Table II Measure validity and...

Table II

Measure validity and reliability

Variable	Items	Factor loading	AVE	Cronbach’s α
Budget slack	How seriously will your output be affected over the next year?	0.70	0.54	0.71
	How significantly will your work be affected over the next year?	0.64
Quality of IS information	Accuracy of the information	0.56	0.52	0.84
	Precision of the information, i.e., the variability of the output information from that which it purports to measure	0.63
	Reliability of the information, i.e., the consistency and dependability of the output information	0.64
	Completeness of the information, i.e., the comprehensiveness of the output information	0.58
	Relevance of the information, i.e., the degree of congruence between what is required and what is provided	0.72
Process innovation	The technological competitiveness of our company	0.62	0.57	0.84
	The speed at which we adopt the latest technological innovations in our processes	0.74
	The updatedness or novelty of the technology used in our processes	0.64
	The rate of change in our processes, techniques and technology	0.77
Product innovation	The level of newness (novelty) of our firm’s new products	0.59	0.54	0.85
	The use of latest technological innovations in our new products	0.68
	The speed of our new product development	0.58
	The number of new products our firm has introduced to the market	0.75
	The number of our new products that are first to market (or early market entrants)	0.73
Perceived innovation requirement	Rate the intensity of competition faced by your company in the same industry	0.83	0.60	0.75
	Indicate the relative rate of technological change confronted by your company in the same industry	0.67
Organizational performance	Return on asset	0.75	0.51	0.81
	Return on equity	0.64
	Market share	0.64
	Sales growth	0.70
Centralization	The modification of an existing product	0.89	0.55	0.86
	The modification of a production process	0.61
	The restructuring of the subsidiary organization involving the creation or abolition of departments	0.75
	The recruitment and promotion of managers to positions below that of subsidiary general manager	0.73
	The career development plans for department managers	0.68
Formalization	For most tasks, there are well-developed rules and policies	0.83	0.55	0.85
	My decisions are closely monitored to ensure that rules and policies are followed	0.87
	For most situations, there are manuals that define the course of action to be taken	0.55
	For most jobs, there are written job descriptions	0.68
	Everyone has a well-defined and specific job to do	0.71

Variable	Items	Factor loading	AVE	Cronbach’s α
Budget slack	How seriously will your output be affected over the next year?	0.70	0.54	0.71
	How significantly will your work be affected over the next year?	0.64
Quality of IS information	Accuracy of the information	0.56	0.52	0.84
	Precision of the information, i.e., the variability of the output information from that which it purports to measure	0.63
	Reliability of the information, i.e., the consistency and dependability of the output information	0.64
	Completeness of the information, i.e., the comprehensiveness of the output information	0.58
	Relevance of the information, i.e., the degree of congruence between what is required and what is provided	0.72
Process innovation	The technological competitiveness of our company	0.62	0.57	0.84
	The speed at which we adopt the latest technological innovations in our processes	0.74
	The updatedness or novelty of the technology used in our processes	0.64
	The rate of change in our processes, techniques and technology	0.77
Product innovation	The level of newness (novelty) of our firm’s new products	0.59	0.54	0.85
	The use of latest technological innovations in our new products	0.68
	The speed of our new product development	0.58
	The number of new products our firm has introduced to the market	0.75
	The number of our new products that are first to market (or early market entrants)	0.73
Perceived innovation requirement	Rate the intensity of competition faced by your company in the same industry	0.83	0.60	0.75
	Indicate the relative rate of technological change confronted by your company in the same industry	0.67
Organizational performance	Return on asset	0.75	0.51	0.81
	Return on equity	0.64
	Market share	0.64
	Sales growth	0.70
Centralization	The modification of an existing product	0.89	0.55	0.86
	The modification of a production process	0.61
	The restructuring of the subsidiary organization involving the creation or abolition of departments	0.75
	The recruitment and promotion of managers to positions below that of subsidiary general manager	0.73
	The career development plans for department managers	0.68
Formalization	For most tasks, there are well-developed rules and policies	0.83	0.55	0.85
	My decisions are closely monitored to ensure that rules and policies are followed	0.87
	For most situations, there are manuals that define the course of action to be taken	0.55
	For most jobs, there are written job descriptions	0.68
	Everyone has a well-defined and specific job to do	0.71

Notes: χ²=891.80; df =464; GFI =0.91; AGFI =0.90; NNFI =0.94; CFI =0.96; RMSEA =0.06

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