, who regularly work with organizations to provide data-driven recommendations.

While MDDA can be implemented through a variety of software tools, it has found wide adoption among WarpPLS users, because of the many powerful features of this software that can be used in this context. Moreover, in WarpPLS all analyses are model-driven, which makes this software much more user-friendly than other software tools that rely on extensive scripting to conduct analyses.

The website linked below provides several resources for teachers and students, including: a textbook, which may be used by teachers of university courses on MDDA, as a free online document; datasets, which include not only data, but also scenarios, questions, and variables (these are used to illustrate how MDDA can be used to address the needs of various organizations); and YouTube videos, which provide step-by-step illustrations of how to analyze data in the context of scenarios, questions, and variables.

https://scriptwarp.com/mdda

Best regards to all!